Copywriteroffice

Serp data

Request Result

The request result help you to show your API requests results.

stdClass Object
(
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            [query] => marketing is
            [search_url] => https://www.google.com/search?q=marketing+is&oq=marketing+is&num=30&hl=en&gl=US&sourceid=chrome&ie=UTF-8
            [device] => desktop
            [hl] => en
            [gl] => US
            [search_engine] => google.com
            [number_of_results] => 5580000000
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                            [title] => marketing is the process of
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                            [title] => what is marketing in business
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                    [2] => stdClass Object
                        (
                            [title] => marketing is best defined as:
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                    [4] => stdClass Object
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                            [title] => marketing is everything and everything is marketing explain
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                        )

                    [5] => stdClass Object
                        (
                            [title] => marketing is the activity, set of institutions, and processes for creating
                            [url] => https://www.google.com/search?num=30&hl=en&gl=US&q=Marketing+is+the+activity%2C+set+of+institutions%2C+and+processes+for+creating&sa=X&ved=2ahUKEwil99_kk671AhUlrHIEHeOHAxAQ1QJ6BAguEAE
                        )

                    [6] => stdClass Object
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                            [title] => what is marketing management
                            [url] => https://www.google.com/search?num=30&hl=en&gl=US&q=What+is+marketing+management&sa=X&ved=2ahUKEwil99_kk671AhUlrHIEHeOHAxAQ1QJ6BAgoEAE
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                            [questions] => Array
                                (
                                    [0] => stdClass Object
                                        (
                                            [question] => What is the basic meaning of marketing?
                                        )

                                    [1] => stdClass Object
                                        (
                                            [question] => What are 3 Definitions of marketing?
                                        )

                                    [2] => stdClass Object
                                        (
                                            [question] => What is marketing and example?
                                        )

                                    [3] => stdClass Object
                                        (
                                            [question] => What is a market in marketing?
                                        )

                                )

                            [organic_position] => 1
                            [serp_type] => questions
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                    [1] => stdClass Object
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                            [position] => 2
                            [title] => What is Marketing? — The Definition of Marketing — AMA
                            [url] => https://www.ama.org/the-definition-of-marketing-what-is-marketing/
                            [destination] => https://www.ama.org › the-definition-of-marketing-wha...
                            [description] => The American Marketing Association provides official definitions for marketing, approved regularly by a panel of industry leaders
                            [isAmp] => 
                            [date] => by R Marketing · Cited by 6
                            [organic_position] => 2
                            [serp_type] => page
                            [isOrganicPage] => 1
                            [isOrganic] => 1
                            [serp_title] => What is Marketing? — The Definition of Marketing — AMA
                            [serp_description] => Content marketing is a technique of creating and distributing valuable, relevant and consistent content to attract and acquire a clearly defined audience—with ...
                            [hostname] => ama.org
                            [canonical] => https://www.ama.org/the-definition-of-marketing-what-is-marketing/
                            [h1] => Definitions of Marketing
                            [h2] => Array
                                (
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                                    [1] => Definition of Marketing
                                    [2] => Definition of Marketing Research
                                    [3] => Definition of Brand
                                    [4] => Types of Marketing
                                    [5] => 4 Ps of Marketing
                                    [6] => Visit the Marketing Dictionary for additional definitions
                                    [7] => Rethinking Marketing: Markus Giesler
                                    [8] => What is a Marketing Insight?
                                    [9] => 7 Big Problems in the Marketing Industry
                                )

                            [h3] => Array
                                (
                                    [0] => - -
                                    [1] => 2017 Panel
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                            [h2WithAnchors] => Array
                                (
                                    [0] => stdClass Object
                                        (
                                            [text] => What Is Marketing?
                                        )

                                    [1] => stdClass Object
                                        (
                                            [text] => Definition of Marketing
                                        )

                                    [2] => stdClass Object
                                        (
                                            [text] => Definition of Marketing Research
                                        )

                                    [3] => stdClass Object
                                        (
                                            [text] => Definition of Brand
                                        )

                                    [4] => stdClass Object
                                        (
                                            [text] => Types of Marketing
                                        )

                                    [5] => stdClass Object
                                        (
                                            [text] => 4 Ps of Marketing
                                        )

                                    [6] => stdClass Object
                                        (
                                            [text] => Visit the Marketing Dictionary for additional definitions
                                        )

                                    [7] => stdClass Object
                                        (
                                            [text] => Rethinking Marketing: Markus Giesler
                                        )

                                    [8] => stdClass Object
                                        (
                                            [text] => What is a Marketing Insight?
                                        )

                                    [9] => stdClass Object
                                        (
                                            [text] => 7 Big Problems in the Marketing Industry
                                        )

                                )

                            [modified_time] => stdClass Object
                                (
                                    [lastUpdate] => 
                                    [dateFormatted] => 30o September 2021
                                    [dateISO] => 2021-09-30T16:52:32+00:00
                                )

                            [type] => article
                            [wordCount] => 1332
                            [imgCount] => 6
                            [lang] => 
                            [faq_on_page] => Array
                                (
                                )

                            [anchors] => stdClass Object
                                (
                                    [size] => 87
                                    [outboundSize] => 41
                                    [list] => Array
                                        (
                                            [0] => stdClass Object
                                                (
                                                    [text] => Login
                                                    [href] => https://myama.force.com/services/oauth2/authorize?response_type=code&client_id=3MVG9CEn_O3jvv0w2UhdWBwPSVH0HQeYkNhAufvhjDMNkScGyF_5ncMuk0mJQWZ9vOZtfcRT0uuSlO65nJjvW&redirect_uri=https%3A%2F%2Fwww.ama.org%2Fsf%2Fredirect&state=https%3A%2F%2Fwww.ama.org%2Fthe-definition-of-marketing-what-is-marketing
                                                    [hrefDomain] => force.com
                                                    [isOutbound] => 1
                                                )

                                            [1] => stdClass Object
                                                (
                                                    [text] => Get Help
                                                    [href] => https://myama.force.com/s/
                                                    [hrefDomain] => force.com
                                                    [isOutbound] => 1
                                                )

                                            [2] => stdClass Object
                                                (
                                                    [text] => marketing research
                                                    [href] => https://journals.sagepub.com/doi/10.1177/002224299005400201
                                                    [hrefDomain] => sagepub.com
                                                    [isOutbound] => 1
                                                )

                                            [3] => stdClass Object
                                                (
                                                    [text] => influencers
                                                    [href] => https://marketing-dictionary.org/b/buying-roles#influencer
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [4] => stdClass Object
                                                (
                                                    [text] => database marketing
                                                    [href] => https://marketing-dictionary.org/d/database-marketing/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [5] => stdClass Object
                                                (
                                                    [text] => behavioral advertising
                                                    [href] => https://marketing-dictionary.org/b/behavioral-targeting/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [6] => stdClass Object
                                                (
                                                    [text] => analytics
                                                    [href] => https://marketing-dictionary.org/m/marketing-analytics/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [7] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [8] => stdClass Object
                                                (
                                                    [text] => [1]
                                                    [href] => https://marketing-dictionary.org/v/viral-marketing/#cite_note-1
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [9] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [10] => stdClass Object
                                                (
                                                    [text] => products
                                                    [href] => https://marketing-dictionary.org/product
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [11] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [12] => stdClass Object
                                                (
                                                    [text] => users
                                                    [href] => https://marketing-dictionary.org/unique-visitor
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [13] => stdClass Object
                                                (
                                                    [text] => keywords and phrases
                                                    [href] => https://marketing-dictionary.org/keyword
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [14] => stdClass Object
                                                (
                                                    [text] => [1]
                                                    [href] => https://marketing-dictionary.org/k/keyword-marketing/#cite_note-1
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [15] => stdClass Object
                                                (
                                                    [text] => ad
                                                    [href] => https://marketing-dictionary.org/advertising
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [16] => stdClass Object
                                                (
                                                    [text] => SEO
                                                    [href] => https://marketing-dictionary.org/search-engine-optimization
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [17] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [18] => stdClass Object
                                                (
                                                    [text] => inbound marketing
                                                    [href] => https://marketing-dictionary.org/i/inbound-marketing/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [19] => stdClass Object
                                                (
                                                    [text] => content marketing
                                                    [href] => https://marketing-dictionary.org/c/content-marketing/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [20] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [21] => stdClass Object
                                                (
                                                    [text] => search engines
                                                    [href] => https://marketing-dictionary.org/search-engine
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [22] => stdClass Object
                                                (
                                                    [text] => website
                                                    [href] => https://marketing-dictionary.org/website
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [23] => stdClass Object
                                                (
                                                    [text] => [2]
                                                    [href] => https://marketing-dictionary.org/s/search-engine-optimization/#cite_note-2
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [24] => stdClass Object
                                                (
                                                    [text] => audience
                                                    [href] => https://marketing-dictionary.org/audience
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [25] => stdClass Object
                                                (
                                                    [text] => customer
                                                    [href] => https://marketing-dictionary.org/customer
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [26] => stdClass Object
                                                (
                                                    [text] => service
                                                    [href] => https://marketing-dictionary.org/services
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [27] => stdClass Object
                                                (
                                                    [text] => goods
                                                    [href] => https://marketing-dictionary.org/goods
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [28] => stdClass Object
                                                (
                                                    [text] => services
                                                    [href] => https://marketing-dictionary.org/services
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [29] => stdClass Object
                                                (
                                                    [text] => customer
                                                    [href] => https://marketing-dictionary.org/customer
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [30] => stdClass Object
                                                (
                                                    [text] => product
                                                    [href] => https://marketing-dictionary.org/product
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [31] => stdClass Object
                                                (
                                                    [text] => marketing
                                                    [href] => https://marketing-dictionary.org/marketing
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [32] => stdClass Object
                                                (
                                                    [text] => products
                                                    [href] => https://marketing-dictionary.org/product
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [33] => stdClass Object
                                                (
                                                    [text] => consumers
                                                    [href] => https://marketing-dictionary.org/consumer
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [34] => stdClass Object
                                                (
                                                    [text] => 4 Ps
                                                    [href] => https://marketing-dictionary.org/marketing-mix
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [35] => stdClass Object
                                                (
                                                    [text] => coupons
                                                    [href] => https://marketing-dictionary.org/c/coupon
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [36] => stdClass Object
                                                (
                                                    [text] => sweepstakes
                                                    [href] => https://marketing-dictionary.org/s/sweepstakes/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [37] => stdClass Object
                                                (
                                                    [text] => premiums
                                                    [href] => https://marketing-dictionary.org/p/premium/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [38] => stdClass Object
                                                (
                                                    [text] => licensing
                                                    [href] => https://marketing-dictionary.org/l/licensing/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [39] => stdClass Object
                                                (
                                                    [text] => Marketing Dictionary
                                                    [href] => https://marketing-dictionary.org/
                                                    [hrefDomain] => marketing-dictionary.org
                                                    [isOutbound] => 1
                                                )

                                            [40] => stdClass Object
                                                (
                                                    [text] => privacy policy here
                                                    [href] => https://myama.force.com/s/article/American-Marketing-Association-Privacy-Policy?_ga=2.207123345.367087879.1613928983-1951994682.1582558148
                                                    [hrefDomain] => force.com
                                                    [isOutbound] => 1
                                                )

                                        )

                                )

                            [toc] => Array
                                (
                                    [0] => stdClass Object
                                        (
                                            [level] => 3
                                            [name] => - -. 
                                            [tag] => h3
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [1] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => What Is Marketing?
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [2] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Definition of Marketing. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [3] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Definition of Marketing Research. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [4] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Definition of Brand. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [5] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Types of Marketing . 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                    [0] => stdClass Object
                                                        (
                                                            [level] => 4
                                                            [name] => Influencer Marketing . 
                                                            [tag] => h4
                                                            [children] => Array
                                                                (
                                                                    [0] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Relationship Marketing . 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [1] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Viral Marketing. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [2] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Green Marketing. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [3] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Keyword Marketing. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [4] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Guerilla Marketing . 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [5] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Outbound Marketing. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [6] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Inbound Marketing . 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [7] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Search Engine Optimization. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [8] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Content Marketing. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                )

                                                        )

                                                )

                                        )

                                    [6] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => 4 Ps of Marketing. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                    [0] => stdClass Object
                                                        (
                                                            [level] => 4
                                                            [name] => Product. 
                                                            [tag] => h4
                                                            [children] => Array
                                                                (
                                                                    [0] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Price. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [1] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Place (or Distribution). 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                    [2] => stdClass Object
                                                                        (
                                                                            [level] => 4
                                                                            [name] => Promotion. 
                                                                            [tag] => h4
                                                                            [children] => Array
                                                                                (
                                                                                )

                                                                        )

                                                                )

                                                        )

                                                )

                                        )

                                    [7] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Visit the Marketing Dictionary for additional definitions.
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                    [0] => stdClass Object
                                                        (
                                                            [level] => 3
                                                            [name] => 2017 Panel . 
                                                            [tag] => h3
                                                            [children] => Array
                                                                (
                                                                )

                                                        )

                                                )

                                        )

                                    [8] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => Rethinking Marketing: Markus Giesler. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [9] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => What is a Marketing Insight?
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                    [10] => stdClass Object
                                        (
                                            [level] => 2
                                            [name] => 7 Big Problems in the Marketing Industry. 
                                            [tag] => h2
                                            [children] => Array
                                                (
                                                )

                                        )

                                )

                            [og] => stdClass Object
                                (
                                    [twitterImage] => https://www.ama.org/wp-content/uploads/2019/04/Definition-of-Marketing.jpg?fit=4608%2C3072
                                )

