The 4 P’s—Product, Price, Place, and Promotion—form the foundation of nearly every successful marketing strategy. Originally introduced by E. Jerome McCarthy in the 1960s, these elements remain relevant because they force product development and marketing teams to address the core aspects of value creation and delivery. As with my most recent blog articles, this is another key marketing framework that I think project managers should be aware of when working on a launch strategy. In the sections below, I give a general breakdown of each "P" and how they work together as a coherent strategic framework.
1. Product: What Are You Selling?
This is the most fundamental element. Without a clearly defined product or service, no amount of marketing can help.
Key Considerations:
Core Benefits: What problem does it solve? What need does it meet?
Features vs. Benefits: Features are technical; benefits explain why they matter. Biotech teams need to be especially aware of the benefit-to-risk ratio that their products offer to end users and patients.
Differentiation: What makes your product unique or better?
Lifecycle: Is it a new product, a mature one, or in decline?
Action Points:
Conduct user research to identify real pain points.
If you are building a direct-to-consumer product with quick iterative product cycles, can you build a minimum viable product and iterate based on product-market fit.
Consider branding, packaging, and quality assurance to be critically important aspects of your product
2. Price: What’s It Worth?
Price is not just a number—it signals value, market positioning, and sometimes even quality. Clearly this will be very different for a direct-to-consumer or over-the-counter product than a prescription-only product, especially when the later involves insurance coverage considerations.
Key Considerations (if and as appropriate and relevant for your product):
Cost-based pricing: What’s your minimum viable price based on production costs?
Value-based pricing: What is the perceived value to the customer?
Psychological pricing: Using $9.99 instead of $10 to influence perception.
Elasticity: How sensitive is demand to changes in price?
Action Points (for direct-to-consumer products):
A/B test pricing tiers.
Benchmark against competitors.
Consider bundling, discounting, or subscription models.
3. Place: Where Will It Be Available?
"Place" involves the distribution strategy—how the product gets from you to the customer. Again, this framework is most directly applicable for direct-to-consumer and over-the-counter goods, but any marketing team can benefit from awareness of the model.
Key Considerations:
Direct vs. Indirect: Sell through your website (direct) or through retailers/distributors (indirect)?
Online vs. Physical: Is e-commerce sufficient, or is physical presence needed?
Channel Conflicts: Are you undercutting your retail partners with your DTC prices?
Logistics & Accessibility: Can your customers actually get what you’re selling?
Action Points:
Optimize the supply chain for speed and reliability.
Evaluate distribution partnerships.
Ensure alignment between product type and distribution method.
4. Promotion: How Will People Know About It?
Promotion covers all activities used to raise awareness, generate interest, and drive conversions. Refer to my Awareness, Interest, Decision, Action (AIDA) blog article for more on this topic.
Key Considerations:
Target Audience: Who are you trying to reach, and where do they spend time?
Messaging: What’s the core value proposition you’re communicating?
Channels: Paid (ads), owned (website, email), earned (PR, word of mouth).
Timing: When is your audience most receptive?
Action Points:
Create content that solves your customer’s problems.
Align messaging with the stage of the buyer’s journey.
Use analytics to track ROI on each promotional tactic.
Why the 4 P’s Still Matter for biotech companies
Is this model outdated or not applicable to medical treatment products?. The answers are absolutely not and absolutely yes. Even though much of advertising has changed since this model was first formulated in the mid-to-late 20th century, the concepts are still fully relevant and applicable today. What’s changed significantly is the execution—the channels, tools, and data now available allow for micro-optimization and real-time feedback loops. But without clear thinking around these four categories, even the most sophisticated campaigns can miss the mark and even medical treatment marketing teams need to understand the 4 P's for their product.
NOTE: Use the 4 P's as a System, Not Silos
The most common mistake is treating the 4 P’s as independent variables to be dealt with separately or linearly. In reality, they are completely interdependent:
A premium-priced product needs premium packaging and selective distribution.
A low-cost product may need mass distribution and high-volume sales.
A poorly promoted product might fail even if it’s well-priced and well-designed.
TL;DR:
| P | Purpose | Key Question |
|---|---|---|
| Product | Define what you’re selling | What need does this satisfy? |
| Price | Determine value and positioning | How much is it worth to the customer? |
| Place | Deliver the product to the buyer | Where and how will customers find it? |
| Promotion | Communicate and persuade | How will we make people want to buy it? |
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