Rapid Adoption of Marketing Management
is a subject of growing interest in all sizes and types of organizations
with in and outside sectors in all kind of countries. We will commence
this descriptive overview of the rapid adoption of marketing management
by discussing about the different sectors adopting different approaches
to this concept.
In the Business sector
In this business sectors, marketing entered the consciousness of different companies at different times. General electric, General Motors, Protocter and Gamble, and coca cola were among the leader. Marketing spread most rapidly in consumer packaged good companies, consumer durables companies and industrial equipment companies – in that order.
Producers of commodities such as steel, chemicals,and paper came later to marketing consciousness ,and many still have a long way to go. Within the last decade consumer services firms, especially airlines and banks, have moved towards modern marketing is also beginning to excite the interest of insurance and stock brokerage companies and mutual funds although they have a long way to go in applying marketing effectively.
The Most recent business group to take an interest in marketing is professional services providers, such as lawyers, accountants, physicians, and architects. Professional societies, until recently, prohibited their members from engaging in price competition, client solicitation which was viewed as not acceptable practice and unethical. Accountants, Lawyers and other professional group are now allowed to advertise and to price aggressively.
The fierce competition engendered by the new limits on corporate growth is forcing accounting firms into aggressive new postures. The accountant insists on referring to their efforts to drum up business as “practice development”. But many of the activities that fall under this euphemism are dead ringers for what is called “Marketing” in other fields… Accountants speak of “positioning” their firms and of “penetrating” unexploited new industries. They compile “ hit list” of prospective clients and then “Surround” them by placing their firms’ partner in close social contact with the top executives of the target companies .
In the Nonprofit Sector
Marketing is increasingly attracting the interest of Non profit organization such as colleges, hospitals, police department , Museums, and symphonies. Consider the following development :
These organizations have market problems. Their Administrators are struggling to keep them alive in the face of changing consumer attitude and diminishing financial resources. Many institutions have turned to marketing as a possible answer to their problems. Over 10 percent of the nation’s hospitals now have a marketing director, in contrast to less than 1 percent a decade ago. U.S. government agencies are showing an increase interest in marketing. The U.S. postal service and Amtrak have developed marketing plans for their respective operations. The U.S army has marketing plans to attract recruits and is one of the top advertising spenders in the country.
Other government agencies are now marketing energy conversation, antismoking campaigns and other public causes. However the investment in marketing by these sectors is not huge as they are basically non-profit organizations. They are looking out for sponsors who would help them promote their cause. Things are getting a little better now for these organizations though. Consumers are beginning to take notice of these organizations than they were before. However the awareness has not reached upto the expected levels.
In the International Sector
Marketing Skills are found in many countries of the world. In Fact, Several European and Japanese multinationals – companies like Nestle, Beecham,Toyato and Sony – have in many cases out performed their U.S. competitors .Multinational have introduced and spread modern marketing practices throughout the world. This has prodded smaller domestics companies in various countries to start looking into ways to strengthen their marketing muscles so they can compete effectively with the multinationals.
Companies have realized today that by marketing alone they cannot prevail over the competition, but the marketing strategy has to be effective. Your product has to be marketed in such a way, that it sells its benefits and not its features. Consumers are looking more into the advantages of the products and what more it could offer from the existing products. Being innovative is also a way of attracting customers. Innovation is the keyword today when it comes to formulating strategies for marketing a product. The more innovative you are, the more attractive your product is.
In socialist countries, marketing has traditionally did not have a positive response. How ever, various functions of marketing, such as a marketing research, branding, advertising, and sales promotion, are now spreading rapidly. In the USSR, there are now over one hundred state- Operative advertising agencies and marketing research .several companies in Poland and Hungary have marketing department, and several socialist teach marketing.
They have started to realize the importance of marketing as it directly affects their company’s turnover and profits. There are a lot of professionals taking up marketing and advertising as their business and cater to the different needs of various companies. Such advertising and marketing firms are getting to become very popular in these countries.
Marketing has its origins in the fact that humans are creatures of needs and wants. Needs and wants create a state of discomfort in people, which is resolved through acquiring products to satisfy these needs and wants. Since many products can satisfy a given needs, products choice is guided by the concept of value and expected satisfaction. These products are obtainable in several ways: self – Production, coercion, begging, and exchange .
Most human society works on the principle of exchange, which means that people become specialist in the production of particular products and trade them for the other things they need. A market is a group of people who share similar needs. Marketing encompasses those activities that represent working with market that is, trying to actualize potential exchange.
Marketing management is the conscious efforts to achieve desired exchange outcomes with target market. The marketer’s basic skill lies in influencing the level, timing, and compositions of demand for a product, services, organization, place, person or idea.
Interest in marketing is intensifying as more organizations in the business sectors, the nonprofit sectors, and the international sectors recognize how marketing contributes to improved performance in the market place. It is important to understand the local culture, the people’s tastes and preferences and their wants to market your product effectively.
There is no use
in trying to sell a Mercedes Benz in a place like coimbatore or trichy
which does not boast of a market for it. Thus everything has to be taken
into consideration to design an effective marketing strategy, thus creating
a brand image for your product amidst the others on offer.
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