                            [schema_type] => Array
                                (
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                            [comment_questions] => Array
                                (
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                            [body] => Definitions of Marketing What Is Marketing? The AMA’s definitions of marketing and marketing research are reviewed and reapproved/modified every three years by a panel of five scholars who are active researchers. Definition of Marketing. Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. (Approved 2017) Definition of Marketing Research. Marketing research is the function that links the consumer, customer, and public to the marketer through information—information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process. Marketing research specifies the information required to address these issues, designs the method for collecting information, manages and implements the data collection process, analyzes the results, and communicates the findings and their implications. (Approved 2017) Definition of Brand. A brand is a name, term, design, symbol, or any other feature that identifies one seller’s goods or service as distinct from those of other sellers. ISO brand standards add that a brand “is an intangible asset” that is intended to create “distinctive images and associations in the minds of stakeholders, thereby generating economic benefit/values.” Types of Marketing . Influencer Marketing . According to the Association of National Advertisers (ANA), influencer marketing focuses on leveraging individuals who have influence over potential buyers and orienting marketing activities around these individuals to drive a brand message to the larger market. In influencer marketing, rather than marketing directly to a large group of consumers, a brand inspires or compensates influencers (which can include celebrities, content creators, customer advocates, and employees) to get the word out on their behalf. Relationship Marketing . According to the Association of National Advertisers (ANA), relationship marketing refers to strategies and tactics for segmenting consumers to build loyalty. Relationship marketing leverages database marketing, behavioral advertising and analytics to target consumers precisely and create loyalty programs.  Viral Marketing. Viral marketing is a marketing phenomenon that facilitates and encourages people to pass along a marketing message. Nicknamed “viral” because the number of people exposed to a message mimics the process of passing a virus or disease from one person to another.[1] Green Marketing. Green marketing refers to the development and marketing of products that are presumed to be environmentally safe (i.e., designed to minimize negative effects on the physical environment or to improve its quality). This term may also be used to describe efforts to produce, promote, package, and reclaim products in a manner that is sensitive or responsive to ecological concerns. Keyword Marketing. Keyword marketing involves placing a marketing message in front of users based on the specific keywords and phrases they are using to search.[1] A key advantage of this method is that it gives marketers the ability to reach the right people with the right message at the right time. For many marketers, keyword marketing results in the placement of an ad when certain keywords are entered. Note that in SEO, this term refers to achieving top placement in the search results themselves. Guerilla Marketing . Guerilla marketing describes an unconventional and creative marketing strategy intended to get maximum results from minimal resources. Outbound Marketing. Outbound marketing is a newer term for traditional marketing coined when the term inbound marketing came into popular use.  In outbound marketing, the marketer initiates contact with the customer through methods such as TV, radio and digital display advertising. It is often used to influence consumer awareness and preference for a brand.  Inbound Marketing . Inbound marketing is marketing in which customers initiate contact with the marketer in response to various methods used to gain their attention. These methods include email marketing, event marketing, content marketing and web design. One purpose of inbound marketing, which includes content marketing, is to establish the business as a source for valuable information and solutions to problems, thereby fostering customer trust and loyalty. Search Engine Optimization. Search engine optimization (SEO) is the process of developing a marketing/technical plan to improve visibility within one or more search engines. Typically, this consists of two elements. On a technical side, SEO refers to ensuring that a website can be indexed properly by the major search engines and includes the use of the proper keywords, content, code, and links. On the marketing side, SEO refers to the process of targeting specific keywords where the site should “win” in searches. This can be done by modifying a website to score well in the algorithms search engines use to determine rank, or by purchasing placement with individual keywords. Often, SEO programs are a blend of several elements and strategies. [2] Note: When SEO is used to describe an individual, it stands for search engine optimizer. Content Marketing. Content marketing is a technique of creating and distributing valuable, relevant and consistent content to attract and acquire a clearly defined audience—with the objective of driving profitable customer action. According to the Association of National Advertisers (ANA), content marketing involves various methods to tell the brand story. More and more marketers are evolving their advertising to content marketing/storytelling to create more stickiness and emotional bonding with the consumer.  4 Ps of Marketing. Product. A product is defined as a bundle of attributes (features, functions, benefits, and uses) capable of exchange or use, usually a mix of tangible and intangible forms. Thus a product may be an idea, a physical entity (goods), or a service, or any combination of the three. It exists for the purpose of exchange in the satisfaction of individual and organizational objectives. While the term “products and services” is occasionally used, product is a term that encompasses both goods and services. Price. Price is the formal ratio that indicates the quantity of money, goods, or services needed to acquire a given quantity of goods or services. It is the amount a customer must pay to acquire a product.  Place (or Distribution). Distribution refers to the act of marketing and carrying products to consumers. It is also used to describe the extent of market coverage for a given product. In the 4 Ps, distribution is represented by place or placement. Promotion. According to the Association of National Advertisers (ANA), promotion marketing includes tactics that encourage short-term purchase, influence trial and quantity of purchase, and are very measurable in volume, share and profit. Examples include coupons, sweepstakes, rebates, premiums, special packaging, cause-related marketing and licensing. Visit the Marketing Dictionary for additional definitions. 2017 Panel . Bernard Jaworski, Peter F. Drucker Chair in Management and the Liberal Arts, Claremont Graduate UniversityRichard Lutz, J.C. Penney Professor of Marketing, University of FloridaGreg W. Marshall, Charles Harwood Professor of Marketing and Strategy, Rollins CollegeLinda Price, Philip H. Knight Chair and Professor of Marketing, University of OregonRajan Varadarajan, University Distinguished Professor and Distinguished Professor of Marketing and Ford Chair in Marketing & E-Commerce, Texas A&M University Keep Reading Rethinking Marketing: Markus Giesler. What is a Marketing Insight? Marketing News 7 Big Problems in the Marketing Industry. By continuing to use this site, you accept the use of cookies, pixels and other technology that allows us to understand our users better and offer you tailored content. You can learn more about our privacy policy here Close
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                            [body] => Marketing By Alexandra Twin Full Bio Alexandra Twin has 15+ years of experience as an editor and writer, covering financial news for public and private companies. Learn about our editorial policies Updated November 10, 2021 Reviewed by Amy Drury Reviewed by Amy Drury Full Bio Amy is an ACA and the CEO and founder of OnPoint Learning, a financial training company delivering training to financial professionals. She has nearly two decades of experience in the financial industry and as a financial instructor for industry professionals and individuals. Learn about our Financial Review Board Fact checked by Ariel Courage Fact checked by Ariel Courage Full Bio Ariel Courage is an experienced editor, researcher, and fact-checker. In addition to her work with Investopedia, she has performed editing and fact-checking work for several leading finance publications, including The Motley Fool and Passport to Wall Street. Learn about our editorial policies Business Essentials Guide to Mergers and Acquisitions What Is Marketing? . Marketing refers to activities a company undertakes to promote the buying or selling of a product or service. Marketing includes advertising, selling, and delivering products to consumers or other businesses. Some marketing is done by affiliates on behalf of a company. Professionals who work in a corporation's marketing and promotion departments seek to get the attention of key potential audiences through advertising. Promotions are targeted to certain audiences and may involve celebrity endorsements, catchy phrases or slogans, memorable packaging or graphic designs and overall media exposure. Key Takeaways. Marketing refers to all activities a company does to promote and sell products or services to consumers.Marketing makes use of the "marketing mix," also known as the four Ps—product, price, place, and promotion.At its core, marketing seeks to take a product or service, identify its ideal customers, and draw the customers' attention to the product or service available. Understanding Marketing . Marketing as a discipline involves all the actions a company undertakes to draw in customers and maintain relationships with them. Networking with potential or past clients is part of the work too, and may include writing thank you emails, playing golf with prospective clients, returning calls and emails quickly, and meeting with clients for coffee or a meal. At its most basic level, marketing seeks to match a company's products and services to customers who want access to those products. Matching products to customers ultimately ensures profitability. Product, price, place, and promotion are the Four Ps of marketing. The Four Ps collectively make up the essential mix a company needs to market a product or service. Neil Borden popularized the idea of the marketing mix and the concept of the Four Ps in the 1950s. Image by Sabrina Jiang © Investopedia 2020 Product . Product refers to an item or items the business plans to offer to customers. The product should seek to fulfill an absence in the market, or fulfill consumer demand for a greater amount of a product already available. Before they can prepare an appropriate campaign, marketers need to understand what product is being sold, how it stands out from its competitors, whether the product can also be paired with a secondary product or product line, and whether there are substitute products in the market. Price . Price refers to how much the company will sell the product for. When establishing a price, companies must consider the unit cost price, marketing costs, and distribution expenses. Companies must also consider the price of competing products in the marketplace and whether their proposed price point is sufficient to represent a reasonable alternative for consumers. Place . Place refers to the distribution of the product. Key considerations include whether the company will sell the product through a physical storefront, online, or through both distribution channels. When it's sold in a storefront, what kind of physical product placement does it get? When it's sold online, what kind of digital product placement does it get? Promotion . Promotion, the fourth P, is the integrated marketing communications campaign. Promotion includes a variety of activities such as advertising, selling, sales promotions, public relations, direct marketing, sponsorship, and guerrilla marketing. Promotions vary depending on what stage of the product life cycle the product is in. Marketers understand that consumers associate a product’s price and distribution with its quality, and they take this into account when devising the overall marketing strategy. Marketing refers to any activities undertaken by a company to promote the buying or selling of a service. Special Considerations . As of 2017, approximately 62% of consumers buy items online each month. Experts expect online sales in the U.S. to increase from $587 billion in 2019 to over $735 billion by 2023. Taking these statistics into consideration, online marketing is a critical element of a complete marketing strategy. It is vital for marketers to use online tools such as social media and digital advertising, both on website and mobile device applications, and internet forums. Considering an appropriate distribution channel for products purchased online is also an important step. What Are the Goals of Marketing? An important goal of marketing is propelling a company’s growth. This can be seen through attracting and retaining new customers.  Companies may apply a number of different marketing strategies to achieve these goals. For instance, matching products with customers' needs could involve personalization, prediction, and essentially knowing the right problem to solve.  Another strategy is creating value through the customer experience. This is demonstrated through efforts to elevate customer satisfaction and remove any difficulties with the product or service. What Are the Four Ps of Marketing? A commonly used concept in the marketing field, the Four Ps of marketing looks at four key elements of a marketing strategy. The Four Ps consist of product, price, place, and promotion.  What Can Help You Succeed in Today’s Marketing Landscape? Here is a range of tips from experts in how to approach marketing in the digital age:Companies can harness data to create more relevant and personalized customer experiences. In addition, leveraging social media experiences to cultivate a stronger connection with your audience. Senior Product Manager at SAP Ratul Shah recommends talking to the customer with empathy and as a human. Meanwhile, companies can also seek to build communities around their brand, says Mandy Webb,  Marketing Director of Sitel.  Take the Next Step to Invest Advertiser Disclosure × The offers that appear in this table are from partnerships from which Investopedia receives compensation. This compensation may impact how and where listings appear. Investopedia does not include all offers available in the marketplace. Service Name Description Related Terms. What Is a Marketing Strategy? A marketing strategy is a business's general scheme for developing a customer base for the product or service the business provides. more What Is the Law of 29? The law of 29 is a strategic marketing concept that holds a potential customer needs to be exposed to a good or service 29 times before they'll buy. more Marketing Plan A marketing plan is an operational document that demonstrates how an organization is planning to use advertising and outreach to target a specific market. more The 4 Ps of Marketing The 4 Ps of marketing are the key categories involved in the marketing of a good or service. The 4 Ps refers to product, price, place, and promotion. more Marketing Mix A marketing mix includes multiple areas of focus as part of a comprehensive marketing plan. The term often refers to a common framework known as the four Ps. more Macromarketing Macromarketing is the study of the effect that marketing policies and strategies have on the economy and society as a whole. more Partner Links Related Articles. Business Essentials What Are the Primary Activities of Michael Porter's Value Chain? Forex Trading Strategy & Education Learn About Trading FX with This Beginner’s Guide to Forex Trading. Bitcoin How to Buy Bitcoin. Financial Analysis What Is Finance? Trading Skills & Essentials How to Choose an Online Stock Broker. Top Stocks Analyzing Starbucks’ Value Chain. About Us Terms of Use Dictionary Editorial Policy Advertise News Privacy Policy Contact Us Careers California Privacy Notice # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
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                            [description] => The 1990s will belong to the customer. And that is great news for the marketer. Technology is transforming choice, and choice is transforming the marketplace. As a result, we are witnessing the emergence of a new marketing paradigm—not a “do more” marketing that simply turns up the volume on the sales spiels of the past […]
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                            [body] => Marketing Is Everything The 1990s will belong to the customer. And that is great news for the marketer. Technology is transforming choice, and choice is transforming the marketplace. As a result, we are witnessing the emergence of a new marketing paradigm—not a “do more” marketing that simply turns up the volume on the sales spiels of the past […] by Regis McKenna by Regis McKenna From the Magazine (January–February 1991) Tweet Post Share Save Get PDF Buy Copies Print Tweet Post Share Save Get PDF Buy Copies Print Leer en español Ler em português The 1990s will belong to the customer. And that is great news for the marketer. Technology is transforming choice, and choice is transforming the marketplace. As a result, we are witnessing the emergence of a new marketing paradigm—not a “do more” marketing that simply turns up the volume on the sales spiels of the past but a knowledge- and experience-based marketing that represents the once-and-for-all death of the salesman. Marketing’s transformation is driven by the enormous power and ubiquitous spread of technology. So pervasive is technology today that it is virtually meaningless to make distinctions between technology and nontechnology businesses and industries: there are only technology companies. Technology has moved into products, the workplace, and the marketplace with astonishing speed and thoroughness. Seventy years after they were invented, fractional horsepower motors are in some 15 to 20 household products in the average American home today. In less than 20 years, the microprocessor has achieved a similar penetration. Twenty years ago, there were fewer than 50,000 computers in use; today more than 50,000 computers are purchased every day. The defining characteristic of this new technological push is programmability. In a computer chip, programmability means the capability to alter a command, so that one chip can perform a variety of prescribed functions and produce a variety of prescribed outcomes. On the factory floor, programmability transforms the production operation, enabling one machine to produce a wide variety of models and products. More broadly, programmability is the new corporate capability to produce more and more varieties and choices for customers—even to offer each individual customer the chance to design and implement the “program” that will yield the precise product, service, or variety that is right for him or her. The technological promise of programmability has exploded into the reality of almost unlimited choice. Take the world of drugstores and supermarkets. According to Gorman’s New Product News, which tracks new product introductions in these two consumer-products arenas, between 1985 and 1989 the number of new products grew by an astonishing 60% to an all-time annual high of 12,055. As venerable a brand as Tide illustrates this multiplication of brand variety. In 1946, Procter & Gamble introduced the laundry detergent, the first ever. For 38 years, one version of Tide served the entire market. Then, in the mid-1980s, Procter & Gamble began to bring out a succession of new Tides: Unscented Tide and Liquid Tide in 1984, Tide with Bleach in 1988, and the concentrated Ultra Tide in 1990. To some marketers, the creation of almost unlimited customer choice represents a threat—particularly when choice is accompanied by new competitors. Twenty years ago, IBM had only 20 competitors; today it faces more than 5,000, when you count any company that is in the “computer” business. Twenty years ago, there were fewer than 90 semiconductor companies; today there are almost 300 in the United States alone. And not only are the competitors new, bringing with them new products and new strategies, but the customers also are new: 90% of the people who used a computer in 1990 were not using one in 1980. These new customers don’t know about the old rules, the old understandings, or the old ways of doing business—and they don’t care. What they do care about is a company that is willing to adapt its products or services to fit their strategies. This represents the evolution of marketing to the market-driven company. Several decades ago, there were sales-driven companies. These organizations focused their energies on changing customers’ minds to fit the product—practicing the “any color as long as it’s black” school of marketing. As technology developed and competition increased, some companies shifted their approach and became customer driven. These companies expressed a new willingness to change their product to fit customers’ requests—practicing the “tell us what color you want” school of marketing. In the 1990s, successful companies are becoming market driven, adapting their products to fit their customers’ strategies. These companies will practice “let’s figure out together whether and how color matters to your larger goal” marketing. It is marketing that is oriented toward creating rather than controlling a market; it is based on developmental education, incremental improvement, and ongoing process rather than on simple market-share tactics, raw sales, and one-time events. Most important, it draws on the base of knowledge and experience that exists in the organization. These two fundamentals, knowledge-based and experience-based marketing, will increasingly define the capabilities of successful marketing organization. They will supplant the old approach to marketing and new product development. The old approach—getting an idea, conducting traditional market research, developing a product, testing the market, and finally going to market—is slow, unresponsive, and turf-ridden. Moreover, given the fast-changing marketplace, there is less and less reason to believe that this traditional approach can keep up with real customer wishes and demands or with the rigors of competition. Consider the much-publicized 1988 lawsuit that Beecham, the international consumer products group, filed against advertising giant Saatchi & Saatchi. The suit, which sought more than $24 million in damages, argued that Yankelovich Clancy Shulman, at that time Saatchi’s U.S. market-research subsidiary, had “vastly overstated” the projected market share of a new detergent that Beecham launched. Yankelovich forecast that Beecham’s product, Delicare, a cold-water detergent, would win between 45.4% and 52.3% of the U.S. market if Beecham backed it with $18 million of advertising. According to Beecham, however, Delicare’s highest market share was 25%; the product generally achieved a market share of between 15% and 20%. The lawsuit was settled out of court, with no clear winner or loser. Regardless of the outcome, however, the issue it illustrates is widespread and fundamental: forecasts, by their very nature, must be unreliable, particularly with technology, competitors, customers, and markets all shifting ground so often, so rapidly, and so radically. The alternative to this old approach is knowledge-based and experience-based marketing. Knowledge-based marketing requires a company to master a scale of knowledge: of the technology in which it competes; of its competition; of its customers; of new sources of technology that can alter its competitive environment; and of its own organization, capabilities, plans, and way of doing business. Armed with this mastery, companies can put knowledge-based marketing to work in three essential ways: integrating the customer into the design process to guarantee a product that is tailored not only to the customers’ needs and desires but also to the customers’ strategies; generating niche thinking to use the company’s knowledge of channels and markets to identify segments of the market the company can own; and developing the infrastructure of suppliers, vendors, partners, and users whose relationships will help sustain and support the company’s reputation and technological edge. The other half of this new marketing paradigm is experience-based marketing, which emphasizes interactivity, connectivity, and creativity. With this approach, companies spend time with their customers, constantly monitor their competitors, and develop a feedback-analysis system that turns this information about the market and the competition into important new product intelligence. At the same time, these companies both evaluate their own technology to assess its currency and cooperate with other companies to create mutually advantageous systems and solutions. These close encounters—with customers, competitors, and internal and external technologies—give companies the firsthand experience they need to invest in market development and to take intelligent, calculated risks. In a time of exploding choice and unpredictable change, marketing—the new marketing—is the answer. With so much choice for customers, companies face the end of loyalty. To combat that threat, they can add sales and marketing people, throwing costly resources at the market as a way to retain customers. But the real solution, of course, is not more marketing but better marketing. And that means marketing that finds a way to integrate the customer into the company, to create and sustain a relationship between the company and the customer. The marketer must be the integrator, both internally—synthesizing technological capability with market needs—and externally—bringing the customer into the company as a participant in the development and adaptation of goods and services. It is a fundamental shift in the role and purpose of marketing: from manipulation of the customer to genuine customer involvement; from telling and selling to communicating and sharing knowledge; from last-inline function to corporate-credibility champion. Playing the integrator requires the marketer to command credibility. In a marketplace characterized by rapid change and potentially paralyzing choice, credibility becomes the company’s sustaining value. The character of its management, the strength of its financials, the quality of its innovations, the congeniality of its customer references, the capabilities of its alliances—these are the measures of a company’s credibility. They are measures that, in turn, directly affect its capacity to attract quality people, generate new ideas, and form quality relationships. The relationships are the key, the basis of customer choice and company adaptation. After all, what is a successful brand but a special relationship? And who better than a company’s marketing people to create, sustain, and interpret the relationship between the company, its suppliers, and its customers? That is why, as the demands on the company have shifted from controlling costs to competing on products to serving customers, the center of gravity in the company has shifted from finance to engineering—and now to marketing. In the 1990s, marketing will do more than sell. It will define the way a company does business. The old notion of marketing was epitomized by the ritual phone call from the CEO to the corporate headhunter saying, “Find me a good marketing person to run my marketing operation!” What the CEO wanted, of course, was someone who could take on a discrete set of textbook functions that were generally associated with run-of-the-mill marketing. That person would immediately go to Madison Avenue to hire an advertising agency, change the ad campaign, redesign the company logo, redo the brochures, train the sales force, retain a high-powered public relations firm, and alter or otherwise reposition the company’s image. Behind the CEO’s call for “a good marketing person” were a number of assumptions and attitudes about marketing: that it is a distinct function in the company, separate from and usually subordinate to the core functions; that its job is to identify groups of potential customers and find ways to convince them to buy the company’s product or service; and that at the heart of it is image making—creating and projecting a false sense of the company and its offerings to lure the customer into the company’s grasp. If those assumptions ever were warranted in the past, however, all three are totally unsupportable and obsolete today. Marketing today is not a function; it is a way of doing business. Marketing is not a new ad campaign or this month’s promotion. Marketing has to be all-pervasive, part of everyone’s job description, from the receptionists to the board of directors. Its job is neither to fool the customer nor to falsify the company’s image. It is to integrate the customer into the design of the product and to design a systematic process for interaction that will create substance in the relationship. To understand the difference between the old and the new marketing, compare how two high-tech medical instrument companies recently handled similar customer telephone calls requesting the repair and replacement of their equipment. The first company—call it Gluco—delivered the replacement instrument to the customer within 24 hours of the request, no questions asked. The box in which it arrived contained instructions for sending back the broken instrument, a mailing label, and even tape to reseal the box. The phone call and the exchange of instruments were handled conveniently, professionally, and with maximum consideration for and minimum disruption to the customer. The second company—call it Pumpco—handled things quite differently. The person who took the customer’s telephone call had never been asked about repairing a piece of equipment; she thoughtlessly sent the customer into the limbo of hold. Finally, she came back on the line to say that the customer would have to pay for the equipment repair and that a temporary replacement would cost an additional $15. Several days later, the customer received the replacement with no instructions, no information, no directions. Several weeks after the customer returned the broken equipment, it reappeared, repaired but with no instructions concerning the temporary replacement. Finally, the customer got a demand letter from Pumpco, indicating that someone at Pumpco had made the mistake of not sending the equipment C.O.D. To Pumpco, marketing means selling things and collecting money; to Gluco, marketing means building relationships with its customers. The way the two companies handled two simple customer requests reflects the questions that customers increasingly ask in interactions with all kinds of businesses, from airlines to software makers: Which company is competent, responsive, and well organized? Which company do I trust to get it right? Which company would I rather do business with? Successful companies realize that marketing is like quality—integral to the organization. Like quality, marketing is an intangible that the customer must experience to appreciate. And like quality—which in the United States has developed from early ideas like planned obsolescence and inspecting quality in to more ambitious concepts like the systemization of quality in every aspect of the organization—marketing has been evolutionary. Marketing has shifted from tricking the customer to blaming the customer to satisfying the customer—and now to integrating the customer systematically. As its next move, marketing must permanently shed its reputation for hucksterism and image making and create an award for marketing much like the Malcolm Baldrige National Quality Award. In fact, companies that continue to see marketing as a bag of tricks will lose out in short order to companies that stress substance and real performance. Marketing’s ultimate assignment is to serve customers’ real needs and to communicate the substance of the company—not to introduce the kinds of cosmetics that used to typify the auto industry’s annual model changes. And because marketing in the 1990s is an expression of the company’s character, it necessarily is a responsibility that belongs to the whole company. U.S. companies typically make two kinds of mistakes. Some get caught up in the excitement and drive of making things, particularly new creations. Others become absorbed in the competition of selling things, particularly to increase their market share in a given product line. Both approaches could prove fatal to a business. The problem with the first is that it leads to an internal focus. Companies can become so fixated on pursuing their R&D agendas that they forget about the customer, the market, the competition. They end up winning recognition as R&D pioneers but lack the more important capability—sustaining their performance and, sometimes, maintaining their independence. Genentech, for example, clearly emerged as the R&D pioneer in biotechnology, only to be acquired by Roche. The problem with the second approach is that it leads to a market-share mentality, which inevitably translates into undershooting the market. A market-share mentality leads a company to think of its customers as “share points” and to use gimmicks, spiffs, and promotions to eke out a percentage-point gain. It pushes a company to look for incremental, sometimes even minuscule, growth out of existing products or to spend lavishly to launch a new product in a market where competitors enjoy a fat, dominant position. It turns marketing into an expensive fight over crumbs rather than a smart effort to own the whole pie. The real goal of marketing is to own the market—not just to make or sell products. Smart marketing means defining what whole pie is yours. It means thinking of your company, your technology, your product in a fresh way, a way that begins by defining what you can lead. Because in marketing, what you lead, you own. Leadership is ownership. When you own the market, you do different things and you do things differently, as do your suppliers and your customers. When you own the market, you develop your products to serve that market specifically; you define the standards in that market; you bring into your camp third parties who want to develop their own compatible products or offer you new features or add-ons to augment your product; you get the first look at new ideas that others are testing in that market; you attract the most talented people because of your acknowledged leadership position. Owning a market can become a self-reinforcing spiral. Because