There are two meanings
to marketing. Firstly there is marketing as a function,
in the same way that production, IT or finance are functions
or departments within a business. The second meaning,
often known as the marketing concept,
is the notion of marketing as an approach to business.
The crux of the marketing concept is the
idea of the business being organised around meeting the
needs of the customers in an integrated way, that is,
working efficiently with every
single person pulling in the same direction.
In the diagram above, we see that marketing
integrates all functions, including the marketing
department (which is responsible for activities such as
promotion). The marketing concept depends on an acknowledgement
that marketing is the responsibility of everyone in the
organisation. However, one cannot expect positive results
unless responsibility is accompanied by knowledge, skills
and understanding. Not to mention attitude. Training
is essential. All managers must understand:
- brand - what
it is, how it is shaped, what effect it has, its value
- segmentation - why
it is the foundation of marketing and how it should
affect everyone in the firm
- positioning - something
that takes place in the mind of the customer
- how customers buy
- their criteria and processes, factors that influence
their choices
- competitors - who
they are (not always obvious), their likely actions
..... and so on
Removing the blinkers
With this marketing understanding, managers will
be better able to make decisions within their own departments.
Every aspect of the business is viewed in terms of how
it supports the generation of revenues. If I, as an IT
manager, do not understand how customers buy, then my
ability to recommend new hardware and software or advise
on our online presence is drastically diminished.
How can I as a finance manager balance the request for
new production equipment against the demands of the marketing
department for more advertising if I do not have an appreciation
of branding? Indeed, as the production manager, how can
I argue my case for new equipment if I cannot justify
it in terms of satisfying customer needs?
This does not mean that engineers have to become experts
in direct mail or that personnel managers need to understand
media planning. It simply means
that every decision made in a business should be set within
the context of meeting customers' needs within a competitive
environment. If you do not understand why customers
buy (or don't buy) from you, then any decisions that you
make will be flawed.
Perception is all
There is no such thing as a product. There is only the
customer's perception of the product. An airline executive
encapsulated this when he said,
"If our headrest
covers are not straight, people assume that our engine
maintenance is sloppy."
People make almighty leaps from the smallest details:
- the quality of your customer service
based on how long it takes you to answer the phone
- the technical excellence of your solutions
based on the design of your website (hope you like ours!)
- your financial stability on the basis
of your office reception
Managers must keep the customer at the forefront of their
mind at all times and recognise that marketing
is a team game; it is the responsibility of
every manager in the business. You should be aiming for
total marketing.
|