marketing impact: 1. the purpose & contribution of marketing; 1.1 - assess the purpose of marketing in an organisation

containing 1.1 - assess the purpose of marketing in an organisation

1.1.1 the definition of marketing (m)

CIM: the management process responsible for identifying, anticipating & satisfying c requirements profitably; new: c = heart of m (not-for-profit & public-sector org), wider purpose (sustainability/org purpose/TBL), everyone contributes; m changed: digital tech/personalisation/AI/sustainability/increasingly knowledgeable c; m = exchange process: org/c/suppliers (each party = value - money/goods/services), economically: m matches supply & demand by exchanging goods/services for money (success: org match c needs); org resources: employees skill/experience, production capabilities, R&D, other resources/expertise; org offering (4ps): product/service, price, place/distribution, promotion; m gains feedback after sale: comments/referrals/WOM/complaints; m = continuous process: understand market - create suitable offering - communicate with c - learn from responses

1.1.2 identifying, anticipating & satisfying customer needs & wants

c purchase decisions influenced: practical requirements/personal preference/perception/emotion; c buying: experience/feeling/desired outcome (eg revlon cosmetics: feel more attractive, car safety, football teams: loyalty when losing = belonging/community/identity, merch reinforces); m anticipate future n/w: research & listen to c/monitor c behaviour changes/emerging trends/tech & social development/forecast demand changes (maybe unexpected), m = org eyes/ears/voice of c; satisfaction = how well offering meets c requirements, product suitability = subjective, not just measure satisfaction but exceed expectations/positively surprise c/relationships, c understanding about wants: what/why/where/how using/how much afford to pay/what purchase criteria matter most; m = org survive & invest ideas/tech/projects but not-for-profit org = surplus not profit, TBL = org success across 3 dimensions: economic, social, env; relationship marketing: attracting/maintaining/enhancing c relationships = customer lifetime value (LTV, Huggies free nappies & vouchers in hospital), investing in relationships over immediate sales

1.1.3 marketing as a philosophy, culture & orientation

everyone contributes: dealing with c/collect feedback/identify opportunity/suggest ideas/support development & after-sales service/communicating org purpose, objective, brand image; market-oriented org: share customer-focused approach; m as business culture & philosophy: satisfy c n&w/drive c & stakeholder value in competitive markets/respond: trends & changes/inform decisions/create comp adv/develop market orientation/identify growth opportunities; m orientations: product o (quality/features/design, develop products before researching demand, l: fails if doesn’t meet c needs), production o (high output/low costs/maybe lower prices, mass production & EoS, cost leadership, l: overlook quality & c preferences), sales o (aggressive selling/promotion/immediate revenue, short-term transactions over long-term relationships, narrower: promotion & communication support sale of existing products), market o (c needs first then develop to meet: long-term c relationships, considers entire offering - price/availability/benefits/service, adapts: c = diff needs & segments, aka: customer-centricity); selling = seller needs (products-cash) m = buyer needs (understand/satisfy c, market o: sell what c want); market-driving behaviour: make target c needs/wants motivation for business decisions; customer-centricity: understand c needs/expectations, develop suitable products/services, coordinate product/price/distribution/service, recognise diff c segments, maintain relationships over time, adapt to changing needs/wants

1.1.4 creating customer & stakeholder value

c value not same as price, org increase value: better meet c needs/expectations, higher c value = comp adv (eg cyclical marketing-value process McDonald: define markets & understand value - create value proposition - deliver value - monitor value), delivering value = responsibility of whole org, c satisfaction should be business objective (support retention & sustainable comp adv); c acquisition: identify & attract potential c, raise awareness; c conversion: persuade potential c to try/buy; c retention: maintain relationships; c loyalty benefits: buy more & more often/pay more/additional products same supplier/recommend supplier/forgive lapses/avoid alternatives/think switching = risky/boost employee satisfaction; recruiting new c costs 5x more; stakeholder value: keep informed & meet needs, wants can conflict (shareholders higher dividends, employees higher salaries, suppliers better prices, customers better products at lower costs); stakeholder mapping: org assess stakeholders & determine attention required, 8 types stakeholder interaction: partners (actively support agenda), allies (support if motivated), passive supporters/fellow travellers (support agenda but not personally committed to org), fence sitters (unclear allegiance), loose cannons (different agenda, unpredictable), opponents (oppose agenda & possibly org), bedfellows (support agenda but don’t trust org), voiceless (little power, used by opposition groups)

1.1.5 achieving competitive advantage

comp adv: gained by offering c greater value (lower prices or greater benefits that justify higher prices); m supports comp adv: monitor comp & external env/conduct m research/identify org s&w/understand which product attributes differentiate org/identify attributes c value most/recognise changing needs/identify existing & emerging comp/detect opportunities & threats/recommend changes to strategy & tactics; marketing audits assess int/ext env = identify ways to improve market position; org gain advantage offering: lower prices/better benefits & service/more suitable overall offering/stronger c experience/brand c value & trust

1.1.6 delivering change based on trends & information

m looks outward at marketplace & well placed to recognise changes that affect org, role involves: scanning int/ext env/researching c habits & attitudes/collect info/identify trends/analyse data to produce meaningful intelligence/recommend/catalyst for org change/drive changes to remain competitive (m = org eyes/ears/mouth & grey matter - thinking/decisions); m info reveals: changing c preferences/emerging c needs/comp activity/market opportunities/threats to existing products/opportunities for new products/changes to pricing, positioning & promotional activity; m contributes: strategic decisions + day-to-day operational decisions

1.1.7 agility & flexibility of response

agility & flexibility: respond to new info/opportunities/threats before comp or disappear; 5 factors support agility: delegated responsibility to employees/org culture encouraging innovation & creativity/good change-management skills/willing to take risks & be first mover not follower/flexible approaches to plans & planning; smaller org agility = easier (fewer management layers & shorter decision-making processes); agility purpose: enable org to act on market intelligence quality, respond to changing c needs & maintain comp position

1.1.8 identifying opportunities for growth - ansoff matrix

m & org growth: m collects & analyses market info to generate insights/set objectives/determine strategy & tactics/deliver changes needed for growth, env audits & SWOT analysis = identify o&t + s&w; ansoff matrix: market penetration (ep, em), product development (np, em, link: new product or service development NPSD), market development (ep, nm), diversification (np, nm)