What is Marketing
What is Marketing – Sharing my MBA post
Peter Drucker summaries what a business is and captures the essences of how marketing fits in the picture perfectly.
“Because the purpose of business is to create a customer, the business enterprise has two–and only two–basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs. Marketing is the distinguishing, unique function of the business.” (Drucker)
From this we can see from all the discussion about “commodity hell” the only way to differentiate yourself is to focus on marketing and innovation. Philip Kotler also in a videohttps://lms.latrobe.edu.au/mod/book/view.php… explains that customer is boss and the job of marketing is to create, communicate and deliver value to a target market T and a profit P and the only think you can’t copy is a company’s culture. Employees are the most important and you need to think business and see the big picture.
Simon Sinek illustrates http://www.ted.com/…/simon_sinek_how_great_leaders_inspire_…
What how why. And the how was asked me recently for an innovation in terms of the USP (unique selling point) but the head of media in XXXX did not ask why! They are stuck at the how and do not thinking about the customer.
Marketing is 4P’s Promotion, Product, Place, Price.
Market is the buyers and sellers but today where is ambiguous, there are less geographic borders and therefore more niches. Twitch.tv shows how advertising can be finely tuned to the gaming niche where people can watch, discover, interact and subscribe to celebrities in their favourite game(s).
What is a product:
Real or Financial Property
Experiences and Events
To effectively meet the needs of their customers and fulfill organizational objectives, marketers must be astute in creating products and combining them in ways that make them unique from other product offerings.
500, combine people (drivers), a place (Daytona), an event (the race), organizations (sponsors), and goods (souvenirs) to create a memorable and unique experience for special events, like the Daytona race fans.
Good insight Milan Pintar!
We still do follow Peter Drucker’s view about marketing and innovation. However, researchers have simplified the idea and broaden the scope of marketing. Now, regarding the definition of modern marketing we simply say: delivering ‘Value’ to our customers. All marketing functions/marketing strategies (4Ps) are used to deliver the desired value. Before the aim of marketing was to make selling superfluous. And this was done by knowing and understanding the customer needs very well. But now we consider how we can make a relationship with them so that we can retain the customers to increase their satisfaction, convert this to loyalty and ultimately maximize the share of heart.
I like to share the YouTube link with you where you will see how Harvey Norman is delivering value to its customers and creating a positive relationship.
In ‘Shop with Confidence’ TVC, you will see the customers’ feedback and experience, why they like to do shop there. Truly all the word associations/expressions are considered ‘Value’ as I mentioned earlier. In short, they are doing great and successful Marketing!
Dr. Tanvir Ahmed
Lecturer of Marketing, La Trobe Business School
College of Arts, Social Science and Commerce
La Trobe University
Melbourne Victoria. 3086
So they are selling the experience “I love to shop” … and the value that they are adding is the shopping with confidence.
For Harvey Norman it seems like as long as customers in the picture feels like that are getting “value” instead of being somewhere else or shopping online then business should grow. This advertisement really seems to add unique value of location over online options and unless there is a new innovation to improve the online experience then they should have a market. I think they do have that threat from sites like amazon.
I would improve their campaign: I like to shop with confidence and take it home today!
… but I guess there is a problem that maybe they can’t hold to the promise of taking it home today. They can always guarantee shopping with confidence.
Excellent overview Milan!
Like Daytona, the cost of Super Bowl adds probably gives a good insight into the value of what good marketing can bring to a business…