principles of marketing

Marketing (definition one)

The management process responsible for identifying, anticipating, and satisfying customer requirements profitably

Marketing (definition two)

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

Customer

Someone who buys

Consumer

Someone who uses the offering

Marketing orientation

When a business recognises the importance of marketing within the organisation (e.g. hiring a marketing person as a CEO)

Market orientation

When a business works to understand what customers want now and in the future, shares this information across the whole company and uses it to make decisions

It focuses not only on customers but also on competitors, with different departments working together

Relationship marketing

The shift from customers’ acquisition to customers retention

Service-dominant logic

Argue that organisations markets and society are concerned fundamentally with exchange of service; it rejects the notion of dualist between goods and services marketing arguing that all offerings provide a service

• The marketing mix (4Ps)

1. Product

2. Place

3. Price

4. Promotion

Product

The offering and how it meets customers needs, it’s packaging and labelling

Place (distribution)

The way that the consumer can access the product

Price

The amount of money that customers must pay to obtain the product

Promotion (communication)

The way in which the offering’s benefits and features are communicated to the potential buyer

Need

A need is a perceived lack of something

Want

A want is a specific satisfier for a need

Wants become demands when the potential buyer has the means to pay for the product

Sustainable development

Development that meets the needs of the present without compromising the ability of future generations to meet their own needs

Green marketing

Used to describe marketing activities which attempt to reduce the negative social and environmental impacts of existing products and production systems, and which promote less damaging products and services

Ecological marketing (1970s)

Reassuring customers with end of pipe solutions that mitigate pollution

Environmental marketing (1980s)

Creating new markets and competitive advance for business through desirable green products and services

Sustainability marketing (1990s onward)

Considering the full socio-environmental costs of production and consumption to promote a more sustainable economy

The 3 Es of sustainability

1. Ecological

2. Equitable

3. Economic

Ecological

Marketing should not negatively impact the environment

Equitable

Marketing should not allow or promote inequitable social practices

Economic

Marketing should encourage long term economic development as opposed to short term economic development

Circular economy opportunities

1. Reduce operating costs

2. Improve competitiveness

3. Strengthen relationships

Circular economy risks

1. Higher commodity prices

2. Waste

3. Environmental impact

4. Earth overuse

5. Resources scarcity