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04Feb

Hello! In this article we will talk about marketing in simple words– what it is, why and how to use it in an enterprise.

Today you will learn:

1. What relates to marketing, functions and types of marketing;
2. What are the marketing strategies for an enterprise, and what does a marketing plan consist of?
3. What is marketing in business, and how to distinguish it from business for the consumer;
4. What is it and how not to confuse it with a financial pyramid;
5. What is Internet marketing and its advantages.

The concept of marketing: goals and objectives

There are at least about 500 definitions of marketing. Often, with such an abundance of definitions of this concept, it is difficult to understand what relates to marketing.

Explaining in accessible language, marketing - This is the activity of an organization aimed at making a profit by satisfying the needs of customers.

IN in a broad sense, many marketers view marketing as a business philosophy, that is, the ability to study the market, the pricing system, predict and guess customer preferences, effectively communicate with them in order to satisfy the needs of consumers and, accordingly, make a profit for their enterprise.

Based on the definition, it is logical that the purpose of marketing at the enterprise is to meet customer needs.

And the famous economic theorist Peter Drucker notes that the main goal of marketing is to know the client so much that the product or service can sell itself.

To achieve the organization's goals, marketing activities involve solving the following tasks:

1. Detailed market research, in-depth analysis of customer preferences;
2. A thorough study of the pricing system in the market and development of the organization’s pricing policy;
3. Analysis of competitors' activities;
4. Creating a range of goods and services for the organization;
5. Release of goods and services that meet demand;
6. Service maintenance;
7. Marketing Communications

When solving marketing problems, you must be guided by the following principles:

1. Studying the production capabilities of the enterprise;
2. The process of planning methods and programs for marketing a product or service;
3. Market segmentation;
4. Constant updating of goods and services, ways of selling them, improvement of technologies;
5. Flexible response of the organization to constantly changing demand.

Marketing functions

Marketing performs a number of functions:

1. Analytical;
2. Production;
3. Management and control function;
4. Sales function (marketing);
5. Innovative.

Analytical function involves the study of external and internal factors influencing the organization, the study of consumer tastes and the range of products. It is worth noting that it is necessary to analyze the internal environment of the organization in order to control competitiveness in the market.

Production function includes the development and mastery of new technologies, organizing the production of goods and services, organizing the purchase of material and technical resources necessary for the enterprise. In addition, the production function refers to the management of the quality and competitiveness of the finished product or service, that is, maintaining the quality of the product in accordance with established standards.

Control and monitoring function provides the planning and forecasting process at the enterprise, organization of the communication system, information support and risk management.

Sales function includes the pricing and product policy of the organization, provides a system of product distribution and expansion of demand.

Innovative feature in marketing, plays the role of developing and creating a new product or service.

To solve problems and achieve set goals in marketing activities, it is necessary to apply the following marketing methods:

• Studying the market situation:
• Survey;
• Observations;
• Methods of generating demand and stimulating sales;
• Analytical methods:
• Analysis external environment organizations;
• Consumer analysis;
• Analysis of existing products;
• Planning the range of future products;
• Development of pricing policy;
• Information methods:
• Advertising;
• Personal selling;
• Propaganda;
• Consultations.

Thus, based on the definition, goals, objectives, functions and methods of marketing, we can conclude that the science of marketing is focused exclusively on the consumer and meeting his needs.

Types of Marketing

Depending on demand distinguish between the types of marketing presented in table 1.

Table 1. Types of marketing depending on demand

Type of marketing	State of demand	Task	How to solve the problem
Demarketing	High	Reduce demand	1. Increase the price
Conversion Marketing	Negative	Create demand	1. Development of a plan for promoting a product or service 2. Re-release of goods 3. Cost reduction
Incentive Marketing	Absent	Stimulate demand	The reasons for the lack of demand must be taken into account
Developmental marketing	Potential	Make potential demand real	1. Determine customer needs 2. Create a new product or service that meets these needs
Remarketing	Decreasing	Restore demand	Look for ways to revive demand again
Synchromarketing	Hesitates	Stimulate demand	1. Adjust the price (lower if necessary) 2. Promotion of a product or service
Supportive Marketing	Corresponds to offer	Stimulate demand	Correctly conduct pricing policy, stimulate sales, conduct advertising, control costs
Adversarial Marketing	Irrational	Reduce demand to zero	Stop releasing the product

• Demarketing – a type of marketing that is aimed at reducing demand. This situation is possible when demand significantly exceeds supply. To deter consumers, the organization raises the price of a product or service, refuses advertising and tries to reorient the client.

