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