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Marketing Concepts of marketing and benefits of adopting this approach Marketing could be defined as the creation, promotion and selling of a product or service that satisfies a researched need In the market. It also consists of the APS; which are product, promotion, price and place. Product Is essentially researching a need for some sort of product or service, and in turn creating a product/service to fill that need. ‘People’ is the researched products target audience. Price’ is the monetary/service exchanged for the product. Place is where the product is made, distributed and eventually sold to the public. It is beneficial for companies to adopt the marketing concept as this means the company will be more focused on their customer base and how they will create products that will full fill their needs; this would then lead to more customer satisfaction, customer and hopefully return business. An example of this can be seen in the case study.
Shaded could’ve have avoided problems like underestimating the customers buying schedules, and other elements that effect that, and also market search would’ve shown that there was a need for pet food for his customers various pets that he could have been selling as well. If Shall had simply contacted a marketing film early on he would have avoided; raw material problems and time consumption over sourcing these, as marketing firms will have good relationships with various producers of these which would in turn lead to a good deal on quality raw ingredients and packaging.
The marketing approach wasn’t adopted up until the sass’s, before which variations of the production, product and sales concepts were seed. Early companies at the tail end of the 19th century utilized the mass production, low cost mode; this essentially created high volumes of the product for an overall low cost due discounts given on materials due to the large size of the order. *An example of this could be the mass production of iron cast toys at the beginning of the 20th century, sass’s were made from the same moulds at large volume for smaller costs.
The early product Ideology was that If you created a product, regardless of there being a need In the market for It, or any other factors hat it would indeed sell as long as it focused on high quality and various features to make it the preferable product. The problem with this was the lack of consumer interaction, and in turn lack of consideration for there being a need in the market for the product due to their strong belief that quality sells, when in fact it is that product’s need to satisfy an existing need.
An example of this can be seen in the case study when seeing that although the Shad’s pet food was of high quality, it wasn’t good enough get sold at retail stores. In terms of the initial sales concept, companies focused heavily on selling particular existing products and In turn not taking customer need in to account. They in turn believed that customers would not buy multiple products without some sort of monetary persuasion; contradictory to this, companies noticed that products wouldn’t only sell If they were on offer.
To compensate for this they used selling techniques that revolved obtaining high sales figures for these products: this approach suited many companies whose products selling the same product successfully for over 100 years. The marketing planning process consists initially of setting goals and corporate objectives, then analyzing the current situation by conducting at Soot analysis, marketing assumptions and marketing audit.
Then the creation of a marketing strategy begins by looking at the set objectives and creating strategies to correlate with these set objectives, you then look at the predicted results and then create alternative plans. Lastly you will allocate your resources and determine the budget for the campaign and write a detailed action plan. This process can partially be seen in the case study as Shaded sets his initial objectives as he wanted to ‘provide pet owners with good quality food at a lower cost’.
He then conducted a SOOT analysis which revealed a lot of the company’s weaknesses, primarily internal conflicts between staff and poor time management which took Shaded away from solving these conflicts. A budget was also roughly made and in money was relegated to certain actions, such as the selling of his London home, which after moving to Scotland where real estate is cheaper, the difference awards setting up his company.
Shaded ultimately failed t looking at external factors that would have helped initially; such as conducting a Marketing audit which would have revealed relevant external factors that would affect his company. He could have also then used this knowledge to his benefit. The finance department must arrange funding to cover the expenses, the human resources department must be ready to hire and train staff, and so on. Without the appropriate level of organizational support and resources, no marketing plan can succeed.