Marketing – College Essay Example

organization where all parts work together for everyone's benefit.Trucker emphasizes the importance of focusing on selling and creating products that people want rather than trying to sell what the producer wants.Strategy, marketing and planning are all components of an organization's overall strategy, with marketing driving the company forward.The marketing process showcases the role and activities of marketing within an organization as well as the influences on marketing strategy.Typically, marketing activities involve managing a small portion of a larger organization that has multiple products and markets.An example of a company that exemplifies this approach is Anglo-Dutch Milliner. This company includes various business units such as spreads and cooking products (e.g., Ram, Flora Pro-active) as well as prestige fragrances like Very Valentine and House of Current. All of these units have the shared purpose of effectively serving consumers in their own unique ways. Milliner has distinct strategies for each business unit and region, which include plans for 'l Can't Believe It's Not Butter' and Calvin Klein fragrances.

The marketing process for Milliner involves conducting a situation analysis, developing a marketing strategy, making decisions about the marketing mix, implementing the strategy, and monitoring and controlling its effectiveness. The situation analysis serves as the foundation for identifying opportunities to meet unfulfilled customer needs by understanding both the external environment and the firm's internal capabilities.

In this analysis, factors that affect many firms as well as those specific to our firm should be considered. It should encompass past, present, and future trends to ensure forecasting is done accurately in order to avoid investing in obsolete or unnecessary products. If gaps between consumer wants and current offerings are identified through this analysis, there

are opportunities to introduce products that better satisfy customer needs.Through aligning our firm's capabilities with customer needs in a competitive market, we can effectively respond to demand by utilizing insights from the analysis. This analysis provides a summary of problems and opportunities. To structure the situation analysis, various frameworks can be used, including the 5 C Analysis which covers company (internal factors), customers, competitors, collaborators, and climate (external factors). The PEST analysis is another framework that examines macro-environmental factors such as political, economic, societal, and technological aspects - it can be seen as the "climate" aspect within the 5 C framework. On the other hand, SWOT analysis looks at both internal and external situations by identifying strengths, weaknesses, opportunities, and threats. This helps to condense the situation analysis into a list of relevant issues and opportunities while evaluating our ability to handle them effectively. Once we have identified the most favorable opportunity to meet unmet customer needs, we can develop a strategic plan to pursue that opportunity. Market research plays a crucial role in providing specific market information which aids in selecting the target market segment and positioning our offering optimally within it. Ultimately this process leads us towards creating a value proposition for our chosen target market.The marketing strategy includes segmentation, targeting, positioning the product in the target market, and presenting a tailored value proposition. Following this, tactical decisions are made regarding controllable parameters of the marketing mix. These include specifying, designing, and producing initial units of the product under development; making pricing decisions; creating distribution contracts; and developing a promotional campaign.

Once the marketing plan is developed and the product is launched, it is

important to closely monitor results due to changing environments. Adjustments can be made to the marketing mix as needed. Changing advertising messages can address small changes in consumer wants, while more significant changes may require a product redesign or creating a new product.

Implementation does not mark the end of the marketing process; continual monitoring and adaptation are necessary for long-term customer satisfaction. The concept of market orientation has various definitions. Some see it as efficiently creating superior value for customers by implementing the marketing concept. Others view it as how an organization's management systems are designed with a market-oriented approach.From a conceptual standpoint, there are three perspectives on market orientation. The first is the behavioral perspective, which is emphasized by Becker and Homburg (1999). Kohl and Gasworks (1990) also focus on behavioral aspects and define it as the organization-wide generation of market intelligence, dissemination across departments, and responsiveness to it. This perspective emphasizes information-related behavior and has been supported by the development and testing of measurement scales with positive results from Reworks and Kohl (1993), Gasworks, and Kumar (1993). Other researchers like Eden and Dart (1994) and Attenuate-Gimp (1996) have also used this perspective.

The second perspective is the cultural perspective on market orientation. Nearer Slater (1990) define it as the organizational culture that effectively creates behaviors necessary for superior value creation for buyers and continuous superior performance for the business. This perspective highlights that a marketing-oriented company prioritizes customer needs in all aspects of its operations, focusing on developing products tailored to meet targeted customers' needs.

In summary, these perspectives provide different viewpoints on market orientation. One emphasizes behavioral aspects while the other highlights organizational culture

and customer-centric operations.A marketing orientation is focused on meeting customer needs and differentiating products from a product engineering perspective. One of the main advantages of having a marketing orientation is the ability to quickly gather information about customer preferences and respond accordingly. Customer-centric organizations invest significant time into researching and understanding the effectiveness of their offerings.

