Meaning of Marketing
Marketing is the management process which identifies, anticipate, and supplies customers requirements efficiently and profitable.
In other words, it is the process of understanding, creating and delivering profitable value to targeted customers better than the competition.
Marketing is a social process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others.
Marketing Management Concepts
1. Production concept:
It holds that consumers will favor products that are available and highly affordable.
Therefore management should focus on improving production and distribution efficiency that means high production efficiency, low cost and mass distribution.
This concept is still useful in two types of situations when the demand exceeds the supply and when the products costs is too high and improved productivity is needed to bring it down.
It is used when a company wants to expand the market.
2. Product concept:
It holds the idea that consumers will favor products that offer the most quality, performance and features and that the organization should therefore devote its energy to making continuous product improvement.
Focus on making superior products and improving them.
Buyers admire well-made products and can evaluate quality and performance.
Product concept can lead to marketing myopia (that means lack of foresight or long term view regarding the product decision).
3. Selling concept:
It holds the idea that consumers will not buy enough of the organizations products unless the organization undertakes a large scale selling and promotion effort.
This concept is typically practiced with unsought goods, those that buyers do not normally think of buying, such as encyclopedias or insurance.
Most firms practice the selling concept when they have over capacity.
This concept takes an inside out perspective.
It starts with the factory, focuses on the company’s existing product and calls for heavy selling and promotion to obtain profitable sales.
Consumers typically show buying inertia/resistance and must be influenced into buying.
To sell what they make rather than make what market wants.
With the outside-in strategy, you first observe what the customer wants, then find and offer the solution. In the inside-out strategy, however, you first develop the product or service, then you create desire for it in customers.
4. Marketing concept:
It holds the idea that achieving organizational goal depend on determining the needs and wants of target markets and delivering the desire satisfaction more effectively and efficiently than competitors do.
The main task for markets not to find the right customers for the product, but the right products for the customers.
5. Societal Marketing Concept:
It holds the idea that the organization should determine the needs, wants and interest of target market and deliver the desired satisfaction more effectively and efficiently than do competitors in a way that maintains or improves the consumers and society wellbeing.
This concept calls on marketers to balance three consideration in setting their marketing policies; company profit, consumers wants and society interests.
It emphasizes on both the short run and long run welfare of consumers.
Marketing Mix
The marketing mix refers to the set of tools or tactics that a company uses to promote its products or services to its target customers. It typically includes the four Ps: Product, Price, Place, and Promotion. These elements are combined strategically to meet the needs of the target market and achieve the company’s marketing objectives.
4p
The components of the marketing mix, often referred to as the “4 Ps,” are:
- Product: The goods or services offered by a company to meet the needs or desires of customers.
- Price: The amount of money customers pay for the product or service, determined by factors such as costs, competition, and perceived value.
- Place: The locations and channels through which customers can access and purchase the product or service, including distribution channels and retail outlets.
- Promotion: The various marketing activities and communication methods used to inform, persuade, and influence customers to purchase the product or service, such as advertising, sales promotions, public relations, and personal selling.
4c
The 4Cs of marketing mix are an alternative perspective to the traditional 4Ps (Product, Price, Place, Promotion) framework. They focus more on customer-centric considerations. Here they are:
- Customer Needs and Wants (instead of Product):
- This emphasizes understanding the needs, preferences, and desires of the target market.
- It’s about creating products or services that fulfill these needs and provide value to customers.
2. Cost to the Customer (instead of Price):
- This involves considering not just the monetary price but also the total cost to the customer.
- It includes factors like time, effort, and any other sacrifices customers make to acquire the product or service.
3. Convenience (instead of Place):
- This emphasizes making the product or service readily accessible and convenient for customers to purchase.
- It includes factors such as distribution channels, location, ease of purchase, and availability.
4. Communication (instead of Promotion):
- This focuses on engaging with customers through effective communication channels.
- It includes strategies for conveying messages, building relationships, and influencing perceptions through advertising, public relations, social media, and other forms of communication.
These 4Cs provide a customer-centric approach to marketing, emphasizing the importance of meeting customer needs, providing value, and building relationships.
Major trends and forces that are changing the Marketing land scope
Several major trends and forces are currently shaping the marketing landscape:
- Digital Transformation:
- The shift towards digital platforms and technologies is fundamentally changing how businesses engage with customers.
- Online shopping, social media marketing, influencer partnerships, and data analytics are becoming increasingly crucial for reaching and understanding consumers.
2. Personalization and Customer Experience:
- Consumers expect personalized experiences tailored to their preferences and needs.
- Businesses are leveraging data analytics and AI to deliver targeted messaging, product recommendations, and customized services to enhance the overall customer experience.
3. Mobile Marketing:
- The widespread use of smartphones has made mobile marketing indispensable.
- Marketers are focusing on mobile-friendly websites, apps, and targeted advertising to reach consumers on-the-go and capitalize on location-based targeting opportunities.
4. Content Marketing and Storytelling:
- Brands are investing in content marketing strategies to engage and connect with audiences.
- Authentic storytelling and compelling narratives are becoming essential for building brand loyalty and fostering emotional connections with consumers.
5. Social Media Influence:
- Social media platforms continue to play a significant role in shaping consumer behavior and influencing purchasing decisions.
- Brands are increasingly leveraging influencer marketing and user-generated content to reach and engage with their target audience authentically.
6. E-commerce Growth:
- The rise of e-commerce platforms and online marketplaces is transforming the retail landscape.
- Businesses are adapting their strategies to meet the demands of online shoppers, including seamless shopping experiences, fast shipping options, and secure payment methods.
7. Sustainability and Social Responsibility:
- Consumers are placing a growing emphasis on ethical and sustainable business practices.
- Brands are integrating sustainability into their marketing strategies, highlighting their commitment to social responsibility and environmental conservation to resonate with socially conscious consumers.
8. Artificial Intelligence (AI) and Automation:
- AI-powered tools and automation are revolutionizing various aspects of marketing, including data analysis, customer segmentation, and personalized messaging.
- Marketers are leveraging AI to streamline processes, optimize campaigns, and deliver more relevant and timely interactions with consumers.
These trends and forces are reshaping the marketing landscape and challenging businesses to adapt their strategies to meet evolving consumer expectations and market dynamics.
Check out other notes on marketing:
Unit -1 Introduction To Marketing
Unit-4 Products, Services and Brands
Unit-6 Distribution Channel and Logistics
Click here to see the examination questions.
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