you own the market, you become the dominant force in the field; because you dominate the field, you deepen your ownership of the market. Ultimately, you deepen your relationship with your customers as well, as they attribute more and more leadership qualities to a company that exhibits such an integrated performance. To own the market, a company starts by thinking of a new way to define a market. Take, for instance, the case of Convex Computer. In 1984, Convex was looking to put a new computer on the market. Because of the existing market segmentation, Convex could have seen its only choice as competing for market share in the predefined markets: in supercomputers where Cray dominated or in minicomputers where Digital led. Determined to define a market it could own, Convex created the “mini-supercomputer” market by offering a product with a price/performance ratio between Cray’s $5 million to $15 million supercomputers and Digital’s $300,000 to $750,000 minicomputers. Convex’s product, priced between $500,000 and $800,000, offered technological performance less than that of a full supercomputer and more than that of a minicomputer. Within this new market, Convex established itself as the leader. Intel did the same thing with its microprocessor. The company defined its early products and market more as computers than semiconductors. Intel offered, in essence, a computer on a chip, creating a new category of products that it could own and lead. Sometimes owning a market means broadening it; other times, narrowing it. Apple has managed to do both in efforts to create and own a market. Apple first broadened the category of small computers to achieve a leadership position. The market definition started out as hobby computers and had many small players. The next step was the home computer—a market that was also crowded and limiting. To own a market, Apple identified the personal computer, which expanded the market concept and made Apple the undeniable market leader. In a later move, Apple did the opposite, redefining a market by narrowing its definition. Unquestionably, IBM owned the business market; for Apple, a market-share mentality in that arena would have been pointless. Instead, with technology alliances and marketing correctly defined, Apple created—and owned—a whole new market: desktop publishing. Once inside the corporate world with desktop publishing, Apple could deepen and broaden its relationships with the business customer. Paradoxically, two important outcomes of owning a market are substantial earnings, which can replenish the company’s R&D coffers, and a powerful market position, a beachhead from which a company can grow additional market share by expanding both its technological capabilities and its definition of the market. The greatest practitioners of this marketing approach are Japanese companies in industries like autos, commercial electronics, semiconductors, and computers and communications. Their primary goal is ownership of certain target markets. The keiretsu industrial structure allows them to use all of the market’s infrastructure to achieve this; relationships in technology, information, politics, and distribution help the company assert its leadership. The Japanese strategy is consistent. These companies begin by using basic research from the United States to jump-start new product development. From 1950 to 1978, for example, Japanese companies entered into 32,000 licensing arrangements to acquire foreign technology at an estimated cost of $9 billion. But the United States spent at least 50 times that much to do the original R&D. Next, these Japanese companies push out a variety of products to engage the market and to learn and then focus on dominating the market to force foreign competitors to retreat—leaving them to harvest substantial returns. These huge profits are recycled into a new spiral of R&D, innovation, market creation, and market dominance. That model of competing, which links R&D, technology, innovation, production, and finance—integrated through marketing’s drive to own a market—is the approach that all competitors will take to succeed in the 1990s. In a world of mass manufacturing, the counterpart was mass marketing. In a world of flexible manufacturing, the counterpart is flexible marketing. The technology comes first, the ability to market follows. The technology embodies adaptability, programmability, and customizability; now comes marketing that delivers on those qualities. Today technology has created the promise of “any thing, any way, any time.” Customers can have their own version of virtually any product, including one that appeals to mass identification rather than individuality, if they so desire. Think of a product or an industry where customization is not predominant. The telephone? Originally, Bell Telephone’s goal was to place a simple, all-black phone in every home. Today there are more than 1,000 permutations and combinations available, with options running the gamut from different colors and portability to answering machines and programmability—as well as services. There is the further promise of optical fiber and the convergence of computers and communications into a unified industry with even greater technological choice. How about a venerable product like the bicycle, which appeared originally as a sketch in Leonardo da Vinci’s notebooks? According to a recent article in the Washington Post, the National Bicycle Industrial Company in Kokubu, Japan builds made-to-order bicycles on an assembly line. The bicycles, fitted to each customer’s measurements, are delivered within two weeks of the order—and the company offers 11,231,862 variations on its models, at prices only 10% higher than ready-made models. Even newspapers that report on this technology-led move to customization are themselves increasingly customized. Faced with stagnant circulation, the urban daily newspapers have begun to customize their news, advertising, and even editorial and sports pages to appeal to local suburban readers. The Los Angeles Times, for example, has seven zoned editions targeting each of the city’s surrounding communities. What is at work here is the predominant mathematical formula of today’s marketing: variety plus service equals customization. For all of its bandying about as a marketing buzzword, customization is a remarkably direct concept—it is the capacity to deal with a customer in a unique way. Technology makes it increasingly possible to do that, but interestingly, marketing’s version of the laws of physics makes it increasingly difficult. According to quantum physics, things act differently at the micro level. Light is the classic example. When subjected to certain kinds of tests, light behaves like a wave, moving in much the way an ocean wave moves. But in other tests, light behaves more like a particle, moving as a single ball. So, scientists ask, is it a wave or a particle? And when is it which? Markets and customers operate like light and energy. In fact, like light, the customer is more than one thing at the same time. Sometimes consumers behave as part of a group, fitting neatly into social and psychographic classifications. Other times, the consumer breaks loose and is iconoclastic. Customers make and break patterns: the senior citizen market is filled with older people who intensely wish to act youthful, and the upscale market must contend with wealthy people who hide their money behind the most utilitarian purchases. Markets are subject to laws similar to those of quantum physics. Different markets have different levels of consumer energy, stages in the market’s development where a product surges, is absorbed, dissipates, and dies. A fad, after all, is nothing more than a wave that dissipates and then becomes a particle. Take the much-discussed Yuppie market and its association with certain branded consumer products, like BMWs. After a stage of high customer energy and close identification, the wave has broken. Having been saturated and absorbed by the marketplace, the Yuppie association has faded, just as energy does in the physical world. Sensing the change, BMW no longer sells to the Yuppie lifestyle but now focuses on the technological capabilities of its machines. And Yuppies are no longer the wave they once were; as a market, they are more like particles as they look for more individualistic and personal expressions of their consumer energy. Of course, since particles can also behave like waves again, it is likely that smart marketers will tap some new energy source, such as values, to recoalesce the young, affluent market into a wave. And technology gives marketers the tools they need, such as database marketing, to discern waves and particles and even to design programs that combine enough particles to form a powerful wave. The lesson for marketers is much the same as that voiced by Buckminster Fuller for scientists: “Don’t fight forces; use them.” Marketers who follow and use technology, rather than oppose it, will discover that it creates and leads directly to new market forms and opportunities. Take audiocassettes, tapes, and compact discs. For years, record and tape companies jealously guarded their property. Knowing that home hackers pirated tapes and created their own composite cassettes, the music companies steadfastly resisted the forces of technology—until the Personics System realized that technology was making a legitimate market for authorized, high-quality customized composite cassettes and CDs. Rather than treating the customer as a criminal, Personics saw a market. Today consumers can design personalized music tapes from the Personics System, a revved-up jukebox with a library of over 5,000 songs. For $1.10 per song, consumers tell the machine what to record. In about ten minutes, the system makes a customized tape and prints out a laser-quality label of the selections, complete with the customer’s name and a personalized title for the tape. Launched in 1988, the system has already spread to more than 250 stores. Smart marketers have, once again, allowed technology to create the customizing relationship with the customer. We are witnessing the obsolescence of advertising. In the old model of marketing, it made sense as part of the whole formula: you sell mass-produced goods to a mass market through mass media. Marketing’s job was to use advertising to deliver a message to the consumer in a one-way communication: “Buy this!” That message no longer works, and advertising is showing the effects. In 1989, newspaper advertising grew only 4%, compared with 6% in 1988 and 9% in 1987. According to a study by Syracuse University’s John Philip Jones, ad spending in the major media has been stalled at 1.5% of GNP since 1984. Ad agency staffing, research, and profitability have been affected. Three related factors explain the decline of advertising. First, advertising overkill has started to ricochet back on advertising itself. The proliferation of products has yielded a proliferation of messages: U.S. customers are hit with up to 3,000 marketing messages a day. In an effort to bombard the customer with yet one more advertisement, marketers are squeezing as many voices as they can into the space allotted to them. In 1988, for example, 38% of prime-time and 47% of weekday daytime television commercials were only 15 seconds in duration; in 1984, those figures were 6% and 11% respectively. As a result of the shift to 15-second commercials, the number of television commercials has skyrocketed; between 1984 and 1988, prime-time commercials increased by 25%, weekday daytime by 24%. Predictably, however, a greater number of voices translates into a smaller impact. Customers simply are unable to remember which advertisement pitches which product, much less what qualities or attributes might differentiate one product from another. Very simply, it’s a jumble out there. Take the enormously clever and critically acclaimed series of advertisements for Eveready batteries, featuring a tireless marching rabbit. The ad was so successful that a survey conducted by Video Storyboard Tests Inc. named it one of the top commercials in 1990—for Duracell, Eveready’s top competitor. In fact, a full 40% of those who selected the ad as an outstanding commercial attributed it to Duracell. Partly as a consequence of this confusion, reports indicate that Duracell’s market share has grown, while Eveready’s may have shrunk slightly. Batteries are not the only market in which more advertising succeeds in spreading more confusion. The same thing has happened in markets like athletic footwear and soda pop, where competing companies have signed up so many celebrity sponsors that consumers can no longer keep straight who is pitching what for whom. In 1989, for example, Coke, Diet Coke, Pepsi, and Diet Pepsi used nearly three dozen movie stars, athletes, musicians, and television personalities to tell consumers to buy more cola. But when the smoke and mirrors had cleared, most consumers couldn’t remember whether Joe Montana and Don Johnson drank Coke or Pepsi—or both. Or why it really mattered. The second development in advertising’s decline is an outgrowth of the first: as advertising has proliferated and become more obnoxiously insistent, consumers have gotten fed up. The more advertising seeks to intrude, the more people try to shut it out. Last year, Disney won the applause of commercial-weary customers when the company announced that it would not screen its films in theaters that showed commercials before the feature. A Disney executive was quoted as saying, “Movie theaters should be preserved as environments where consumers can escape from the pervasive onslaught of advertising.” Buttressing its position, the company cited survey data obtained from moviegoers, 90% of whom said they did not want commercials shown in movie theaters and 95% of whom said they did want to see previews of coming attractions. More recently, after a number of failed attempts, the U.S. Congress responded to the growing concerns of parents and educators over the commercial content of children’s television. A new law limits the number of minutes of commercials and directs the Federal Communications Commission both to examine “program-length commercials”—cartoon shows linked to commercial product lines—and to make each television station’s contribution to children’s educational needs a condition for license renewal. This concern over advertising is mirrored in a variety of arenas—from public outcry over cigarette marketing plans targeted at blacks and women to calls for more environmentally sensitive packaging and products. The underlying reason behind both of these factors is advertising’s dirty little secret: it serves no useful purpose. In today’s market, advertising simply misses the fundamental point of marketing—adaptability, flexibility, and responsiveness. The new marketing requires a feedback loop; it is this element that is missing from the monologue of advertising but that is built into the dialogue of marketing. The feedback loop, connecting company and customer, is central to the operating definition of a truly market-driven company: a company that adapts in a timely way to the changing needs of the customer. Apple is one such company. Its Macintosh computer is regarded as a machine that launched a revolution. At its birth in 1984, industry analysts received it with praise and acclaim. But in retrospect, the first Macintosh had many weaknesses: it had limited, nonexpandable memory, virtually no applications software, and a black-and-white screen. For all those deficiencies, however, the Mac had two strengths that more than compensated: it was incredibly easy to use, and it had a user group that was prepared to praise Mac publicly at its launch and to advise Apple privately on how to improve it. In other words, it had a feedback loop. It was this feedback loop that brought about change in the Mac, which ultimately became an open, adaptable, and colorful computer. And it was changing the Mac that saved it. Months before launching the Mac, Apple gave a sample of the product to 100 influential Americans to use and comment on. It signed up 100 third-party software suppliers who began to envision applications that could take advantage of the Mac’s simplicity. It trained over 4,000 dealer salespeople and gave full-day, hands-on demonstrations of the Mac to industry insiders and analysts. Apple got two benefits from this network: educated Mac supporters who could legitimately praise the product to the press and invested consumers who could tell the company what the Mac needed. The dialogue with customers and media praise were worth more than any notice advertising could buy. Apple’s approach represents the new marketing model, a shift from monologue to dialogue. It is accomplished through experience-based marketing, where companies create opportunities for customers and potential customers to sample their products and then provide feedback. It is accomplished through beta sites, where a company can install a prelaunch product and study its use and needed refinements. Experienced-based marketing allows a company to work closely with a client to change a product, to adapt the technology—recognizing that no product is perfect when it comes from engineering. This interaction was precisely the approach taken by Xerox in developing its recently announced Docutech System. Seven months before launch, Xerox established 25 beta sites. From its prelaunch customers, Xerox learned what adjustments it should make, what service and support it should supply, and what enhancements and related new products it might next introduce. The goal is adaptive marketing, marketing that stresses sensitivity, flexibility, and resiliency. Sensitivity comes from having a variety of modes and channels through which companies can read the environment, from user groups that offer live feedback to sophisticated consumer scanners that provide data on customer choice in real time. Flexibility comes from creating an organizational structure and operating style that permits the company to take advantage of new opportunities presented by customer feedback. Resiliency comes from learning from mistakes—marketing that listens and responds. The line between products and services is fast eroding. What once appeared to be a rigid polarity now has become a hybrid: the servicization of products and the productization of services. When General Motors makes more money from lending its customers money to buy its cars than it makes from manufacturing the cars, is it marketing its products or its services? When IBM announces to all the world that it is now in the systems-integration business—the customer can buy any box from any vendor and IBM will supply the systems know-how to make the whole thing work together—is it marketing its products or its services? In fact, the computer business today is 75% services; it consists overwhelmingly of applications knowledge, systems analysis, systems engineering, systems integration, networking solutions, security, and maintenance. The point applies just as well to less grandiose companies and to less expensive consumer products. Take the large corner drugstore that stocks thousands of products, from cosmetics to wristwatches. The products are for sale, but the store is actually marketing a service—the convenience of having so much variety collected and arrayed in one location. Or take any of the ordinary products found in the home, from boxes of cereal to table lamps to VCRs. All of them come with some form of information designed to perform a service: nutritional information to indicate the actual food value of the cereal to the health-conscious consumer; a United Laboratories label on the lamp as an assurance of testing; an operating manual to help the nontechnical VCR customer rig up the new unit. There is ample room to improve the quality of this information—to make it more useful, more convenient, or even more entertaining—but in almost every case, the service information is a critical component of the product. On the other side of the hybrid, service providers are acknowledging the productization of services. Service providers, such as banks, insurance companies, consulting firms, even airlines and radio stations, are creating tangible events, repetitive and predictable exercises, standard and customizable packages that are product services. A frequent-flier or a frequent-listener club is a product service, as are regular audits performed by consulting firms or new loan packages assembled by banks to respond to changing economic conditions. As products and services merge, it is critical for marketers to understand clearly what marketing the new hybrid is not. The service component is not satisfied by repairing a product if it breaks. Nor is it satisfied by an 800 number, a warranty, or a customer survey form. What customers want most from a product is often qualitative and intangible; it is the service that is integral to the product. Service is not an event; it is the process of creating a customer environment of information, assurance, and comfort. Consider an experience that by now must have become commonplace for all of us as consumers. You go to an electronics store and buy an expensive piece of audio or video equipment, say, a CD player, a VCR, or a video camera. You take it home, and a few days later, you accidentally drop it. It breaks. It won’t work. Now, as a customer, you have a decision to make. When you take it back to the store, do you say it was broken when you took it out of the box? Or do you tell the truth? The answer, honestly, depends on how you think the store will respond. But just as honestly, most customers appreciate a store that encourages them to tell the truth by making good on all customer problems. Service is, ultimately, an environment that encourages honesty. The company that adopts a “we’ll make good on it, no questions asked” policy in the face of adversity may win a customer for life. Marketers who ignore the service component of their products focus on competitive differentiation and tools to penetrate markets. Marketers who appreciate the importance of the product-service hybrid focus on building loyal customer relationships. Technology and marketing once may have looked like opposites. The cold, impersonal sameness of technology and the high-touch, human uniqueness of marketing seemed eternally at odds. Computers would only make marketing less personal; marketing could never learn to appreciate the look and feel of computers, databases, and the rest of the high-tech paraphernalia. On the grounds of cost, a truce was eventually arranged. Very simply, marketers discovered that real savings could be gained by using technology to do what previously had required expensive, intensive, and often risky, people-directed field operations. For example, marketers learned that by matching a database with a marketing plan to simulate a new product launch on a computer, they could accomplish in 90 days and for $50,000 what otherwise would take as long as a year and cost at least several hundred thousand dollars. But having moved beyond the simple automation-for-cost-saving stage, technology and marketing have now not only fused but also begun to feed back to each other. The result is the transformation of both technology and the product and the reshaping of both the customer and the company. Technology permits information to flow in both directions between the customer and the company. It creates the feedback loop that integrates the customer into the company, allows the company to own a market, permits customization, creates a dialogue, and turns a product into a service and a service into a product. The direction in which Genentech has moved in its use of laptop and hand-held computers illustrates the transforming power of technology as it merges with marketing. Originally, the biotechnology company planned to have salespeople use laptops on their sales calls as a way to automate the sales function. Sales reps, working solely out of their homes, would use laptops to get and send electronic mail, file reports on computerized “templates,” place orders, and receive company press releases and information updates. In addition, the laptops would enable sales reps to keep databases that would track customers’ buying histories and company performance. That was the initial level of expectations—very low. In fact, the technology-marketing marriage has dramatically altered the customer-company relationship and the job of the sales rep. Sales reps have emerged as marketing consultants. Armed with technical information generated and gathered by Genentech, sales reps can provide a valuable educational service to their customers, who are primarily pharmacists and physicians. For example, analysis of the largest study of children with a disease called short stature is available only through Genentech and its representatives. With this analysis, which is based on clinical studies of 6,000 patients between the ages of one month and 30 years, and with the help of an on-line “growth calculator,” doctors can better judge when to use the growth hormone Protropin. Genentech’s system also includes a general educational component. Sales reps can use their laptops to access the latest articles or technical reports from medical conferences to help doctors keep up to date. The laptops also make it possible for doctors to use sales reps as research associates: Genentech has a staff of medical specialists who can answer highly technical questions posed through an on-line question-and-answer template. When sales reps enter a question on the template, the e-mail function immediately routes it to the appropriate specialist. For relatively simple questions, on-line answers come back to the sales rep within a day. In the 1990s, Genentech’s laptop system—and the hundreds of similar applications that sprang up in the 1980s to automate sales, marketing, service, and distribution—will seem like a rather obvious and primitive way to meld technology and marketing. The marketer will have available not only existing technologies but also their converging capabilities: personal computers, databases, CD-ROMs, graphic displays, multimedia, color terminals, computer-video technology, networking, a custom processor that can be built into anything anywhere to create intelligence on a countertop or a dashboard, scanners that read text, and networks that instantaneously create and distribute vast reaches of information. As design and manufacturing technologies advance into “real time” processes, marketing will move to eliminate the gap between production and consumption. The result will be marketing workstations—the marketers’ counterpart to CAD/CAM systems for engineers and product designers. The marketing workstation will draw on graphic, video, audio, and numeric information from a network of databases. The marketer will be able to look through windows on the workstation and manipulate data, simulate markets and products, bounce concepts off others in distant cities, write production orders for product designs and packaging concepts, and obtain costs, timetables, and distribution schedules. Just as computer-comfortable children today think nothing of manipulating figures and playing fantastic games on the same color screens, marketers will use the workstation to play both designer and consumer. The workstation will allow marketers to integrate data on historic sales and cost figures, competitive trends, and consumer patterns. At the same time, marketers will be able to create and test advertisements and promotions, evaluate media options, and analyze viewer and readership data. And finally, marketers will be able to obtain instant feedback on concepts and plans and to move marketing plans rapidly into production. The marriage of technology and marketing should bring with it a renaissance of marketing R&D—a new capability to explore new ideas, to test them against the reactions of real customers in real time, and to advance to experience-based leaps of faith. It should be the vehicle for bringing the customer inside the company and for putting marketing in the center of the company. In the 1990s, the critical dimensions of the company—including all of the attributes that together define how the company does business—are ultimately the functions of marketing. That is why marketing is everyone’s job, why marketing is everything and everything is marketing. A version of this article appeared in the January–February 1991 issue of Harvard Business Review. Read more on Technology and analytics or related topics Marketing and Marketing industry RM Regis McKenna is chairman of Regis McKenna, Inc., a Palo Alto, California, marketing consulting company that advises high technology companies worldwide. 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                            [body] => Marketing From Wikipedia, the free encyclopedia Jump to navigation Jump to search Study and process of exploring, creating, and delivering value to customers For the Canadian magazine, see Marketing (magazine). For the British magazine, see Marketing (British magazine). Marketing Marketing Marketing management Key concepts Distribution Pricing Retail Service Activation Brand licensing Brand management Co-creation Dominance Effectiveness Ethics Promotion Segmentation Strategy Account-based marketing Digital marketing Product marketing Social marketing Influencer marketing Attribution Annoyance factor Horizontal integration Vertical integration Promotional content Advertising Branding Corporate anniversary Direct marketing Loyalty marketing Mobile marketing On-hold messaging Personal selling Premiums Prizes Product placement Propaganda Publicity Sales promotion Sex in advertising Underwriting spot Promotional media Behavioral targeting Brand ambassador Display advertising Drip marketing In-game advertising Mobile advertising Native advertising New media Online advertising Out-of-home advertising Point of sale Product demonstration Promotional merchandise Promotional representative Visual merchandising Web banner Word-of-mouth Research Market research Marketing research Mystery shopping vte Marketing is the process of exploring, creating, and delivering value to meet the needs of a target market in terms of goods and services;[1][2] potentially including selection of a target audience; selection of certain attributes or themes to emphasize in advertising; operation of advertising campaigns; attendance at trade shows and public events; design of products and packaging attractive to buyers; defining the terms of sale, such as price, discounts, warranty, and return policy; product placement in media or with people believed to influence the buying habits of others; agreements with retailers, wholesale distributors, or resellers; and attempts to create awareness of, loyalty to, and positive feelings about a brand. Marketing is typically done by the seller, typically a retailer or manufacturer. Sometimes tasks are contracted to a dedicated marketing firm or advertising agency. More rarely, a trade association or government agency (such as the Agricultural Marketing Service) advertises on behalf of an entire industry or locality, often a specific type of food (e.g. Got Milk?), food from a specific area, or a city or region as a tourism destination. It is one of the primary components of business management and commerce.[3] Marketers can direct their product to other businesses (B2B marketing) or directly to consumers (B2C marketing).[4] Regardless of who is being marketed to, several factors apply, including the perspective the marketers will use. Known as market orientations, they determine how marketers approach the planning stage of marketing.[5] The marketing mix, which outlines the specifics of the product and how it will be sold,[6][7] is affected by the environment surrounding the product,[8] the results of marketing research and market research,[9][10] and the characteristics of the product's target market.[11] Once these factors are determined, marketers must then decide what methods of promoting the product,[4] including use of coupons and other price inducements.[12] The term marketing, what is commonly known as attracting customers, incorporates knowledge gained by studying the management of exchange relationships[13][14] and is the business process of identifying, anticipating and satisfying customers' needs and wants. Contents. 1 Definition 2 Concept 3 B2B and B2C Marketing 3.1 B2B marketing 3.2 B2C marketing 3.3 C2B marketing 3.4 C2C marketing 3.5 Differences in B2B and B2C marketing 4 Marketing Management Orientations 5 The Marketing Mix 5.1 The 4Ps 5.1.1 Outline 5.1.2 Criticisms 5.1.3 Modifications and extensions 5.2 The 4Cs 5.2.1 Outline 6 Environment 7 Research 8 Segmentation 9 Promotional Mix 10 The Marketing Plan 10.1 Outline of The Marketing Plan 10.2 Levels of marketing objectives within an organization 11 Product life cycle 12 See also 12.1 Types of marketing 12.2 Marketing orientations or philosophies 13 References 14 Bibliography 15 External links Definition. Marketing is currently defined by the American Marketing Association (AMA) as "the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large".[2] However, the definition of marketing has evolved over the years. The AMA reviews this definition and its definition for "marketing research" every three years.[2] The interests of "society at large" were added into the definition in 2008.[15] The development of the definition may be seen by comparing the 2008 definition with the AMA's 1935 version: "Marketing is the performance of business activities that direct the flow of goods, and services from producers to consumers".[16] The newer definition highlights the increased prominence of other stakeholders in the new conception of marketing. Recent definitions of marketing place more emphasis on the consumer relationship, as opposed to a pure exchange process. For instance, prolific marketing author and educator, Philip Kotler has evolved his definition of marketing. In 1980, he defined marketing as "satisfying needs and wants through an exchange process",[17] and in 2018 defined it as "the process by which companies engage customers, build strong customer relationships, and create customer value in order to capture value from customers in return".[18] A related definition, from the sales process engineering perspective, defines marketing as "a set of processes that are interconnected and interdependent with other functions of a business aimed at achieving customer interest and satisfaction".[19] Besides, customers some definitions of marketing highlight marketing's ability to produce value to shareholders of the firm as well. In this context, marketing can be defined as "the management process that seeks to maximise returns to shareholders by developing relationships with valued customers and creating a competitive advantage".[20] For instance, the Chartered Institute of Marketing defines marketing from a customer-centric perspective, focusing on "the management process responsible for identifying, anticipating and satisfying customer requirements profitably".[21] In the past, marketing practice tended to be seen as a creative industry, which included advertising, distribution and selling, and even today many parts of the marketing process (e.g. product design, art director, brand management, advertising, inbound marketing, copywriting etc.) involve the use of the creative arts.