This lesson examines the extended marketing mix framework for services, with a focus on the additional elements required for financial services.

5.1 The Extended Marketing Mix

While the 4 Ps (Product, Price, Place, Promotion) are classic elements, financial services require an extended mix due to their unique characteristics . The University of Warsaw syllabus covers “7P components and application” . The 7 Ps include:

5.2 The Core 4 Ps

  • Product: The financial service itself—loans, insurance policies, investment funds. The IBSL curriculum covers “Concept of financial product; Product levels” .

  • Price: Total cost to the customer, including interest rates and fees. “Methods and factors of pricing” and “Pricing strategy and tactics” are key topics .

  • Place: Distribution channels—branches, online, intermediaries. “Types of distribution strategies and channels” and “new distribution trends” are examined .

  • Promotion: Communication and advertising. “Marketing communication mix of a financial institution in the concept of off-line and on-line” is covered .

5.3 The 3 Additional Ps

  • People: All human actors in service delivery. The syllabus covers “Categorization of financial institution employees” and “Psychology of personal sales” .

  • Process: Procedures and flow of activities. “Client involvement in processes, complaint handling, consumer demand management” .

  • Physical Evidence: Tangible cues for evaluating the service. “Physical evidence of a financial institution, spatial and emotional effects of various stimuli, sensory marketing, merchandising” .

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