A striking example is the use of demarketing in the cold season, when the need for electricity increases significantly. Since this can negatively affect the entire electrical grid system, very expensive equipment may fail, marketing workers develop programs to reduce demand or redirect it.

• Conversion Marketing – a type of marketing aimed at creating demand. It is used in case of negative demand for a product or service. To do this, they develop a plan for promoting a product or service, lower prices or re-release the product. To promote a product or service when demand is negative, advertising and PR campaigns are used.
• Incentive Marketing used when there is no demand. It is necessary to stimulate demand, taking into account first of all the very reason for the lack of demand.

There may be no demand for products if:

• The product is not relevant on the market;
• The product loses its value;
• The market is not ready for the emergence of a new product or service;

To interest the buyer and increase demand, the enterprise uses tools such as a sharp reduction in the cost of a product or service, increased advertising activities, the use of trade marketing methods, etc.

• Developmental marketing – a type of marketing in which potential demand must be converted into real demand. That is, you should determine the needs of customers and create a new product or service that meets these needs.
• Remarketing used in situations where demand needs to be revived. That is, the demand for products is falling and it needs to be restored by introducing new characteristics and features into the product or service. For example, first Clear Vita ABE anti-dandruff shampoo based on the new zinc pyrithione formula and the unique Vita ABE formula was created for both men and women. Subsequently, Clear experts proved that the scalp of men and women has a different structure, and released a line of Clear Men and Clear Woman shampoos.
• Synchromarketing – a type of marketing in which it is necessary to stimulate demand, as it fluctuates. The tasks of synchromarketing include smoothing out irregular demand by establishing flexible prices and in various ways product promotion. This type of marketing is usually used in case of seasonal demand or any other cyclical fluctuations, as well as climatic factors that greatly influence demand. A striking example of the use of synchromarketing is the offer of various set lunches and business lunches in cafes and restaurants during the daytime at a reduced price. Since there are much fewer visitors during the day than in the evening, daytime prices are therefore lower than evening prices.
• Supportive Marketing An organization uses it when demand matches supply and it is necessary to continue to stimulate demand for a product or service. To maintain demand at the proper level, it is necessary to conduct a correct pricing policy, stimulate sales, conduct advertising, and control costs.
• Adversarial Marketing is used when there is constant irrational demand for products, which is contrary to the interests and well-being of the population. In such a situation, it is necessary to stop production and carry out anti-advertising. Counter-marketing tools are used on products such as alcohol and tobacco products.

Depending on market coverage There are mass (undifferentiated), concentrated (targeted) and differentiated marketing.

Undifferentiated Marketing Concept involves a product intended for all market segments. Product differentiation is not carried out; products are sold at low prices.

With concentrated marketing the situation is the opposite. Products or services are designed for a specific group of customers.

When using differentiated marketing forces are directed to several market segments. But it is worth noting that a separate offer is created for each market segment. This type of marketing is considered more promising in relation to the previous two types.

Marketing Strategies and Marketing Plan

There are 2 levels of marketing at an enterprise:

• Tactical;
• Strategic;

Tactical, or in other words, operational marketing involves developing short-term plans to achieve the organization's goals.

Strategic Marketing aimed at developing long-term prospects for the enterprise’s operation in the market. That is, the internal capabilities of the organization are assessed on the influence of the external market environment.

Marketing strategies are classified into the following groups:

• Market expansion strategy;
• Innovation strategy;
• Diversification strategy;
• Reduction strategy.

Market expansion strategy otherwise called a concentrated growth strategy. That is, the company's strategy is aimed at horizontal development, conquering a larger part of the market in the fight against competitors, and improving existing products or services.

Innovation strategy otherwise defined as an integrated growth strategy. That is, the organization’s activities are aimed at vertical development - the creation of new goods and services that will have no analogues.

Diversification strategy the organization chooses if the probability of “survival” in the market with a certain type of product or service is very low. Then the organization can produce a new product or service, but at the expense of existing resources.

Reduction strategy used when an enterprise remains on the market for a long time for more efficient operation. An organization may undergo reorganization or liquidation.