[22] However, because marketing makes extensive use of social sciences, psychology, sociology, mathematics, economics, anthropology and neuroscience, the profession is now widely recognized as a science.[23] Marketing science has developed a concrete process that can be followed to create a marketing plan.[24] Concept. The "marketing concept" proposes that to complete its organizational objectives, an organization should anticipate the needs and wants of potential consumers and satisfy them more effectively than its competitors. This concept originated from Adam Smith's book The Wealth of Nations but would not become widely used until nearly 200 years later.[25] Marketing and Marketing Concepts are directly related. Given the centrality of customer needs, and wants in marketing, a rich understanding of these concepts is essential:[26] Needs: Something necessary for people to live a healthy, stable and safe life. When needs remain unfulfilled, there is a clear adverse outcome: a dysfunction or death. Needs can be objective and physical, such as the need for food, water, and shelter; or subjective and psychological, such as the need to belong to a family or social group and the need for self-esteem. Wants: Something that is desired, wished for or aspired to. Wants are not essential for basic survival and are often shaped by culture or peer-groups. Demands: When needs and wants are backed by the ability to pay, they have the potential to become economic demands. Marketing research, conducted for the purpose of new product development or product improvement, is often concerned with identifying the consumer's unmet needs.[27] Customer needs are central to market segmentation which is concerned with dividing markets into distinct groups of buyers on the basis of "distinct needs, characteristics, or behaviors who might require separate products or marketing mixes."[28] Needs-based segmentation (also known as benefit segmentation) "places the customers' desires at the forefront of how a company designs and markets products or services."[29] Although needs-based segmentation is difficult to do in practice, it has been proved to be one of the most effective ways to segment a market.[30][27] In addition, a great deal of advertising and promotion is designed to show how a given product's benefits meet the customer's needs, wants or expectations in a unique way.[31] B2B and B2C Marketing. The two major segments of marketing are business-to-business (B2B) marketing and business-to-consumer (B2C) marketing.[4] B2B marketing. B2B (business-to-business) marketing refers to any marketing strategy or content that is geared towards a business or organization. Any company that sells products or services to other businesses or organizations (vs. consumers) typically uses B2B marketing strategies. Examples of products sold through B2B marketing include: Major equipment Accessory equipment Raw materials Component parts Processed materials Supplies Business services[4] The four major categories of B2B product purchasers are: Producers- use products sold by B2B marketing to make their own goods (e.g.: Mattel buying plastics to make toys) Resellers- buy B2B products to sell through retail or wholesale establishments (e.g.: Walmart buying vacuums to sell in stores) Governments- buy B2B products for use in government projects (e.g.: purchasing contractor services to repair infrastructure) Institutions- use B2B products to continue operation (e.g.: schools buying printers for office use)[4] B2C marketing. Business-to-consumer marketing, or B2C marketing, refers to the tactics and strategies in which a company promotes its products and services to individual people. Traditionally, this could refer to individuals shopping for personal products in a broad sense. More recently the term B2C refers to the online selling of consumer products.[32] C2B marketing. Consumer-to-business marketing or C2B marketing is a business model where the end consumers create products and services which are consumed by businesses and organizations. It is diametrically opposed to the popular concept of B2C or Business- to- Consumer where the companies make goods and services available to the end consumers. C2C marketing. Customer to customer marketing or C2C marketing represents a market environment where one customer purchases goods from another customer using a third-party business or platform to facilitate the transaction. C2C companies are a new type of model that has emerged with e-commerce technology and the sharing economy.[33] Differences in B2B and B2C marketing. The different goals of B2B and B2C marketing lead to differences in the B2B and B2C markets. The main differences in these markets are demand, purchasing volume, number of customers, customer concentration, distribution, buying nature, buying influences, negotiations, reciprocity, leasing and promotional methods.[4] Demand: B2B demand is derived because businesses buy products based on how much demand there is for the final consumer product. Businesses buy products based on customer's wants and needs. B2C demand is primarily because customers buy products based on their own wants and needs.[4] Purchasing volume: Businesses buy products in large volumes to distribute to consumers. Consumers buy products in smaller volumes suitable for personal use.[4] Number of customers: There are relatively fewer businesses to market to than direct consumers.[4] Customer concentration: Businesses that specialize in a particular market tend to be geographically concentrated while customers that buy products from these businesses are not concentrated.[4] Distribution: B2B products pass directly from the producer of the product to the business while B2C products must additionally go through a wholesaler or retailer.[4] Buying nature: B2B purchasing is a formal process done by professional buyers and sellers, while B2C purchasing is informal.[4] Buying influences: B2B purchasing is influenced by multiple people in various departments such as quality control, accounting, and logistics while B2C marketing is only influenced by the person making the purchase and possibly a few others.[4] Negotiations: In B2B marketing, negotiating for lower prices or added benefits is commonly accepted while in B2C marketing (particularly in Western cultures) prices are fixed.[4] Reciprocity: Businesses tend to buy from businesses they sell to. For example, a business that sells printer ink is more likely to buy office chairs from a supplier that buys the business's printer ink. In B2C marketing, this does not occur because consumers are not also selling products.[4] Leasing: Businesses tend to lease expensive items while consumers tend to save up to buy expensive items.[4] Promotional methods: In B2B marketing, the most common promotional method is personal selling. B2C marketing mostly uses sales promotion, public relations, advertising, and social media.[4] Marketing Management Orientations. Main article: History of marketing § Orientations or philosophies that inform marketing practice A marketing orientation has been defined as a "philosophy of business management."[5] or "a corporate state of mind"[34] or as an "organisation[al] culture"[35] Although scholars continue to debate the precise nature of specific concepts that inform marketing practice, the most commonly cited orientations are as follows:[36] Product concept: mainly concerned with the quality of its product. It has largely been supplanted by the marketing orientation, except for haute couture and arts marketing.[37][38] Production concept: specializes in producing as much as possible of a given product or service in order to achieve economies of scale or economies of scope. It dominated marketing practice from the 1860s to the 1930s, yet can still be found in some companies or industries. Specifically, Kotler and Armstrong note that the production philosophy is "one of the oldest philosophies that guides sellers... [and] is still useful in some situations."[39] Selling concept: focuses on the selling/promotion of the firm's existing products, rather than developing new products to satisfy unmet needs or wants primarily through promotion and direct sales techniques,[40] largely for "unsought goods"[41] in industrial companies.[42] A 2011 meta analyses[43] found that the factors with the greatest impact on sales performance are a salesperson's sales related knowledge (market segments, presentation skills, conflict resolution, and products), degree of adaptiveness, role clarity, cognitive aptitude, motivation and interest in a sales role). Marketing concept: This is the most common concept used in contemporary marketing, and is a customer-centric approach based on products that suit new consumer tastes. These firm engage in extensive market research, use R&D (Research & Development), and then utilize promotion techniques.[44][45] The marketing orientation includes: Customer orientation: A firm in the market economy can survive by producing goods that people are willing and able to buy. Consequently, ascertaining consumer demand is vital for a firm's future viability and even existence as a going concern. Organizational orientation: The marketing department is of prime importance within the functional level of an organization. Information from the marketing department is used to guide the actions of a company's other departments. A marketing department could ascertain (via marketing research) that consumers desired a new type of product, or a new usage for an existing product. With this in mind, the marketing department would inform the R&D department to create a prototype of a product/service based on consumers' new desires. The production department would then start to manufacture the product. The finance department may oppose required capital expenditures since it could undermine a healthy cash flow for the organization. Societal marketing concept: Social responsibility that goes beyond satisfying customers and providing superior value embraces societal stakeholders such as employees, customers, and local communities. Companies that adopt this perspective typically practice triple bottom line reporting and publish financial, social and environmental impact reports. Sustainable marketing or green marketing is an extension of societal marketing.[46] The Marketing Mix. Main article: Marketing mix A marketing mix is a foundational tool used to guide decision making in marketing. The marketing mix represents the basic tools that marketers can use to bring their products or services to the market. They are the foundation of managerial marketing and the marketing plan typically devotes a section to the marketing mix. The 4Ps. The traditional marketing mix refers to four broad levels of marketing decision, namely: product, price, promotion, and place.[6][47] One version of the marketing mix is the 4Ps method. Outline. Product The product aspects of marketing deal with the specifications of the actual goods or services, and how it relates to the end-user's needs and wants. The product element consists of product design, new product innovation, branding, packaging, labeling. The scope of a product generally includes supporting elements such as warranties, guarantees, and support. Branding, a key aspect of the product management, refers to the various methods of communicating a brand identity for the product, brand, or company.[48] Pricing This refers to the process of setting a price for a product, including discounts. The price need not be monetary; it can simply be what is exchanged for the product or services, e.g. time, energy, or attention or any sacrifices consumers make in order to acquire a product or service. The price is the cost that a consumer pays for a product—monetary or not. Methods of setting prices are in the domain of pricing science.[49] Place (or distribution) This refers to how the product gets to the customer; the distribution channels and intermediaries such as wholesalers and retailers who enable customers to access products or services in a convenient manner. This third P has also sometimes been called Place or Placement, referring to the channel by which a product or service is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults, families, business people), etc. also referring to how the environment in which the product is sold in can affect sales.[49] Promotion This includes all aspects of marketing communications: advertising, sales promotion, including promotional education, public relations, personal selling, product placement, branded entertainment, event marketing, trade shows, and exhibitions. This fourth P is focused on providing a message to get a response from consumers. The message is designed to persuade or tell a story to create awareness.[49] Criticisms. One of the limitations of the 4Ps approach is its emphasis on an inside-out view.[50] An inside-out approach is the traditional planning approach where the organisation identifies its desired goals and objectives, which are often based around what has always been done. Marketing's task then becomes one of "selling" the organization's products and messages to the "outside" or external stakeholders.[48] In contrast, an outside-in approach first seeks to understand the needs and wants of the consumer.[51] From a model-building perspective, the 4 Ps has attracted a number of criticisms. Well-designed models should exhibit clearly defined categories that are mutually exclusive, with no overlap. Yet, the 4 Ps model has extensive overlapping problems. Several authors stress the hybrid nature of the fourth P, mentioning the presence of two important dimensions, "communication" (general and informative communications such as public relations and corporate communications) and "promotion" (persuasive communications such as advertising and direct selling). Certain marketing activities, such as personal selling, may be classified as either promotion or as part of the place (i.e., distribution) element.[52] Some pricing tactics, such as promotional pricing, can be classified as price variables or promotional variables and, therefore, also exhibit some overlap. Other important criticisms include that the marketing mix lacks a strategic framework and is, therefore, unfit to be a planning instrument, particularly when uncontrollable, external elements are an important aspect of the marketing environment.[53] Modifications and extensions. To overcome the deficiencies of the 4P model, some authors have suggested extensions or modifications to the original model. Extensions of the four P's are often included in cases such as services marketing where unique characteristics (i.e. intangibility, perishability, heterogeneity and the inseparability of production and consumption) warrant additional consideration factors. Other extensions have been found necessary for retail marketing, industrial marketing, and internet marketing include "people", "process", and "physical evidence" and are often applied in the case of services marketing[54] Other extensions have been found necessary in retail marketing, industrial marketing and internet marketing. Physical- the environment customers are in when they are marketed to People- service personnel and other customers with whom customers interact with. These people form part of the overall service experience. Process- the way in which orders are handled, customers are satisfied and the service is delivered[55] Physical Evidence- the tangible examples of marketing that the customer has encountered before buying the advertised product Productivity- the ability to provide consumers with quality product using as few resources as possible[56] The 4Cs. In response to environmental and technological changes in marketing, as well as criticisms towards the 4Ps approach, the 4Cs has emerged as a modern marketing mix model. Outline. Consumer (or Client) The consumer refers to the person or group that will acquire the product. This aspect of the model focuses on fulfilling the wants or needs of the consumer.[7] Cost Cost refers to what is exchanged in return for the product. Cost mainly consists of the monetary value of the product. Cost also refers to anything else the consumer must sacrifice to attain the product, such as time or money spent on transportation to acquire the product.[7] Convenience Like "Place" in the 4Ps model, convenience refers to where the product will be sold. This, however, not only refers to physical stores but also whether the product is available in person or online. The convenience aspect emphasizes making it as easy as possible for the consumer to attain the product, thus making them more likely to do so.[7] Communication Like "Promotion" in the 4Ps model, communication refers to how consumers find out about a product. Unlike promotion, communication not only refers to the one-way communication of advertising, but also the two-way communication available through social media.[7] Environment. Main article: Market environment The term "marketing environment" relates to all of the factors (whether internal, external, direct or indirect) that affect a firm's marketing decision-making/planning. A firm's marketing environment consists of three main areas, which are: The macro-environment (Macromarketing), over which a firm holds little control, consists of a variety of external factors that manifest on a large (or macro) scale. These include: economic, social, political and technological factors. A common method of assessing a firm's macro-environment is via a PESTLE (Political, Economic, Social, Technological, Legal, Ecological) analysis. Within a PESTLE analysis, a firm would analyze national political issues, culture and climate, key macroeconomic conditions, health and indicators (such as economic growth, inflation, unemployment, etc.), social trends/attitudes, and the nature of technology's impact on its society and the business processes within the society.[8] The micro-environment, over which a firm holds a greater amount (though not necessarily total) control, typically includes: Customers/consumers, Employees, Suppliers and the Media. In contrast to the macro-environment, an organization holds a greater (though not complete) degree of control over these factors.[8] The internal environment, which includes the factors inside of the company itself[8] A firm's internal environment consists of: Labor, Inventory, Company Policy, Logistics, Budget, and Capital Assets.[8] Research. Main article: Marketing research Marketing research is a systematic process of analyzing data that involves conducting research to support marketing activities and the statistical interpretation of data into information. This information is then used by managers to plan marketing activities, gauge the nature of a firm's marketing environment and to attain information from suppliers. A distinction should be made between marketing research and market research. Market research involves gathering information about a particular target market. As an example, a firm may conduct research in a target market, after selecting a suitable market segment. In contrast, marketing research relates to all research conducted within marketing. Market research is a subset of marketing research.[9] (Avoiding the word consumer, which shows up in both,[57] market research is about distribution, while marketing research encompasses distribution, advertising effectiveness, and salesforce effectiveness).[58] Marketing researchers use statistical methods (such as quantitative research, qualitative research, hypothesis tests, Chi-square tests, linear regression, correlation coefficients, frequency distributions, Poisson and binomial distributions, etc.) to interpret their findings and convert data into information.[59] The stages of research include: Define the problem Plan research Research Interpret data Implement findings[10] Segmentation. Main article: Market segmentation Market segmentation consists of taking the total heterogeneous market for a product and dividing it into several sub-markets or segments, each of which tends to be homogeneous in all significant aspects.[11] The process is conducted for two main purposes: better allocation of a firm's finite resources and to better serve the more diversified tastes of contemporary consumers. A firm only possesses a certain amount of resources. Thus, it must make choices (and appreciate the related costs) in servicing specific groups of consumers. Moreover, with more diversity in the tastes of modern consumers, firms are noting the benefit of servicing a multiplicity of new markets. Market segmentation can be defined in terms of the STP acronym, meaning Segment, Target, and Position. Segmentation involves the initial splitting up of consumers into persons of like needs/wants/tastes. Commonly used criteria include: Geographic (such as a country, region, city, town) Psychographic (e.g. personality traits or lifestyle traits which influence consumer behaviour) Demographic (e.g. age, gender, socio-economic class, education) Gender Income Life-Cycle (e.g. Baby Boomer, Generation X, Millennial, Generation Z) Lifestyle (e.g. tech savvy, active) Behavioural (e.g. brand loyalty, usage rate)[60] Once a segment has been identified to target, a firm must ascertain whether the segment is beneficial for them to service. The DAMP acronym is used as criteria to gauge the viability of a target market. The elements of DAMP are: Discernable – how a segment can be differentiated from other segments. Accessible – how a segment can be accessed via Marketing Communications produced by a firm Measurable – can the segment be quantified and its size determined? Profitable – can a sufficient return on investment be attained from a segment's servicing? The next step in the targeting process is the level of differentiation involved in a segment serving. Three modes of differentiation exist, which are commonly applied by firms. These are: Undifferentiated – where a company produces a like product for all of a market segment Differentiated – in which a firm produced slight modifications of a product within a segment Niche – in which an organization forges a product to satisfy a specialized target market Positioning concerns how to position a product in the minds of consumers and inform what attributes differentiate it from the competitor's products. A firm often performs this by producing a perceptual map, which denotes similar products produced in the same industry according to how consumers perceive their price and quality. From a product's placing on the map, a firm would tailor its marketing communications to meld with the product's perception among consumers and its position among competitors' offering.[61] Promotional Mix. See also: Integrated marketing communications and Promotional mix The promotional mix outlines how a company will market its product. It consists of five tools: personal selling, sales promotion, public relations, advertising and social media Personal selling involves a presentation given by a salesperson to an individual or a group of potential customers. It enables two-way communication and relationship building, and is most commonly seen in business-to-business marketing but can also be found in business-to-consumer marketing (e.g.: selling cars at a dealership).[4] Personal selling: Young female beer sellers admonish the photographer that he also has to buy some, Tireli market, Mali 1989 Sales promotion involves short-term incentives to encourage the buying of products. Examples of these incentives include free samples, contests, premiums, trade shows, giveaways, coupons, sweepstakes and games. Depending on the incentive, one or more of the other elements of the promotional mix may be used in conjunction with sales promotion to inform customers of the incentives.[4] Public relations is the use of media tools to promote and monitor for a positive view of a company or product in the public's eye. The goal is to either sustain a positive opinion or lessen or change a negative opinion. It can include interviews, speeches/presentations, corporate literature, social media, news releases and special events.[4] Advertising occurs when a firm directly pays a media channel, directly via an in-house agency[62] or via an advertising agency or media buying service, to publicize its product, service or message. Common examples of advertising media include: TV Radio Magazines Online Billboards Event sponsorship Direct mail Transit ads[4] Social media is used to facilitate two-way communication between companies and their customers. Outlets such as Facebook, Twitter, Tumblr, Pinterest, Snapchat and YouTube allow brands to start a conversation with regular and prospective customers. Viral marketing can be greatly facilitated by social media and if successful, allows key marketing messages and content in reaching a large number of target audiences within a short time frame. These platforms can also house advertising and public relations content.[4] The Marketing Plan. Main article: Marketing plan The area of marketing planning involves forging a plan for a firm's marketing activities. A marketing plan can also pertain to a specific product, as well as to an organization's overall marketing strategy. An organization's marketing planning process is derived from its overall business strategy. Thus, when top management is devising the firm's strategic direction/mission, the intended marketing activities are incorporated into this plan. Outline of The Marketing Plan. Within the overall strategic marketing plan, the stages of the process are listed as thus: Executive Summary Current marketing situation Threats and opportunities analysis Objectives and issues Marketing Strategy Action programs Budgets Control Levels of marketing objectives within an organization. As stated previously, the senior management of a firm would formulate a general business strategy for a firm. However, this general business strategy would be interpreted and implemented in different contexts throughout the firm. At the corporate level, marketing objectives are typically broad-based in nature, and pertain to the general vision of the firm in the short, medium or long-term. As an example, if one pictures a group of companies (or a conglomerate), top management may state that sales for the group should increase by 25% over a ten-year period. A strategic business unit (SBU) is a subsidiary within a firm, which participates within a given market/industry. The SBU would embrace the corporate strategy, and attune it to its own particular industry. For instance, an SBU may partake in the sports goods industry. It thus would ascertain how it would attain additional sales of sports goods, in order to satisfy the overall business strategy. The functional level relates to departments within the SBUs, such as marketing, finance, HR, production, etc. The functional level would adopt the SBU's strategy and determine how to accomplish the SBU's own objectives in its market. To use the example of the sports goods industry again, the marketing department would draw up marketing plans, strategies and communications to help the SBU achieve its marketing aims. Product life cycle. Further information: Product life-cycle management (marketing) Product lifecycle The product life cycle (PLC) is a tool used by marketing managers to gauge the progress of a product, especially relating to sales or revenue accrued over time. The PLC is based on a few key assumptions, including: A given product would possess introduction, growth, maturity, and decline stage No product lasts perpetually on the market A firm must employ differing strategies, according to where a product is on the PLC In the introduction stage, a product is launched onto the market. To stimulate the growth of sales/revenue, use of advertising may be high, in order to heighten awareness of the product in question. During the growth stage, the product's sales/revenue is increasing, which may stimulate more marketing communications to sustain sales. More entrants enter into the market, to reap the apparent high profits that the industry is producing. When the product hits maturity, its starts to level off, and an increasing number of entrants to a market produce price falls for the product. Firms may use sales promotions to raise sales. During decline, demand for a good begins to taper off, and the firm may opt to discontinue the manufacture of the product. This is so, if revenue for the product comes from efficiency savings in production, over actual sales of a good/service. However, if a product services a niche market, or is complementary to another product, it may continue the manufacture of the product, despite a low level of sales/revenue being accrued.[4] See also. Main article: Outline of marketing Account-based marketing Advertising History of advertising Online Advertising Sex in Advertising Advertising management Affinity marketing American business history B2B Marketing Brand awareness Consumer confusion Consumer behaviour Content marketing Database marketing Demand chain Digital marketing Email remarketing Family in advertising Guerrilla Marketing History of marketing Internet marketing List of marketing terms Loyalty marketing Macromarketing Marketing management Marketing mix Marketing science Marketing strategy Micromarketing Media manipulation Mobile marketing Multicultural marketing Product management Product marketing Production orientation Public Sector Marketing Real-time marketing Return on marketing investment (ROMI) Relationship marketing Search Engine Marketing Services marketing Smarketing Societal marketing Social Media Marketing Sustainable market orientation Visual marketing Viral Marketing Web marketing Word-of-mouth marketing Types of marketing. 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ISBN 978-0-415-77899-2. ^ Moutinho, Luiz (2000). Strategic Management in Tourism. New York, NY: CABI Publishing. pp. 121–166. ISBN 9780851992822. ^ Tiffany Hsu (28 October 2019). "The Advertising Industry Has a Problem: People Hate Ads". The New York Times. Bibliography. Bartels, Robert, The History of Marketing Thought, Columbus, Ohio, Grid, (1976) 1988 online Christensen, Clayton M. (1997). The innovator's dilemma: when new technologies cause great firms to fail. Boston, Massachusetts, USA: Harvard Business School Press. ISBN 978-0-87584-585-2. Church, Roy and Godley, Andrew (eds), The Emergence of Modern Marketing, London, Frank Cass, 2003 online edition Hollander, Stanley C., Rassuli, Kathleen M.; Jones, D.G. Brian; Dix and Farlow, L., "Periodization in Marketing History," Journal of Macromarketing, Vol 25, no.1, 2005, pp. 32–41. online Tedlow, Richard S., and Jones, Geoffrey G. (eds), The Rise and Fall of Mass Marketing, Routledge, 2014 Weitz, Barton A. and Robin Wensley (eds). Handbook of Marketing, 2002 External links. Wikimedia Commons has media related to Marketing. Library resources about Marketing Resources in your library The dictionary definition of marketing at Wiktionary Quotations related to marketing at Wikiquote Marketing at Wikibooks vteMedia manipulationContext Bias Crowd psychology Deception Dumbing down False balance Half-truths Machiavellianism Media Obfuscation Orwellian Persuasion Manipulation (psychology) Activism Alternative media Boycott Call-out culture Cancel culture Civil disobedience Culture jamming Demonstrations Deplatforming Guerrilla communication Hacktivism Internet Media Occupations Petitions Protests Youth Advertising Billboards False Infomercials Mobiles Modeling Radio Sex Slogans Testimonials TV Criticism of advertising Annoyance factor CensorshipMedia regulation Books Broadcast law Burying of scholars Catch and kill Corporate Cover-ups Euphemism Films Historical negationism Internet Political Religious Self Hoaxing Alternative facts April Fools' Fake news websites Fakelore Fictitious entries Forgery Gaslighting List Literary Racial Urban legend Virus Marketing Branding Loyalty Product Product placement Publicity Research Word of mouth News media Agenda-setting Broadcasting Circus Cycle False balance Infotainment Managing Narcotizing dysfunction Newspeak Pseudo-event Scrum Sensationalism Tabloid journalism Political campaigning Advertising Astroturfing Attack ad Canvassing Character assassination Dog-whistle politics Election promises Lawn signs Manifestos Name recognition Negative Push polling Smear campaign Wedge issue Propaganda Bandwagon Crowd manipulation Disinformation Fearmongering Framing Indoctrination Loaded language Lying press National mythology Rally 'round the flag effect Techniques Psychological warfare Airborne leaflets False flag Fifth column Information (IT) Lawfare Political Public diplomacy Sedition Subversion Public relations Cult of personality Doublespeak Non-apology apology Reputation management Slogans Sound bites Spin Transfer Understatement Weasel words Corporate propaganda Sales Cold calling Door-to-door Pricing Product demonstrations Promotion Promotional merchandise Telemarketing Related Influence-for-hire Media bias United States Media concentration Media democracy Media ecology Media ethics Media franchise Media influence Media proprietor Authority control General Integrated Authority File (Germany) National libraries France (data) Ukraine United States Japan Other Historical Dictionary of Switzerland Microsoft Academic National Archives (US) Retrieved from "https://en.wikipedia.org/w/index.php?title=Marketing&oldid=1064318190" Categories: Business processMarketingPromotion and marketing communicationsHidden categories: CS1 French-language sources (fr)Articles with short descriptionShort description is different from WikidataWikipedia indefinitely semi-protected pagesUse dmy dates from June 2020Use American English from March 2021All Wikipedia articles written in American EnglishCommons category link from WikidataArticles with GND identifiersArticles with BNF identifiersArticles with EMU identifiersArticles with LCCN identifiersArticles with NDL identifiersArticles with HDS identifiersArticles with MA identifiersArticles with NARA identifiers Navigation menu. 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                            [body] => What is Marketing, and What's Its Purpose? Written by Caroline Forsey @cforsey1 Dictionary.com defines marketing as, "the action or business of promoting and selling products or services, including market research and advertising." If you work in a marketing role like I do, it's probably difficult for you to define marketing even though you see and use it every day -- the term marketing is a bit all-encompassing and variable for a straightforward definition. This definition feels unhelpful. The selling part, for instance, overlaps a little too snuggly with a "what is sales" definition, and the word advertising makes me think of Mad Men brainstorming sessions. But upon digging deeper, I began seeing that actually, marketing does overlap heavily with advertising and sales. Marketing is present in all stages of the business, beginning to end. What is marketing? Marketing refers to any actions a company takes to attract an audience to the company's product or services through high-quality messaging. Marketing aims to deliver standalone value for prospects and consumers through content, with the long-term goal of demonstrating product value, strengthening brand loyalty, and ultimately increasing sales. At first, I wondered why marketing was a necessary component during product development, or a sales pitch, or retail distribution. But it makes sense when you think about it -- marketers have the firmest finger on the pulse of your consumer persona. The purpose of marketing is to research and analyze your consumers all the time, conduct focus groups, send out surveys, study online shopping habits, and ask one underlying question: "Where, when, and how does our consumer want to communicate with our business?" Here, let's explore the purposes of marketing, along with types of marketing, the 4 P's of marketing, and the difference between marketing and advertising. Whether you're a seasoned marketer looking to refresh your definitions, or a beginner looking to understand what marketing is in the first place, we've got you covered. Let's dive in.  