Marketing Idea Financial Definition Of Advertising Concept

During its production, the automobile market attracted more competition. Not only did the competition begin to offer cars in other colors, the styling of the competition was viewed as modern and the Model T became considered as old-fashioned. Henry Ford’s sons were aware of the changes in the automobile market and tried to convince their father to adapt.

The Marketing Concept is not the only philosophy of doing business. In fact, the Marketing Concept often is characterized as just one point on an evolutionary continuum of business philosophies. The marketing concept has evolved from earlier concepts and is itself evolving into others.

Value, from the buyer’s perspective, is the product or services’ capacity from which he/she derives a level of satisfaction. If the satisfaction is low, it means that the product or service has low value to the customer. Satisfaction is a state of the mind and can’t be measured because it’s unquantifiable.

The purpose and aim of the societal marketing concept is to make companies realize that they have a social and environmental responsibility, and that’s much bigger than their short terms sales and profit goals. Companies should produce and operate towards a sustainable future for the whole society, companies are a part of the society and they should behave like one. It follows a very simple strategy that marketers do not look for the right customers of their product; instead, they produce the right product for their customers. Marketers try to bridge the gap between the customers and the company’s products.

The marketing concept is a process when a company plans and implements to maximize profit by increasing sales, satisfying customer’s needs and beating competitors. The purpose is to create a situation that benefits both parties; customer and the company. Yet it is easy for managers to forget the marketing concept and philosophy. For example, many years ago—before there was a Subway on every corner—a college student opened a small submarine sandwich shop near his university’s campus. By using the marketing concept, the young entrepreneuer had recognized an unmet need in the student population and opened a business that met that need. The Ford Motor Company is also a good example of the selling philosophy and why this philosophy does not work in many instances.

In this strategy, marketers think that if customers don’t like the company’s product, then they’ll buy something else and forget about their old shopping experience. The whole idea of sale concept is based on the false assumption, that the customers don’t remember their past shopping experience. When businesses produce low-cost products, then they follow a vast distribution strategy to reach more audiences. By targeting more people, they can increase their productivity by expanding their market.

Marketing Concept

Marketing concepts led to the setting up of a separate marketing department in companies. Today, many companies have restructured them as marketing firms where each employee contributes towards customer satisfaction, regardless of whether they are marketing personnel or not. There is a point to be made here — proper implementation of the marketing concept requires sound research into what customers want and need. This means that carefully conducted and evaluated marketing research is an essential component of the marketing process. Often , status-related wants and needs emerge and become dominant. The company that forgets to track these changing wants and needs, and still continues to practice the same business philosophy, will get itself into trouble.