Marketing strategies are also distinguished by market coverage:

• Mass (undifferentiated) marketing strategy;
• Differentiation strategy;
• Individualization strategy;

Mass Marketing Strategy aimed at the entire market as a whole. Market advantage is achieved by reducing costs.

Differentiation strategy focused on capturing most of the market segments. The advantage is achieved by improving the quality of products, creating new designs, etc.

Consumer Personalization Strategy aimed at only one market segment. The advantage is achieved through the originality of a product or service for a specific target group of customers.

Developing a marketing strategy consists of seven stages:

1. Market research;
2. Assessment of the organization's capabilities;
3. Assessing competitors' capabilities;
4. Setting marketing strategy goals;
5. Research of market segments and consumer interests;
6. Positioning development;
7. An economic assessment of the strategy is being carried out.

Stage 1. An analysis of macroeconomic indicators, the political, social and technological situation, as well as the influence of international factors is carried out.

Stage 2. To assess the capabilities of an enterprise, economic analysis, marketing analysis, production capacity assessment, portfolio assessment and SWOT analysis are carried out.

Stage 3. Includes an assessment of the organization's competitiveness. Competitors' strategies, strengths and weaknesses, and ways to establish superiority over competitors are studied.

Stage 4. At the next stage, the goals of the marketing strategy are established.

Stage 5. Includes research into customer needs and methods and time to market.

Stage 6. Specialists receive certain recommendations for enterprise management.

Stage 7. Assessment and analysis carried out economic strategy and control tools.

To summarize, we can conclude that a marketing strategy reflects a plan to achieve the company's business goals, which evaluate the production capabilities and financial budget of the organization.

The marketing plan is inextricably linked with the marketing strategy of the enterprise, that is marketing plan implies a special document reflecting the goals and objectives of the organization’s marketing, as well as marketing strategies, which will be used in practice.

To specify the marketing plan, a marketing program is drawn up, which will indicate who is doing what to do and how to do it.

To implement a marketing plan, you must adhere to the following principles:

• The principle of rolling planning;
• Principle of differentiation;
• The principle of multivariance;

Rolling planning principle applied depending on the market situation. This principle involves introducing adjustments to the current plan. For example, a marketing plan is designed for 3 years, but the market situation changes quite often, so amendments and adjustments to the plan are required annually in order to be competitive.

Principle of differentiation assumes that an established product or service cannot be liked by everyone. Therefore, using this principle, it is possible to reorient to serve any category of consumers selected according to certain criteria.

The principle of multivariance involves the simultaneous development of several marketing plans for all possible situations.

The structure of the marketing plan is as follows:

• Determine the mission of the organization;

The mission of the organization involves defining strengths to become successful in the market.

• Compile a SWOT analysis of the enterprise;

SWOT-analysis is a situational analysis that reflects the strengths and weaknesses, capabilities of the organization, as well as threats under the influence of internal and external environmental factors.

• Set marketing goals and strategies;

It is advisable to set goals and define strategies for each area separately.

• Development of the organization's pricing strategy;

• Selection of market segments;

In this block, when choosing market segments, the emphasis is on reducing costs and increasing sales efficiency through sales volume and prices.

• Scheme for selling a product or service;

Here it is necessary to highlight the product sales channels, whether they work effectively, in what quantity and how they are implemented in the organization.

• Implementation tactics and sales promotion methods;

At this point, it is necessary to decide on methods for selling goods or services that could be successfully used both in the short term and in the long term.

• After-sales service policy;

Here we need to constantly improve the after-sales service system. It is necessary to compare the level of service with competitive enterprises, improve the qualifications of employees, and monitor their communication skills. It is also worth providing certain guarantees and additional services to your customers and comparing them with your competitors.

• Conducting an advertising campaign;

• Formation of marketing costs;

When drawing up a marketing budget, it is necessary to take into account all planned expenses, income and highlight the projected net profit of the organization.

Thus, it should be concluded that a marketing plan is simply necessary for the successful organization of an enterprise. This is a kind of map that helps you navigate the economy as a whole, conduct an effective business and be competitive in the market, receiving high profits.

Business Marketing or B2B Marketing

Marketing in business or otherwise they call it marketingB2 B (business-to-business, business for business) is determined How business relations between industrial enterprises in the market, where goods and services are not for final consumption, but for business purposes.

