Question

g Compare and contrast a four Ps approach to marketing versus the value approach (creating, communicating, delivering and exchanging value). What would you expect to be the same and what would you expect to be different between two companies that apply one versus the other approach?

Answer 1

The Four Ps approach focuses on Product, Price, Place, and Promotion, emphasizing the tangible aspects of marketing, while the value approach incorporates intangible aspects, fostering customer relationships by understanding and enhancing their perceived value.

Step-by-step explanation:

The question asks us to compare and contrast the traditional Four Ps marketing approach with the value approach, which focuses on creating, communicating, delivering, and exchanging value. In the Four Ps approach, the emphasis is on Product, Price, Place, and Promotion. This model is largely focused on tangible aspects of marketing and less on the customer experience or relationship.

On the other hand, the value approach is more holistic and customer-centric. It extends beyond product features to include intangible aspects such as the buying experience, customer service, and brand reputation. Companies using this approach tend to build stronger relationships with their customers by understanding and enhancing the value they seek.

Both companies applying the Four Ps model and those adopting the value approach will engage in product differentiation and marketing. However, the latter might be more invested in establishing a strong brand identity and nurturing customer loyalty through various services like free delivery, satisfaction guarantees, or ancillary offerings such as loans for product purchases.

Advertising functions differently across both approaches. While it's a prominent feature in both, in the value approach, the focus of advertising may be more on the overall value and experience provided to the customer rather than just product features or promotions.

Answer 2

The 4Ps are Product, Pricing, Promotion, Place.

Step-by-step explanation:

Thinking about it carefully, one would note that there is really nothing to contrast between the value approach which is Creating, Communicating, Delivering and Exchanging Value.

Let's make the comparisons:

• Products and Services are Created. It's impossible to have a product or service that is not created.

The inherent quality of a Utility or Product or Service is that they are value which is Created. So in describing the marketing approach, one can use both interchangeably.

• Pricing vs Exchanging Value

Again there is a parallel here. Price is the value you have put on your product or service. Without price, it's difficult to exchange value. Again in the marketing process/approach, it's difficult to separate the two. In both approaches, pricing and Exchanging Value as steps in the marketing approach can be used interchangeably.

• Communicating vs Promotion

This is also another parallel. Promotion is simply another way to communicate the value of your product. Both are really not different.

• Delivering Value vs Place

Place under the 4 Ps approach speaks to the location where the product is delivered. Again it's clear to see that both cannot be separated.

In conclusion, assuming all factors are the same and held constant between two companies A and B, if company A follows the 4Ps approach and company B follows the Value approach, they are most likely to arrive at the same results.

Cheers!