Numerous business activities and engagements take place in any organization. These activities require proper planning, organization, and execution. Marketing management is one of these activities and a very significant one.
There has been a rise in the production of various types of consumer goods. This is because of increased income and overall demand for all types of services. Thus, marketing management is the need of the hour. It has a huge effect as it determines the success of any business organization or firm.
Marketing management is a term coined from two different words- marketing and management. A market is an amalgamation of buyers and sellers where the exchange of goods and services takes place. The services are produced by the sellers and purchased by buyers. Proper management of this marketing is a must you have a keen interest in the business. The total of this process is termed as marketing management. It smoothens the activities and tasks involved in the distribution of those goods, commodities, or services.
- Marketing Management is a discipline that requires a systematic approach.
- It requires explicit market knowledge.
- It is goal-oriented or target-oriented.
- It is required for the accomplishment of the goals of the organization.
- There is an operational region defined for marketing management.
What Is Marketing Management?
Marketing management systematically involves research. It is a business work that develops the marketing strategy of an organization. It involves planning out a specific program accompanied by an analysis of the market situation followed by effective execution. It is a discipline required for fulfilling the objectives of an institution.
Marketing management involves concepts that deal with practical applications of techniques and methods of marketing. It takes into account economics and competitive tactics for analyzing the market or industry. Determination of products or services that is of interest to customers is an important aspect of marketing management. It has applications in sales and business development.
- Right pricing is an important aspect of marketing management.
- Effective advertisement of the services provided is very important.
- Marketing management involves various programs and campaigns.
- Consumer requirements are specifically taken care of in marketing management.
- It helps organizations to stand out among the other competitors in the market.
Philip Kotler Marketing Management
Philip Kotler is considered as the “Father of Modern Marketing.” He is responsible for introducing marketing as a field of study in academics. He has explained the concepts of marketing in his book-“Principles of Marketing” vividly. He defines marketing as an administrative process using which people can acquire their needs by exchanging services of equal value.
By the definition of Philip Kotler, “Marketing management is the analysis, planning, implementation and control of programs designed to bring about desired exchanges with target markets to achieve organizational objectives.”
Definition Of Marketing Management
Marketing experts define marketing management as “the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer value.”
According to some other experts, marketing management involves the direction of goal-oriented activities towards their fulfillment. It is a discipline that begins with planning and ends with its execution. Strategies such as market research and surveys are guided in the right direction using marketing management. It is a combination of activities that lead to an organization’s profit by satisfying the needs of the market.
Marketing Management Functions
The marketing team performs many functions. These include planning, organizing, controlling, and coordinating. These functions need to be performed throughout the process of the movement of goods and services. The marketing management function revolves around the strategies and tactics developed by them. Some of the major functions of Marketing Management are:
- Selling the product
- Transportation of goods and services
- Standardization and Grading of products
- Having sound Market information
- Handling finance-related work
Function Of Marketing Management
A marketing management team’s efficiency can be measured by how successful it is in performing its functions. Various tasks are performed daily to ensure smooth marketing. Successful completion of these functions is the key secret for the organization’s progress. These functions help the team to manage planned and unplanned situations. Skilled marketing management requires some basic functions, which are stated below.
The marketing management team performs these functions:
- Setting goals and objectives for the well-being of the organization.
- Segmentation of the market should be done by setting the target audience.
- Building relationships with third parties like suppliers or consultants.
- Analysis of the market through accessible information and data interpretation.
- Marketing activities must be under control. This may involve the assessment of marketing campaigns or setting necessary standards.
Marketing Management Scope
Marketing is an evolving trend in this competitive world. The productivity of any organization or firm depends upon the efficiency of its marketing skills. Marketing is an ever-growing global phenomenon. It has a huge scope that covers aspects beyond customer satisfaction. It contributes to the overall development of society.
The scope of marketing management involves:
- Sales and advertising
- Goods and services
- Ideas and information
- Places and properties
Marketing Management Importance
Marketing management is important for the smooth exchange of goods and services between the buyers and the sellers. It benefits not only the company but also society as a whole. It plays a major role in the development of the economy. Marketing management is a boon, especially for underdeveloped or developing countries. It would not be wrong to say that marketing is everywhere and is necessary for business. The importance of Management Marketing can be reflected as:
- It is important for the collection and analysis of information related to the market.
- Marketing management requires future planning. This helps in preparing before-hand and making wise decisions.
- Marketing management helps in increasing new customers, which can increase the organization’s profit.
- Employment opportunities are also a benefit of marketing management.
- Marketing management provides a better standard of life, using innovation in its services.
Marketing Management Process
Marketing is an on-going phenomenon. It is the responsibility of the marketing team to adapt to the changes in the market or environment. The basic outline or structure of marketing remains the same. New ideas and strategies come up and replace the old ones. Following is the list of steps followed in the marketing management process:
- Marketing management starts with the determination of goals and targets for the fulfillment of certain objectives.
- The next step is the assessment of corporate capabilities. Strengths and weaknesses are taken into account.
- Identification of unsatisfied customers’ problems and knowledge of the desires of potential customers are the next important steps.
- Tactics and marketing strategies are developed in the next step, keeping in mind the above points.
- Implementation of those plans and actions is further done through proper coordination.
- Results of marketing strategies are measured by an effective control system with proper feedback based on which changes are done if at all required.
Marketing Management Concepts
There are five essential concepts of marketing management. They are:
- Production Concept
- Product Concept
- Selling Concept
- Marketing Concept
- Societal Marketing Concept
- The production concept is built on the idea that inexpensive and extensively available goods are responsible for generating more sales. So, organizations should go for large scale production of inexpensive products as the customers prefer them.
