A market-focused, or customer-focused, Cheap Car Gps organization first determines what its potential customers desire, and then builds the product or service. Marketing theory and practice Cheap Car Gps is justified in the belief that customers use a Cheap Car Gps product or service Cheap Car Gps because they have a need, or because Cheap Car Gps it Cheap Car Gps provides a perceived benefit.
Two major factors of marketing are the recruitment of new customers (acquisition) and Cheap Car Gps the retention and expansion of relationships with existing customers (base management). Once a marketer has converted the Cheap Car Gps prospective buyer, base management marketing takes over. The process for base management shifts the marketer to building a relationship, nurturing the links, enhancing Cheap Car Gps the benefits that sold the buyer in the first place, and improving the product/service continuously to protect the business from competitive encroachments.
For Cheap Car Gps a marketing plan to be successful, the mix of the four "Ps" must reflect the wants and desires of the consumers or Shoppers in Cheap Car Gps the target Cheap Car Gps market. Trying to convince a market segment to buy something they don't want Cheap Car Gps is extremely expensive and seldom successful. Marketers depend on insights from marketing research, both formal and informal, to Cheap Car Gps determine what consumers want and what they are willing to pay for. Marketers hope that this process will give them a sustainable competitive advantage. Marketing management is the practical Cheap Car Gps application of this process. The Cheap Car Gps offer is also an important addition to the 4P's theory.
Within most organizations, the activities encompassed Cheap Car Gps by the marketing function are led by a Vice Cheap Car Gps President or Director of Marketing. A growing number of organizations, especially Cheap Car Gps large US companies, have a Chief Marketing Officer position, reporting to the Chief Executive Officer.
The American Cheap Car Gps Marketing Cheap Car Gps Association (AMA) states, �Marketing is the activity, set of institutions, and processes for creating, Cheap Car Gps communicating, delivering, Cheap Car Gps and exchanging offerings that have value for Cheap Car Gps customers, clients, partners, and society Cheap Car Gps at large.".
Marketing methods are informed by many of the social sciences, particularly psychology, sociology, and economics. Anthropology is also a small, but growing Cheap Car Gps influence. Market research underpins these activities. Cheap Car Gps Through advertising, it is also related to Cheap Car Gps many of the Cheap Car Gps creative arts. Marketing is a wide and heavily interconnected subject with extensive publications. Cheap Car Gps It is also an area of activity infamous for Cheap Car Gps re-inventing itself and its vocabulary according to the times and the culture.
Many companies today have Cheap Car Gps a customer focus (or customer orientation). This Cheap Car Gps implies that Cheap Car Gps the company focuses Cheap Car Gps its Cheap Car Gps activities and products Cheap Car Gps on consumer demands. Generally there are three ways of doing this: the customer-driven approach, the sense of identifying market changes and the product innovation approach.
In the consumer-driven approach, consumer wants are the drivers of all strategic marketing decisions. No strategy is pursued Cheap Car Gps until it passes the test of consumer research. Every aspect of a market offering, including Cheap Car Gps the nature of the product itself, is driven by the needs of potential consumers. Cheap Car Gps The starting point is always the consumer. The Cheap Car Gps rationale for this approach is that there is no point spending R&D funds developing products that people will not buy. History attests to many products that were commercial failures in spite of being technological breakthroughs.
A formal approach to this customer-focused marketing is known as SIVA[3] (Solution, Information, Value, Access). This system is basically the four Ps renamed and reworded to provide a Cheap Car Gps customer focus.
The SIVA Model provides a demand/customer centric version alternative Cheap Car Gps to the well-known 4Ps supply side model (product, price, place, promotion) of marketing management.
In a product innovation approach, Cheap Car Gps the company pursues product innovation, then tries to develop a market for the product. Product innovation drives the process and marketing research is conducted primarily to ensure that a profitable market segment(s) exists for the innovation. The rationale is that customers may not know what options Cheap Car Gps will be available to them in the future so we should not expect them to tell Cheap Car Gps us what they will Cheap Car Gps buy in the future. However, marketers can aggressively over-pursue product innovation and Cheap Car Gps try to overcapitalize on a Cheap Car Gps niche. When pursuing a product innovation approach, marketers must ensure that they have Cheap Car Gps a varied and multi-tiered approach to product innovation. It is claimed that if Thomas Edison depended on marketing research he would have produced larger candles rather Cheap Car Gps than Cheap Car Gps inventing light bulbs. Many firms, such as research and development focused companies, successfully focus on Cheap Car Gps product innovation (Such as Nintendo who constantly Cheap Car Gps change the way Video games Cheap Car Gps are played). Cheap Car Gps Many purists doubt whether this is really a Cheap Car Gps form Cheap Car Gps of marketing orientation at Cheap Car Gps all, because of the ex post status of consumer research. Some even question whether it is marketing. |