A market orientation involves aligning an individual's or organization's thinking with that of the consumer or customer. By understanding consumer needs and requirements, a market-oriented approach helps anticipate and develop new products or services that will continue to be favored by customers, surpassing competitors in the future. This ultimately builds customer relationships, promotes loyalty, and prevents customers from switching brands.

A market-oriented approach goes beyond a transactional approach where businesses simply sell without making an effort to understand the marketplace further. Such businesses are likely to either have one successful product or fail completely.

In terms of marketing orientation, there are several benefits: companies can prioritize producing products that meet customer needs, resulting in higher customer satisfaction and increased chances of repeat purchases and brand loyalty. By prioritizing customers, companies can also make adjustments over time and rely on the market for guidance on product improvements.In addition, the adoption of a marketing concept helps align all functions within a company towards meeting customer needs and clarifies employee roles. Marketers must conduct extensive research to effectively understand customer needs and communicate the advantages of their products. The production team should focus on improving products to meet customer needs, while support and service departments should be receptive to customer feedback and relay it back to the production and research teams. Prioritizing customers is essential

for company leadership, as a thorough understanding of market needs allows for more effective product marketing. Marketers dedicate time to market research in order to gain insight into customer needs and effectively communicate how their products address those needs. This familiarity with the market enables marketers to create emotionally impactful advertisements that drive business growth. Consistently understanding and meeting market demands leads to long-term profitability by converting one-time buyers into loyal customers, thereby establishing a strong customer base. Loyal customers make frequent purchases in larger quantities, are less susceptible to competition, and are willing to pay higher prices. These advantages significantly contribute to a company's viability and success as long as it maintains its marketing concept. However, there are associated costs with market orientation.
Underestimating the market can be risky for companies, as they may rely on ineffective strategies without accurate data on customer behavior. This is especially true when working with incorrect data, which often proves worse than having no data at all. Smaller companies with limited research resources or departments lacking coordination may face difficulties in establishing a successful market orientation. The risk of underestimating customers is exacerbated by the internet's influence on the global marketplace, allowing consumers to easily compare and review different brands. To effectively target these well-informed consumers, companies need a flexible approach to market orientation that can swiftly adapt to changing demands. Failing to update their market orientation strategy exposes companies to the danger of alienating customers. Market changes, such as new entrants or exits, advancements in existing products, and fluctuating costs greatly impact a company's market orientation. Neglecting these external factors puts a company at a disadvantage. In today's

economic environment, simply understanding customer wants and needs is not enough to secure a market share - branding and corporate perception have become equally significant considerations for consumers alongside price and quality. A company that solely focuses on price and service in its marketing orientation faces disadvantages.
In order to ensure an effective approach towards market orientation, it is crucial to consider all factors pertaining to corporate perception. However, targeting campaigns in a large market can be challenging and costly, as constant market research is necessary. This can result in reduced profit margins. On the other hand, not focusing on a specialized sub-market can make it difficult to meet all consumers' needs. Additionally, standing out from competition and achieving product differentiation poses its own challenges. Consumer desires can change rapidly, making it hard to keep up with their demands.

One of the main issues in marketing, particularly in professional service firms, is that acquiring superficial aspects of marketing is easy but embodying its true essence is difficult. These superficial aspects include glossy brochures, PR consultants, a new corporate identity, advertising campaigns, and sometimes even a dedicated marketing manager or assistant. The costs for these items could amount to tens or even hundreds of thousands of pounds and are likely to constitute a significant portion of most Spas' marketing budget.

However, solely investing in marketing materials alone will unlikely have a substantial impact on the success or operations of a Spa. The real essence of marketing lies in implementing a market-oriented approach that is recognized and consistently pursued by all members within the company.Achieving the essence of marketing may have a lower financial cost compared to obtaining marketing materials

mentioned earlier, but it will take more time to develop a market-oriented approach and cultivate a client-focused mindset throughout the organization. Furthermore, adopting a market-oriented approach requires significant changes in structure, culture, management philosophy, and how the company interacts with its target market. The costs associated with building a market-oriented company primarily involve professional and employee adaptation rather than financial expenses. Prioritizing change implementation and management is crucial to achieve the goal of becoming market-led in the professional service industry. This entails recognizing and addressing external actors and forces that impact customer relationships. Marketing intelligence and research are necessary for gathering information about opportunities and threats in the marketing environment, which encompasses both close actors within the company's control as well as larger societal forces beyond its control. Collaboration among all departments within the company's internal environment is essential in developing strategies that prioritize customer satisfaction and deliver superior value. Suppliers play a vital role in providing resources for goods and services, with many marketers considering them valuable partners in the value delivery system.Marketing intermediaries include resellers, physical distribution firms, marketing services agencies, and financial intermediaries. These intermediaries assist companies in promoting, selling, and distributing their products to final buyers. Customers can be classified into five different market types that purchase a company's goods and services.

