What is marketing, how it works and why it is important for every business, and what definitions are explained by marketing experts?
I am gonna explain everything about marketing right in this article below:
What is marketing?
Marketing is an art of getting peoples to know about those products and services that are provided by the organizations in the market.
It includes all those processes by which the organizations conduct buying and selling activities of a product and services for the success of its business.
It’s all about identifying the human needs & wants and fulfill them by providing those products and services that meet their needs.
Marketing may be described as the process of formulating and implementing those strategies by firms which ensures that there’s a continuous flow in satisfying human needs and wants by providing those goods and services according to their demand.
The main objective of marketing is to focus on its customer’s problems and solve their problems according to their requirements.
Marketing is a communication process that can be used to deliver a consistent and clear message to the target audience.
It helps marketers to communicate with their audience and understand what are their needs and wants. Based on their customer’s requirements, the organization must provide those goods and services that satisfy all their needs & wants and help businesses to make a trustful relationship with their existing and new audience.
Communication helps marketers to get instant feedback from customers about the products and services that they are offering in the market.
So, it helps organizations to build up a strong relationship with their existing customers and attract new customers.
You know, there is an endless number of marketing definitions. But some of its are mentioned below which are explained by the following expert’s:
According to “American Marketing Association (AMA) “–
Marketing is the activity, set of institutions, and the processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners and the society at large.
Philip Kotler* defines –
Marketing is a social and managerial process by which individuals and groups obtain what they need and want through creating, offerings and exchanging products of value with others.
Peter Drucker* defines Marketing as –
Marketing is not only much broader than selling, but it also is not a specialized activity at all. It encompasses the entire business. It is the whole business seen from the point of view of the final result, that is from the customer’s point of view. Concern and responsibility for marketing must, therefore, permeate all areas of the enterprise.
Chartered Institute of Marketing (U.K) * has defined marketing as –
The management process which identifies anticipates and supplies customer requirements efficiently and profitably.
In the words of Stanton* –
Marketing is a total system of interacting business activities designed to plan, price, promote, and distribute what satisfying products and services to present and potential customers.
It is a persistent and continuous process it means it will be a never-ending process because organizations make continuous plans for the smooth running of marketing campaigns and also provide products and services in the market regularly.
Marketing means to be successful only when it satisfies the customer’s expectation and also generates maximum profits for the organization in the long-term period.
How Marketing Works For Businesses
Four P’s of marketing includes:
Now, let’s understand what are these terms i.e. Product, Price, Place, and Promotion means –
Product: Products are those goods and services that the customer wants to satisfy their needs and wants. A product can either be tangible goods or an Intangible Services which have a bundle of utilities. The organizations must need to determine what products are to be produced according to the market demand and the needs of society.
Price: Price is the cost of a product that the customer pays to buy those particular products and services that are needed by them to satisfy their needs and wants. Pricing decisions need to be taken by the firms by keeping in mind – what would be the price of that particular product which helps the organization to sell its products in the market successfully.
Place: In this element of marketing mix the organizations must need to determine where the product to be distributed. This element of the marketing mix involves – putting the right product, at the right place and at the right time.
The marketers must need to decide where the product would be available and which market is best suitable for the availability of the product so that there’s a continuous selling of that particular product.
Promotion: This element involves advertising, personal selling, sales promotion, and public relations. The business firms must decide how to reach the customer so that they must educate them about those products and services that are offered by the organization in the market.
Here, marketing play’s a major role in spread awareness about the products. So, people’s buy those products and become the customer of that particular organization.
Why marketing is important?
Marketing plays a very important role in the success of every business. Marketing tells the people about businesses and their offerings which ultimately helps business firms to grow and survive long in the market.
Let’s see the following importance of marketing which is mentioned below:
Helps in increasing sales: Marketing ultimately helps businesses to increase their sales by spreading their words in the market about their products and services that are offered by them.
So, the customer aware of those goods & services and buy them, which results in increasing the sales of the organization’s product.
Marketing builds up your brand: It helps your business to grow faster. As branding is a part of marketing, it defines your business identity in the market. So, people know exactly what they are going to get when they come to your business.
Marketing helps in making a long-term relationship with customers because they trust in your business and they know better about what they are going to get.
It helps your business to be a brand in the market because marketing helps businesses to promote their products and services with their name as a brand. Brand tells what the business is about and how it is useful for its customers.
Increase the standard of living: Marketing’s broader importance extends to society as a whole. Organizations bring new products and services in the market and peoples buy those products and services to fulfill their needs which helps them to raise their standard of living. Marketing has helped to gain acceptance of new products and services that have eased people’s lives.
Marketing supports societies to raise their standard of living by providing goods and services according to their needs and contribute to improving their livelihood. People buy those goods & services for their survival and which also ease their life.
Creating employment: Marketing helps an organization to build demand for products and services in the market which in turn it generates sufficient amount of employment for the society which helps societies and people to enrich their life by improving their level of income.
For instance – when there is an increase in demand for products and services in the market then there will be a need for more employees in the organization who can handle all the product units, supplies and other operational work in the organization.
Satisfying customer needs and wants: Marketing allows organizations to identify the needs and wants of their consumers and produce those goods and services accordingly. So, the organizations adopt those strategies which help them in fulfilling the needs and wants of their customers and the society.
After providing products and services, the organizations start connecting with their customers and getting feedback about those products that they already purchase from them. They will ask their customers that they satisfied with the company’s product or not. If not satisfied then they ask what changes need to do for the improvement of products and services. So that they can provide better products in the future.
Marketing assists in making decisions: Organizations need to find a solution to various problems such as:
- What to produce
- How to produce
- How much to produce
- When to produce
- For whom to produce
Various marketing strategies are needed to adopt by the business to solve the problem about –
what type of products a business needs to produce which helps them in satisfying their customer needs and wants.
how to produce – what type of material, technology, and resources are needed to use that helps in producing those goods which assist the organization to consistently meet their customer expectations and requirements.
In what quantity the products need to produce so that there is no shortage of products in the market. Marketing helps in identifying a solution to this problem by making various strategies.
when to produce – to identify this problem, the marketer needs to determine when to produce the product i.e. what would be the right time to produce a particular product. For example, if a company want to produce cool talc powder for rashes and sweat problems which are the most common problem that many people may face during the summer season. So, the company needs to identify what season would be best to produce cool talc powder which helps its customers in solving their problems.
For whom to produce: In this problem, the organizations must need to determine what categories of peoples are reside in the society i.e. whether those people have the ability to consume those products or not. So, the organization needs to decide how the product to be avail at an affordable price in the market so that anyone can consume it whether they are rich or poor.
Some key facts about marketing
There are some key facts about marketing which I want to discuss with you. Let’s look below to know what are those key facts:
- None of any business can survive long without marketing.
- Marketing is a crucial process but it is the vein of every business because it studies what customer wants, what products are needed in the market and also marketing assists in taking the decision about what product needs to produce, how to produce when to produce and for whom to produce. All these decisions are taken by analyzing all those marketing factors.
- It helps every business to take a position in the market place and also assists how to compete with their competitors. It supports the organization to make a trustful relation with its customers. It involves both market strategy and market research.
- Making a marketing strategy is a formulated process in which an organization understands its mission, vision, competitors, and market, which ultimately guide them to accomplish their organizational goals and objectives effectively and efficiently.