Purpose of Marketing. Marketing is the process of getting people interested in your company's product or service. This happens through market research, analysis, and understanding your ideal customer's interests. Marketing pertains to all aspects of a business, including product development, distribution methods, sales, and advertising. Modern marketing began in the 1950s when people started to use more than just print media to endorse a product. As TV -- and soon, the internet -- entered households, marketers could conduct entire campaigns across multiple platforms. And as you might expect, over the last 70 years, marketers have become increasingly important to fine-tuning how a business sells a product to consumers to optimize success. In fact, the fundamental purpose of marketing is to attract consumers to your brand through messaging. Ideally, that messaging will helpful and educational to your target audience so you can convert consumers into leads. Today, there are literally dozens of places one can carry out a marketing campaign -- where does one do it in the 21st century? Types of Marketing. Where your marketing campaigns live depends entirely on where your customers spend their time. It's up to you to conduct market research that determines which types of marketing -- and which mix of tools within each type -- is best for building your brand. Here are several types of marketing that are relevant today, some of which have stood the test of time: Internet marketing: Inspired by an Excedrin product campaign that took place online, the very idea of having a presence on the internet for business reasons is a type of marketing in and of itself. Search engine optimization: Abbreviated "SEO," this is the process of optimizing content on a website so that it appears in search engine results. It's used by marketers to attract people who perform searches that imply they're interested in learning about a particular industry. Blog marketing: Blogs are no longer exclusive to the individual writer. Brands now publish blogs to write about their industry and nurture the interest of potential customers who browse the internet for information. Social media marketing: Businesses can use Facebook, Instagram, Twitter, LinkedIn, and similar social networks to create impressions on their audience over time. Print marketing: As newspapers and magazines get better at understanding who subscribes to their print material, businesses continue to sponsor articles, photography, and similar content in the publications their customers are reading. Search engine marketing: This type of marketing is a bit different than SEO, which is described above. Businesses can now pay a search engine to place links on pages of its index that get high exposure to their audience. (It's a concept called "pay-per-click" -- I'll show you an example of this in the next section). Video marketing: While there were once just commercials, marketers now put money into creating and publishing all kinds of videos that entertain and educate their core customers. Marketing and Advertising. If marketing is a wheel, advertising is one spoke of that wheel. Marketing entails product development, market research, product distribution, sales strategy, public relations, and customer support. Marketing is necessary in all stages of a business's selling journey, and it can use numerous platforms, social media channels, and teams within their organization to identify their audience, communicate to it, amplify its voice, and build brand loyalty over time. On the other hand, advertising is just one component of marketing. It's a strategic effort, usually paid for, to spread awareness of a product or service as a part of the more holistic goals outlined above. Put simply, it's not the only method used by marketers to sell a product. Here's an example (keep reading, there's a quiz at the end of it): Let's say a business is rolling out a brand new product and wants to create a campaign promoting that product to its customer base. This company's channels of choice are Facebook, Instagram, Google, and its company website. It uses all of these spaces to support its various campaigns every quarter and generate leads through those campaigns. To broadcast its new product launch, it publishes a downloadable product guide to its website, posts a video to Instagram demonstrating its new product, and invests in a series of sponsored search results on Google directing traffic to a new product page on its website. Now, which of the above decisions were marketing, and which were advertising? The advertising took place on Instagram and Google. Instagram generally isn't an advertising channel, but when used for branding, you can develop a base of followers that's primed for a gentle product announcement every now and again. Google was definitely used for advertising in this example; the company paid for space on Google -- a program known as pay-per-click (PPC) -- on which to drive traffic to a specific page focused on its product. A classic online ad. Where did the marketing take place? This was a bit of a trick question, as the marketing was the entire process. By aligning Instagram, Google, and its own website around a customer-focused initiative, the company ran a three-part marketing campaign that identified its audience, created a message for that audience, and delivered it across the industry to maximize its impact. The 4 Ps of Marketing. In the 1960's, E Jerome McCarthy came up with the 4 Ps of marketing: product, price, place, promotion. Essentially, these 4 Ps explain how marketing interacts with each stage of the business. Product. Let's say you come up with an idea for a product you want your business to sell. What's next? You probably won't be successful if you just start selling it. Instead, you need your marketing team to do market research and answer some critical questions: Who's your target audience? Is there market fit for this product? What messaging will increase product sales, and on which platforms? How should your product developers modify the product to increase likelihood of success? What do focus groups think of the product, and what questions or hesitations do they have? Marketers use the answers to these questions to help businesses understand the demand for the product and increase product quality by mentioning concerns stemming from focus group or survey participants. Price. Your marketing team will check out competitors' product prices, or use focus groups and surveys, to estimate how much your ideal customer is willing to pay. Price it too high, and you'll lose out on a solid customer base. Price it too low, and you might lose more money than you gain. Fortunately, marketers can use industry research and consumer analysis to gauge a good price range. Place. It's critical that your marketing department uses their understanding and analysis of your business's consumers to offer suggestions for how and where to sell your product. Perhaps they believe an ecommerce site works better than a retail location, or vice versa. Or, maybe they can offer insights into which locations would be most viable to sell your product, either nationally and internationally. Promotion. This P is likely the one you expected from the get-go: promotion entails any online or print advertisement, event, or discount your marketing team creates to increase awareness and interest in your product, and, ultimately, lead to more sales. During this stage, you'll likely see methods like public relations campaigns, advertisements, or social media promotions. Hopefully, our definition and the four Ps help you understand marketing's purpose and how to define it. Marketing intersects with all areas of a business, so it's important you understand how to use marketing to increase your business's efficiency and success. Editor's note: This post was originally published in May 2018 and has been updated for comprehensiveness.   Originally published Feb 25, 2021 7:00:00 AM, updated February 25 2021 Topics: Marketing Strategy Don't forget to share this post! Related Articles. 15 Marketing Job Titles + The Roles That Leaders Plan To Invest In Next Year . Marketing  | 8 min read The Ultimate Guide to Marketing Strategies & How to Improve Your Digital Presence . Marketing  | 13 min read How to Create a Holiday Marketing Campaign: A Step-by-Step Guide . Marketing  | 9 min read Expand Offer Social Media Content Calendar Template Get it now Get it now Download for Later.
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                                    [5] => 1450-1900: Printed Advertising
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                                    [7] => 1950-1972: Marketing is Born and Grows
                                    [8] => 1973-1994: The Digital Era Flourishes
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                            [body] => What Is Marketing? Definition, Benefits, and Strategies April 2021 Marketing is the process of getting potential clients or customers interested in your products and services. The keyword in this definition is "process." Marketing involves researching, promoting, selling, and distributing your products or services.   This discipline centers on the study of market and consumer behaviors and it analyzes the commercial management of companies in order to attract, acquire, and retain customers by satisfying their wants and needs and instilling brand loyalty.   Video player - what-is-mkt - Click to play video   Index. Definition of Marketing The 4 Ps of Marketing What Does Marketing Do for Your Business? Different Marketing Strategies The History of Marketing Cyberclick's View on Marketing   Definition of Marketing. The definition of marketing is the action or business of promoting and selling products or services, including market research and advertising. Today, marketing is something that every company and organization must implement in its growth strategy. Many companies use marketing techniques to achieve their goals without even realizing it, as they work to promote themselves and increase sales of their product or service. These days, marketing is one of the key aspects of business.    People often do not know exactly what marketing is and, when asked, they define it as selling or advertising. While these answers are not wrong, they are only a part of marketing. There are many other aspects to marketing like product distribution, promotion, designing and creating materials like landing pages and social media content, improving customer experience, doing market research, establishing market segments, and much more.   Marketing is very broad and encompasses all the strategies that help a company, brand, or individual achieve their objectives.   The 4 Ps of Marketing. According to E. J. McCarthy, the 4 Ps of Marketing are a simple formula for identifying and working with the essential elements of your marketing strategy. Product. Having a product is key and is the root of all things marketing. A product could be anything that a company offers consumers to satisfy a need. The best thing to do is to decide on your product or service based both on the needs and motivations of consumers and how the product would benefit the consumer, rather than on the object’s physical characteristics or attributes. Place. Strategic merchandising locations can be anything from an online store to a channel of physical stores across multiple towns or countries. The goal of the distribution strategy is to enable potential clients to have easy access to your products/services as well as offer a good experience throughout the purchasing process.   Price. How you price your products and services is an extremely important part of the marketing strategy. This factor affects other factors such as: The margin you hope to obtain. What target market do you want to appeal to and what purchasing power do your consumers have? Do you want to enter the luxury market or the mass market? The company's financial goals. How does the competition price their products and what possible product substitutes are there? Trends and fads. Increasing your price in order to give a better perception of quality. Promotion. This refers to all the marketing and communication that is done in order to showcase the benefits of your product or service within the market. This is how you increase sales.   What Does Marketing Do for Your Business? Marketing can help your business in countless ways but lets's take a look at a few of the most impactful ones.   1. Raising Brand Awareness. This is important because it gets people acquainted with your brand and the products or services you provide. It also makes you memorable to customers who can begin to trust your brand, become loyal clients, and tell their network about you.   2. Generating Traffic. Growing the number of visitors to your site means getting more qualified leads (lead scoring can help determine this) and ultimately increasing your sales. An effective marketing strategy will help you through this process.    3. Increasing Revenue. Every business want to increase their sales and marketing can help achieve this goal through a variety of strategies like optimizing your website and SEO, creating email campaigns, performing A/B tests to pinpoint the best strategy for you, and much more.   4. Building Trust in Your Brand. Creating a high level of trust in your brand leads to customer loyalty and repeat purchases. This not only increases revenue but also leads to great reviews both online and by word of mouth, which is still one of the most effective types of promotion.   5. Tracking Your Metrics. Metric are incredibly helpful when it comes to creating your marketing strategy. They not only drive the strategy and help track its progress, but also inform what can be adapted or adjusted to continually optimize your campaigns.    Different Marketing Strategies . Marketing is not just one single strategy, but rather a combination of many different techniques and tactics. Below we've listed some essential marketing strategies that you should know about. Click on the red links to learn more about each of these strategies.  Marketing Plan: Discover what a marketing plan is, why you need to design one, and the keys to creating a strong plan. Without a marketing plan, a company or brand can’t reach its goals. Digital Marketing: Digital marketing is the discipline of marketing which focuses on developing a strategy solely within the digital environment. Direct Marketing: Direct marketing is a type of campaign based on direct, two-way communication that seeks to trigger a result from a specific audience. Email Marketing: Email Marketing is one of the most profitable and effective techniques in terms of return. Naturally, it consists of sending emails to your audience, but make sure to define your segments well in order to be effective. Mobile Marketing: Mobile Marketing is a broad concept which brings together all marketing campaigns and actions focused exclusively on mobile platforms and applications (i.e. smartphones and tablets). Viral Marketing: Having something go viral is every company’s dream. Viral Marketing spreads from one person to the next and is capable of going incredibly far incredibly fast. Performance Marketing: Performance Marketing is a methodology which applies various marketing methods and techniques and guarantees advertisers that they only have to pay for achieved results. Inbound Marketing: This methodology focuses on creating valuable content to attract qualified web traffic and work towards the final sale.  Video player - inbound-mkt - Click to play video   Don’t forget that the most important step which is starting your own marketing strategy! If you’re looking to launch (or relaunch) a product or service, we would be happy to offer our expertise. We would be thrilled to be your partner and help you attract visits, fully optimize your campaigns, and get the best ROI!   The History of Marketing . Do you know how marketing has evolved over time?   Not too long ago, marketing mostly consisted of outbound marketing, which meant chasing potential customers with promotions without really knowing if that person was interested in purchasing. Thanks to the digital transformation and the rise of new communication channels, marketing has drastically changed over the years.   To understand how marketing has changed, let’s take a look at this timeline HubSpot has assembled showcasing the innovations of this industry.    1450-1900: Printed Advertising . 1450, Gutenberg invents the printing press. The world of books and mass copies is revolutionized. 1730, the magazine emerges as a means of communication. 1741, the first American magazine is published in Philadelphia. 1839, posters become so popular that it becomes prohibited to put them in London properties. 1920-1949: New Media. 1922, radio advertising begins. 1933, more than half of the population in the United States (55.2%) has a radio in their home.  1941, television advertising begins. The first advertisement was for Bulova watches and reached 4,000 homes that had television. 1946, more than 50% of the homes in the United States already had a telephone. 1950-1972: Marketing is Born and Grows. 1954, for the first time revenue from television advertising surpasses revenue from radio and magazine ads. Telemarketing grows as a means of contacting buyers directly.  1972, print media suffers an exhaustion of the outbound marketing formula. 1973-1994: The Digital Era Flourishes. 1973, Martin Cooper, a Motorola researcher, makes the first call through a cell phone. 1981, IBM launches its first personal computer. 1984, Apple introduces the new Macintosh.  1990-1994, major advances in 2G technology, which would lay the foundation for the future explosion of mobile TV. 1994, the first case of commercial spam through e-commerce is produced. 1995-2020: The Era of Search Engines and Social Media. 1995, the Yahoo! and Altavista search engines are born.  1995-1997, the concept of SEO is born. 1998, Google and MSN launch new search engines. 1998, the concept of blogging arises. By mid-2006, there are already 50 million blogs worldwide. 2003-2012, the era of inbound marketing begins. 2003-2004, three social networks are launched: LinkedIn, MySpace and Facebook. 2005, the first video is posted on YouTube 2006, Twitter is born. 2009, Google launches real time searches. 2010, 90% of all American households have a cell phone. Instagram is created in October 10. Young people between the ages of 13 and 24 spend 13.7 hours on the Internet, compared to 13.6 hours watching television. 2011, Snapchat is created, driving even more young users to their phones and fueling the social media app craze. 2012, there are already 54.8 million tablet users. 2014, the rise of influencer marketing begins. Users and brands alike begin to realize the power of social media users with large followings. Marketing tools for Instagram and other platforms abound 2014, for the first time ever mobile usage outweighs desktop usage. More users are checking social media, reading emails, and making purchases on their phones.  2015-2016, big data and marketing automation are explored and used more robustly to advertise to users.  2018, video marketing continues to grow, especially with Instagram’s launch of IGTV. Video content is no longer just limited to YouTube and Facebook.  2019-2020, Move over millennials! Gen Z is the new focus and they have a hot new app: TikTok.  It will be interesting to see where marketing continues to grow. With new world events, like the COVID-19 crisis of 2020 causing millions of people to stay in doors, social media and marketing trends are sure to change, and we’ll be right here to track them.    Cyberclick’s View on Marketing . Marketing is any strategy or action which can help a company achieve their goals, increase their sales and profits, and/or have  improved brand perception.   Here at Cyberclick, we live and breathe marketing and advertising; it’s in our DNA! We are experts in attracting users to our clients' websites or landing pages through marketing acquisition.   Cyberclick is a performance marketing agency. We analyze each new project we get and, if we see it as viable, we can ensure certain results according to a client’s goals. You might be thinking, “what’s so special about performance marketing?” The special thing is that a client only pays when results are achieved!   How Can We Help You? We will assess how to best optimize your digital marketing strategy and how to best distribute your budget across all channels. We keep track of everything and exceed expectations. We have an analytic vision and react in the shortest possible time. We are always testing. We guarantee the best impact by thoroughly studying each campaign and/or ad, carrying out multiple tests in order to find which factors work best, and continually optimizing your digital marketing plan. We will increase the number of users who are happy with both your company and the experience they have had with you. Thanks to technology and artificial intelligence, we continually analyze results in real time.     How can we help you with your marketing strategy?   Marketing Content What is Marketing? What it is and how it works The best marketing plan for your business What is email marketing and how do you create a marketing strategy? What is digital marketing or online marketing? What is direct marketing? Advantages and examples What is viral marketing? How it works and the benefits it holds Mobile Marketing: What is it and what advantages does it have for businesses? What is performance marketing?   Cyberclick Services SEM Social Ads Email Marketing Content Marketing Native Advertising Inbound Marketing Advertising Audit Data Science In-Company Training     Privacy Policy - Cookies Policy Cyberclick Agent S.L. - R.M Barcelona, Tomo 32.063, Folio 52, Hoja B-201.583, Inscripción 1 NIF B-62084959
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                            [body] => marketing business Alternate titles: merchandising Print print Print Please select which sections you would like to print: Cite verifiedCite While every effort has been made to follow citation style rules, there may be some discrepancies. Please refer to the appropriate style manual or other sources if you have any questions. Select Citation Style MLA APA Chicago Manual of Style Copy Citation Share Share Share to social media Facebook Twitter URL https://www.britannica.com/topic/marketing More Give Feedback External Websites Feedback Thank you for your feedback Our editors will review what you’ve submitted and determine whether to revise the article. Join Britannica's Publishing Partner Program and our community of experts to gain a global audience for your work! External Websites Queensland Government - Business Queensland - Marketing: the basics Britannica Websites Articles from Britannica Encyclopedias for elementary and high school students. marketing - Student Encyclopedia (Ages 11 and up) By Jonathan D. Hibbard | See All Contributors | Last Updated: Dec 20, 2021 | View Edit History Fast Facts 2-Min Summary marketing advertisement for hair dressing See all media Key People: Jacques Coeur Susan Wojcicki Stanley Marcus Thomas J. Watson, Sr. Charles Atlas ...(Show more) Related Topics: packaging retailing wholesaling greenwashing institutional analysis ...(Show more) See all related content → marketing, the sum of activities involved in directing the flow of goods and services from producers to consumers.Marketing’s principal function is to promote and facilitate exchange. Through marketing, individuals and groups obtain what they need and want by exchanging products and services with other parties. Such a process can occur only when there are at least two parties, each of whom has something to offer. In addition, exchange cannot occur unless the parties are able to communicate about and to deliver what they offer. Marketing is not a coercive process: all parties must be free to accept or reject what others are offering. So defined, marketing is distinguished from other modes of obtaining desired goods, such as through self-production, begging, theft, or force.Marketing is not confined to any particular type of economy, because goods must be exchanged and therefore marketed in all economies and societies except perhaps in the most primitive. Furthermore, marketing is not a function that is limited to profit-oriented business; even such public institutions as hospitals, schools, and museums engage in some forms of marketing. Within the broad scope of marketing, merchandising is concerned more specifically with promoting the sale of goods and services to consumers (i.e., retailing) and hence is more characteristic of free-market economies.Based on these criteria, marketing can take a variety of forms: it can be a set of functions, a department within an organization, a managerial process, a managerial philosophy, and a social process. The evolving discipline of marketing. The marketing discipline had its origins in the early 20th century as an offspring of economics. Economic science had neglected the role of middlemen and the role of functions other than price in the determination of demand levels and characteristics. Early marketing economists examined agricultural and industrial markets and described them in greater detail than the classical economists. This examination resulted in the development of three approaches to the analysis of marketing activity: the commodity, the institution, and the function. Commodity analysis studies the ways in which a product or product group is brought to market. A commodity analysis of milk, for example, traces the ways in which milk is collected at individual dairy farms, transported to and processed at local dairy cooperatives, and shipped to grocers and supermarkets for consumer purchase. Institutional analysis describes the types of businesses that play a prevalent role in marketing, such as wholesale or retail institutions. For instance, an institutional analysis of clothing wholesalers examines the ongoing concerns that wholesalers face in order to ensure both the correct supply for their customers and the appropriate inventory and shipping capabilities. Finally, a functional analysis examines the general tasks that marketing performs. For example, any marketing effort must ensure that the product is transported from the supplier to the customer. In some industries this transportation function may be handled by a truck, while in others it may be done by mail or e-mail, facsimile, television signal, the Internet, or airline. All these institutions perform the same function. As the study of marketing became more prevalent throughout the 20th century, large companies—particularly mass consumer manufacturers—began to recognize the importance of market research, better product design, effective distribution, and sustained communication with consumers in the success of their brands. Marketing concepts and techniques later moved into the industrial-goods sector and subsequently into the services sector. It soon became apparent that organizations and individuals market not only goods and services but also ideas (social marketing), places (location marketing), personalities (celebrity marketing), events (event marketing), and even the organizations themselves (public relations). Load Next Page
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                            [body] => What is marketing? Definition and meaning Marketing is a business term that experts have defined in dozens of different ways. In fact, even at company level people may perceive the term differently. Basically, it is a management process through which products and services move from concept to the customer. It includes identification of a product, determining demand, deciding on its price, and selecting distribution channels. It also includes developing and implementing a promotional strategy incorporating both outbound and inbound marketing. Collins Dictionary has the following definition of the term: “Marketing is the organization of the sale of a product, for example, deciding on its price, the areas it should be supplied to, and how it should be advertised.” Below is the American Marketing Association’s definition: “Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.” Marketing refers to the activities of a business related to buying and selling a product or service. It involves finding out what consumers want and determining whether it is possible to produce it at the right price. The company then makes and sells it. According to domycreatinvewritings.com, marketing covers a vast area of business, including: how you communicate the brand the design pricing market research consumer psychology measuring effectiveness At the core of marketing is an understanding of what customers need and value. A company’s long-term success depends on learning what its customers’ needs are. It then finds ways to add value through different approaches. Business-to-business marketing. This involves targeting other businesses. We also call it business-to-business or B2B marketing. It involves supplying other companies with products or services. Physical products that companies sell to other businesses are ‘industrial goods.’ Industrial goods may include raw materials for companies that make plastics, yarn for use in the textile trade. It also includes aircraft for airlines and the military. In fact, the term ‘industrial goods’ refers anything a company or organization needs and buys. We can aim marketing at businesses (B2B) or individual consumers (B2C). B2B services may include legal advice, management consultancy, tax consultancy, or training provision. IT services and the provision of temporary staff are also examples of B2B services. IT stands for Information Technology. If you’re interested in B2B Marketing, you’d need a LinkedIn account. Here’s a post on the best practices to manage multiple LinkedIn accounts. Marketing directly to consumers. We also call it B2C. The term refers to targeting the individual people who purchase products and use services. Specifically, people who bought for their own consumption. This may include FMCGs (fast-moving consumer goods) such as food, beverages, and toiletries, or durable goods. For example, cars, televisions, refrigerators and other white goods are durable goods. ‘White goods’ are major appliances that traditionally have had a white enamel surface. B2B + B2C marketing. Most large corporations have an integrated marketing approach. In other words, they focus on both individual consumers and businesses at the same time. The Coca-Cola company, for example, knows that its B2C marketing must succeed. Put simply; it has to persuade supermarkets and smaller stores – B2B – to provide shelf space. Most makers of durable goods also have an integrated marketing approach. For example, The Haier Group focuses on individual consumers (B2C). However, it also focuses on supermarkets, department stores, and other retail outlets (B2B). The Haier Group is world’s largest manufacturer of consumer electronics and home appliances. Recruitment marketing. Recruitment marketing includes all the tools and strategies that employers use to engage, attract, and eventually hire talented people. The aim is to encourage people to want to join the organization. The practice takes advantage of data analytics, omnichannel communication, social media platforms, and other digital marketing strategies. According to Adrian Cernat, CEO and co-founder of SmartDreamers: “Recruitment marketing is the process of trying to attract and hire talented people. It includes the strategies and tactics that employers use to attract, engage, and nurture talented personnel before they apply for a job.” Marketing strategy. A company’s marketing strategy should combine all its objectives into one integrated and comprehensive plan. In other words, it should not focus on one strategy at the expense of others. It should use market research data to create its strategy. The company should focus on the ideal product mix to reach the optimum profit potential. The right product mix is also crucial to sustaining the business. According to marketingstrategynow.com: “The best marketing strategy process allows you to specially target your products and services to the ideal buyers most likely to buy.” An effective and successful marketing plan depends on a good strategy. A company’s strategy should begin with the setting of objectives that will support its overall aims. It then needs to come up with a strategy that allows it to reach these objectives. According to CIM: “The strategy may involve research into product or service development, how the product or service will reach the market (channels) and how the customers will find out about it (communication).” “It will also attempt to define a unique positioning for the product or business to differentiate it from its competitors.” Fundamentally, sales and marketing are trying to achieve the same thing. In other words, they are trying to get more customers and revenues. However, they look at things slightly differently. Put simply; marketing focuses on the market, while sales focuses on the product. Sales also focuses on how to persuade consumers to like it and buy it. Some sales managers disagree with the image above, insisting that sales does continue after the sale of the product. Typical marketing divisions. There are many divisions of marketing. Not all companies have the same names for each one. Below is a list of the most common divisions (Source: London School of Economics): Advertising. Advertising involves promoting an idea or product into the marketplace by placing ads in the media. Community Involvement. The term means working with the local community. This is not only good for the company’s standing locally, and as a way of growing customer loyalty, but it is also great for morale within the firm Examples include sponsoring local events, chairing meetings, volunteering in schools or local youth centers, and belonging to local associations. Customer Service. Basically, this involves providing assistance and advice to people who purchased the product. In many business, sellers also provide this service to customers before, during, and after a sale. Good customer service produces satisfied customers. In other words, their experience meets or exceeds their expectations. If your competitors have good customer service and you don’t, you will probably lose market share to them. Direct Marketing. This approach involves delivering your message directly to consumers via leaflets, forms, fliers, catalogs, as well as street promotion. Distribution. Distribution is part of the management chain. It involves transporting one product from storage to a shop or supermarket. Market Research. Market research is the process of gathering and analyzing information. The data will make the company more aware of how people will react to its current and future products. Business owners are conducting market research all the time. When they talk to customers about their business,  they are conducting market research. Whenever somebody tries to find out what the competition is doing, they are conducting market research. Good market research can produce a wealth of data about the business’ products, customers, and the marketplace. Media Planning. Media planning is closely-related to advertising. It is an advertising strategy we employ to target consumers using a range of informational outlets. Advertising or media planning agencies usually conduct this kind of work. They find the best media outlets to reach the target market. Examples of media outlets include the internet, posters, television, radio, physical newspapers and magazines, etc. Product pricing. When setting the price, you should take into account how much something costs to produce and deliver. You should also consider how much competitors are selling it for, its quality, the brand, etc. Most product prices rarely stay the same for long. Production costs may change, salaries can rise, or competitors might suddenly offer discounts or raise their prices. You need to be aware of every factor that influences price all the time. Public Relations. “A strategic communication process that builds mutually beneficial relationships between organizations and their publics,” says the PRSA. Sales. Sales includes planning and supporting the sales team by pushing ahead with sales targets. It also involves formulating a plan as to how to reach potential and existing customers. Salespeople aim to hit those targets. One-to-One Marketing. One-to-one marketing involves communicating directly with each customer. The company then tailors the approach to each customer’s tastes and preferences. Impression Management. Impression management is the process of shaping people’s perceptions of things, other people, places and events. In marketing and sales, it means getting consumers to perceive your products or services in a good light. The Internet and marketing. With the advent of the Internet and ad-blocking software, inbound marketing has become increasingly popular. It involves using content – newsletters, blogs, podcasts, reviews, etc. – that online users like, to lure them in. In the past, company’s sales personnel used to be the experts. However, today the experts are the consumers. A term that Internet marketing specialists use all the time is the ‘bounce rate.’ The bounce rate refers to the percentage of people who leave the website after visiting a page. In other words, instead of going to another page within the same site, they leave – they bounce out. The lower the bounce rate, the better. Global Marketing refers to the planning, creating, placing, and promoting a business’ goods or services in the worldwide market. Is is a specialized skill. Executives who manage to implement an effective strategy, can take their company to the next level. During the 1960s and 1970s, many Japanese business practices emerged, which later spread across the world. In some cases, engineering and marketing overlapped. For example, Kansei Engineering is engineering that is based on human emotions. Not only do Kansei developers focus on what products can do, but also on how they make consumers feel. Marketing principles. Marketing principles are agreed-upon marketing ideas that sellers use for a successful marketing strategy. We also refer to it as the principles of marketing. Some companies follow the 4Ps Strategy of product, price, place, and promotion. We also refer to it as the 4P Marketing Mix. Others, on the other hand, may follow the 7Ps Strategy of product, place, price, promotion, people, physical environment, and process. Video – Introduction to Marketing. This video provides a very brief and easy-to-understand explanation of the basic concepts of marketing:   Share Business Science Renewable Energy Technology Artificial Intelligence Graphene 3D Printing Health Financial Glossary Contact About
