Marketing is anything you do in your business to make sales happen. It’s inherently creative—there are countless ways to promote your products or services, even if you have little or no budget. To make sense of all your marketing efforts, a helpful framework is the marketing mix, also called the 4 Ps of marketing.

Here’s what the 4 Ps mean for your business:

1. Product (or Service):
This is what you are selling. Think about the mix of products or services you offer, the benefits they provide, and how they stand out from the competition. Consider things like packaging, branding, after-sale services, delivery, returns policies, and whether products are bundled or sold separately. Every choice here affects how customers perceive value.

2. Price:
This is what you charge for your product or service. Pricing involves strategy (do you set a premium price, match competitors, or aim for lower prices to attract customers?), structure (do prices vary by customer type, time, or form of payment?), and tactics (discounts, promotions, or special deals). Your pricing should reflect the value of your offering and support your overall business goals.

3. Promotion:
This is how you communicate with your customers. Promotion includes advertising, personal selling, social media, public relations, and sales promotions. The goal is to craft messages that convince customers to buy while staying consistent with your product, price, and place.

4. Place (Distribution):
This is how your product or service reaches your customers. Consider where and how your customers can buy from you—your physical location, online store, other retail partners, or wholesale channels. Timing and accessibility are key factors here.

The important point is consistency. Every element—product, price, promotion, and place—should work together to reinforce your brand and message. For example, a premium product should not have a low-price discounting strategy that confuses customers. By reviewing all four areas and ensuring they support each other, you can approach marketing strategically and maximize the value you deliver to your customers.

This is what you charge for your product or service. Pricing involves three major layers:

• Strategy – Decide whether you set a premium price, match competitors, or aim for lower prices to attract customers.

• Structure – Determine how your prices vary by customer type, time of purchase, or form of payment.

• Tactics – Use discounts, rebates, special offers, or bundle deals.

Your pricing should reflect the value your product or service delivers, and support your overall business goals.

How to build a pricing number you can trust

When setting your price, you’ll often use simple formulas. Here are two clear examples:

1. Cost‑plus formula

Price=Cost per unit+(Cost per unit×Desired profit margin)

Example: If your cost per product is $4 and you want a 50% profit margin, then:

Price=$4+($4×0.50)=$6

2. Value‑based formula

Price=Perceived value to the customer–Cost savings they get+Unique benefits

Example: If your product helps the customer save $20 compared to a lesser alternative, and you provide added benefits they value at $10, you might set:

Price=$20+$10=$30

Use conservative assumptions. Don’t overestimate value; use numbers you can back up.