Marketing management refers to the management of all the activities related to the market. Traditionally there was no difference between selling and marketing but modern age is the age of globalization where consumers play a very important role and marketing strategies also have become very important.
Marketing is a social process by which individuals and groups obtain what they need and want. Through the grating offering and freely exchanging products and services of value with others. The marketers work hard to discover the needs and wants of customers. They try to develop products or services which would satisfy them. All the firms try to produce the products which will be demanded by satisfying customers needs and wants.
Features of marketing
Need and want
The focus of marketing is the need and want of customers all the activities in the market are carried out. With the main motive of satisfying need and want of customers and organizations.
Creating a market offering
Market offering means offering a product or service by specifying its features shape size color extra for example of a rusty we then specifying the various sizes in which it is available where is technology is used various shapes prices of different types accept a good market of a should keep in mind the satisfaction of customers.
Customer is ready to give a price for the product only when he gets satisfaction or only when product is offering utilities matching to the price customer value is the product based on satisfaction and service offered by the product market must add to the value of the product so that customers prefer your product over the competitor.
The process of marketing involves the exchange of products and services for money or Money’s worth in exchange customer pay money and in return they take product or services which satisfy their needs and wants exchange can take place directly between manufacturing and customer or through middleman exchange is the essence of marketing.
It means management of all the activities related to marketing which result in the exchange of goods and services. It involves following activities
Choosing a target market
The activities of marketing management begin by finalizing the target market for example target market for medicine manufacturer is Hospital, doctors, chemist shops etc.
Growing customers in target market
After choosing a target market the next step in the marketing process is to take steps to increase the number of customers by analyzing the needs wants and demand of customers and giving you the importance to the satisfaction of customers creating.
The next step in the marketing management process is to create some special value in the products to make your product better than the competitor’s product special values can be added by offering various schemes, for example, giving free insurance with car.
Philosophies of marketing management
Some companies believe that it is easy to sell the products and when products are inexpensive and are easily available so the forms following concept focus on lowering the cost of production using mass production and distribution but the drawback of this concept is that customers don’t always buy products which are inexpensive and available.
Main focus large-scale production to decrease the cost
Firms which follow the product concept purpose that the way to realize the business goal is by making products that are high quality these firms manufacture the products of superior quality but they must keep in mind that customers will buy the high quality only when they need or want it only quality is not in a force, for example, the form is dealing with the high-quality hair dye but the customer will demand it only when they have grey hair.
Main focus good quality and its features in a product
The forms which follow the selling concept believe that to make a customer buy a product he or she needs to be convinced and customers can be convinced by undertaking some aggressive selling and promotional efforts. With selling concept the firm can make a customer buy something even when the customer has no intention of buying it. Firms relying on selling concept make use of advertisement powers and other Persuasion techniques to influence the customers. The firm following selling concept must know that buyers cannot be manipulated many times the customer once wrongly convinced can spoil the image of the form so selling can succeed in the short run and not in the long run.
Main focus to sell whatever is produced by using intensive promotional techniques.
The Marketing concept concentrates on the need of the customers in this concept says that product should be designed and produced keeping in mind the need of customers and try to satisfy the needs better than the competitor so according to the Marketing concept the customer satisfaction is a precondition for realizing forms goals and objectives under marketing concepts forms don’t sell what they have but they produce and sell what customers want.
Main focus of marketing concept is customer satisfaction
All the Marketing concept is satisfying the needs of customers in the best possible manner but then also it is it has attracted criticism from people who are concerned about society and environment they argue that company should not blindly follow the goal of customer satisfaction this may lead to many social and environmental ills, for example, a customer may want to have drug so just to satisfy customers the form should not supply him drugs. Some products bring harmful effects environment. So this should not be supplied only to fulfill the goal of customer satisfaction the customer satisfaction must be within the ethical ecological aspects of our society.
Main focus customer satisfaction within ethical and ecological boundaries of our society
Functions of Marketing management
In the process of marketing management the marketer performs a variety of functions which are given below:
1. Gathering and analyzing market information (market research). This function helps the
Marketer to identify the needs of the customers, market research becomes the basis of product development and to conduct market research the marketer performs SWOT analysis.