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                            [body] => Defining Marketing Learn what marketing is and how to use it in your business. ••• Towfiqu Photography / Getty Images By Laura Lake Full Bio Laura Lake is a former writer for The Balance Small Business. She's a marketing professional and author of "Consumer Behavior for Dummies." Learn about our editorial policies Updated on January 04, 2021 Fact checked by Kyra Baker Fact checked by Kyra Baker Full Bio Kyra Baker is a fact-checker with nearly 10 years of experience working and assisting on editorial projects within the culture, arts, and publishing spaces. For the past eight years, she has worked as a fact-checker at Art Papers Magazine, an Atlanta, Georgia-based art magazine. Kyra has also fact-checked and edited for The Rosarium Publishing, the publishers of the science fiction anthology, "Mothership: Tales from Afrofuturism and Beyond." Learn about our editorial policies The key to successful marketing is finding the right marketing strategy—including your message, timing, and method of communication—to reach and influence your consumers. Defining Marketing . Marketing is the process of teaching consumers why they should choose your product or service over those of your competitors, and is a form of persuasive communication. It is made up of every process involved in moving a product or service from your business to the consumer. Marketing includes creating the product or service concept, identifying who is likely to purchase it, promoting it, and moving it through the appropriate selling channels. There are three primary purposes of marketing: Capturing the attention of your target market Persuading a consumer to purchase your product Providing the customer with a specific, low-risk action that is easy to take If the objective of your business is to sell more products or services, then marketing is what helps you achieve that goal. Anything that you use to communicate with your customers in a way that persuades them to buy your products or services is marketing, including advertising, social media, coupons, sales, and even how products are displayed. Four Stages of Marketing . Companies must go through multiple stages of marketing to ensure their products or services are ready for selling. Ideation: Marketing starts when you develop an idea for a product or service. Before launching a product or services, you must decide what you are selling, how many options are available, and how it will be packaged and presented to consumers. Research and testing: Before you can take your idea public, you should perform marketing research and testing. Marketing departments usually test new product concepts with focus groups and surveys to gauge consumer interest, refine product ideas, and determine what price to set. Researching your competitors can help you set an optimal price and generate ideas for positioning your brand in an existing market. Advertising: The information you gather in your research will help you define your marketing strategy and create an advertising campaign. Campaigns can include different forms of media, events, direct advertising, paid partnerships, public relations, and more. Before beginning an advertising campaign, set concrete benchmarks that you can use to measure how effective that advertising campaign is. Selling: Determine where and how you plan to sell to customers. Consumer product companies, for example, sell to wholesalers who then sell to retailers. In the industrial market, the buying process is longer and involves more decision-makers. You may sell locally, nationally, or even internationally, and some companies only sell their products or services online. Your distribution and sales channels impact who buys your products, when they buy them, and how they buy them. The Balance The Four Ps Model of Marketing . The four stages of marketing can also be mapped onto another popular marketing model known as the Four Ps of marketing. The four Ps in this model are product, price, promotion, and place. Product: The procedures you have in place to ensure that your products are ready for selling. Your product (or service) should fill a gap in the market, meet the needs of customers, and stand out from the competition. Price: The cost of purchase, including both the sticker price as well as less quantifiable trade-offs that a customer must be willing to make when they purchase your products. Promotion: The information you give consumers through targeted advertising to generate interest in your products. Promotions usually have one of two purposes: generate leads or initiate actual purchases. Place: Refers to how and where products are sold. All distribution decisions are part of your overall marketing process. Types of Advertising  . There are many kinds of advertising that you can use to promote your business, teach customers about your products, and generate sales. Print, radio, and television campaigns are types of advertising, as are direct mail, email, and internet marketing. If you have a website, it should be optimized for search to help customers find it through search engines like Google, Yahoo!, and Bing. Newsletters, press releases, and articles are also forms of marketing used to capture leads and generate sales. Some companies also use referral marketing, where satisfied customers refer others (often for a reward) to increase business. The rise of social media platforms has increased the importance of social media marketing, including connecting with customers on social media by persuading them to follow your business, partnering with social media influencers through product placement or paid sponsorships, and paying for advertising on platforms like Facebook or Instagram. The types of advertising that you choose will depend on your budget, type of business, and the preferences of your ideal customers. The Marketing Lifecycle . Advertising, or promotion, is only one component of your marketing plan. The marketing process begins with the idea for your product and continues until that product is in the hands of a consumer who bought it. Even after a customer has made a purchase, your marketing shouldn't end—a portion of your advertising should be targeted at current customers to ensure they remain customers and increase loyalty. Share Tweet Share Email What a Marketing Mix Is and Why It Is Important to Your Business If You Own a Franchise, You Need This Marketing Advice What Is DAGMAR? Why Marketing Research and Market Research Is Important How to Generate Sales Leads in Your Small Business 101 Small Business Marketing Ideas How to Write a Marketing Plan (From Pricing Strategy Through Sales Plan) Tips on How to Market a New Service Effectively Tips for Getting Started With Small Business Marketing Digital Marketing Strategies for Small Business Writing the Marketing and Sales Plan Section of Your Business Plan What Are the Elements of a Marketing Mix? How to Write a Marketing Strategy How Customer Perception Can Make or Break Your Business What Is Internet Marketing? Find out Which Marketing Career Best Fits Your Personality
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                                    [1] => Make sure you have all the implementation roadblocks cleared with our guide The 8 Biggest Digital Marketing Mistakes and How to Avoid Them.
                                    [2] => Learn more about what digital marketing can offer in our guide Digital Marketing 101: Key Tools for Engagement Marketing.
                                    [3] => Learn more about investing and budgeting to maximize ROI with our ebook The Digital Marketer's Guide to Resource and Budget Allocation Across Channels.
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                            [body] => Digital Marketing Learn about key trends and build your own digital marketing strategy to optimize advertising through online channels such as search engines, websites, social media, email, and mobile apps. . Download Guide Digital Marketing What is digital marketing? . At a high level, digital marketing refers to advertising delivered through digital channels such as search engines, websites, social media, email, and mobile apps. Using these online media channels, digital marketing is the method by which companies endorse goods, services, and brands. Consumers heavily rely on digital means to research products. For example, Think with Google marketing insights found that 48% of consumers start their inquiries on search engines, while 33% look to brand websites and 26% search within mobile applications.While modern day digital marketing is an enormous system of channels to which marketers simply must onboard their brands, advertising online is much more complex than the channels alone. In order to achieve the true potential of digital marketing, marketers have to dig deep into today’s vast and intricate cross-channel world to discover strategies that make an impact through engagement marketing. Engagement marketing is the method of forming meaningful interactions with potential and returning customers based on the data you collect over time. By engaging customers in a digital landscape, you build brand awareness, set yourself as an industry thought leader, and place your business at the forefront when the customer is ready to buy.By implementing an omnichannel digital marketing strategy, marketers can collect valuable insights into target audience behaviors while opening the door to new methods of customer engagement. Additionally, companies can expect to see an increase in retention. According to a report by Invesp, companies with strong omnichannel customer engagement strategies retain an average of 89% of their customers compared to companies with weak omnichannel programs that have a retention rate of just 33%. As for the future of digital marketing, we can expect to see a continued increase in the variety of wearable devices available to consumers. Forbes also forecasts that social media will become increasingly conversational in the B2B space, video content will be refined for search engine optimization (SEO) purposes, and email marketing will become even more personalized.“Digital is at the core of everything in marketing today—it has gone from ‘one of the things marketing does’ to ‘THE thing that marketing does.’” – Sanjay Dholakia, Former Chief Marketing Officer, Marketo   Common problems that digital marketing can solve. To optimize your marketing strategies, digital is mandatory. Digital marketing can help you to get to know your audience, learn important data about them, and provide metrics that will give your marketing team credibility.Problem: I don’t know my audience well enough to get started. Getting to know your audience takes time, and while your marketing team may have developed audience personas that can be of use, consumers actively spending time online may not behave in the way you’d expect. You’ll need to test different language with different targets, keeping in mind that certain descriptors will appeal to different people and their place in the buying cycle. Attune yourself to your audience and you’ll build credibility that will set you apart from the competition.  Problem: I haven’t optimized my channels for SEO. Regardless of your position in the marketing process, it’s important to have an understanding of SEO best practices. In addition to improving search engine ranking, SEO can reinforce and support your campaign testing and optimization to ensure you’re delivering high quality, valuable content that your potential customers want.  Problem: I don’t have a social media strategy. Regardless of whether you want to develop an organic social media strategy, a paid social media strategy, or a blend of the two, it’s important to have some form of social marketing in place. While social media is excellent for branding and engagement, it can also be a useful channel for digital marketing advertisement. Find a niche and a consistent voice, be patient, and as your following increases, the impact of your ads will increase as well. Problem: My marketing teams are siloed. It’s important to break out of silos to create nimble, fluid structures. Your customers aren’t sequestered in one channel waiting for ads, so your marketing efforts must deploy cross-channel functionality with teams that bring multiple skill sets to the table to engage customers where they are. Each social network and channel includes different audiences and expectations, so marketing efforts may look completely different for each. This includes tone, imagery, offers, and even the time of day you post. Problem: I’m under pressure from my CMO to report on metrics that support the bottom line. Digital marketing supports a vast universe of metrics that can be utilized to determine the effectiveness of your marketing efforts, but these metrics should be chosen with care. Each case will depend upon your audience makeup and focus on each channel. Keeping this in mind, start by determining your goals for each channel and set metrics your CMO will want to see the most. Make sure you have all the implementation roadblocks cleared with our guide The 8 Biggest Digital Marketing Mistakes and How to Avoid Them. . Download Now Components of digital marketing. Digital marketing spans across a massive network of digital touchpoints that customers interact with many times a day. To properly utilize these channels, you need to have an understanding of each. Paid search. Paid search, or pay-per-click (PPC) advertising, typically refers to the sponsored result on the top or side of a search engine results page (SERP). These ads charge you for every click and they can be tailored to appear when certain search terms are entered, so your ads are being targeted to audiences seeking something in particular. These ads can be extremely effective, as they rely on data gleaned from individuals’ online behavior and are used to boost website traffic by delivering relevant ads to the right people at the right time. These ads also involve retargeting, meaning that depending on the customers’ actions, marketing automation tools can craft unique, personal cross-platform ads. Search engine optimization (SEO). SEO is the process of optimizing the content, technical setup, and reach of your website, so that your pages appear at the top of a search engine result for a specific set of keyword terms. Using SEO can drive visitors to your site when they display behavior implying that they’re searching for relevant products, which can be a game changer considering that 90% of people searching haven’t formed an opinion about a brand yet (Status Labs, 2018). While PPC and retargeting have their place, organic online traffic earned through search engine optimization has enormous influence on search rankings and, by extension, organic site traffic. By using keywords and phrases, you can use SEO to massively increase visibility and begin a lasting customer relationship. SEO is defined as increasing a website’s rank in online search results, and thus its organic site traffic, by using popular keywords and phrases. Strong SEO strategies are hugely influential in digital marketing campaigns since visibility is the first step to a lasting customer relationship.   Content marketing. Effective content marketing is not outwardly promotional in nature, but rather serves to educate and inspire consumers who are seeking information. When you offer content that is relevant to your audience, it can secure you as a thought leader and a trustworthy source of information, making it less likely that your other marketing efforts will be lost in the static. In the age of the self-directed buyer, content marketing gets three times more leads than paid search advertising, so it’s well worth the additional effort. Social media marketing. The key to effective social media marketing goes far beyond simply having active social media accounts. You must also be weaving social elements into every aspect of your marketing efforts to create as many peer-to-peer sharing opportunities as possible. The more your audience is inspired to engage with your content, the more likely they are to share it, potentially inspiring their peers to become customers as well. Email marketing. After more than two decades, email is still the quickest and most direct way to reach customers with critical information. Today, successful email campaigns must be incredibly engaging, relevant, informative, and entertaining to not get buried in your customer’s inbox. To succeed, your marketing emails should satisfy five core attributes. They must be trustworthy, relevant, conversational, coordinated across channels, and strategic.    Mobile marketing. Mobile devices are kept in our pockets, sit next to our beds, and are checked constantly throughout the day. This makes marketing on mobile incredibly important—two-thirds of consumers can recall a specific brand they have seen advertised on mobile in the last week—but mobile is also very nuanced considering its intimate nature. SMS, MMS, and in-app marketing are all options to reach your customers on their devices, but beyond that, you must consider the coordination of your marketing efforts across your other digital marketing channels.  Marketing automation. Marketing automation is an integral platform that ties all of your digital marketing together. In fact, companies that automate lead management see a 10% or more bump in revenue in six to nine months’ time. Without it, your campaigns will look like an unfinished puzzle with a crucial missing piece. Marketing automation software streamlines and automates marketing tasks and workflow, measures results, and calculates the return on investment (ROI) of your digital campaigns, helping you to grow revenue faster. Marketing automation can help you gain valuable insight into which programs are working and which aren’t, and it will provide metrics to allow you to speak to digital marketing’s efforts on your company’s bottom line. Learn more about what digital marketing can offer in our guide Digital Marketing 101: Key Tools for Engagement Marketing. . Download Now ROI of a successful digital marketing program. Digital marketing ROI involves much more than the up-front payback of standard banner ads, organic content marketing is also a major player in the digital marketing space. Digital marketing reaches customers beyond advertisements. Seventy percent of internet users want to learn about products through content versus traditional advertisements (MDG, 2014).  Digital marketing drives content marketing. The top five B2B content marketing tactics are social media content (92%), e-newsletters (83%), articles on your website (81%), blogs (80%), and in-person events (77%) (source).  Digital marketing is vital for SEO. The first organic search results on Google account for 32.5% of traffic share for a search term (Chitka)   Learn more about investing and budgeting to maximize ROI with our ebook The Digital Marketer's Guide to Resource and Budget Allocation Across Channels. . Download Now Planning, implementing, and optimizing your digital marketing program. Begin the launch of your digital marketing program by first determining your audience and goals, and then putting in place metrics to ensure you’re always improving.Step 1: Identify and segment your audiences. Today buyers expect a personalized experience across every touchpoint. To do this, you must understand their demographic, firmographic, and technographic attributes as well as how to address their questions and pain points. Step 2: Establish goals and measurement strategy. Use audience information to determine personas and get a clear view of their sales journey to establish your goals and measurement strategy. Important metrics include impressions, reach, clicks, click-through rate (CTR), engagement rate, conversions, cost per lead (CPL), effective cost per thousand (eCPM), as well as back-end metrics like return on investment (ROI), return on ad spend (ROAS), first- and multi-touch attribution, and lifetime  customer value (LCV).  Step 3: Set up your adtech and channels. Ad technology can take some time to navigate, so make sure you have the right data management platforms (DMPs), demand-side platforms (DSPs), supply-side platforms (SSPS), and ad exchanges in place before you get started. Align your team, communicate everyone’s objectives, and show how their channels fit into the big picture of digital marketing.Step 4: Launch and optimize. Digital marketing can be used for acquisition, nurturing, building customer loyalty, and branding. Review metrics regularly, so you can know where you are excelling and where you need work to become a leader in this high-impact, high-demand space. Learn more about how to get digital marketing working for you in our co-authored white paper with Harvard Business Review (HBR), Designing a Marketing Organization for the Digital Age.   Resources you might like Introduction to Digital Marketing How to Make Digital Marketing a Reality in Highly Regulated Industries Leveraging Psychology in Digital Marketing The Definitive Guide to Digital Advertising United States (English) Deutschland (Deutsch) France (Français) Australia (English) United Kingdom (English) 日本 (日本語) España (Español)
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                                            [question] => What is digital marketing?
                                            [answer] => Digital marketing, also called online marketing, is the promotion of brands to connect with potential customers using the internet and other forms of digital communication. This includes not only email, social media, and web-based advertising, but also text and multimedia messages as a marketing channel. Essentially, if a marketing campaign involves digital communication, it's digital marketing.
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                                            [answer] => Digital marketing and inbound marketing are easily confused, and for good reason. Digital marketing uses many of the same tools as inbound marketing—email and online content, to name a few. Both exist to capture the attention of prospects through the buyer’s journey and turn them into customers. But the 2 approaches take different views of the relationship between the tool and the goal. Digital marketing considers how each individual tool can convert prospects. A brand's digital marketing strategy may use multiple platforms or focus all of its efforts on 1 platform.
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                                            [answer] => Digital marketing works for B2B as well as B2C companies, but best practices differ significantly between the 2. B2B clients tend to have longer decision-making processes, and thus longer sales funnels. Relationship-building strategies work better for these clients, whereas B2C customers tend to respond better to short-term offers and messages. B2B transactions are usually based on logic and evidence, which is what skilled B2B digital marketers present. B2C content is more likely to be emotionally-based, focusing on making the customer feel good about a purchase. B2B decisions tend to need more than 1 person's input. The marketing materials that best drive these decisions tend to be shareable and downloadable. B2C customers, on the other hand, favor one-on-one connections with a brand. Of course, there are exceptions to every rule. A B2C company with a high-ticket product, such as a car or computer, might offer more informative and serious content. Your strategy always needs to be geared toward your own customer base, whether you're B2B or B2C.
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                                            [answer] => There are as many specializations within digital marketing as there are ways of interacting using digital media. Here are a few key examples. Search engine optimization Search engine optimization, or SEO, is technically a marketing tool rather than a form of marketing in itself. The Balance defines it as “the art and science of making web pages attractive to search engines.” The "art and science" part of SEO is what’s most important. SEO is a science because it requires you to research and weigh different contributing factors to achieve the highest possible ranking. Today, the most important elements to consider when optimizing a web page include: Quality of content Level of user engagement Mobile-friendliness Number and quality of inbound links The strategic use of these factors makes SEO a science, but the unpredictability involved makes it an art.
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                            [body] => Digital Marketing Any marketing that uses electronic devices and can be used by marketing specialists to convey promotional messaging and measure its impact through your customer journey. In practice, digital marketing typically refers to marketing campaigns that appear on a computer, phone, tablet, or other device. It can take many forms, including online video, display ads, search engine marketing, paid social ads and social media posts. Digital marketing is often compared to “traditional marketing” such as magazine ads, billboards, and direct mail. Oddly, television is usually lumped in with traditional marketing. Did you know that more than 3 quarters of Americans go online on a daily basis? Not only that, but 43% go on more than once a day and 26% are online “almost constantly.” These figures are even higher among mobile internet users. 89% of Americans go online at least daily, and 31% are online almost constantly. As a marketer, it’s important to take advantage of the digital world with an online advertising presence, by building a brand, providing a great customer experience that also brings more potential customers and more, with a digital strategy. What is digital marketing? . Digital marketing, also called online marketing, is the promotion of brands to connect with potential customers using the internet and other forms of digital communication. This includes not only email, social media, and web-based advertising, but also text and multimedia messages as a marketing channel. Essentially, if a marketing campaign involves digital communication, it's digital marketing. Inbound marketing versus digital marketing . Digital marketing and inbound marketing are easily confused, and for good reason. Digital marketing uses many of the same tools as inbound marketing—email and online content, to name a few. Both exist to capture the attention of prospects through the buyer’s journey and turn them into customers. But the 2 approaches take different views of the relationship between the tool and the goal. Digital marketing considers how each individual tool can convert prospects. A brand's digital marketing strategy may use multiple platforms or focus all of its efforts on 1 platform. Inbound marketing is a holistic concept. It considers the goal first, then looks at the available tools to determine which will effectively reach target customers, and then at which stage of the sales funnel that should happen. The most important thing to remember about digital marketing and inbound marketing is that as a marketing professional, you don’t have to choose between the 2. In fact, they work best together. Inbound marketing provides structure and purpose for effective digital marketing to digital marketing efforts, making sure that each digital marketing channel works toward a goal. B2B versus B2C digital marketing . Digital marketing works for B2B as well as B2C companies, but best practices differ significantly between the 2. B2B clients tend to have longer decision-making processes, and thus longer sales funnels. Relationship-building strategies work better for these clients, whereas B2C customers tend to respond better to short-term offers and messages. B2B transactions are usually based on logic and evidence, which is what skilled B2B digital marketers present. B2C content is more likely to be emotionally-based, focusing on making the customer feel good about a purchase. B2B decisions tend to need more than 1 person's input. The marketing materials that best drive these decisions tend to be shareable and downloadable. B2C customers, on the other hand, favor one-on-one connections with a brand. Of course, there are exceptions to every rule. A B2C company with a high-ticket product, such as a car or computer, might offer more informative and serious content. Your strategy always needs to be geared toward your own customer base, whether you're B2B or B2C. Types of digital marketing . There are as many specializations within digital marketing as there are ways of interacting using digital media. Here are a few key examples. Search engine optimization. Search engine optimization, or SEO, is technically a marketing tool rather than a form of marketing in itself. The Balance defines it as “the art and science of making web pages attractive to search engines.” The "art and science" part of SEO is what’s most important. SEO is a science because it requires you to research and weigh different contributing factors to achieve the highest possible ranking. Today, the most important elements to consider when optimizing a web page include: Quality of content Level of user engagement Mobile-friendliness Number and quality of inbound links The strategic use of these factors makes SEO a science, but the unpredictability involved makes it an art. In SEO, there's no quantifiable rubric or consistent rule for ranking highly. Google changes its algorithm almost constantly, so it's impossible to make exact predictions. What you can do is closely monitor your page's performance and make adjustments accordingly. Content marketing. SEO is a major factor in content marketing, a strategy based on the distribution of relevant and valuable content to a target audience. As in any marketing strategy, the goal of content marketing is to attract leads that ultimately convert into customers. But it does so differently than traditional advertising. Instead of enticing prospects with potential value from a product or service, it offers value for free in the form of written material. Content marketing matters, and there are plenty of stats to prove it: 84% of consumers expect companies to produce entertaining and helpful content experiences 62% of companies that have at least 5,000 employees produce content daily 92% of marketers believe that their company values content as an important asset As effective as content marketing is, it can be tricky. Content marketing writers need to be able to rank highly in search engine results while also engaging people who will read the material, share it, and interact further with the brand. When the content is relevant, it can establish strong relationships throughout the pipeline. Social media marketing. Social media marketing means driving traffic and brand