The Forgotten P

There has, over many years, been much discussion in marketing circles about how many Ps there are.... this is (academically) a big deal. We started with 4Ps (Product, Price, Place, Promotion), someone then added a fifth (People), and subsequently others have tried to increase it to as many as ten (I'd list them here but there are too many to even remember).

Being involved in the marketing of businesses and events on a daily basis, it surprises me, in fact worries me, how many organisations seem to forget about one of those Ps more than the others.

It'll be no surprise that the Ps most discussed with me are Promotion, Price, People and (occasionally) Place. But rarely, and I mean rarely, does anyone pay much attention to the central proposition: Product.

Now it hasn't escaped anyone's notice that we're in the middle of a recession here. In recessions, customers are a cash strapped, price conscious, fussy lot. In the nicest possible sense, of course.

In simple terms, consumers become more discerning. They judge us differently. They alter their behaviour. They change their patterns of spending. And all of this happens when firms are fighting like dogs over a smaller share of the money pot than was previously available.

So it's important to be different. To be better. To offer value for money. To stand out from the (increasingly large) crowd.

Yet most firms just tinker round the edge. Stubbornly refusing to look at their core product or service. It's a bit like the Emperor's New Clothes.

But now is the time. Now is the perfect time to review. To innovate. To charge ahead of your competitors.

A business we've been involved with for quite some time did just that. Around 18 months ago, with the bottom literally falling out of their market, they took a cold hard look at their whole business model, their products and their target market. And they changed. They changed drastically. New product lines, fresh branding, new target market.

The results are staggering. Instead of a downward sales curve, it's now firmly pointing in the right direction. Instead of diminishing profits, they are now making money. And the good news is, that it's early days - when the bounce back comes they'll be ready to take advantage.

So if you are facing challenges in this difficult economy, and are looking to review your marketing, start with the first P, the most important P, before you go wasting money on all the others. It might just be the making of your business.