B2B marketing should not be confused with marketing B2 C(Business to Consumer, business for the consumer), which implies marketing relations in the market where goods and services are created for final consumption.

Marketing in business has distinctive features and characteristic features:

• Demand for business activities stems from consumer demand;
• An organization purchases a product or service to achieve its goals. That is, a business purchase is targeted in nature rather than a consumer purchase. The client buys this or that product to satisfy himself. That is, consumer purchase is emotional in nature;
• Volume of goods or services purchased. An enterprise buys goods and services not individually, but in tens and hundreds of pieces, that is, it makes large purchases;
• The risk of buying a business is much higher than buying an ordinary consumer. The profit of the organization depends on this;
• Business purchases are made by professionals in their field. The purchasing decision is made by several specialists in this field;
• In B2B marketing, the seller knows the buyer's needs better and interacts closely with him;
• An enterprise that makes a business purchase hopes for further cooperation with the seller. Therefore, the provision of guarantees, service and installation plays a significant role here.

Network marketing

Network marketing (MLM - multi level marketing) is a technology for selling products from manufacturer to consumer, which is advisory in nature and transferred from person to person. At the same time, the so-called distributor can not only sell the product, but also attract new sales agents to the company.

The business plan of an MLM company assumes that distributors:

• Have you used this product yourself?
• Sold the product to customers;
• They attracted other sales agents to create a network of business entrepreneurs.

The manufacturer himself is responsible for organizing delivery. He ensures that the goods are delivered to the distributor's home. For effective work of sales agents, master classes and seminars are provided to develop sales skills and achieve success in their business.

For the entrepreneur network marketing is an attractive business because it does not require experience or a large initial investment in capital.

For the buyer network marketing also looks advantageous, since truly responsible MLM companies provide quality products and a guarantee for them. In addition, before purchasing a product, the consumer receives all the necessary information about it and receives the product at home.

Network marketing provides for active and passive income. The agent receives active income based on sales volume. And passive income is created through the creation and active development of a subnetwork of distributors.

However, although at first glance, network marketing seems to be an attractive business, in addition to its advantages, it also has a number of disadvantages.

Table 2. Advantages and disadvantages of network marketing

To attract a potential distributor to an MLM business, you can use the following methods:

• Look for partners among your surroundings;
• Look for partners among your friends and acquaintances;
• to promote products;
• Look for partners through social networks;
• Meet new people and attract them to this type business.

When it comes to network marketing, there is an immediate association with such a definition as a financial pyramid, the activities of which are prohibited in the Russian Federation.

The main difference between network marketing and financial pyramids is that the profit received by MLM companies is divided between distributors, taking into account the contribution of each. And the financial pyramid receives income due to the number of people attracted and their contribution to a non-existent product.

In addition, network marketing can be distinguished from a financial pyramid by the presence of:

• Marketing plan;
• Company guidelines and articles of association;
• The products themselves;
• Training systems.

The financial pyramid does not have a specific marketing plan; it is very confusing and incomprehensible. The company's management is anonymous and, moreover, there is no charter of the enterprise. There is no assortment of goods, there are only a couple of units of questionable products. There is also no training system provided or it costs a certain amount of money, for which they issue cheap advertising brochures.

Network marketing provides training for sales agents free of charge, or training CDs, books or videos on the Internet are issued for a symbolic amount.

Vivid examples of the successful development of network marketing are the companies Amway, Avon, Oriflame, Faberlic and Mary Kay.

To summarize, we can conclude that network marketing is aimed at promoting a product and rewarding the distributor for the work done, and the main goal of a financial pyramid is to attract people and their financial investments.

Internet Marketing

Internet marketing is currently a relevant innovation for promoting goods and services.

Internet Marketing represents the application of traditional marketing activities on the Internet.

Purpose of Internet Marketing– making a profit by increasing the number of visitors to a website or blog, who in the future will become buyers of certain goods and services.

Tools for increasing sales of goods and services and increasing website traffic are:

Helps to create and strengthen relationships with a specific target group that is subscribed to the newsletter.

• Traffic arbitrage – purchasing and resale of traffic at a higher cost;

Internet marketers face the following challenges:

• Promote products and services using;
• Create interesting content for the target audience;
• Process the information received;
• Monitor the operation of the site;
• Maintain the company's image on the Internet;
• Recruit specialists with a narrow focus to perform a specific job.

