Wikipedia defines the term marketing as “an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.”
But this is a bit too small. The emphasis seems to be on marketing communications, which is a large, important part of it but not the only part.
I define marketing as the process of “finding out what people what and giving it to them.” This, too, is not exactly right. Henry Ford famously said, “If I had asked them what they wanted, they would have said ‘faster horses’.”
But I’d like to challenge the Wikipedia definition. My definition has to do with the four P’s of marketing, starting with product. The iPod came onto the market long after many other MP3 players were being sold. But the others were complicated and it was hard to figure out how to get music into the thing. Apple figured out how to make the iPod operation drop-dead simple, invented a means of buying and instantly downloading music, and the rest—as they say—is history. #bizville #marketing
Next is price. Very important. At what threshold is this product going to be attractive enough for me to part with my hard-earned cash to get it. The choice ranges from premium pricing that pays for features and benefits without peer in its competitors (i.e., iPhone), all the way down to commodity pricing, where other elements, such as getting the best deal, is the most important attribute (i.e., gasoline). (Of course, there are situations where the brand and the image it conveys upon the customer demands premium pricing, as in Rolex.)
Today, place, or distribution, is more important than ever. If I have a choice between instantly reading a book that I just downloaded, or driving to the mall and paying full retail, I just might prefer to stay at home in my bunny slippers. Distribution, that is, the ability to get a produce instantly or quickly delivered without the customer physically entering a brick-and-mortar building, is a powerful incentive. This is true whether we are talking downloadable items or office supplies.
Even for hard merchandise, the internet offers unimaginable opportunity for sales through just-in-time delivery and improvement in customer service.
Then we come back to promotion. Today’s emphasis on inbound marketing (so called pull marketing) makes this function a full life-cycle activity, from product mention in a blog entry to cultivating after-market sales to nurture loyal customers. Instead of buying more magazine advertising, its time to put that energy into managing your social media where people are making a buying decision long before the marketing department knows they exist.
(Source: bizville.com)
2 weeks ago