What is marketing: its types, goals, objectives and functions

The buzzword "marketing" is found at every step. He has over 500 definitions, each of which is correct. In this article, we will look at what a market making service is and why good marketing management in an enterprise is so important.

What is marketing in simple words

As we said, the word has over 500 definitions. Marketing is a business process that rarely gets fully understood. This concept includes "naming", "branding", "segmentation", "positioning". Let's turn to the classics to understand the essence of marketing.

"Marketing is the art and science of choosing the right target market, attracting, retaining and increasing the number of consumers by creating confidence in the buyer that it represents the highest value for the company", as well as "an orderly and purposeful process of understanding consumer problems and regulating market activities." - Philip Kotler.

Philip Kotler is familiar to every marketer. His works have not become obsolete for several decades. Kotler is the founder of the theory of marketing and who, if not him, should be defined. Philip Kotler talks about the target market and keeping the consumer confident that he is the highest value for the company, so, according to Kotler, the consumer and his problems should come first for the company.

A simpler definition is given by the American Marketing Association: "Marketing is the implementation of business processes in the direction of the flow of goods and services from the manufacturer to the consumer."

Everything is correct, clever, however, both definitions are not entirely clear. In simple terms, a short definition: marketing is the activity of a company to meet the needs of consumers, with the subsequent receipt of profit.

The point is to sell a product or service to a consumer and make a profit at the same time.

Goals, objectives and functions

The main goal of marketing is to achieve the desired position of the company, product positioning and sales thresholds, as well as to make a profit.

To achieve this goal, marketing solves the following tasks:

1. Analysis of the market, customers, competitors.

2. Analysis of pricing.

3. Development of the company's pricing policy.

4. Working with a range of products or services, creating promotions.

5. Service maintenance.

Each organization has its own tasks, we just listed the most common of them. When solving problems, marketers are guided by the following principles:

1. Study of the features, capacities of the company.

2. Planning, development of methods for the sale of goods.

3. Segmentation of buyers.

4. Range renewal.

5. The company's response to changing demand.

Most authors are of the opinion that marketing serves the following 5 functions:

• Analytical . A study of the factors that influence the company, as well as an analysis of the needs of customers and their satisfaction with goods. The analysis is carried out in order to maintain the competitiveness of the enterprise.

• Production . Development and creation of new methods and techniques for better organization of production and marketing of goods and services. This function also includes quality management and improving the competitiveness of the product.

• Management and control . Responsible for risk and information management, as well as creating a communication system between departments.

• Sales . Building a sales policy and cost system. Also, the function provides goods movement and an increase in demand for products.

• Innovation . This feature comes into play when a company develops a new product or service.

To achieve the goals, methods such as advertising, propaganda, consultation, demand monitoring, analytics, assortment planning, etc. are used. Conducting surveys and PR are very popular.

Tools

Consider the most effective marketing tools that can be used in any organization.

Commodity policy

This tool is based on the following principle: you need to produce what is in demand in the market, and not try to sell what is already perceived by the consumer as “commonplace”. The category of commodity policy includes such levers as:

• products;

• package;

• trademark;

• customer service.

With these levers, you can create the perfect tool that applies exclusively to your company.

Price policy

The pricing policy includes such levers as pricing, the formation of a customer loyalty system, a strategy for the cost of goods / services. The pricing process depends on many factors, including costs, costs and risks. Well-placed levers help to optimize the cost and make it comfortable for both the seller and the buyer.

Sales policy

Includes activities to support sales and guarantee high quality service. Sales policy, most often, is considered in a very broad sense, however, in simple words, it is simply the process of delivering a product / service from a seller to a buyer.

Communication

Communication policy solves problems related to the promotion and promotion of goods / services. Promotion is the aggregate action taken by a company to inform customers about their further purchase.

Types of marketing

There are many classifications of marketing. Almost every well-known marketer offered his own and which classification to use for you is up to you. In this article we will look at the pitchfork of marketing depending on the nature of the demand.

Conversion

Conversion marketing is used when there is negative demand for a product. Negative demand is a common occurrence in the market. For example, many people have a negative attitude towards medicines, and vegetarians towards meat. The goal of conversion marketing is to take a product out of negative demand and create a growing demand for it.

Stimulating

Sometimes the consumer is completely uninterested in a product or service. The lack of demand can be both for a new product and for a proposal already known to everyone. Also, there is no demand for goods if, for some logical reason, people do not need it at all (for example, why do people need a sled if there is no snow). The goal of incentive marketing is to create or imagine a need and make consumers believe in it.

Developing

Development marketing is the process of anticipating consumer desires. Imagine: many smokers would like to smoke cigarettes that do not contain harmful substances. Development marketing converts potential demand into real demand.

Remarketing

Remarketing is used when demand for a product decreases. The goal of remarketing is to create a new round in the product life cycle.

Demarketing

Sometimes the demand for a product is several times higher than the supply. Demarketing allows you to bring demand to a normal state, by increasing the price of a product, or by reducing sales incentives.

Marketing concepts

There are five main marketing concepts, depending on the direction of marketing activities.

Spreadsheet: Marketing Concepts With Examples

So, marketing is the process of selling a product, which includes many stages. For example, effective marketing is not possible without an effective demand for a product, which can either be increased or decreased. Effective marketing in a company, first of all, depends on the experience of a marketer, because theoretical knowledge will never make up for real experience in promoting a product and brand on the market.