Online marketing includes the following elements: product, price, promotion, place.

Internet marketing includes strategies such as:

• Viral marketing;
• Comprehensive online marketing;

Viral Marketing is the most challenging yet most rewarding online marketing strategy. It is focused on creating so interesting information, which everyone will view hundreds of times, constantly like and repost.

Viral attraction of people is used using:

• Use of videos;
• Use of online games;
• Use of the company website;
• Writing a provocative article that can cause resonance and will be discussed among users;

Effective work and success can be achieved by combining viral marketing with in social networks with advertising.

The main advantages of viral internet marketing are simplicity and speed of action. In addition, viral Internet marketing is cost-effective, as it does not require any special expenses. The Advertising Law does not apply to viral advertising. That is, there is no censorship or any restrictions, which makes Internet marketing freer.

Essential disadvantage of viral online marketing there is insufficient control over the process, and the supplied material may be distorted.

Comprehensive Internet Marketing implies a set of various resources and advertising channels to promote a product or service to the market.

The structure of integrated Internet marketing is as follows:

• Strengthening traditional marketing;
• Processing all market segments;
• Advertising profit reports;
• Sales control in branches;
• Construction unified system promotion of a product or service;
• Telephony construction;
• Sales training;

Under PR (PR) means increasing brand awareness. This strategy should be used by all companies, regardless of position, as it helps increase company revenue, attract potential customers, and the brand becomes recognizable and popular on the Internet.

Having considered the goals, tools and strategies of Internet marketing, we can highlight its advantages:

• Large target audience coverage;
• Obtaining information at home;
• Low advertising costs.

Conclusion

In conclusion, I would like to say that marketing is a very interesting science for entrepreneurs. Knowing how a marketing plan is drawn up, when and where to apply this or that marketing strategy, you can remain competitive in the market for a long time, while making a good profit. And, having mastered Internet marketing, you can achieve even greater success in.

The purpose of marketing activities is to purposefully influence demand in the direction of stimulating it, namely: identifying the needs of various segments of the market; a comprehensive study of the existing supply on the market; identifying ways to influence market needs from the outside; determining the most convenient and profitable channels for promoting goods and services on the market. There are situations in which the main thing will be to limit demand and stimulate supply (demand is a characteristic of consumption, and supply is a characteristic of production). Demand is at the core of the marketing objectives applied. F. Kotler was the first to propose a marketing classification of demand in his works.