While gathering information from the market the marketer focuses on the opportunities and threats in the market and uses their strength to capture and grab the opportunities and prepare policies and plans to overcome their weaknesses and threats.
Companies use internet sites, SMS facility to collect information. Some companies conduct even door to door research to gather information.
2. Market planning. After conducting marketing research, the marketer has to plan the steps necessary to achieve marketing objectives under market planning. They make a plan to increase production, plan to increase sale, plan to use promotional tools etc.
Example: Suppose a marketer on conducting research found that he has a 10% share in the market then he can make a plan
to increase his share to 3o% then plan for increasing level of production plan for promoting the product, etc.
3. Product designing and development. Every marketer offers a product or service to the customer but what product or service has to be offered must be planned. The planning part includes the decisions like what should be the quality standards used in the product, what shape or design would be used, what type of packing, how many models, how it can be made better than the competitor’s product etc. For taking all these decisions proper product planning is done by the marketer for example, if marketer is dealing with refrigerator then in product planning they decide the quality standard, size of refrigerators, color, design, technology of refrigerator, etc.
4. Standardization and grading. It means maintaining quality standards to achieve uniformity in the product. Standardization provides quality assurance and consistency to consumers. Consumers are assured about the quality of the product, packing etc. Grading means classifying the product on some basis. The basis of classification can be size, quality etc. Grading is necessary when companies are not following strictly the technique of standardization. Through grading marketer can get a higher price for a quality product. Grading is generally used in agricultural products, for example, wheat, rice, pulses, etc.
5. Packaging and labeling. The product is always supplied to the customer in the packed form.
Packaging refers to designing of packets, wrappers, cartons, etc. which are used to pack the product. Packaging plays an important role in selling as attractive packing induces the customers to buy the product that is why packing is called Silent Salesman. Labeling refers to an informative part of the packaging. Through label important information is given to customer.
6. Branding. Branding means giving a special name to the product. Companies may decide to sell the product in the company’s name or they may decide a special brand name for their products. For example, Sony, BPL, etc. are using the company’s name as brand names whereas Ariel, Tide, etc. are special brand name selected by the company. The brand name must be selected very carefully as the customer’s loyalty depends upon the brand name.
7. Customer Support services. In the present day business environment customer is the kingpin in the market. So customer satisfaction is the main moto of every businessman. So a very important function of marketing management relates to developing customer support service such as handling customer complaints, after sale services, maintenance services, consumer information, technical services, etc. Customer will become your permanent customer only when he is satisfied with customer support services.
8. Pricing of products. Price means the money which a customer has to pay to buy a product or service. It is the most crucial element of marketing as customer is highly price-sensitive; a little price variation may take your customer to competitor’s product. Marketer keeps in mind various factors such as the objective of the firm, demand competition etc.
9. Promotion and selling. After production of goods the marketer needs to offer them to customers; for this, he performs two basic functions i.e., promotion and selling. Promotion includes all the activities which are undertaken to communicate with the customer and increase the sale. For promotion marketer performs various functions such as advertising, sales promotion, personal selling, publicity, etc.
10. Physical distribution. Another important function of the marketing manager is making plans regarding the distribution of goods or services. The physical distribution includes decisions like the choice of channel of distribution, maintaining inventory, storage, warehouses, etc.
11. Transportation. The goods are not necessarily consumed at the same place where these are produced. There is a place gap between production and consumption. To cover this place gap the marketer makes use of various modes of transport so that goods can be transferred to different corners of the country. It is not only that finished goods need to be transported but raw materials and various other inputs are also transported from their place of origin to their place of Use. The marketer compares various modes of transport on various criteria and selects the best and most suitable to transport raw materials, inputs and finished goods.
12. Storage and warehousing. The goods are not consumed immediately when they are produced. There is a time gap between production and consumption. So it is necessary to keep the goods safe during this time gap as goods need to be protected from moisture, insects, rodents, thefts etc. So marketers often maintain their warehouses to store the products or they make use of Public warehouses to keep the goods safe and fresh till they are demanded in the market.
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