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The importance of marketing:
The increase in appointing a Chief Marketing Officer (CMO) shows the importance of marketing for many companies. They are on the same management level as Executive Officers and Chief Financial Officers. Jack Welch, General Electrics former CEO, stated ‘Change or die’ when it comes to surviving in business.
What is Marketing?
This chapter will take a look back on the fundamental elements of marketing and also what is happening in the 21st century.
Definition: ‘marketing is an organisational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organisation and its stakeholders.’
Peter Drucker states the aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself.
What is Marketed?
Goods: these are the physical goods that most companies put their marketing efforts towards.
Services: it is becoming more and more common for companies to include services into their company. The US economy now consists of 70-30 ratio of services-to-goods mix. Many markets use a combination of both a product and a service for example a fast food restaurant offers a product and a service.
Events: marketers are now using events to promote. These can include trade shows or company anniversaries.
Experiences: this is best represented in Disney theme parks where an experience is bought and therefore marketed.
Places: the tourism industry must promote cities, states and regions to help attract tourists there.
Properties: real estate must be bought and sold, for this to happen the exchanges must ...