Concepts of Marketing

MARKETING CONCEPT:

1. Marketing must be Customer Oriented.

⎯ The planning and operation must be directed towards customer orientation.
⎯ The whole marketing organization and its operating staff must be focused on determining what will
satisfy the needs and wants of the target customers, the important link in the business operation.

2. Marketing must be Coordinated Activities

Coordination activities must start in the product planning process, the process.

• Product is the key element that the customer wants to buy that is worth his money.
• Price is another important component as customers would like to get his money’s worth.
• Place of distribution must be within his reach and the promotional activities must be appealing
for him to decide which product to purchase.

3. Marketing must be able to achieve the Performance Target Goals and Objectives.
⎯ Customer-oriented and coordinated marketing aims to achieve its profit, objectives and goals.
These goals and objectives hinge on the increase in sales volume and customer’s patronage.
⎯ When product planning, price, promotion and distribution and properly coordinated, it will result in
the most effective way of satisfying the customer’s needs and wants. The sales volume and profit
objective will be realized.

Developing Marketing Concepts

Factors for Developing Marketing Concepts

1. Capturing Marketing Insights

• The overall direction must focus on its vison and mission.
• The organizational goals and objectives must be directed towards the creation of value to its
customers. These must be the inherent philosophy of the marketing organization.
• The functional areas in the marketing organization must be focused towards its ultimate set of
tasks in the building of long-lasting relationship with its target market

2. Effective Financial Management System

• This system in the procurement of quality and affordable materials for processing of the product
is a vital component in effective operation of the marketing system.
• The competition in the market is based on affordable quality products where labor and materials
interplay in their production.
• Financing the marketing program will develop effective sales program that will bring in
sustainable profitability.

3. The Value of Human Resources

• All business activities need human resources in their operation.
• The employees must be committed in the production of quality products and the delivery of
quality service. They must develop work ethics and strong commitment to the marketing efforts
of the organization. Sustainable development and progress rest with people who are willing to
put all efforts towards the organizational objective of quality products and service.

4. The Production Process

• The process must conform to standards in terms of product quality.
• The race to economic profitability is the production of products that shall satisfy the customer’s
wants and needs.
• The role of marketing is to sell more products, but it must conform to customer demand.
Production may produce so many products, yet they are useless inventory when they fail to
reach their target market. Marketing efforts will turn them into profitable inventory.