Marketing is the process of identifying, anticpating, predicting and satisfying customer needs profitably.
- Where a business sells into the largest part of the market where there are many similar products on offer.
- Attempts to create products or services with a univeral appeal
- Leads to generic brands
- Appeals to the entire market
- Can be profitable despite high prices
- Associated with higher production output and capacity (economies of scale)
- Success usually associated wtih low cost operationsm heavy promotion, widespread distribution or market leading brands
- Appeals to a small segment of the whole market
- Sells relatively small volumes
- Usually distributed via specialist retailers or directly
- Appeal to distinctive needs, charge higher prices
- Cannot benefit from economies of scale
- Risk of over dependance on a single product or market
- Likely to attract competition
- Vulnerable to market changes
Forms of Marketing
Consumer marketing: Carried out by firms that targrt their products at households and the general public.
Business to business marketing: the practive of businesses or governments facilitating the sale of their products to toher companies that can use them or resell them.
The Marketing Mix
The marketing mix deals with the way in which a business uses price, product, distribution and promotion to market and sell its product.
An effective marketing mix needs to meet customer needs, achieve objectives and creates a compeitive adv for the business.
Influence on the Mix
Marketing directors must decide how big a budget is required
Long term sucess in marketing requires firms to kepp up with changes and invest in technology
- MArket Research
All firms need to be in contact with their customers and this is what makes it easier for small business to adapt to what a customer needs and wants