Marketing is the commercialization set, by organizations, commercial or otherwise, under their brand names, products and services with a product name or brand name.
That is, with innovation, one of two key business functions (Peter Drucker).
The marketing management of a business, or marketing, was formally defined as:
“All the techniques and actions by which a company develops the sale of its products and services by adapting, where necessary, their production and commercialization to consumer needs.”
This set is particularly rich and is characterized by the following ideas:
- The purpose of marketing is to conquer market share in existing markets and create new markets
- Marketing is a means available to organizations of all kinds
- Marketing implements communication strategies
- Marketing is part of the competitive universe offering complete freedom of choice to customers
- Marketing is a constant adaptation to dynamic customer expectations and competitor strategies effort and changing environment
- Marketing’s role is to achieve value creation superior to that of competitors.
- Marketing is a long-term
- Capital importance given with respect to the commercialization, branding, at its creation, naming and branding management.
Marketing issues for the company
Marketing is considered as the first creative link that will lead to sales. In an environment increasingly changing, the marketing strategy is mobilized to retain a focused and solvent clients by providing economies of scale necessary for the survival of the company. By advertising, marketing can also be used to create a portfolio of new customers without automatically seek a margin in the short term. This may be a risk that must be weighed and proportionate vis-à-vis the overall strategy of the company.
The power of influence and persuasion of marketing supposed to act on a variety of audiences (consumers, business customers, government, voters, etc.) is invoked. The organization expects the thinking marketing:
- Greater sales effectiveness offers, width varying complexity (eg in case of associated services) to potential customers. Or the effective customer behavior usually determines the activity of the company, and assessment tools are speaking after sales result only. Thus it is essential for management to anticipate and promptly determine whether it is useful and lasting an offer to sell: hence the importance of market research, studies of cost provided by cost accounting and generally by the entire information system.
- Optimal efficiency: Bids must be configured so that the margin generated at least covers the fixed costs (the cost of production and cost of revenue) of the company by the total sales. Forecasts must be able to measure the impact of possible economies of scale and synergies.
- An analysis of the value contained and provided by the product. The acceptable level of a target depends on the cost expected by the customer functions. Their delivery to the customer requires a quality of service to negotiate with all the services of the organization that produce and make available.
- An analysis of the projected profitability, ideally defined and followed by product, market, customer or distribution channel.
To achieve this objective, marketing is required to affect all components of the offer (marketing mix). The finesse required for this procedure face diverse scenarios helped to emerge specific marketing. The possibilities offered by new information technologies and communication, particularly in the context of distribution operations, have played in that.
Marketing issues for consumers
Mass marketing has evolved in recent years from a comprehensive approach to a segmented and personalized marketing. The increase in services and new communication technologies have changed marketing. John Kenneth Galbraith considered before marketing as a tool of a capitalism reverse spinneret. The consumer no longer master of his choice due to lack of countervailing power, the complexity of technology and the scale of investment needed to serve the industrial power of a techno-bureaucratic. However, hypersegmentation market and consumer protection (consumerism) is empowering the consumer. From a marketing trying to convince the customer, companies are now trying to adapt to it. So companies are looking to provide “co-construction” of the offer with the client or to expand the number of services often creating bouquets satisfying customer segments. This implies a specific modularity or late competitive postponement that does not facilitate economies of scale sought by management.
The branches of marketing
It is common practice to distinguish several branches within the marketing discipline:
Depending on the concerned targeted customers
Basically arose the distinction between:
- Marketing oriented towards the final consumer: marketing of consumer goods, and major consumer goods, also known as B2C (Business to Consumer) marketing
- Marketing oriented towards intermediate consumer: industrial marketing or B2B (Business to Business) marketing
Other more recent concepts have been developed: services marketing, individualized marketing, public sector marketing, promotional marketing, international marketing, business to employee (B2E) marketing, etc.
Depending on the tasks performed
- Upstream of the marketing process, is the field of studies and its decisions regarding the application, the market, and in general the customer and the ustomer and clients.
- Downstream is the area of product marketing, covering the definition of product parameters expected to meet the requirements of the previous step. Are thus concerned the design, formulation, and the placing of the product on the market (promotion, product distribution …).
Depending on the purpose, the chosen vision
- Marketing said “strategic“: The term means that marketing decisions must be taken into account at a sufficiently high level of reflection to be effectively contributory and articulated with the strategic approach of the company.
- Marketing said “operational“: Reflection and decisions concern a more “basic” level, oriented to basic decisions details (product characteristics, distribution channels …)
- Marketing said “managerial” The term emphasizes that the marketing function is able to behave as a function in its own right within the organization and that the policy of the latter recognizes and integrates without restrictions .
- “Marketing Planning“: The term highlights the need to be credible to integrate the approach of marketing action plans through the planning or programming of the organization.
Translation from Wikipedia