The possibilities, as we have seen, are almost unlimited. Marketing Chapter 1. A situation where the managers claim correctness of their decisions but the customer does not respond favourably is not possible. You know that the marketing concept is based on four pillars, viz., target market, customer needs, integrated marketing, and profitability. For instance, a company like Pepsi develops products, packages, distributes, and advertises them to satisfy consumers. This structure is culture- free and can be applied to any environment. The Societal Marketing Concept. Integrated Marketing Management – Marketing management is only a part of the total managerial functions of an organization such as finance management, production management, human resources management etc. The Selling Concept assumes –“customers who are coaxed into buying the product will like it. This intensified competition and put pressure on firms to offer better quality products. Customers come at the top of the organization and then come front line people who meet, serve, and satisfy customers. Marketing management is the process of decision making, planning, and controlling the marketing aspects of a company in terms of the marketing concept, somewhere within the marketing system. With the passage of time the consumer and competitive conditions evolved. This concept of marketing is a very important concept. Management Guru Philip Kotler defines marketing as “Marketing Management is the analysis, planning, implementation anc control of programmes designed to bring about the desired exchanges with target audiences for the purpose of personal and mutual gain. What guarantees that a better mouse-trap will always get sold? During this period, the vital role of selling, advertising, and other marketing functions was organized truly, and the selling concept came into existence. Marketing management aims at efficient operation of marketing activities. Marketing is a department of management that tries to design strategies that will build profitable relationships with target consumers. It deals with physical attributes of the product and the benefits associated with use of that product. Institute of Marketing Management, England, has defined Marketing Management as “Marketing Management is the creative management function which promotes trade and employment by assessing consumer needs and initiating research and development to meet them. Two categories of products can be distinguished, namely bought products and sold products. There are five alternative concepts under which organizations design and carry out their marketing strategies to answer these. The process of Marketing involves: Choosing a market to target. The term is named marketing mix… In short word, marketing management works for translating the company vision, mission, and objectives, into effective Marketing initiatives. It executes the marketing strategy according to market research beginning from product conception to sales. A company must retain its old customers since attracting new customers is very difficult and costly. A decision is right only if it creates a satisfied customer. Stanley Vance defines management as the process of decision making and controlling. They try to understand the consumer and deliver the best product or service, which is better for the competition. Project management is the planning, performing and finishing of certain tasks and goals for a campaign. In many companies promotion decision require much of the marketing manager’s time. The earlier philosophies were centred on something that belonged inside the firm such as product, technology, production, or sales effort. Issues. This process of marketing management takes place “somewhere” within the marketing system. Societal marketing concept questions whether the pure marketing concept overlooks possible conflicts between consumer short-run wants and consumer long-run welfare. This is the oldest concept of marketing under this concept the company focus on production whatever they produce that is sold in the market. It has to remove the deficiencies observed in the actual execution of marketing plans, policies, and procedures. Inevitably they will develop from experience some such structure to serve this crucial need anyway, so they can profit from new experience and new knowledge. A manufacturer should design a new product or improve an existing one strictly keeping in mind the needs, desires etc. Consequently, all company activities in production, engineering, and finance, as well as in marketing, must be devoted first to determining what the customers’ wants are and then to satisfying those wants while still making a reasonable profit.”. All that should be needed then is to make the product or service available” – Peter Drucker. iii. People are not interested in products, rather they want a solution to their problems. This production concept is found to be applicable if two situations prevail. These are all practices that fall within the ambit of marketing. These are put to test at the point of purchase. The negative publicity influences future sales by turning potential customers into non-customers. A leader directs his subordinates and ensures through effective supervision, that the performance is as per planned specification. Social Marketing Concept Under the marketing concept, marketing becomes the basic motivating force for the entire firm. The aim of marketing is to know and understand the consumer so well that that the product or service fits him and sells itself. The product should exactly satisfy the consumer. Once the market has been selected, the marketer has to plan how it will satisfy customers in the selected market. In most of the cases prices form the decision making criterion for purchase decision. Not only must a number of products be priced, but if a marketing channel other than direct-to-user is employed, consideration must often be given to the prices set at each level of the marketing channel. It is the process of organizing, directing and controlling the activities related to the marketing of goods and services to satisfy customers’ needs & achieve organizational goals. This definition suggests that marketing starts with the market, focuses attention on customers’ needs, and attains profit through customer satisfaction with coordinated marketing. Many marketers still hold this concept, and this concept so influences some that they even forget that the market is going in another direction. The marketing concept can be contrasted with earlier concepts in terms of the principles of orientation. Continuous practice in the areas of personal selling, sales promotion, advertising, etc. In the light of the changing concept of marketing, it is necessary that the organisation structure is flexible and accommodative. In this article, we talk about the Core Concepts of Marketing as put forward by Dr Philip Kotler. From the above definitions, we can conclude that Marketing