- Product Concept deals with the fact that customers desire quality products with better performance and features irrespective of their price or availability. A real-life example of this concept would be the obsession of some people with Apple gadgets and products.
- The selling Concept involves the primary concern of selling the goods. Its main purpose is gaining profit and does not take the customer’s point of view into account.
- Marketing Concept believes in delivering better services than the competitors. Target marketing is an important consideration in this concept, and the goal is to be the preferred option than its competition.
- Social Marketing Concept has its roots lying in marketing concepts with slight additions. Social welfare is also taken into account as a corporate responsibility.
Books For Marketing Management
There are various marketing books available in the market. You can have a look at them to stay up-to-date with key marketing trends. They cover all the essential aspects of marketing strategies and their management from scratch level. The best book, undoubtedly, in this category has to be Marketing Management by Philip Kotler. Some of the best informative books on management are:
- Marketing Management by Philip Kotler
- Principles of Marketing by Philip Kotler
- The 22 Immutable Laws of Marketing: Violate Them at Your Own Risk by Al Ries
- Ten Deadly Marketing Sins: Signs and Solutions by Philip Kotler
- Good to Great: Why Some Companies Make the Leap…, and Others Don’t by James C. Collins
- Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant by W. Chan Kim
- Magnetic Marketing: How To Attract A Flood Of New Customers That Pay, Stay, and Refer by Dan S. Kennedy
Nature Of Marketing Management
Marketing supports business ventures that deal with products and services. It ensures easy transfer of these goods from producers to consumers. It is a legal procedure for transfer ownership from the seller to the user. Different firms and organizations interact with their customers to build their relationship. This is done keeping in mind the satisfaction of customers and the net profit they earn. It is a flowchart to direct the movement of services from the producer to the end-user.
A systematic approach is followed based on the strategic dimensions of marketing schemes. Marketing management has a social nature as well. Understanding the customer’s needs and effective management of supply and demand for these services is of great importance. In a nutshell, marketing management’s nature is such that it implements two major objectives – consumer satisfaction and profit-making.
Marketing Management Objective
The primary objective of marketing management is to examine the needs of the customer. The strategies are developed, keeping this objective in mind for the organization’s better performance than its competitors. These objectives help in building good customer relationships. An increase in sales and awareness of the brand are other important outcomes of these objectives. The objectives of marketing management are:
- To attract new customers and retain the previous ones.
- To develop strategies leading to the gains and profit of the organization.
- To satisfy consumer needs.
- To raise the living standard of people using service.
- To create a marketing mix.
- To promote the organization.
Jobs In Marketing Management
A career in marketing management offers a variety of roles and job opportunities. All these job titles have specific roles relevant to their department. These roles vary based on the skill set needed for the business. Some may have roles in the advertisement of the services while some are assigned with social media handles. Specific in-depth knowledge in domains such as sales, market research, or analysis is mandatory for having a career in marketing.
List of jobs in marketing management includes:
- Marketing Manager
- Market Research Analyst
- Product Manager
- Chief Marketing Officer
- Public Relations Manager
- Advertising Manager
- Marketing Manager
- Social Media Manager
- Digital Marketing Manager
- Brand Manager
- Web Producer
Marketing Management For MBA
An MBA in Marketing Management is an important course offered to students to develop skills that can lead to the transformation of customer demands into services. Students who pursue this course land up in the marketing branch of any business or organization. It also includes extensive research in marketing, product development, and sales promotion. It is a two-year program, just like any other MBA course. Some of the courses in the marketing curriculum for MBA include managing customer relations and brand management. The scope of an MBA in Marketing is also pretty good considering market trends.
- Many B-schools in India as well as abroad offer this course.
- Several modes opt for better understanding, which may include group discussions, case studies, and projects.
- Students develop good communication and analytical skills during the program.
- A graduate degree is mandatory if you want to pursue an MBA in this field.
- It imbibes great entrepreneurial skills by enhancing the technical understanding of students.
Responsibilities Of Marketing Management
As the name says, a marketing manager and his team are majorly responsible for marketing and sales. They are answerable for the products delivered to the consumer. They have various roles, and any company without an efficient marketing management team is hard to persist. Proper handling of these roles ensures the progress of the organization. Some of the major roles and responsibilities of Marketing Management include:
- Addressing the problems of the customers and providing optimum solutions.
- Developing social media strategies and advertisement of services.
- Ensure the growth of the organization and building their reputation.
- Evaluation of Marketing campaigns and their performance.
- Producing new and creative ideas for promoting goods.
Ans. There is a 7 P formula in marketing management. It is used for the assessment of business activities. These 7 P stands for- Product, Price, Promotion, Place, Packaging, Positioning, and People.
Ans. Sales and marketing are two different terms that are closely related to each other. Marketing is a bolster for the sales process. The foundation of sales lies in proper and efficient marketing. Marketing involves generating leads for the business, whereas sales include the closing of deals.
Ans. A diverse range of skills is required to excel in marketing management. Some of these skills include time management, communication, creativity, active listening, and strategy making.
Ans. Marketing management is one of the most significant activities in business organizations. It has gained ground because of the huge competition in the market. Increasing profits is another very important reason why business enterprises pay attention to marketing management. It is an investment for better profits that boosts up sales.
Ans. The major risk in marketing is that the company may incur losses if the services fail to appeal to the customers. These market risks cannot be completely eradicated. But, there is always room for improvement with better marketing techniques and strategies.