Main marketing goals

• 1. Negative demand, which has no economic and social justification, means a condition in which a given product is not in demand in a significant part of the market. The reasons for this situation may be different. (Reluctance to consume certain goods out of tradition, because of established habits, or due to the existence on the market of substitutes for the goods offered). For example, the sale of domestic Oka cars, which are not in demand among consumers (Daewoo), is being promoted. The goal of marketing is to change the prevailing opinion of end consumers about a given product (so-called persuasive marketing.). Central government must be involved because persuasive marketing is a fairly expensive endeavor in a market economy.
• 2. Negative demand, economically and socially justified, means a state in which there is no demand for a given product in the vast majority of the market - due to its low quality, it does not satisfy the needs of the population (for example, a Cyclone vacuum cleaner instead of Electrolux, low reliability , poor aesthetic indicators, etc.). The purpose of marketing is to change the structure of the supply of goods and improve their quality. Apply a strategy to influence supply.
• 3. Lack of demand is a condition in which all the most important market segments do not show any interest in a given product or show indifference to the existing supply. The situation creates certain preconditions for stimulating the market as a result of the use of incentive marketing. The purpose of marketing is to create demand aimed at achieving this goal. Intensive advertising of the product offered, which should encourage the consumer to purchase it (promotion of healthy food, can stimulate demand for microwave ovens or Teflon cookware).
• 4. Potential or pending demand means a state in which consumers or other final buyers expect the availability of a product or service capable of satisfying existing needs that have not yet been satisfied because neither such product nor such service has yet appeared on the market. In this case, there is no need to stimulate purchase intentions (for example, non-nicotine cigarettes, technological equipment environmentally friendly). The purpose of marketing is to encourage the manufacturer to create the desired product. Developmental marketing is used.
• 5. New demand characterizes a situation in which consumers in a significant part of the market purchase a given product for the first time, usually durable. The purpose of marketing is to develop demand, for example for some new type household appliances (plasma panels, built-in ovens). Use developmental marketing, but only this time aimed at the end buyer.
• 6. A decrease in demand is a condition in which the decrease in demand is caused mainly by insufficiently active influence on final consumers. The purpose of marketing is to stimulate or update demand. They use remarketing, which consists not so much in the possible extension of a product’s stay on the market when demand for it decreases, but in generating new demand for it. This can be achieved through advertising and demonstration of hitherto unknown advantages and benefits of this product (advertising laptops with new capabilities).
• 7. Irregular demand indicates short-term fluctuations in demand, to which changes in supply are unadapted. The purpose of marketing is to synchronize supply and demand. Actions aimed at achieving this goal can be called synchronizing marketing, in which various means, for example, after a seasonal sale, extension of the tourist season.
• 8. Satisfied demand represents the most useful situation - a state close to equilibrium. Demand is fully satisfied and at the same time, excessive inventories of goods are not created. Marketing in this case has the goal of supporting demand. This action is called conservative or maintenance marketing, which requires more effort, for example, due to the substitution effect resulting from a wide range of competing products (cell phones).
• 9. Unsatisfied demand of a transitional nature - a condition in which demand exceeds supply. This situation encourages action in two directions - to reduce demand and to stop supply, that is, demarketing is used, as is marketing that encourages supply.
• 10. Unsatisfied demand of a constant (long-term) nature - a situation in which the excess of demand over supply characterizes the state of the economy as a whole. The goal of marketing is to reduce demand through the use of demarketing. One option could be to adopt a strategy to direct demand to other substitute products. When using demarketing, one usually chooses markets where such a strategy can be applied.
• 11. Harmful demand reflects a situation in which the satisfaction of demand for some reasons (most often of a social nature) is undesirable. The goal of marketing is to eliminate or significantly limit the demand for products, for example, harmful to health (tobacco products, alcoholic beverages and the ban on the use of cell phones in institutions - USA - law in other states). So-called counter-marketing is used. In some cases, this is facilitated by legislation that prohibits or restricts the sale of certain goods. Various unions and societies that protect the interests of consumers can play a big role here.

In general, the classification considered shows that marketing goals are mainly aimed at stimulating supply and contain the following mandatory elements of modern industrial marketing: increasing production profitability; highlighting customer needs; selection of priority clients; design of goods or service packages.

Due to the variety of tasks to be solved (determining the most suitable market for an enterprise, corresponding to its resources; ensuring the reasonable use of these resources for the development, production and sale of goods and services at economically reasonable prices in order to attract the maximum number of potential buyers), marketing places serious demands on information support.

The range of marketing information includes: internal reporting of the organization (financial, production and technological, management, etc.); results of statistical research (study of sales dynamics of individual goods, etc.); results of special marketing research; results of scientific, design, etc. developments; data from forecasts for the development of an organization, individual markets, states, etc.; data on the strategic and tactical goals and objectives of the organization.

Sources of marketing information can be divided into the following groups:

• 1. Internal sources of information represent the entire set of sources of information about the organization itself - management and other departments;
• 2. External sources of information: open sources (for example, external financial statements of competitors, government forecasts of socio-economic development, etc.); other sources of external information - the results of questionnaires and surveys, collection of advertising publications of competitors, purchase of information that constitutes a trade secret of competitors, etc.

Many organizations in Russia are now facing market difficulties. Their leaders are struggling to survive in the face of changing consumer attitudes and dwindling financial resources. In search of answers to the problems they face, more and more organizations are inevitably turning to marketing. Manufacturing companies are mastering it at the fastest pace. consumer goods(especially consumer durables) and industrial equipment firms. Manufacturers of goods such as steel, chemicals, and paper turned to marketing somewhat later. Many of them still have a lot to do in this area. There has been a shift in the assessment of the capabilities of modern marketing on the part of firms providing specific services to the population, especially airlines and banks.

Marketing attracts the interest of insurance and brokerage firms, although many of them have not yet learned how to use it effectively. Not only large, but medium and small enterprises have fully realized the need to develop a marketing policy to improve the efficiency of the company. Unfortunately, often good market ideas are born only because plight companies. But life is a great teacher and gradually puts everything in its place.

