69% of marketers can’t name the four Ps – can you?
A majority of marketers lack knowledge around the basic principles of marketing, a Salmat report reveals.
Marketers lack knowledge around basic principles of marketing, such as the four Ps – price, product, promotion and place – and interpret consumer purchasing behaviour all wrong according to Salmat’s ‘2018 Marketing Report’.
69% of marketers in the survey could not correctly name all four, despite 53% saying they employ the four Ps in their strategies.
Salmat also surveyed consumers to find which of the four P’s impacted their purchasing decisions the most. 83% of consumers say price is the top influence on their purchasing behaviours.
“Unsurprisingly, promotion was low on the priority list for consumers, as they generally don’t want to be advertised to” says Andrew Lane, head of sales and marketing at Salmat.
Salmat’s report also analysed the disparity between consumer behaviour and the way marketers interpret it. According to the survey, marketers believe 54% of consumers make impulse purchases often, while only 24% consumers themselves reported making impulse purchases with the same frequency. Marketers also believe that 50% of consumers often go shopping just for fun, while the same was only reported by 25% of consumers.
Lane continues, “there is a clear disconnect between what channels marketers think consumers are engaging with, and what consumers are actually using. Social media for instance is a powerful tool for driving awareness and interest.”
Salmat says these results are indicative of consumers having more control over their purchasing decisions than marketers like to believe. Additionally, marketers are too reliant on the concept of brand loyalty, when 40% of consumers do not consider brands while shopping at all, and only 18% are loyal to one or two brands.
Advocacy is confirmed as highly influential in purchasing decisions, with recommendations from friends and family coming in as the top source of information used in purchasing decisions (72%). Furthermore, 40% of consumers said online reviews influence purchasing decisions and 37% often go online while shopping in stores to check consumer reviews before buying.
“Overall, marketers need a better understanding of the key marketing principles in order to reach potential new customers” concludes Lane.
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