There are seven P’s of Marketing i.e. Product, Price, Place, Packaging, People, and Positioning. Henry should concentrate on positioning (P) to distinguish his retail store.
Explanation:
Henry should concentrate on positioning P because this P forces Henry to think continually about that he can develop a position in the minds and hearts of customers to retain and attract more customers. This P tells him how do people talk and think about you in your absence. Other P’s do not distinguish Henry’s Store because all other stores have barely competition with each other; they are selling the same quality product on the same street.
As in the given scenario, all their current customers referring his store to their families and friends and awareness about his store is spreading through word-of-mouth. Therefore, Henry’s store can be distinguished by words-of-mouth and the position he has developed in the market.
Henry should concentrate on how he could improve positioning among customers. He should concentrate on how to create an ideal impression in the heart and minds of his customers. How it would be? What would he have to do in every customer’s interaction to attract customers to his retail store? He should change the interaction with today's customers in a way that would be beneficial to him as the very best choices for tomorrow's customers. Therefore, only Positioning P distinguishes Henry’s store from other retail stores. Thus, Henry should concentrate on Positioning P to attract and retain more customers.
Other P’s are not important for Henry’s store because:
1. Product
All the retail stores selling the same products with the same quality. Customers can only interact or go to buy something from the store if the store's items quality is different.
2. Price
All the retail stores providing the same quality product in the same line. Therefore, the item's price is almost the same. Customers can only be attracted if prices are different.
3. Promotion
If any retail store starts doing promotion irrespective of price and quality. Then the customer can be attracted to that particular store.
4. Place
All retail stores are in the same market, so in the given scenario, Place P is barely advantaged to a retail store to attract customers placing at the corner of the market and easily accessible to the customer.
5. Packaging
All the retail stores are having and selling the same quality items. They are not manufacturing and packaging the product. The packaging is not affordable to the retail storeowner. However, it is useless, if someone wants to start packaging in a different way of the same quality product. Because the customer is more attractive to price and quality than packaging.
6. People
In the above-given scenario, thinking about people habit is not as important as positioning P. However, how hired people in retail stores behaving with customers is important.
