A Review of Marketing Mix Models in the Digital Economy: Measuring the Effectiveness of 4Ps in E-Commerce

Abstract

Abstract: This article provides a comprehensive review of marketing mix models, specifically focusing on the effectiveness of the 4Ps (Product, Price, Place, Promotion) in the context of the digital economy and e-commerce. Using a narrative review approach, the study examines existing literature and integrates descriptive analysis to explore how digital transformations have influenced the application of traditional marketing strategies. The study draws upon various peer-reviewed journals, books, and reports related to e-commerce, marketing, and digital technologies, using predefined inclusion and exclusion criteria to filter relevant sources. Key themes were identified and categorized under each of the 4Ps to offer a detailed synthesis of how these elements have evolved. The findings indicate that the concept of the product in e-commerce has expanded beyond physical goods to include virtual offerings and digital services, with businesses increasingly leveraging customization to enhance consumer engagement. Pricing strategies have become more dynamic and data-driven, utilizing tools such as dynamic pricing models and price comparison mechanisms to respond to market conditions in real time. The traditional notion of place has shifted to online platforms, where usability, mobile optimization, and global accessibility are critical. Promotional strategies have likewise transformed, with digital channels such as social media, influencer marketing, and SEO proving more effective than traditional advertising methods. In conclusion, the review highlights the need for businesses to adapt the traditional 4Ps to the evolving digital landscape. Emerging technologies such as AI and machine learning offer new opportunities to enhance each element of the marketing mix, while global competition and privacy concerns present ongoing challenges. Future research should focus on developing more comprehensive models that integrate these technologies to improve the effectiveness of e-commerce strategies.