BASICS OF MARKETING - Marketing Management Philosophies

 Five Marketing Management philosophies

 

Marketing Management: It is the analysis, planning, implementation and control of programs designed to create, build and maintain beneficial exchanges with target buyers for the purpose of achieving organizational objectives.

 There are 5 concepts under which organizations conduct their marketing activities. These are:

 

1.            Production Concept (Manufacturing Concept) – It is one of the oldest concepts. This concept holds that the consumer will favor products that are available and highly affordable and therefore management should focus on production and distribution efficiency. The main problem with this concept is that the management may become so focused on manufacturing systems that they forget the consumer. Consumers will buy goods that are widely available and inexpensive; focus is on improving efficiency in production & distribution only.

 2.            Product Concept - This concept holds that consumers prefer existing products and product forms, and the job of management is to develop good versions of these products. This misses the point that consumers are trying to satisfy needs and might turn to entirely new/different products to better satisfy their needs, like motels instead of hotels.

 3.            Selling Concept - Consumers will not buy enough of your product if you leave them alone; focus on advertising & contact with potential customers. This concept holds that the consumers will not buy enough of the organization’s product unless the organization undertakes a large selling and promotion effort. The aim of the selling focus is to get every possible sale, not to worry about satisfaction after the sale. The selling concept does not establish a long term relationship with the customer, since the focus is on getting rid of what one has rather than creating a product to meet the needs of the market.

 4.            Marketing Concept – Marketing concept is a more recent business philosophy and one that is being rapidly adopted in the hospitality industry. This concept holds that achieving organizational goals depends on determining the needs and wants of the target markets and delivering the desired satisfaction more effectively and efficiently than the competitors. Consumers will buy your products if you identify their needs & satisfy those needs better than competitors.

 5.            Societal Marketing Concept – This is the newest concept in market. This holds that the organization could determine the needs, wants and interests of the target markets and delivered the desired satisfactions more effectively and efficiently than the competitors in a way that maintains or improves the consumer’s and society’s well being. Example – Hotel industry has been advised of many eco friendly steps that can be taken like removing waste products such as plastic, glass, and metal from the trash reducing chemical use. Some other steps which are being taken by the hospitality industry are – Energy conservation, Landscaping, Water harvesting etc.