Marketing is therefore a way to survive Russian businessmen. This is a system for organizing the activities of a company using the most modern methods rational organization and management to achieve high efficiency and competitiveness of its market activities, increasing its results using the following means:

Using the latest achievements of fundamental research work, discoveries and inventions for the production and sale (including for export) of highly efficient science-intensive products, technologies and services;

a thorough and comprehensive study of the state and prospects for the development of general economic and commodity market conditions, providing reliable information about the real needs and demands of consumers;

orientation of production and sales of products to the latest and future market requirements, compliance with the targeting of manufactured products and scientific results;

active influence on the market, shaping its needs and stimulating sales;

Ensuring complete, comprehensive satisfaction of the needs of society to improve the quality of its life (increase in the well-being of the people).

This approach to marketing covers its social essence, functions, goals and means.

Marketing theorists have developed its main functions and the sequence of their implementation when organizing the activities of companies and firms according to new system. Marketing functions in individual organizations have noticeable specificity, which is determined by the peculiarities of the conditions, as well as the nature of production and marketing of the products of these organizations. At the same time, with all the variety of specific marketing schemes used by various companies, they are all based on a number of basic principles.

The marketing system provides for the following basic elements of the organization and direction of activities of companies and firms:

Identification of existing and potential buyer demand for goods and services through a comprehensive study of the state of the market and prospects for its development;

organizing the company's research activities to create new samples and models of products, as well as organizing the production of relevant goods that satisfy consumer needs;

coordination and planning of production and financing;

organizing and improving the system and methods of sales and distribution of products;

Manage and direct all company activities, including directing production, transportation, packaging, distribution, advertising, maintenance and other services and sales promotion activities.

The market concept of managing the production, sales and scientific and technical activities of the company, aimed at studying the market and economic conditions, specific consumer requests and targeting the goods and services produced to them, has fully justified itself. The goals of marketing are to create and stimulate demand, ensure the validity of management decisions and business plans of the company, as well as expand sales volume, market share and profits. “Produce what sells, and not sell what is produced” is the main slogan of the marketing approach to managing all activities of a company or firm.

Before producing, an enterprise must carefully study the needs of specific customers, refine and improve the product, and only then enter the market with it. Marketing is a scientifically based concept of analyzing and taking into account the wishes of customers, the requirements of a specific market segment, developing a new product in accordance with the received data; the system for organizing its sales, including incentive and advertising measures, is also a system of channels for promoting the product to the consumer (intermediaries, branches, etc.).

Marketing is at the same time a set of activities in the field of research into the trade and sales activities of an enterprise, associated with the study of all factors that influence the process of production and promotion of goods and services from producer to consumer. It includes:

consumer research;

studying the motives of consumer behavior in the market;

product (product or service) research;

analysis of forms and channels of sales of products, as well as the volume of turnover of the enterprise;

studying competitors, determining the forms and level of competition;

definition of the most effective ways promoting goods on the market;

Studying your “niche” market (production or commercial activities, in which the enterprise has the best opportunities in comparison with potential competitors) in order to realize its comparative advantages to increase turnover.

The company's management, through market research, receives information about what products consumers intend to buy and why, about the prices at which consumers are willing to purchase them, in which regions the demand for these products is the highest, where sales of the company's products can bring the greatest profit. Market research allows you to assess how a manufacturer is called upon to organize the process of selling products, how to conduct a campaign to promote new products on the market, build an advertising strategy, etc. It opens up the possibility of calculating various cost-effectiveness options for the production and sale of products and services, determining which types of products, sold to which consumer and in which region, will bring the greatest return for every ruble invested in production, transportation, storage, advertising, and sales.

The main task of marketing is to research needs and especially trends in their change and present the results to interested organizations and enterprises for making appropriate decisions.

The competition existing in the market should constantly encourage firms, enterprises and associations to improve the consumer properties of the goods they produce and to expand the range of terms of delivery and services offered. All of this will be factored into the price in one form or another and ultimately paid for by the consumer.

A commercial enterprise has two main, as some experts believe, functions: marketing and innovation. The goal of business is to create a consumer through innovation. Therefore, marketing is about finding out whether the innovation matches what customers are looking for for their needs and are willing to pay for it.

