Marketing is simply to create, communicate & deliver value to the targeted customer at a profit.
Explanation:
Marketing does not mean only to sell & distribute goods or services & advertise the product or service by using promotional media. Modern marketing starts from identifying customer needs & wants, that is what the customer desires in a targeted market by researching the market or creating wants for the customer.
Then communicate to the customers how a businessman/marketer fulfills those needs & wants of the customer through the proper promotional media & finally delivering the goods or services (value) through proper distribution channels. Building a strong relationship with the customer is also an important part of modern marketing by providing after-sales services, proper feedback & other such mediums.
Process of Marketing:
Marketing is done through identifying customer needs, communicating with customers & finally delivering the goods or services to customers. The detailed process of marketing is given below.
Identifying Customer Needs:
This is the first step of marketing i.e. identifying the needs & wants of customers in the targeted market — what the customer is really demanding by researching the market & then finding out how these needs can be satisfied through which product or service. Market research is an important tool in this process.
Communicating with the Customer:
This step involves communicating with the customer through a proper communication channel about how a businessman/marketer should fulfill the relevant needs & desires of the customer & what product or service he offers to fulfill those needs & desires. The communication medium which should be chosen depends upon the type of market & customer being targeted by the marketer.
Delivery of Goods & Services:
This is the third step of marketing i.e. transferring products or rendering services to customers — how one delivers his product or service to the customers & how the goods or services are easily made available within customers’ reach. This involves proper distribution channels & sales services.
Feedback:
This is the final step of modern marketing which involves taking proper feedback from customers regarding how much they are satisfied with the product or service & how that product or service can be improved further. This guides the businessman/marketer about how much he satisfies the needs & desires of customers. Providing after-sales services & other such services help in building long-term relationships with customers.
7 P’s of Marketing:
The basic ingredients used in marketing are also called the P’s of marketing which are product, price, place, promotion, people, positioning & personal relationships. All of these are discussed below in detail.
Product:
This includes what a person/businessman is selling in the market; it may be a product or service. It may also include the type of product which he is selling that is necessary for life e.g. products such as food or luxury items such as toys.
Price:
This includes the pricing strategy at which one is selling his product or service. It may be a low-cost strategy that is selling goods & services at low cost, targeting customers who are more conscious about high prices. However, on the other hand, a differentiation pricing strategy does not focus on cost; they target customers that demand unique & different features in products & are willing to pay high prices.
Place:
This includes how a person/businessman is distributing & placing his product or service in the market. The place strategy also depends upon the type of product being sold & the targeted market.
Promotion:
The promotion strategy includes how the marketer informs customers about the product or services that best satisfy their needs & desires. This includes different promotional media such as television, newspapers, internet, banners, etc. The type of promotional medium that should be selected depends upon the type of customer & market being targeted.
Positioning:
Positioning includes how one wants customers to perceive his product. What the customer thinks about his product & service after using it. It involves the quality of the product & service which one is delivering.
People:
This is an important feature for service-based organizations, and the people who are rendering the services are part of marketing. Services are mostly performed by people, so it is an important feature for service-based organizations. However, for manufacturing organizations that deal in goods, people working there are not important for customers in marketing strategy.
Personal Relationships:
Consumer relationships are an important part of modern marketing. It means how a marketer builds long-term relationships with customers by taking proper feedback, providing after-sales services & loyalty cards. It may also include involving customers in the product or service manufacturing so that it becomes more satisfying for them.
Importance of Marketing:
Marketing plays an important role not only for businesses but also in people’s daily lives & for society. It turns from a consumer push to a consumer pull strategy that involves customers in marketing to best satisfy their needs & demands. It helps society by providing a workforce in the marketing field. It is the most critical success factor for an organization in achieving its organizational objectives.
