Marketing Essentials Ms. Roberts EWHS Unit 2 The Marketing Concept and Benefits of Marketing
The Marketing Concept A philosophy about the way in which business should be conducted. The philosophy is that the CUSTOMER is the central focus of everything that is done in marketing.
The Primary Goal? CUSTOMER SATISFACTION! In other words, satisfy the needs and wants of the customer-give consumers what they want. The marketing concept states that businesses must satisfy customers needs and wants in order to make a PROFIT.
The THREE C’s- Elements of the Marketing Concept Company Commitment Company Goals Customer Orientation
Remember the two main objectives of Businesses… 1) To satisfy the customer’s needs and wants. 2) To make a profit. Why does a person “market” his product? To increase profits and To remain competitive
Focusing on Customer Satisfaction Think of Toyota What examples can you think of?
Benefits of Marketing- Part 2 1) Raises the Standard of Living –what does SoL mean? 2) Adds Utility to Goods and Services 3) Makes buying convenient (how?)
More Benefits… 4) Maintains Reasonable Prices 5) Improves the quality of life (how?) Examples? Childproof caps, seatbelts, airbags, flame-resistant infantwear and pajamas. 6) Provides a variety of goods and services. 7) Increases production.
Without Marketing-Part 3 Less Competition Increased Personal Contact with Businesses (Producers & Sellers) Less Variety in Products Fewer Product Improvements Fewer Products Developed Increased Stock Shortages or Overages Inconvenience- Customers wouldn’t know anything about the products
Why is Marketing Important? Increased production capacity (Economies of Scale) Increased buying power of consumers Need for coordinating production and consumption Majority of businesses in the USA are marketing type businesses 1/3 -1/2 of all workers are in marketing jobs*. $ of every sales dollar goes to cover the cost of Marketing
* Occupational Handbook Outlook Numbers vary and depends on the definition of “Marketing type jobs”. THE END