Kotler's New 4C Marketing Mix for the Digital Economy

Marketing Mix | The 4Ps
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Shubhi Kotiya
CxO / Board, Germany

Kotler's New 4C Marketing Mix for the Digital Economy

🔥NEW In the digital economy the conventional Marketing Mix with 4P's must evolve to accommodate more customer participation. Kotler et al. suggest a marketing mix with four C's: Co-creation, Currency, Communal Activation and Conversation:
  • CO-CREATION: In the digital economy, co-creation is the new product development strategy. The product is developed by involving customers at the ideation stage. This increases the rate of success. Co-creation also allows for customization and personalization of the products, thereby providing superior value prepositions.
  • CURRENCY: Co-created products are offered at dynamic pricing, based on market demands. In the digital economy, price is similar to currency, which fluctuates depending on market demand. Industries like airlines, hospitality, retail, and all e-commerce shopping platforms today generate huge amounts of data from their customers. Using big data analytics these industries are able to provide differential pricing to different customers based on their history of purchase, location, and other profile aspects.
  • COMMUNAL ACTIVATION: In the connected world, consumers demand access to products and services instantly. And with brands going global these needs can be served only by peers in close proximity. Players like as Airbnb, Uber, Zipcar, and Lending Club are disrupting the hospitality, taxi, car rental, and banking industries. This peer-to-peer distribution is the essence of communal activation.
  • CONVERSATION: Traditionally promotion was a one-sided affair, wherein companies used to just make the offerings to the customers. Today, customers can easily respond to the brand offerings and brand messages and thereby generating valuable conversations. The rise of customer-rating systems such as TripAdvisor and Yelp provide a platform for customers to have conversations about and offer evaluations of brands they have interacted with.

  • ⇒ What do you think of this new Marketing Mix?
    Sources:
    Philip Kotler, Hermavan Kartajaya, Iwan Setiawan, (2017). "Marketing 4.0: Moving from Traditional to Digital", pp. 50-51.

  Graham Williams
Management Consultant, South Africa
 

Kotler's New 4C Marketing Mix for the Digital Economy

I like it Subhi but suspect that many will see it as a replacement for 4P marketing instead of an addition. That is, ins...

  Dr. Klaus Nuehrich
Management Consultant, Germany
 

Kotler's 4C not a New Marketing Mix

For me that is really not new and not at all the replacement of the 4P. Due to the technology it is possible to do thes...

  Alkhaly Mohamed Tahey Conde
Lecturer, Guinea
 

4 Ps AND 4 Cs

These two models are useful, but the four P are the fundamentals in Marketing Mix. The four C are complements for the in...

  Mudukula Mukubi
Business Consultant, Zambia
 

Kotler's 4C versus the 4P Model

Interesting additional perspective, primarily good to use for the digital age. However, no marketing enterprise is sensi...

  Serwaa
Student (University), Ghana
 

Kotler's New 4C Marketing Mix for the Digital Economy

This is interesting. Kotler's 4C seems to involve customers. However the 4C Model is not contradicting the 4Ps. I agree ...

  Gandhi Heryanto
Management Consultant, Indonesia
 

Digital Technology Changes the Way You Apply the 4Ps Concept

The 4Ps concept of price, product, promotion, and place are still relevant but the way we convey messages and communicat...

  Warren Miller, CPA, CFA
Strategy Consultant, United States
 

The 4 Cs versus the 4 Ps

I'm sticking with the 4 Ps because I don't think the 4 Cs add anything that's essential to the conversation....

  Victor Inambwae
Zambia
 

Similarity Between Co-Creation and Conversation

It appears to me that of the four 4 Cs that are explained here there is some similarity between Co-Creation and Conversa...

  Alkhaly Mohamed Tahey Conde
Lecturer, Guinea
 

4 C in Knowledge Industries

@Victor Inambwae: The four Cs Model is also useful in the knowledge, cultural and information industries. I confirm that...

  Helen Strong
Business Consultant, South Africa
 

Role of 4 Cs

For me the 4Ps are the 'what' for the strategies and the Cs are a new way of describing the the 'how'. Definitely techn...

  rustenburg
Business Consultant, Netherlands
 

4 Ps AND 4 Cs

In my opinion, it is just marketing to use new keywords from time to time. From systematic approach you use the 4-5 P's ...

  Sumit Kumar Pattnaik
Student (MBA), India
 

Refreshing Read

This discussion has given me a whole new perspective regarding how powerful the digital economy has indeed become in the...

  Maurice Hogarth
Consultant, United Kingdom
 

Rephrase to Imply New and Different

As pointed out the C's are not new, but more like aspects of the P's. Product / Co-creation - It is increasingly impor...

  Garth Sutherland
Consultant, South Africa
 

Do the 4P's Require Clarification?

All models evolve! That is the nature of academia. But the 4P's? And life evolves whether one needs to, desires it, or ...

  Maurice Hogarth
Consultant, United Kingdom
 

Clarification from Evolution

@Garth Sutherland: Agreed, life evolves and that is true for models too. Evolution is, however, a natural process that a...

  Shubhi Kotiya
CxO / Board, Germany
 

The Key in 4C's is Customer

The responses from many members from the forum echo the importance of 4Ps. And it's not at all questionable. 4P's carry ...

 

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