Marketing

What Is Marketing?

Marketing is managing profitable customer relationships. The twofold goal of marketing is to attract new customers by promising superior value and to keep and grow current customers by delivering satisfaction. For example, McDonald's fulfills its "i'm lovin' it" motto by being "our customers favorite place and way to eat" the world over, giving it nearly as much market share as its nearest four competitors combined.


Marketing Defined

Broadly defined, marketing is a social and manajerial process by which individuals and organizations obtain what they need and what through creating and exchanging value with others.In a narrower business context, marketing involves building profitable, value laden exchange relationships with customers. Hence, we define marketing as the process by which companies create value for customers and build strong customers relationships in order to capture value from customers in return.


Customer Needs, Wants, and Demands

The most basic concept underlying marketing is that of human needs. Human needs are states of felt deprivation. They include basic physical needs for food, clothing, warmth and safety. Wants are the form human needs take as they are shaped by culture and individual personality. Wants are shaped by one's society and are described in terms of objects that will satisfy those needs. When backed by buying power, wants become demands. Given their wants and resources, people demand products with benefits that add up to the most value and satisfaction. Needs is states of felt deprivation. Wants is the form human needs take as they are shaped by culture and individuals personality. Demands is human wants that are backed by buying power.


Market Offerings-Product, Services, and Experiences

Market offerings is some combinations of products, services, information, or experiences offered to a market to satisfy a need or want. Marketing myopia is the mistake of paying more attention to the specific products a company offers than to the benefits and experiences produced by these products.


Exchange and Relationships 

Exchange is the act of obtaining a desired object from someone by offering something in return. Marketing consists of action taken to create, maintain, and grow desirable exchange relationships with target audiences involving a product, service, idea or other object. Companies want to build strong relationships by consistenly delivering superior customers value.


Markets

Markets is the set of all actual and potential buyers of a product of service.


Designing a Customer-Driven Marketing Strategy

Marketing management is the art and science of choosing target markets building profitable relationships with them.


Marketing Management Orientations 

There are five alternative concepts under which organizations design and carry out their marketing strategies: the production, product, selling, marketing and societal marketing concepts.


The Production Concept t

Production concept is the idea that consumers will favor products that are available and highly affordable; therefore, the organization should focus on improving production and distribution efficiency.

The Product Concept

The idea that consumers will favor products that offers the most quality, performance, and features; therefore, the organization should devote its energy to making continuous product improvements.

The Selling Concept

The idea that consumers will not but enough of the firm's product unless the firm undertakes a large-scale selling and promotions effort.

The Marketing Concept 

A philosophy in which achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions better than the competitors do.