Management is the process of management of marketing programmes for accomplishing organizational goals and objectives. As Dr Kotler defines; Marketing Management is a social and managerial process by which individuals or firms obtain what they need or want through creating, offering, exchanging products of value with each other. They have understood that people are not happy with their previous grooming products and their prices. These drinks have no health benefits ( actually harm your health more); you can easily replace them with water ( the most available substances on the earth). Advocates of this concept are of the opinion that consumers favor well- made products, products that are superior to the competing products in the above-mentioned aspects. The production concept was common to firms during the early period of industrialization when different products were born. Marketing activities are based on the premise of “make what the market wants”. Product decisions are taken first by the marketers and these decisions are central to all other marketing decisions such as price, promotion and distribution. 5. Decision making regarding pricing, selection of promotional mix, selection of distribution channel is taken by the marketing management. As Kotler says, the selling concept is practiced most aggressively with unsought goods, those goods that buyers normally do not think of buying, such as insurance, encyclopedias, and funeral plots. The following are the features of marketing concept (modern marketing concept, integrated marketing concept, customer orientation): i. Promotional and Communication Process: The ultimate objective of a firm is to maximise sales volume and profit. Marketing concept was initially met with a lot of resistance by managers because it sought to create a power shift from managers to customers. For instance, there are specialized products that appeal to a limited number of customers like shoes for astronauts or watches for deep divers. Selling is based on the premise that a consumer can be manipulated and cajoled into buying what is being sold. 4. Some of the products that have attracted criticism for their undesirable social effects include fast food (e.g., hamburgers and fries) and high calories laden drinks for causing poor health; tobacco, alcohol drinks, and cigarette for causing addiction; plastic containers and bottles for causing environmental degradation; high pollution and gas guzzling SUVs for causing pollution; fur and rare animal skin as well as exotic meat for threatening animal welfare; mining for causing ecological disturbance; blood diamonds for human rights violation; gambling services for causing addiction and insolvency; and prostitution for causing exploitation. All these functional areas of marketing must be effectively planned, organised and built effectively to achieve best results. In making these decisions he learns from experience to use an operating principle which simplifies his task and avoids substantial frustration. 1996). Competitors’ prices typically establish significant limits to the range of choice, but there is usually some discretion. Once the company has full information regarding marketing opportunities, they can formulate marketing strategies in the form of dynamic action-oriented formal plans to achieve mission, goal, and objectives. The processes are- (i) choice of the market (e.g., Apple operates in mobile handset market), (ii) selection of the target customer group (e.g., Apple does not cater to all customers in mobile handset market rather it targets the premium ones), (iii) determination of what customers in the target group need and want or what constitutes the concept of satisfaction (e.g., Apple understands what its target customers want in terms of usage ease, product touch and feel, instrument looks, and communication eco system), (iv) develop products or services in response to customer needs and wants (e.g., Apple devices like iPhone 6 is an outcome of product development in consonance with customer expectations), (v) plan how the product or service in question offers better satisfaction than competition (e.g., Apple devices score over its competitors in a number of customer significant ways such as aesthetics, appeal, and imagery). Those responsible for marketing should have good understanding of the various concepts and practices in marketing, communication, and analytical skills and ability to maintain effective relationship with customers, which will enable them to plan and execute marketing plans. Planning may be conducted on short term, medium term and long term basis depending upon the requirements. Marketing Management identifies market opportunities and comes out with appropriate strategies for exploring those opportunities profitably. Some of the aspects include opportunity identification by evaluating market size, growth rate, competition, distribution channels, profit potential, and other trends. Marketing management, like all other areas of management comprises of the function of planning, organising, directing coordinating and controlling. Followers of product concept philosophy keep on improving their products on a continuous basis. In this concept, they don’t focus on what customers need. This makes that task of understanding the consumer and designing an appropriate product much more difficult, however this is the only way a manufacturer can succeed in a competitive market. The reason behind coordination with other departments is that marketing cannot work in isolation. To ensure customer satisfaction, a company should encourage customer complaints, since it is seen from different studies that 96% of unhappy customers never tell the company about their dissatisfaction. Marketing process is a combination of different activities like research work to assess the marketing environment, product planning and development, promotion, distribution of product to customers and after sales service. The concept of marketing management involves marketing and management. Marketing Management Philosophies or 5 Marketing Concepts are; The idea of production concept – “Consumers will favor products that are available and highly affordable.” This concept is one of the oldest Marketing management orientations that guide sellers. Examples of Marketing Concept of Marketing Management Philosophies The success of the marketing concept depends on the enterprise-wide adaptation of marketing culture. Marketing Concept is the philosophy that an organization should analyze the needs of their consumers and then make decisions to satisfy those needs, better than the competition. According to him, “selling focuses on the needs of the seller; marketing on the needs of the buyer. Marketing management performs the task of setting marketing objectives. When a market consists of a small number of customers with highly specialized needs it is often labelled as niche market. 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