What is marketing management? What are its features and functions?

CONCEPT OF MARKETING

Traditionally, marketing has been defined as activities which direct the flow of products from producers to user.

                       -or-

Marketing is the social process by which customers obtain what they need and want through market offerings having value relevant to customers.

FEATURES OF MARKETING

1. Customer needs and wants

Marketing process helps the customers to obtain products which they need and want. Need of an individual is his mental feelings that he is lacking something. Want is a mental feeling of an individual that he is able to satisfy his particular need as he has adequate resources. Wants are converted into demand for products by marketers through product offerings.

2. Creating a market offering

Market offering involves providing products with features which will satisfy customer needs and wants. Products include both goods which are in physical form and services which are in non-physical form.

3. Customer value

Customer value is in the form of benefit which the customer derives from using a product. A customer buys a product only when he perceives that the value of the product is at least equal to the price he is paying for it.

4. Exchange mechanism

Marketing is a social process as it involves interaction of buyers and sellers. Marketing process works through exchange mechanism which is the process through which two parties come together to obtain the desired product from someone offering the product by giving something in return.

Marketing Management

Marketing management is the process of planning, organising, directing and controlling the activities related to marketing of products to satisfy the customers needs and achieve organisation objectives.

Features of marketing management are:

1. It is goal oriented and aims at satisfying customers needs and generating revenues for the organisation.

2. It is an integrated approach and attempts at integrating the efforts required in various marketing activities.

3. It is a functional area of management just like production management, financial management, and human resource management.

4. It requires specialised knowledge related to customers behaviour, product features, government's relevant policies and business environment.

FUNCTIONS OF MARKETING

1. Gathering and analysing market information

Marketing function starts with gathering and analysing market information to identify the product features which will meet customer requirements the most. Customer requirements are not static but change over a period of time because ogmf change in business environment. An organisation is required to gather information and analyse market on a continuous basis. For this many organisations establish a separate marketing research section in the marketing department.

2. Marketing planning

After gathering and analysing market information, marketing planning is undertaken. Marketing planning involves formulating suitable marketing plans which suggests various activities to be undertaken for achieving marketing objectives.

3. Product designing and development

Product designing and development involves creating a product with features which will provide maximum satisfaction to customers of the target segment. Product features include a number of items such as performance, durability, reliability, style, colour combination, etc.

4. Standardisation and grading

Standardisation refers producing products of predetermined specifications. 

Grading refers to classification of products into different groups on specific bases, such as colour, size, quality, price, etc. Both these features of a product are quite important from the viewpoint of customers.

 

5. Branding

Branding is a process of assigning brand to a product. Customers buy a product by its brand name. 

6. Packaging and labelling

Packaging refers to designing and developing package for products. 

Labelling refers to designing and developing the label that is to be put on package.

Packaging and labelling have become important tools for attracting customers as they have their first encounter with packaging and labelling of the product.

7. Pricing of products

From the viewpoint of customers, product price is the amount at which a customer had to buy a product. Product price is an important factor in conducting marketing related exchange process as a customer evaluates the value of product in relation to its price.

8. Product promotion

Product promotion refers to promoting the product by adopting different methods,such as advertising, personal selling and sales promotion. 

9. Physical distribution

Physical distribution involves physical movement of products through appropriate distribution channels so that the products reach ultimate consumers.

In this two aspects require decision: channels of distribution and physical movement of products. 

10. Customer support services

In present competitive business environment, customer support services are neglected. It should be highlighted because customer satisfaction should be our focus. Customer support services involve various types of services to customers, such as after sales service, handling customer complaints, maintenance services, technical services, procuring credit services, etc.