awareness by engaging people in discussion online. The most popular platforms for social media marketing are Facebook, Twitter, and Instagram, with LinkedIn and YouTube not far behind. Because social media marketing involves active audience participation, it has become a popular way of getting attention. It's the most popular content medium for B2C marketers at 96%, and it's gaining ground in the B2B sphere as well. According to the Content Marketing Institute, 61% of B2B content marketers increased their use of social media this year. Social media marketing offers built-in engagement metrics, which are extremely useful in helping you to understand how well you're reaching your audience. You get to decide which types of interactions mean the most to you, whether that means the number of shares, comments, or total clicks to your website. Direct purchase may not even be a goal of your social media marketing strategy. Many brands use social media marketing to start dialogues with audiences rather than encourage them to spend money right away. This is especially common in brands that target older audiences or offer products and services not appropriate for impulse buys. It all depends on your company's goals. To learn more about how Mailchimp can help with your social media strategy, check out the comparison of our free social media management tools versus others. Pay-per-click marketing. Pay-per-click, or PPC, is posting an ad on a platform and paying every time someone clicks on it. How and when people see your ad is a bit more complicated. When a spot is available on a search engine results page, also known as a SERP, the engine fills the spot with what is essentially an instant auction. An algorithm prioritizes each available ad based on a number of factors, including: Ad quality Keyword relevance Landing page quality Bid amount Each PPC campaign has 1 or more target actions that viewers are meant to complete after clicking an ad. These actions are known as conversions, and they can be transactional or non-transactional. Making a purchase is a conversion, but so is a newsletter signup or a call made to your home office. Whatever you choose as your target conversions, you can track them via your chosen platform to see how your campaign is doing. Affiliate marketing. Affiliate marketing lets someone make money by promoting another person's business. You could be either the promoter or the business who works with the promoter, but the process is the same in either case. It works using a revenue sharing model. If you're the affiliate, you get a commission every time someone purchases the item that you promote. If you're the merchant, you pay the affiliate for every sale they help you make. Some affiliate marketers choose to review the products of just 1 company, perhaps on a blog or other third-party site. Others have relationships with multiple merchants. Whether you want to be an affiliate or find one, the first step is to make a connection with the other party. You can use a platform designed to connect affiliates with retailers, or you can start or join a single-retailer program. If you're a retailer and you choose to work directly with affiliates, there are many things you can do to make your program appealing to potential promoters. You'll need to provide those affiliates with the tools that they need to succeed. That includes incentives for great results as well as marketing support and pre-made materials. Native advertising. Native advertising is marketing in disguise. Its goal is to blend in with its surrounding content so that it’s less blatantly obvious as advertising. Native advertising was created in reaction to the cynicism of today's consumers toward ads. Knowing that the creator of an ad pays to run it, many consumers will conclude that the ad is biased and consequently ignore it. A native ad gets around this bias by offering information or entertainment before it gets to anything promotional, downplaying the "ad" aspect. It’s important to always label your native ads clearly. Use words like “promoted” or “sponsored.” If those indicators are concealed, readers might end up spending significant time engaging with the content before they realize that it's advertising. When your consumers know exactly what they're getting, they'll feel better about your content and your brand. Native ads are meant to be less obtrusive than traditional ads, but they’re not meant to be deceptive. Marketing automation. Marketing automation uses software to power digital marketing campaigns, improving the efficiency and relevance of advertising. According to statistics: 90% of US consumers find personalization either “very” or “somewhat” appealing 81% of consumers would like the brands they engage with to understand them better 77% of companies believe in the value of real-time personalization, yet 60% struggle with it Marketing automation lets companies keep up with the expectation of personalization. It allows brands to: Collect and analyze consumer information Design targeted marketing campaigns Send and post marketing messages at the right times to the right audiences Many marketing automation tools use prospect engagement (or lack thereof) with a particular message to determine when and how to reach out next. This level of real-time customization means that you can effectively create an individualized marketing strategy for each customer without any additional time investment. Email marketing. The concept of email marketing is simple—you send a promotional message and hope that your prospect clicks on it. However, the execution is much more complex. First of all, you have to make sure that your emails are wanted. This means having an opt-in list that does the following: Individualizes the content, both in the body and in the subject line States clearly what kind of emails the subscriber will get Offers a clear unsubscribe option Integrates both transactional and promotional emails You want your prospects to see your campaign as a valued service, not just as a promotional tool. Email marketing is a proven, effective technique all on its own: 89% of surveyed professionals named it as their most effective lead generator. It can be even better if you incorporate other techniques such as marketing automation, which lets you segment and schedule your emails so that they meet your customer's needs more effectively. The benefits of digital marketing . Digital marketing has become prominent largely because it reaches such a wide audience of people, but it offers a number of other advantages as well. These are a few of the benefits. A broad geographic reach. When you post an ad online, people can see it no matter where they are (provided you haven’t limited your ad geographically). This makes it easy to grow your business's market reach. Cost efficiency. Digital marketing not only reaches a broader audience than traditional marketing but also carries a lower cost. Overhead costs for newspaper ads, television spots, and other traditional marketing opportunities can be high. They also give you less control over whether your target audiences will see those messages in the first place. With digital marketing, you can create just 1 content piece that draws visitors to your blog as long as it's active. You can create an email marketing campaign that delivers messages to targeted customer lists on a schedule, and it's easy to change that schedule or the content if you need to do so. When you add it all up, digital marketing gives you much more flexibility and customer contact for your ad spend. Quantifiable results. To know whether your marketing strategy works, you have to find out how many customers it attracts and how much revenue it ultimately drives. But how do you do that with a non-digital marketing strategy? There's always the traditional option of asking each customer, “How did you find us?" Unfortunately, that doesn't work in all industries. Many companies don't get to have one-on-one conversations with their customers, and surveys don't always get complete results. With digital marketing, results monitoring is simple. Digital marketing software and platforms automatically track the number of desired conversions that you get, whether that means email open rates, visits to your home page, or direct purchases. Easier personalization. Digital marketing allows you to gather customer data in a way that offline marketing can't. Data collected digitally tends to be much more precise and specific. Imagine you offer financial services and want to send out special offers to people who have looked at your products. You know you'll get better results if you target the offer to the person's interest, so you decide to prepare 2 campaigns. One is for young families who have looked at your life insurance products, and the other is for millennial entrepreneurs who have considered your retirement plans. How do you gather all of that data without automated tracking? How many phone records would you have to go through? How many customer profiles? And how do you know who has or hasn't read the brochure you sent out? With digital marketing, all of this information is already at your fingertips. More connection with customers. Digital marketing lets you communicate with your customers in real-time. More importantly, it lets them communicate with you. Think about your social media strategy. It's great when your target audience sees your latest post, but it's even better when they comment on it or share it. It means more buzz surrounding your product or service, as well as increased visibility every time someone joins the conversation. Interactivity benefits your customers as well. Their level of engagement increases as they become active participants in your brand's story. That sense of ownership can create a strong sense of brand loyalty. Easy and convenient conversions. Digital marketing lets your customers take action immediately after viewing your ad or content. With traditional advertisements, the most immediate result you can hope for is a phone call shortly after someone views your ad. But how often does someone have the time to reach out to a company while they're doing the dishes, driving down the highway, or updating records at work? With digital marketing, they can click a link or save a blog post and move along the sales funnel right away. They might not make a purchase immediately, but they’ll stay connected with you and give you a chance to interact with them further. Digital marketing creates growth. Digital marketing should be one of the primary focuses of almost any business’s overall marketing strategy. Never before has there been a way to stay in such consistent contact with your customers, and nothing else offers the level of personalization that digital data can provide. The more you embrace the possibilities of digital marketing, the more you'll be able to realize your company's growth potential. Take your business to the next level. Start Today
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                            [body] => Skip to main content Introduction to Marketing. Introduction to Marketing. Defining Marketing. Marketing is the creation, communication, and delivery of value, as well as the management of customer relationships for a lifetime. Learning Objectives. Define marketing, its role within a firm, and the competitive advantages it offers. Key Takeaways. Key Points. The set of engagements necessary for successful marketing management includes capturing marketing insights, connecting with customers, building strong brands, shaping market offerings, delivering and communicating value, creating long-term growth, and developing marketing strategies and plans. Marketing is one of several functional areas in a business that must be guided by a core company philosophy, while focusing on the exchanges that take place in external markets to maximize performance. The specific role of marketing is to provide assistance in identifying, satisfying, and retaining customers. If marketing consistently highlights a company’s competitive advantage over other alternatives, consumers may become loyal to the point of selecting the brand by default. Key Terms. competitive advantage: Something that places a company or a person above the competition. Defining Marketing. Marketing is the act of facilitating the exchange of a given commodity for goods, services, and/or money to deliver maximum value to the consumer. From a societal point of view, marketing is the link between a society’s material requirements and its economic patterns of response. Marketing satisfies these needs and wants through both the exchange processes and building long-term relationships. Marketing can be viewed as an organizational function and a set of processes for creating, delivering, and communicating value to customers, and managing customer relationships in ways that benefit the organization and its shareholders. Marketing is the science of choosing target markets through market analysis and market segmentation, as well as understanding consumer buying behavior and providing superior customer value. The set of engagements necessary for successful marketing management include capturing marketing insights, connecting with customers, building strong brands, shaping the market offerings, delivering and communicating value, creating long-term growth, and developing marketing strategies and plans. The Role of Marketing within A Firm. The official American Marketing Association definition published in July 2013 defines marketing as “the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. ” While this definition can help us better comprehend the parameters of marketing, it does not provide a full picture. Definitions of marketing cannot flesh out specific transactions and other relationships among these elements. The following propositions are offered to supplement this definition: The overall directive for any organization is the mission statement or an equivalent expression of organizational goals. It reflects the inherent business philosophy of the organization. Every organization has a set of functional areas (e.g., accounting, production, finance, data processing, marketing) in which tasks pertinent to the success of the organization are performed. These functional areas must be managed if they are to achieve maximum performance. Every functional area is guided by a philosophy (derived from the mission statement or company goals) that governs its approach toward its ultimate set of tasks. Marketing differs from the other functional areas, because its primary concern is exchanges that take place in markets outside the organization. Marketing is most successful when the philosophy, tasks, and implementation of available technology are coordinated and complementary to the rest of the business. Marketing is often a critical part of a firm’s success, but its importance must be kept in perspective. For many large manufacturers such as Proctor & Gamble, Microsoft, Toyota, and Sanyo, marketing represents a major expenditure, as these businesses depend on the effectiveness of their marketing effort. Conversely, for regulated industries (such as utilities, social services, medical care, or small businesses providing a one-of-a-kind product ) marketing may be little more than a few informative brochures. Marketing Metrics Continuum: The Marketing Metrics Continuum provides a framework to categorize metrics from the tactical to the strategic. Marketing as a Source of Competitive Advantage. The specific role of marketing is to provide assistance in identifying, satisfying, and retaining customers. Noted Harvard Business Professor Theodore Levitt claimed the purpose of all business is to “find and keep customers. ” The only way to achieve this objective is to create a competitive advantage. That is, you must convince buyers (potential customers) that what you have to offer satisfies their particular need or want. Hopefully, you will be able to provide this advantage consistently, so eventually the customer will purchase your product without considering alternatives. This loyal behavior is exhibited by people who drive only Fords, brush their teeth only with Crest, and buy only Dell computers. Creating this blind commitment – without consideration of alternatives – to a particular brand, store, person, or idea is the dream of all businesses. It is unlikely to occur, however, without the support of an effective marketing program. Customer Wants and Needs. Consumer wants and needs should drive marketing decisions, and no strategy should be pursued until it passes the test of consumer research. Learning Objectives. Identify how customers fulfill their wants and needs from a marketing perspective Key Takeaways. Key Points. A need is a consumer ‘s desire for a product ‘s or service ‘s specific benefit, whether that be functional or emotional. A want is the desire for products or services that are not necessary, but which consumers wish for. The five step consumer decision process includes need identification, information search and processing, identification and evaluation of alternatives, the purchase decision, and post-purchase behavior. Consumers process information through exposure to a stimulus, actively paying attention to it, assigning meaning to the stimulus, retaining that meaning, and retrieving and applying that information to solve a problem or need they have in the future. Customer focus should be treated as a subset of the corporate strategy rather than the sole driving factor. This means looking beyond current-state customer focus to predict what customers will demand in the future, even if they themselves discount the prediction. Key Terms. dissonance: A state of disagreement or conflict. customer retention: An assessment of the product or service quality provided by a business that measures how loyal its customers are. demand: The desire to purchase goods and services. Demand is the economic principle that describes a consumer’s desire, willingness and ability to pay a price for a specific good or service. A firm in the market economy survives by producing goods that are in demand by consumers. Consequently, ascertaining consumer demand is vital for a firm’s future viability. Many companies today have a customer focus. In this approach, consumer wants and needs are the drivers of all strategic marketing decisions. No strategy is pursued until it passes the test of consumer research. Every aspect of a market offering, including the nature of the product itself, is driven by the needs and wants of potential consumers. A need is a consumer’s desire for a product’s or service’s specific benefit, whether that be functional or emotional. The emotional benefit tends to be a stronger driver for consumers, as functional benefits can be easily copied by competitors. On the other hand, a consumer want is the desire for products or services that are not necessary, but which consumers wish for. For example, food is considered a consumer need. However, a steak dinner or dessert is considered a consumer want, as these things are not necessary in order to live. Customer Decision Process. There is a five step process that consumers can go through in making a purchase decision. These steps include: Need recognition Information search Evaluation of Alternatives Purchase Post-purchase The customer decision process begins with need identification. Whether we act to resolve a particular problem depends upon two factors: the magnitude of the discrepancy between what we have and what we need, and the importance of the problem. This involves the concept of consumer motivation, which is the internal drive consumers experience to fulfill conscious and unconscious wants and needs. Once the problem is recognized, it must be defined in such a way that the consumer can actually initiate the action that will bring about a relevant solution. The next step is information search and processing. After a need is recognized, the prospective consumer may seek information from family, friends, personal observation, consumer reports, salespeople, or mass media. The promotional component of the marketer’s offering is aimed at providing information to assist the consumer in their problem-solving process. If the buyer can retrieve relevant information about a product, brand, or store, he or she will apply it to solve a problem or meet a need. The criteria used in the evaluation of alternatives vary from consumer to consumer. One consumer may consider price the most important factor while another may put more weight upon quality or convenience. The search for alternatives is influenced by such factors as time and money costs, how much information the consumer already has, the amount of the perceived risk if a wrong selection is made, and the consumer’s disposition toward particular choices. During the purchase phase of the decision-making process, the consumer may form an intention to buy the most preferred brand because he has evaluated all the alternatives and identified the value that it will bring him. Anything marketers can do to simplify purchasing will attract buyers. Providing basic product, price, and location information through labels, advertising, personal selling, and public relations is an obvious starting point. Product sampling, coupons, and rebates may also provide an extra incentive to buy. A consumer’s feelings and evaluations after the sale come into play during the post-purchase phase. These feelings can influence customer retention and influence what the customer tells others about the product or brand. The marketer may take specific steps to reduce post-purchase dissonance. Advertising that stresses the many positive attributes or confirms the popularity of the product can be helpful. Focusing on Customers: What cellphone customers wanted in 1997 is likely very different than what smartphone users want today. Caveats of a Customer Focus. Customer focus should be treated as a subset of the corporate strategy rather than the sole driving factor. This means looking beyond current-state customer focus to predict what customers will demand in the future, even if they themselves discount the prediction. Companies should pay attention to the extent to which what customers say they want does not match their purchasing decisions. Surveys of customers might claim that 70% of a restaurant’s customers want healthier choices on the menu, but only 10% of them actually buy the new items once they are offered. Truly understanding customers sometimes means understanding them better than they understand themselves. Customers can be currently ignorant of what a company might argue they should want. IT hardware and software capabilities and automobile features are examples. Customers who in 1997 said that they would not place any value on Internet browsing capability on a mobile phone, or 6% better fuel efficiency in their vehicle, might say something different today, because the value proposition of those opportunities has changed. Product, Placement, Promotion, and Price. Product, placement, promotion, and price are four elements of the marketing mix crucial to determining a brand’s unique selling proposition. Learning Objectives. Show the characteristics of each of the four elements, or “Four Ps” that make up the “marketing mix. Key Takeaways. Key Points. The term ” product ” is defined as anything, either tangible or intangible (such as a service ), offered by the firm; a solution to the needs and wants of the consumer; profitable or potentially profitable; and as meeting the requirements of the various governing offices or society. Placement, or product distribution, is the process of making a product or service accessible for use or consumption by a consumer or business user, using direct means, or using indirect means with intermediaries. The three basic objectives of promotion are to 1) present information to consumers and others, 2) to increase demand, and 3) to differentiate a branded product or service – through advertising, public relations, personal selling, direct marketing, and sales promotion. The price is the amount a customer pays for the product. A well chosen price should (a) ensure survival (b) increase profit (c) generate sales (d) gain market share, and (e) establish an appropriate image. Value is what a customer receives from a product. Key Terms. Placement: The process of making a product or service accessible for use or consumption by a consumer or business user, using direct means, or using indirect means with intermediaries. product: Anything, either tangible or intangible, offered by the firm as a solution to the needs and wants of the consumer; something that is profitable or potentially profitable; goods or a service that meets the requirements of the various governing offices or society. price: The cost required to gain possession of something. Product, placement, promotion and price are the four elements of the marketing mix. Product. The term “product” is defined as anything, either tangible or intangible, offered by the firm; as a solution to the needs and wants of the consumer; something that is profitable or potentially profitable; and a goods or service that meets the requirements of the various governing offices or society. The two most common ways that products can differentiated are: Consumer goods versus industrial goods, and Goods products (i.e. durables and non-durables) versus service products Intangible products are service-based, such as the tourism industry, the hotel industry, and the financial industry. Tangible products are those that have an independent physical existence. Typical examples of mass-produced, tangible objects are automobiles and the disposable razor. A less obvious but ubiquitous mass produced service is a computer operating system. Tangible Luxury Good: A 1932 Horch 670 V12 is an example of a tangible product. Its price should reflect its image as a classic automotive collectible. Every product is subject to a life-cycle that starts with its introduction and is followed by a growth phase, a maturity phase, and finally a period of decline as sales falls. Marketers must do careful research on the length of the product’s life-cycle and focus their attention on different challenges that arise as the product moves through each stage. 4Ps in Action: Coca Cola’s marketing strategy includes elements of all four Ps. The marketer must also consider the product mix, which includes factors such as product depth and breadth. Product depth refers to the number of sub-categories of products a company offers under its broad spectrum category. For example, Ford Motor Company’s product category is automobiles. It’s product depth includes sub-categories such as passenger vehicles, commercial vehicles, transport vehicles, et cetera. This broad spectrum category is also known as a product line. Product breadth, on the other hand, refers to the number of product lines a company offers. Marketers should consider how to position the product, how to exploit the brand, how to exploit the company’s resources, and how to configure the product mix so that each product complements the other. Failure to do so can result in brand dilution, which is a situation in which a product loses its branded identity, resulting in decreased sales and perceived quality. The marketer must also consider product development strategies. Placement. Product distribution (or placement) is the process of making a product or service accessible for use or consumption by a consumer or business user, using direct means, or using indirect means with intermediaries. Distribution Types Intensive distribution means the producer’s products are stocked in the majority of outlets. This strategy is common for basic supplies, snack foods, magazines and soft drink beverages. Selective distribution means that the producer relies on a few intermediaries to carry their product. This strategy is commonly observed for more specialized goods that are carried through specialist dealers, for example, brands of craft tools, or large appliances. Exclusive distribution means that the producer selects only very few intermediaries. Exclusive distribution is often characterized by exclusive dealing where the re-seller carries only that producer’s products to the exclusion of all others. This strategy is typical of luxury goods retailers such as Gucci. The decision regarding how to distribute a product has, as its foundation, basic economic concepts, such as utility. Utility represents the advantage or fulfillment a customer receives from consuming a good or service. Understanding the utility a consumer expects to receive from a product being offered can lead marketers to the correct distribution strategy. Promotion. The three basic objectives of promotion are: To present product information to targeted consumers and business customers. To increase demand among the target market. To differentiate a product and create a brand identity. A marketer may use advertising, public relations, personal selling, direct marketing, and sales promotion to achieve these objectives. A promotional mix specifies how much attention to give each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Price. The price is the amount a customer pays for the product. The concept of price is in contrast to the concept of value, which is the perceived utility a customer will receive from a product. Adjusting the price has a profound impact on the marketing strategy, and depending on the price elasticity of the product, often it will affect the demand and sales as well. The marketer should set a price that complements the other elements of the marketing mix. A well chosen price should (a) ensure survival (b) increase profit (c) generate sales (d) gain market share, and (e) establish an appropriate image. From the marketer’s point of view, an efficient price is a price that is very close to the maximum that customers are prepared to pay. In economic terms, it is a price that shifts most of the consumer surplus to the producer. A good pricing strategy would be the one which could balance between the price floor and the price ceiling and take into account the customer’s perceived value. Common pricing strategies include cost-plus pricing, skimming, penetration pricing, value-based pricing, and many more. A more detailed discussion of these strategies can be found in chapter 8. SIVA: Solution, Incentive/Information, Value, and Access. Customer-focused marketing is known as SIVA which provides a demand-centric alternative to the four P’s supply side of marketing management. Learning Objectives. Reconstruct the “Four Ps” supply side model (product, price, placement and promotion ) to create “SIVA” (solution, information/incentives, value and access), a customer centric alternative Key Takeaways. Key Points. The product is no longer a one-size fits all offering, but rather a solution created to solve a problem for the customer. Information can include advertising, public relations, personal selling, viral advertising, and any form of communication between the firm and the consumer. The “I” also stands for “Incentives,” such as trade promotions. Value can be defined as the extent to which goods or services are perceived by customers to to meet their needs or wants. Access takes into account the ease of buying the product, finding the product, finding information about the product, and several other factors. Key Terms. Opportunity cost: The cost of an opportunity forgone (and the loss of the benefits that could be received from that opportunity); the most valuable forgone alternative viral advertising: a marketing technique that uses social networks and other technologies to produce increases in brand awareness or sales. It can be delivered by word of mouth or enhanced by the network effects of Internet and mobile networks. Viral marketing may take the form of video clips, interactive games, ebooks, images, text messages, email or web pages. SIVA is a formal approach to customer-focused marketing. It stands for Solution, Information, Value, and Access. This system is basically the four Ps renamed and reworded to provide a customer focus. The SIVA Model provides a demand and customer-centric alternative to the well-known four Ps supply side model (product, price, placement, promotion) of marketing management. SIVA Customer-Focused Approach: Guitars are not a 1 size suits all product. Guitar companies must be aware of what their customers need and want. Solution → Product The “Product” in the four Ps model is replaced by “Solution” in order to shift focus to satisfying the consumer needs. The product is no longer a one-size fits all offering, but rather a solution created to solve a problem for the customer. The customer-centric focus allows customers to feel cared for because they are offered a custom solution. Information/Incentives → Promotion The “Promotion” in the four Ps model is replaced by “Information,” which represents a broader focus. Information can include advertising, public relations, personal selling, viral advertising, and any form of communication between the firm and the consumer. The “I” also stands for “Incentives,” such as trade promotions. A trade promotion is a marketing technique aimed at increasing demand for products based on special pricing, display fixtures, demonstrations, value-added bonuses, no-obligation gifts, et cetera. Value → Price The “Price” in the four Ps model is replaced by “Value,” reflecting the total value gained through purchasing the product. Value can be defined as the extent to which goods or services are perceived by customers to to meet their needs or wants. It refers to the benefits a buyer receives when their needs are met. Value is measured in terms of a customer’s willingness to pay for a product, and often depends more upon the customer’s perception of a product’s worth rather than its intrinsic value. These perceptions can be in regard to tangible and intangible benefits that a product offers. Many factors affect value, including the customer’s cost to change or implement the new product or service and the customer’s cost for not selecting a competitor ‘s product or service. Cost in these cases can be defined in any terms applicable to the customer: it can be a monetary, time, effort, opportunity cost, or some combination of those. Access → Place (Distribution) The “Place” in the four Ps model is replaced by “Access. ” With the rise of the Internet and hybrid models of purchasing, geography is becoming less relevant. Access takes into account the ease of buying the product, finding the product, finding information about the product, and several other factors. Access also refers to the channels of distribution associated with a product. Distribution channels move products and services from businesses to consumers and to other businesses. These channels typically are composed of a set of interdependent organizations, such as wholesalers, retailers, and sales agents. The Marketing Exchange. The act of obtaining a desired object from someone by offering something of value in return is called the exchange process. Learning Objectives. Examine the significant elements of the marketing exchange, when a  product or service is offered by a company to a customer in a sales transaction Key Takeaways. Key Points. The exchange process allows the parties to assess the relative trade-offs they must make to satisfy their respective needs and