PRINCIPLES OF MARKETING

MARKETING

 A form of communicating or promoting the value of product, service or brand to the consumers.
 The American Marketing Association(AMA) 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.
 The Philippine Marketing Association (PMA) defines marketing as a ‘’science and a profession
guided principally by the principles of ethics, corporate citizenship and corporate social
responsibility’’.

GOALS OF MARKETING

1. Understand the market and its consumers and satisfy their changing needs and wants.
2. Introduce and innovate products and services that improve human condition and the quality
of life.
3. Design and implement effective customer-driven marketing strategies.
4. Develop marketing programs that deliver superior value to consumers.
5. Build and maintain mutually beneficial and profitable customer relationship.
6. Capture customer value to create profits
7. Promote value transactions with full regard to the well-being of societies.

TRADITIONAL APPROACHES TO MARKETING

 focused on production methods, product quality and effective method selling method
as profit drivers in marketing.
1. The Production Concept
 assumes that customers prefer products that are inexpensive, affordable
and widely available. Efforts are concentrated toward expanding
distribution and improving production efficiency. The objective is to
lower production costs resulting to lower prices.
2. The Product Concept
 assumes that customers will always prefer and patronize products of
high quality. Resources are focused on product improvement and
innovation. Product attributes and features are continously enhanced.
3. The Selling Concept
 emphasizes aggressive selling and promotional efforts. It assumes that
costumers are generally timid and must be persuaded into buying. The
objective is to sell what is manufactured rather than manufacture what
the market wants.

CONTEMPORARY APPROACHES TO MARKETING

  centered on the customer, relationship and well-being of the society.
1. The Marketing Concept
 considers the needs of both the customers and the product offered. The objective is to
provide a solution to the customer’s actual or perceived problem. The key is to be more
effective in creation, communication and delivery of this value to customer.
2. The Relationship Marketing Concept
 believes that all marketing activities are for the purpose of establishing, maintaining and
strenghtening meaningful long-term relationship with customers.
 extensive customer database are created, maintained and updated. Customers profiles,
purchase habits and preferences are tracked and monitored to ensure that customer’s
needs are fulfilled and the relationship with them is maintained.
3. The Societal Marketing Concept
 similar to marketing concept. However, beyond providing solutions to customers, SMC
includes considerations that protect the customers’ well-being and interests, as well as
the interests of the environment and society.
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