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In this complete guide, we are going to break down the A to Z of the 4Ps of E-Commerce. The 4Ps of Marketing? You must have heard about it at least once. Either from a friend or in your 11th grade. Is it? Today, I am going to reiterate the golden 4 Ps of E-commerce.

Before delving into the anatomy of the 4 Ps of E-commerce, let us first brief you on what actually is the 4 Ps of E-commerce. Also, have a check on our other similar blog article that might interest you: E-commerce Best Content Marketing Strategies for 2021

What are the 4 Ps of E-Commerce?

The 4 Ps of E-commerce are the 4 central components that any business strategy requires. In fact, the definition of marketing itself is the 4 Ps of marketing. Was it not clear enough? Let me elaborate! You need to build a product that is right, put it forward at the right price, place, and time. The below-mentioned 4 Ps are practiced from traditional marketing to modern marketing. And in the future also, this shall constantly be implemented as it is a prerequisite of heading towards running a successful business.

The 4 Ps of E-commerce consists of:

  1. Product – what you sell?
  2. Price – at what cost?
  3. Place – where can customers find your business?
  4. Promotion – what strategies do you use to inform your customers?

Let’s now dig into the one by one anatomy of each of these:

#1 Product:

In a simple straightforward way, a Product is what you sell. No matter what it is, a physical product, service, or consulting. But along with thinking about the product you sell, you should also consider how your users are satisfied with your products. 

For that, ask yourself the following questions:

  • How is your product different from your competitors?
  • Why do customers choose your product?
  • What attracts them to buy your product?

#2 Price

The Price factor is how much you charge for your product. The sellers are willing to set the price of the product higher as possible whereas the consumers are willing to pay as little as possible. So, the actual price is basically a settlement between what the retailers require and what the purchasers are willing to pay.

Setting the right price for your product is significant as it might affect the overall revenue of your business. Charging too low will increase your selling rate but might affect your annual profits whereas on the other hand, charging over the top is likely to impact the sales and it can shrink.

The prices set by you also impact the positioning of your brand and the way the customers comprehend your product. For instance, customers might doubt the efficacy of the product if it is priced too low. At the same time, pricing it too high, specifically when your competitors are pricing the same product at a lower price than you, might affect your sales, unless and until you are a big brand.

If you want to determine whether the prices you have set are the right prices you need to have answers to the following questions:

  • What is your competition charging? Are you willing to set the prices more or less than them?
  • At what price are the current leaders of your corner charging?
  • What will be the highest price your customers are ready to pay and the lowest you are prepared to set?

#3 Place 

Another term for the Place – Location. An easy way to understand this is – locate your business to a place where your customers are. Not where you are. Because you only have to go to them. In fact, they won’t be able to find you easily if your business location is at a place where they don’t have an idea about it! 

The place becomes an important factor irrespective of the fact that your business is offline or online. Answer yourself to the following questions to determine whether you are selecting the right place for your business or not:

  • Where are your customers?
  • Will you be selling your products in a retail store also, or just online?
  • Are you selling it in a marketplace or will be having your own store, irrespective of online or offline?
  • Are you selling it undeviatingly or via an intermediary?

#4 Promotion

Only implementing the product and price factor, won’t help in skyrocketing your business without promoting it. Promotion is all the strategies that you use to keep your audience aware of your products and services.

The Promotion comprises the promotional messages, but along with that, the audience that you deliver the message, what is your medium of sending messages, are also important elements to take care of!

Answer yourself the following questions:

  • Where is your target audience?
  • Which platforms does your target audience use?
  • How do your competitors plan and execute promotions?


The 4 Ps of E-Commerce are indispensable factors in any business. A business cannot stand out from the competition without taking into consideration these 4 Ps of E-commerce.

Share this article with your Marketing buddies and help them know about the 4 Ps of E-commerce.

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