wants. Individuals on both sides attempt to maximize rewards and minimize costs in their transactions so as to obtain the most profitable outcomes. Ideally, all parties achieve a satisfactory level of reward. Two of the key questions that a marketer needs to answer relative to buyer behavior are: How do potential buyers go about making purchase decisions ? What factors influence their decision process and in what way? Key Terms. trade-off: A trade-off involves a sacrifice that must be made to obtain a certain product. negotiation: the process of achieving agreement through discussion marketing exchange: the transaction process, facilitated and expedited by marketing, in which a desired object is obtained by offering something of value in return The Marketing Exchange. The exchange process is the act of obtaining a desired object from someone by offering something of value in return. The exchange between the person in need (i.e., someone who offers money or some other personal resource) and the organization selling the product, service, or idea results in a transaction. The top goal of any marketing organization is to facilitate and help increase sales transaction by convincing potential consumers and existing customers to buy their company’s product or service. Amazon : Online shopping and modern technology give consumers access to unlimited information and product choices. With the emergence of the Internet and e-commerce during the 1990s, the nature of the marketing exchange for businesses and customers has changed drastically. Today’s consumers have access to far more and far better information. They also have many more choices. Businesses must provide personalized, relevant and high quality content that competes with a fast, ever-changing competitive landscape. Simple Marketing Exchange: In marketing, there’s an exchange between the company and the consumer. A chart that shows a simple marketing exchange – customer identifies a need, customer responds to marketing stimulus, currency is exchanged for the product, and mutual value is reached. Trade-Off Analysis. The exchange process allows the parties to assess the relative trade-offs they must make to satisfy their respective needs and wants. For the marketer, analysis of these trade-offs is guided by company policies and objectives. For example, a company may engage in exchanges only when the profit margin is 10% or greater. Buyers also have personal policies and objectives that guide their responses in an exchange. Unfortunately, buyers seldom write down their personal policies and objectives. Even more likely, they often do not understand what prompts them to behave in a particular manner. This is the mystery, or the “black box,” of buyer behavior that makes the exchange process so unpredictable and difficult for marketers to understand. Marketers can, however, attempt to understand the qualities of their products and how consumers view these qualities in relation to their perceived benefit. One such technique to understand this consumer behavior is known as perceptual mapping, which is a technique that uses diagrams in an attempt to visually display the perceptions of consumers. These ideas will be explored in greater detail in later chapters. Negotiation. There tends to be some negotiation between the parties in the exchange process. Individuals on both sides attempt to maximize rewards and minimize costs in their transactions so as to obtain the most profitable outcomes. Ideally, all parties achieve a satisfactory level of reward. In each transaction, there is an underlying philosophy in respect to how the parties perceive the exchange. Sometimes deception and lying permeate the exchange. Other exchanges may be characterized as equitable, where each party receives about the same as the other—the customer’s need is satisfied and the business makes a reasonable profit. Complex Marketing Exchange: In a complex marketing exchange, there are more dynamics that must be understood and met by the company. A chart that shows a complex marketing exchange – customer identifies a need, customers makes an offer, an agreement is reached, currency is exchanged for the product, and mutual value is reached. Understanding Buyer Behavior Will Jumpstart the Exchange Process. When we use the term “buyer”, we are referring to an individual, group, or organization that engages in market exchange. In fact, there are differences in the characteristics of these three entities and how they behave in an exchange. Therefore, individuals and groups are traditionally placed in the consumer category, while organizations are placed in the second category. When potential buyers are not satisfied, the exchange falters and the goals of the marketer cannot be met. As long as buyers have free choice and competitive offerings from which to choose, they are ultimately in control of the marketplace. The potential buyers, in commercial situations, “vote” (with their dollars) for the market offering that they feel best meets their needs. An understanding of how they arrive at a decision allows the marketer to build an offering that will attract buyers. Two of the key questions that a marketer needs to answer relative to buyer behavior are: How do potential buyers go about making purchase decisions? What factors influence their decision process and in what way? The answers to these two questions form the basis for target market selection, and, ultimately, the design of a market offering. Purchase Decisions. In order to better understand the marketing exchange, it is important for marketers to grasp how consumers go about making purchase decisions. In general, the consumer decision process includes the following steps: Need recognition Information search Evaluation of alternatives Purchase Post-purchase behavior As the consumer moves through these various phases, internal and external conditions are influencing the consumer’s actions throughout the purchasing process. Internal influences include beliefs, feelings, demographics, lifestyle, motivation, and personality. Psychological factors include an individual’s perception, attitude and belief, while personal factors include income level, personality, age, occupation and lifestyle. For example, a consumer may enter the purchase decision stage for a particular product, but decide to buy a different brand after receiving negative feedback from a trusted friend. Marketing also plays a role in how consumers perceive brand messaging through lenses such as culture, lifestyle and personality. For instance, brands can ensure that content and other messaging align with the individual consumer’s personality profile and motives. Marketers use a variety of promotional tools to “nudge” consumers who intend to buy but decide to purchase at a later time due to internal or external factors (e.g., loss of job, retail store closing, etc.). To successfully guide consumers through the buying process, marketers attempt to make products and services more appealing by offering credit or payment terms, sales promotions, rebates, and other premiums to convince consumers to buy now rather than later. Complimentary perks and services such as add-on features and lifetime warranties are other tactics used by brands to sell product and service benefits to consumers. Relationship Building with Various Stakeholders. The key to building a strong stakeholder relationship is communicating effectively with all stakeholders. Learning Objectives. Diagram the relationship of stakeholders, both internal and external, to a company including proper methods of communication Key Takeaways. Key Points. Stakeholders are involved in and/or affected (negatively or positively) by the outcome and impact of an action, project or program. Internal stakeholders include stockholders, customers, suppliers, creditors, employees, etc. External stakeholders include the general public, communities, activist groups, the media, etc. Marketing communication can be divided into internal flows and external flows directed at different target audiences. This necessitates different yet compatible communication strategies. Preparing a communication plan involves five key points: defining the audience, defining its requirements, building a communications schedule, defining a medium of communication, and preparing the content. It is important to create a written report after any stakeholder discussion. Key Terms. stakeholder: a person or organization with a legitimate interest in a given situation, action, or enterprise direct mail: Alternative expression for junk mail. Direct mail practices are often refined into “targeted mailing,” where mail is sent to select recipients considered most likely to respond positively. Defining Stakeholders. Stakeholders are involved in and/or affected (negatively or positively) by the outcome and impact of an action, project or program. Stakeholders can be divided into two main categories: Internal Stakeholders are engaged in economic transactions with the business. (For example, stockholders, customers, suppliers, creditors, and employees) External Stakeholders are affected by or can affect a business’s actions without being directly engaged in the business. (For example, the general public, communities, activist groups, business support groups, and the media) Types of Stakeholders. People who influence an endeavor but are not directly involved with doing the work. Examples include managers, suppliers, or the financial department of an organization. People who are affected by any action taken by an organization or group. Examples are parents, children, customers, owners, and employees. An individual or group with an interest in an organization’s success. These stakeholders influence programs, products and services. An example of such a stakeholder is one who owns stock in the organization. Any organization, governmental entity, or individual that has a stake in or may be impacted by a given approach to environmental regulation, pollution prevention, energy conservation, etc. The environmental organization Greenpeace would be an example of such a stakeholder. A participant in a community mobilization effort representing a particular segment of society. Examples include school board members, environmental organizations, elected officials and chamber of commerce representatives. Communicating with Internal & External Stakeholders. Marketing communication can be divided into two flows directed at different target audiences. This necessitates different yet compatible communication strategies. A company cannot be telling a customer one story and stockholders another. Marketing Communication: Marketing communication uses different yet compatible communication strategies based on the target audience. Planning. Preparing a communication plan involves five key points: Defining the audience: List the key stakeholders needing information about the course of events in the project. Defining the requirements: Answer the question, “What do key stakeholders want to know?” This question should be answered according to the audience’s level of knowledge. Building a communications schedule: A flexible yet consistent schedule should be prepared and verified by the audience. Defining the medium of communication: Presenting the information smoothly is important, especially for stakeholders. While they are not involved in the project, they need to know what is going on. An appropriate medium should be selected to ensure the information is delivered successfully. Preparing the content: The content should include the purpose company, the steps involved in meeting company goals, and the roles and responsibilities of team members. Tools & Techniques. Communication can be in different forms including: Direct mail or online informational output To management in the form of e-mail or discussion forums To stakeholders in form of advertisement or public relations The key to building a strong stakeholder relationship is communicating with all members of the company. Stakeholders should have a clear idea of a company’s strategy. After any stakeholder discussions, it is important to create a written report of what was discussed. The report can have information on various projects, goals or new initiatives. The report should be detailed yet concise: It should show the structure and analysis of the budget. Profit/loss analysis and direction of the company should be summarized. The knowledge of all these steps are important for stakeholders to understand their involvement in the process. The Dynamic Environment. Since the business environment is constantly changing and customer preferences keep evolving, marketers are required to adapt rapidly. Learning Objectives. Contrast the ever-evolving characteristics of a micro and macro marketing environments and how they apply to the proactivity, profitability and viability of a company Key Takeaways. Key Points. The micro-environment includes the company itself, its suppliers, marketing intermediaries, customer markets, and competitors. It also includes consumers, collaborators, and centers of influence. The macro-environment includes concepts such as demography, economy, natural forces, technology, politics, and culture. Proactive attention to the environment allows marketers to prosper by efficiently marketing in areas with the greatest customer potential. It is important to place equal emphasis on both the macro and micro-environment and to react accordingly to changes within them. Reactive attention to the environment by marketers can lead to a disconnect with potential customers and can allow competitors to gain advantages that will win them a higher market share. Key Terms. demography: the study of human populations, and how they change marketing environment: The factors and forces that affect a firm’s ability to build and maintain successful relationships with customers. macro environment: Larger societal forces that affect the micro-environment. micro environment: Small forces that are close to the company that affect its ability to serve its customers. The Dynamic Environment. A successful marketing campaign increases a company’s profits and helps it reach its strategic goals. However, there are challenges to marketing because the business environment is constantly changing. Customer preferences and attitudes keep evolving and require managers to adapt rapidly. Another challenge involves reaching different target markets with culturally relevant propositions. McDonald’s is said to be a good example of a company that can effectively reach a diverse audience. McDonald’s in Seoul, South Korea: McDonald’s marketing takes cultural factors into consideration when creating products and campaigns. Proactive attention to the environment allows marketers to prosper by efficiently marketing in areas with the greatest customer potential. It is important to place equal emphasis on both the macro and micro-environment and to react accordingly to changes within them. Reactive attention to the environment by marketers can lead to a disconnect with potential customers and can allow competitors to gain advantages that will win them a higher market share. The Marketing Environment. Two key levels of the marketing environment are the micro-environment and the macro-environment. The Micro-environment. The micro-environment includes the company itself, its suppliers, marketing intermediaries, customer markets, and competitors. It also includes consumers, collaborators, and centers of influence. The company aspect of micro-environment refers to the internal environment of the company. Each internal department has an impact on marketing decisions. For example, Research and Development (R & D) has input on the features a product can have, and accounting approves the financial side of marketing plans and budgets. The suppliers of a company are also a part of the micro-environment because even the slightest delay in receiving supplies can result in customer dissatisfaction. Examples of suppliers for such companies as automobile manufacturers would include providers of steel, aluminum, leather, and even audio system manufacturers. Marketing intermediaries refer to the people that help the company promote, sell, and distribute its products to final buyers. Examples include wholesalers, and retailers such as Wal-Mart, Target, and Best Buy. Physical distribution firms are places that store and transport the company’s product from its origin to its destination. Examples include food distributors, such as Food Services of America. Customer markets can include consumer markets, business markets, government markets, international markets, and reseller markets. The consumer market is made up of individuals who buy goods and services for their own personal use. Business markets include those that buy goods and services for use in producing their own products. Competitors include companies with similar offerings for goods and services. To remain competitive, a company must consider who their biggest competitors are and simultaneously consider its own size and position in the industry. The company should aim to develop a strategic advantage over their competitors. Collaborators are key marketing partners that lead to higher efficiency. Examples of collaborators include shipping providers, credit card processors, or online shopping cart providers. Centers of influence are also key to successful marketing relationships. These are well-established business people who are good networkers that can lead you to other successful marketing relationships. The Macro-environment. The macro-environment includes concepts such as demography, economy, natural forces, technology, politics, and culture. Demography refers to studying human populations in terms of size, density, location, age, gender, race, and occupation. This helps to divide the population into market segments which can be beneficial to a marketer in deciding how to tailor their marketing plan to attract that demographic. The economic environment refers to the purchasing power of potential customers and the ways in which people spend their money. Within this area are subsistence economies and industrialized economies. Subsistence economies are based on agriculture and consume their own industrial output. Industrial economies have markets that are diverse and carry many different types of goods. Each is important to the marketer because each has a highly different spending pattern as well as a different distribution of wealth. The natural environment includes the natural resources that a company uses as inputs. As raw materials become increasingly scarcer, the ability to create a company’s product gets much harder. Technology includes all developments from antibiotics and surgery to nuclear missiles and chemical weapons to automobiles and credit cards. As these markets develop, it can create new markets and new uses for products. It also requires a company to stay ahead of others and update their own technology. The political environment includes all the laws, government agencies, and groups that influence or limit organizations and individuals within a society. It is important for marketers to be aware of these restrictions as they can be complex and can change often. For example, regulations on packaging, such as the necessary inclusion of ingredients for food products or the limitation on product capability claims, must be understood by marketers to avoid negative public perception or sanctions. The cultural environment consists of institutions and the basic values and beliefs of a group of people. The values can also be further categorized into core beliefs, which are passed on from generation to generation and are very difficult to change, and secondary beliefs, which tend to be easier to influence. As a marketer, it is important to know the difference between the two and to focus your marketing campaign to reflect the values of a target audience. Marketing by Individuals and Firms. Marketing by firms compared to marketing by individuals differs greatly in terms of customization level and personal attention. Learning Objectives. Distinguish between the process used when deciding on marketing plan for a firm or organization and the process used for an individual Key Takeaways. Key Points. The overall marketing strategy of an organization should focus on developing relationships with customers to understand their needs, while also developing goods, services and ideas to meet those needs. Marketing strategies include niche, growth and defensive strategies. These can be implemented with an eye toward market penetration, development or diversification. Personal selling determines a customer’s needs and attains a sales order. The personal selling process is a seven step approach: Prospecting, Pre-Approach, Approach, Presentation, Meeting Objections, Closing the Sale and Follow-Up. Key Terms. niche: an area in a market in which there are unmet needs that, when met, can lead to unique business opportunities target market: a group of people whose needs and preferences match the product range of a company and to whom those products are marketed strategy: a plan of action intended to accomplish a specific goal personal selling: the act of using people to sell products to consumers face-to-face Marketing by Firms. A marketing strategy is the combination of all of an organization’s marketing goals into one comprehensive plan. The overall marketing strategy of an organization should focus on developing relationships with customers to understand their needs while also developing goods, services and ideas to meet those needs. Creating a marketing strategy generally involves six steps: Information Gathering: Research potential customers, their needs and spending habits in order to understand what sort of product, service or idea they wish to buy. A specific method of information gathering is targeting, which is the process of finding customers whose needs and preferences match the product range offered by a company. Evaluation of Organization Capabilities: Decide what your organization can produce and what your organization is not capable of producing based on the organization’s specific strengths and weaknesses. Identify Market Opportunities: Research the current market for a product idea with no competition or strong demand. Set Objectives of Marketing Strategy: Decide what results need to be achieved in order to reach the organization’s goals. An objective is a specific result that an organization aims to achieve within a certain timeframe and with available resources. Formulate an Action Plan: List the specific steps the organization needs to take to implement the marketing plan, and assign the responsibilities to specific staff members. One such step is product positioning, which is the process by which marketers try to create an image or identity in the minds of their target market. Action plans should be based around the 4 Ps of marketing, or SIVA analysis. Monitor & Evaluate: Study the marketing plan at least once per quarter to track performance against the set objectives. General Marketing Strategies. Niche Strategy: A niche is an area in a market in which there are unmet needs that, when met, can lead to unique business opportunities. Niche strategy involves finding customers under-served by current offerings. An example of niche marketing is the online, self-help market in which businesses cater to highly specific aspects of peoples’ lives for which they desire tips and advice. Growth Strategy: This strategy aims to increase revenue from existing market niches and deliver better offerings to new target markets. Defensive Strategy: This strategy aims to maintain, or defend, a leadership position in a market by developing brand loyalty and mass distribution. Offensive Strategy: This strategy aims to adopt a policy of “destroyer pricing” to preempt the entry of new firms or drive away existing competitors. Also known as predatory pricing, this strategy is useful when competitors or potential competitors cannot sustain equal or lower prices without losing money. Ansoff Matrix To portray alternative growth strategies, Igor Ansoff presented a matrix that focused on the firm’s present and potential products and markets (customers). When considering ways to grow via existing products and new products, and in existing markets and new markets, there are four possible product-market combinations. Ansoff Matrix: Igor Ansoff created a matrix that shows alternative corporate growth strategies. The growth strategies include: Market Penetration: This strategy aims to increase sales of an organization’s current products through an aggressive marketing campaign. Market penetration occurs when a company penetrates a market in which current or similar products already exist. The market penetration strategy is the least risky since it leverages many of the firm’s existing resources and capabilities. A prominent example of market penetration was the emergence of Facebook in the social networking market. It was able to take market share away from competitors such as MySpace. Market Development: This strategy aims to increase sales by selling current products in new markets to satisfy new consumer needs or to identify new market segments. The development of new markets for the product may be a good strategy if the firm’s core competencies are related more to the specific product than to its experience with a specific market segment. Product Development: This strategy offers new and improved products to the current market. A product development strategy may be appropriate if the firm’s strengths are related to its specific customers rather than to the specific product itself. Diversification: In this strategy, companies move into multiple lines of revenue generation. Diversification is the most risky of the four growth strategies since it requires both product and market development and may be outside the core competencies of the firm. In fact, this quadrant of the matrix has been referred to by some as the “suicide cell. “ Marketing by Individuals. Marketing by individuals, as opposed to organizations, can be most clearly differentiated by the strategy of personal selling. Personal selling is the act of using people to sell products to consumers face-toface. The personal selling process is a seven step approach: Prospecting – the step where salespeople determine leads or prospects. Pre-approach – consists of customer research and goal planning for the presentation. Approach – when the salesperson initially meets with the customer and determines the need. Presentation – the process of grabbing the customer’s Attention, igniting Interest, creating Desire, and inspiring Action, or AIDA. Meeting objections – salespeople should do their best to anticipate objections and respectfully respond to them. Closing the sale – the salesperson uses various techniques to gain a commitment to buy. Follow-up – following up will ensure customer satisfaction and help establish a relationship with the customer. These are very general steps, but they form a foundation for differentiating between marketing by individuals and by firms. Personal selling represents the focus and customization that can be achieved through marketing on the individual level as opposed to the organizational level. More specific subjects in the realm of personal selling include qualifying leads; additional information gathering beyond the customer meeting; negotiating; ensuring delivery, training, and satisfactory use of products; and ensuring adequate billing and collection techniques. These factors will be explored in more detail in later chapters. Adding Value. Marketing adds value to an organization by communicating relevant positioning and building long-term customer relationships. Learning Objectives. Analyze, from a marketing perspective, how the “value” of a business and the products sold is quantified and qualified Key Takeaways. Key Points. Marketing is the science of choosing target markets through market analysis and market segmentation, as well as understanding consumer buying behavior and providing superior customer value. Value is a customer’s perception of relative price (the cost to own and use) and performance ( quality ) of a product. The “total market offering” includes an organization’s reputation, staff representation, product benefits, and technological characteristics as compared to competitors. Value, in this sense, is defined as the relationship of a firm’s market offerings to those of its competitors. Since value changes based on time, place, and people in relation to changing environmental factors, marketing adapts to consumers changing perceptions and beliefs in order to have optimal value creation. Key Terms. value: a customer’s perception of relative price (the cost to own and use) and performance (quality) benefit: an advantage, help or aid from something customer value analysis: the collection and evaluation of data associated with customer needs and market trends benefit segmentation: the division of the market into subsets according to benefits sought by the consumer or which the product/service can provide attribute: a characteristic or quality of a thing Adding Value. A main goal of marketing is to add value to an organization. Marketing also aims to present the value an organization’s products can add to a consumer’s life. It is able to accomplish this via the following avenues: It is the link between a society’s material requirements and its economic patterns of response. It satisfies needs and wants through exchange processes and building long-term relationships. It is the process of communicating the value of a product or service through positioning to customers. It is an organizational function and a set of processes for creating, delivering, and communicating value to customers. It also manages customer relationships in ways that benefit the organization and its shareholders. It is the science of choosing target markets through market analysis and market segmentation, as well as understanding consumer buying behavior and providing superior customer value. Marketing Methods Used to Deliver Value. For marketers to deliver value to a firm’s customers, and also add value to the firm itself, they must consider what is known as the “total market offering. ” This includes the reputation of the organization, staff representation, product benefits, and technological characteristics as compared to the market offerings and prices of competitors. Value, in this sense, can be defined as the relationship of a firm’s market offerings to those of its competitors. Value in marketing can be defined by both qualitative and quantitative measures. On the qualitative side, value is the perceived gain composed of an individual’s emotional, mental, and physical condition plus various social, economic, cultural, and environmental factors. On the quantitative side, value is the actual gain measured in terms of financial numbers, percentages, and dollars. One way for an organization to increase its perceived value added is to improve its quality/price ratio. When an organization delivers high quality but at a high price, the perceived value may be low. When it delivers high quality at a low price, the perceived value may be high. The key to delivering high perceived value is for a firm to make consumers believe that its products will help them solve a problem, offer a solution, produce results, and make them happy. Marketing provides a creative energy exchange between people and organizations in our marketplace. Since value changes based on time, place, and people in relation to changing environmental factors, marketing adapts to consumers changing perceptions and beliefs in order to have optimal value creation. Customer Value Analysis. To reveal the company’s strengths and weaknesses compared to other competitors, it is important to conduct a customer value analysis. This is the collection and evaluation of data associated with customer needs and market trends. The steps are as follows: Identify the major attributes and benefits, such as ease of use or improved social standing, that customers value for choosing a product. It is important to identify and define benefits as opposed to features. Assess the quantitative importance of the different attributes and benefits. In other words, attempt to assign an actual price differentiation for products with value-adding benefits. Assess the company’s and competitors’ performance on each attribute and benefit. It is important to be honest with yourself about who your actual closest competitors are and how they price their products. Examine how customers in the particular segment rated the company against major competitors on each attribute. Monitor customer perceived value over time. Value Proposition. Conducting an effective customer value analysis can lead a company to creating an accurate value proposition. A value proposition is a promise of value to be delivered and a belief from the customer that value will be experienced. A value proposition can apply to an entire organization, or parts thereof, or customer accounts, or products or services. Developing a value proposition is based on a review and analysis of the benefits, costs and value that an organization can deliver to its customers, prospective customers, and other constituent groups within and outside the organization. Organizations can use value propositions to position value to a range of constituents such as: Customers: to explain why a customer should buy from a supplier. Partners: to persuade them to forge a strategic alliance or joint venture. Employees: to “sell” the company when recruiting new people, or for retaining and motivating existing employees. Suppliers: to explain why a supplier should want to be a supplier to an organization or customer. Louis Vuitton Store on Champs-Elysees in France: Louis Vuitton’s marketing team communicates value to consumers by utilizing a high price point. Licenses and Attributions CC licensed content, Shared previouslyCuration and Revision. Provided by: Boundless.com. License: CC BY-SA: Attribution-ShareAlikeCC licensed content, Specific attributioncompetitive advantage. Provided by: Wiktionary. Located at: http://en.wiktionary.org/wiki/competitive_advantage. License: CC BY-SA: Attribution-ShareAlikeMarketing. Provided by: Wikipedia. Located at: http://en.wikipedia.org/wiki/Marketing. License: CC BY-SA: Attribution-ShareAlikeCore Concepts of Marketing. Provided by: Saylor. Located at: http://www.saylor.org/site/wp-content/uploads/2012/11/Core-Concepts-of-Marketing.pdf. License: CC BY-SA: Attribution-ShareAlikeOrganic Business Guide/Marketing. Provided by: Wikibooks. Located at: http://en.wikibooks.org/wiki/Organic_Business_Guide/Marketing. 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                            [description] => Use these 72 Marketing Definitions from experts and professionals with years of experience. Includes links and other useful information
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                                    [2] => Transform Your Marketing
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                                    [4] => Categories
                                    [5] => Archives
                                    [6] => Search
                                    [7] => THE NEW ECHO DOT
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