Marketing Process: The Basic Schematic
Every marketer has to understand some basic questions before making a marketing plan. The first set of areas of analysis is 5C’s of the market viz. Customers, Company, Competitors, Collaborators & Context.
Customers: Customer is the king and ultimate goal of marketing process is to derive profit as well as satisfy the customer needs. The marketer has to find out what are the needs and demands of the customers and how the firm would seek to satisfy those demands. Customer is central to marketing as well as business and existence of a firm.
Company: Today’s markets are competitive and here goes the principle “survival of the fittest”. The company has to have some competencies and abilities to survive and flourish. The marketer has to judge, analyze and make marketing plans and strategies within the limits of the competencies and capabilities of the firm.
Competition: Market essentially has competition. Competition makes choices & options available to customers as well as provides the best value for money to the end consumers. The marketer has to find out who competitors are and how to meet that competition. There is always competition in the market offerings and unless the competition taken into account, the marketer may lead the firm in wrong direction.
Collaborators: Someone who assists in a programme is a collaborator. The collaborator term in marketing involves all the people whose help required meeting the marketing goals. The personnel of the company as well as external collaboration such as advertising agencies, direct sales agents etc. need to be discussed.
Context: Context deals with the external and internal environment of the firms and markets. The efficient marketer has to judge the political, legal, social, cultural and technological environment of the market and decide upon the factors, which may affect the course of marketing process.
The above specification leads to analyze the market prerequisites. It is followed by specification of the target market.
A target market is a set of customers that the firm decides to aim its marketing efforts.
A well-defined target market is the first element to a marketing strategy. The selected market needs to be segmented on the basis several of geographic, demographic/socio-economic, psychographic, behavioral & product-related criteria and this is called market segmentation. Apart from this, the firms need to create an image or identity in the minds of the target market for its product/ service, brand or organization.
Next comes the Marketing Mix.
Neil Borden first used the term market mix in 1953. Neil Borden used this term in his American Marketing Association presidential address.
Marketing Mix refers to Product, Price, Place and Promotion. Place here means the channel of distribution. Most important is the pricing decision.
The 4P’s altogether creates value for the customer and creates value for the firm too. This leads to Customer acquisition and customer retention for a long-term profit for the firm.
List of Topics :Marketing Aptitude for Banking Examinations