Marketing’s Role Today and Tomorrow

1. Marketing’s Role Today and Tomorrow

2. The Changing Role of Marketing • Production Emphasis: 1900-1920 • Emphasis was on producing and distributing new products • Production processes were simple and only a few product choices were available • Consumers had limited money with which to purchase products • Businesses believed that if they could produce the products, they would be able to sell them

3. The Changing Role of Marketing • Sales Emphasis: 1930-1950 (plus) • Production became more efficient resulting in a large numbers of products at lower costs (assembly lines and transportation systems used) • American standard of living improving • Companies begin to rely on salespeople to represent their products and convince potential customers their product was better than the competition

4. The Changing Role of Marketing • Marketing Department Emphasis: Post WWII • Expanded economy following WWII, wage level increased, amount of work hours decreased • Begin to use advertising to inform the consumer of products, reasons to buy the products, and where the products were located • Catalogs, credit, use of airlines for distribution

5. The Changing Role of Marketing • Marketing Concept Emphasis: modern companies only with big picture view (1970’s) • Marketing departments did not always mean more profits (in fact marketing can be expensive!) and sometimes unethical activities • Changing paradigm from what the business produces to what the customer wants

6. Marketing Concept Era • Marketing more than the just the work of one department • Requires the interaction of all the departments within a business with marketing personnel working closely with others throughout the organization • Proven an effective method that is used by the majority of successful businesses and organizations

7. The Changing Definition of Marketing • Marketing seen as only a tool to be used if sales were low or lagging, but not needed in times of good sales • Today’s Marketing: • Provides information about customers & their needs • Help businesses plan more effectively • Better serves customers through distribution, pricing, credit, customer services • Increase customer satisfaction • Help businesses become more profitable by coordinating activities and controlling costs

8. The Changing Definition of Marketing The Progress of Marketing Marketing as a Variety of Activities Marketing as Promotion Marketing as Selling Marketing as Distribution

9. Marketing in Other Organizations • Libraries, Governments, Churches, Community Organizations, and the Military use marketing

10. Importance of Marketing • Marketing Managers: • Work with people inside and outside the organization • Responsible for a large part of a company’s budget • Study people, competition, and market conditions

11. Ultimately, marketing is important to every business for what reason? Marketing is important because marketers make decisions that dramatically affect businesses’ long-term profitability