Competitors are organizations that target the same market with viable alternative products or services. To succeed, companies need to gain a strategic advantage over these competitors. Publics are groups that have an interest in or impact on an organization's ability to achieve its objectives.

Companies operate within a broader macro environment influenced by various forces that create opportunities and pose threats.

Demographic factors also play a significant role as companies consider the size, density, location, age, gender, race, occupation, and other statistics related to their target market.

Marketers analyze factors like changing age and family structures, geographic population shifts, educational characteristics, and population diversity to inform their marketing strategy. The following text provides information about the seven generations in the United States and how different factors influence their lifestyle and consumption patterns:

The Seven U.S. Generations: - Baby Boomers: Around 78 million individuals born between 1946 and 1964The population is comprised of approximately 28% Baby Boomers, who earn over half of all personal income and have about 25% belonging to a racial or ethnic minority. Baby Boomers are known for their significant spending on anti-aging products and services, often delaying retirement. Generation X, consisting of around 45 million individuals born between 1965 and 1976, shares experiences such as rising divorce rates and increased employment among mothers. They were also the first generation of latchkey kids. Generation X tends to prioritize environmental concerns, be skeptical of frivolous marketing tactics, and value experiences more than material possessions.

Generation Y includes approximately 72 million individuals born between 1977 and 1994. This generation possesses a considerable amount of disposable income and is technologically savvy with computers. They have a reputation for being impatient and focused on the present. Many product lines are targeted towards Generation Y (also known as Gen Y). Over the years, there have been changes in income distribution within different economic environments.

In the 1980s, there was a frenzy of consumption while in the 1990s consumers felt financially squeezed. In the 2000s, value marketing became more prevalent. Income distributions include the

upper class, middle class, working class, and underclass categories. The natural environment refers to resources needed by marketers or affected by marketing activities.Environmental responsibility is one factor that impacts the natural environment. The technological environment, which constantly evolves and creates new opportunities, also plays a powerful role in shaping our future. However, developing practical and affordable products while adhering to safety regulations can lead to increased research costs and longer time gaps between product development and market launch.

In recent years, technology has significantly influenced marketing in various areas. Cause-related marketing efforts are driven by the political environment, while cultural influences shape a society's fundamental values, perceptions, preferences, and behaviors. Core beliefs and values are passed down from parents to children and reinforced by educational institutions, religious organizations, businesses, and government entities. On the other hand, secondary beliefs and values are more prone to change.

From an environmental management perspective, it is important to be proactive in implementing measures that influence public opinion and consider factors in the marketing environment. This can be achieved through methods such as hiring lobbyists, running "advertorials," pressing lawsuits or complaints when necessary,and forming agreements to control channels.

When segmenting consumer markets there isn't a single approach that fits all situations.To determine the most effective way of understanding market structure, marketers should experiment with different segmentation variables individually or in combination (Table 10.1). These variables used in segmenting nonuser markets include geographical, demographic, cryptographic, and behavioral factors. Geographical segmentation involves dividing the market into different geographic units such as countries, states, regions, counties, cities or neighborhoods. Companies may choose to operate in specific geographic areas or cater to different needs based on geographic

differences.

While international lifestyles are becoming more prevalent, there are opposing forces that shape markets. Cross-cultural research has identified five 'mentality fields' for cars in Europe that demonstrate how language delineates common cultures and ways of life: 1) The north (Scandinavia), 2) The north-west (UK, Iceland, parts of Norway, Belgium and the Netherlands), 3) The center (Germany, Switzerland and parts of Eastern Europe), 4) The west (French-speaking area including parts of Switzerland and Belgium), 5) The south (the Mediterranean encompassing Spanish, Portuguese, Italian and Greek languages). Each mentality field emphasizes different aspects when it comes to car buyers. Self-expression is highly valued in the south; however there are also differences between these groups.The western groups place importance on quality and practicality, while the south prioritizes affordability. In contrast, the north-western group sees their car as a highly personal item. These distinctions impact both the types of cars bought and the features they possess. Despite environmental concerns being present in all studied developed nations, each country addresses this matter differently. For instance, Italian, French, and British drivers do not view their cars as pollution sources; however, Germany is witnessing an increasing demand for eco-friendly vehicles. Additionally, there are variations in climate among these regions that result in diverse lifestyles and preferences related to food choices.