The Marketing Concept is based on the idea that organisations can best meet their objectives by concentrating on customers needs and satisfying those needs better than competitors. The other three concept are; Production concept which concentrates on production and distribution economics. Selling concept is based on the notion that customers need to be persuaded to buy through aggressive selling and promotion. Product concept has been adopted by organisation which believes that their product is the most innovative in the market, is of top quality and packed with special features.
Information from BND Business Book 1.
The Basic Principles of Marketing:
Marketing functions are the broad areas of marketing that contribute towards the achievement of the marketing principles. There is such a variety of organisations in the business world that it means marketing managers find themselves working in many different environments will emphasise different aspects of the four marketing principles which are; understanding consumer needs, keeping ahead of competition, communicating effectively with consumers and also utilising new technology.
Marketing objectives (SMART) Specific, Measurable, Achievable, Realistic, Timetabled. For e.g. “to achieve a 10% of market share in the French market within 24 months”. This objective is specific in that it details exactly what has to be done. It measurable because a market share requirement is included. The objective would be achievable if everyone in the organisation accepted the aim. It would be realistic if it was calculated that it was possible to attain. It is timetabled, as the length of time given to achieve the objective is stated.
Marketing Mix provides an excellent framework for developing marketing plans. The marketing mix for physical goods is generally accepted to make up of four parts (the 4Ps) product, price, promotion and place.
Product – combination of goods and services that are offered to targets consumer. E.g. apple offers a range of ipod products along with I-tunes.
Price – is the amount of money consumers have to pay to acquire the product. E.g. PC World offers discounts and credit terms which all combine to alter the price individual consumer pay for a laptop.
Promotion – describes the activities undertaken to ensure the consumer knows about the product and its capabilities. E.g. advertising, sales promotion, public relations and personal selling.
Place – describes where and how the consumer can obtain the product. E.g. Tesco has stores all over the country but place does not have to be a physical location.
E-Marketing is the collection of marketing research information can be easily undertaken through internet surveys and the use of search engines like Google to identify sources of relevant information.
Process – the systems employed by an organisation must be customer-friendly. These systems include all the processes which might involve the customer from handling the delivery of a product, ordering an out-of-stock item, accepting the return of a faulty product, undertaking a repair and dealing with a compliant.
Physical evidence describes those factors that can help to shape the customer’s perception and image of the service being provided. For example, you have probably noticed that many hotels provide writing paper, pens, entertainment and information in their rooms.
