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Marketing Fundamentals

“As the environment changes, so organisations must adapt to maintain strategic fit between their capabilities and the marketplace” David Jobber (1995)

Where are you now?
How did you get there?
Where are you heading?
Where would you like to be?
How do you get there?
Are you on course?

  • Production – The improvement of production and distribution, in order to achieve a reduction in costs and improved efficiency.

  • Product – The quality of the product is paramount. Focus on product not customers’ needs

  • Selling – Effective selling and promotion are the major drivers to success

  • Marketing – Focus on providing the goods and services that will satisfy the needs and wants of consumers.

  • Relationship Marketing – Emphasis is placed on the whole relationship between suppliers and consumers. The aim is to give the best possible attention, customer services and therefore build customer loyalty

  • Societal Marketing – Similar characteristics as marketing orientation but with the added proviso that there will be a curtailment on an harmful activities to society, in either product, production or selling methods.

Adcock, Halborg & Ross (2001) Marketing: Principles & Practice 4th ed

Market Driven Businesses

Internally Oriented Businesses
  • customer concern throughout business
  • know customer choice criteria and match with “Mix”
  • segment by customer differences
  • invest in market research
  • welcome change
  • try to understand competition
  • marketing spend regarded as investment
  • innovation rewarded
  • search for latent markets
  • strive for competitive advantage
  • convenience comes first
  • assume price and product performance are the key to most sales
  • segment by product
  • limited research effort
  • cherish status quo
  • rubbish competition
  • marketing spend regarded as a luxury
  • innovation punished
  • static markets
  • happy to be “Me Too”

Marketing Vs Product Orientation

Product Orientation
  • Production Capabilities > Manufacture Product > Aggressive Sales Effort > Customers

Marketing Orientation
  • Customer Needs > Potential Market Opportunities > Marketing Products and Services > Customers

The Marketing Process
  • Adopt the Marketing concept and put customers first
  • plan and organise so that this happens
  • Find out what customers need and want
  • carry out market research
  • Supply “Satisfactions” for those needs and wants
  • provide the right marketing mix; product, price, promotion, place