Marketing is based on the following fundamental principles: deep and comprehensive research of the market and economic conditions, as well as the production and sales capabilities of the enterprise; market segmentation; flexible response of production and sales to the requirements of active and potential demand; innovation; planning.

The research aims to determine the strategy and tactics of the subsequent activities of the enterprise in the market under study and ensure its superior success compared to competing organizations. The bulk of the work in this area falls on market and market research.

The analysis is carried out on the market capacity, pricing system and price dynamics, consumer properties of the product, features of the structure and methods of work of partner companies in the economic and foreign economic spheres, sales channels, specifics of sales promotion and commercial work.

The production and sales capabilities of the enterprise itself are also studied, including an audit product range, production capacities, systems and organization of material and technical support and supply, an analysis is made of the structure and level of qualifications of personnel, financial capabilities, conditions for the formation and activities of sales and commercial services.

Segmentation is that in order to achieve advantages over competing firms, increase the efficiency of its business actions, avoid conflicts and intensify direct competition in the market, an enterprise identifies the market segment that is most appropriate to its profile and potential, a specific group of consumers, within which and intensive research and all promotional work is carried out. Segmentation is aimed at solving problems of enterprise cost optimization.

Production is focused on differentiation and individualization of the enterprise's products. This covers the technical and production sphere of activity, including the improvement of industrial equipment and the transfer of the production process to the most modern technologies.

The constant need for innovation is determined by the need to improve, modify and update products, create new products, develop and implement new technologies, conduct research and development work. Innovation policy also includes the introduction of more advanced forms and methods of entering untapped markets, the use of elements of novelty and sales promotion and advertising activities, transformation organizational structure company, innovations in style and methods of managing it, identifying new channels of product distribution.

Planning involves the formation of production and sales marketing programs based on market and market forecasts, planned assessments of the development of scientific and technological progress, etc.

Marketing is not a one-time action, but a continuous process, covering the development and implementation of a market concept, pricing, promotion to the market and sales of innovations, goods and services, ensuring exchange. In most large organizations, each division has its own marketing department, where a group of specialists works. Some conduct research to determine what products consumers want to buy; others use the results of this research to develop new products and services; still others make decisions about prices for the company's goods; the fourth deal with issues of their transportation, storage and distribution; fifths are responsible for advertising, product promotion and personal selling.

The market approach is the basis of any decision related to the characteristics of the product, its price, production volume, timing of appearance on the market, volume, form of sales and customer service. Marketing is a human activity that is somehow related to the market.

Anyone who wants to sell needs to find buyers, identify their needs, create appropriate products, promote them to the market, warehouse, transport, negotiate prices, etc. Each of these actions is necessary for the smooth and efficient operation of the company, otherwise everything else simply will not matter. Strictly speaking, everyone is involved in marketing. Thus, housewives carry out their own “marketing” when they search for goods they need at prices they are willing to pay.

The specified marketing principles underlie the functions: market research, generalization of study results; proposal formation; design control and production; pricing and finance; physical distribution of goods; advertising and sales organization customer service; analysis of results and planning.

Each of these functions is important in itself, but taken together and interconnected, they represent the marketing process and provide the conditions for the successful operation of an enterprise in the market.

In this article we will take a detailed look at the goals and functions of marketing and describe its essence. Today these topics are very relevant, because market economy is actively developing, satisfying new needs of people. The market does not stand still, and marketing develops along with it.

Marketing principles are the fundamental circumstances, provisions, and requirements that underlie it. They reveal the purpose and essence of this type of activity. The main goal of marketing is to ensure that the production of services and goods is focused on demand, on the consumer, and on matching production capabilities with market requirements.

The need and objectives of marketing

The necessity of a marketing approach for any enterprise is undeniable. There will be negative demand in the market if the majority of consumers are not satisfied with the quality of services or goods and even agree to some costs in order not to buy them. The purpose of marketing is to analyze the current situation and try to understand whether marketing tools can change negative consumer attitudes towards a given product by reducing prices and stimulating sales. Consumers with latent demand may feel the need for services and goods that are not currently available on the market. In this case, the goals and principles of marketing are aimed at assessing the size of this potential market segment in order to create services and products that satisfy demand.

A situation of complete absence or decrease in demand

An example of a complete absence or decrease in demand is a situation in which target consumers are not interested in the product. In this case, the marketer's task is to provide its benefits based on the interests and needs of the person. Any enterprise will sooner or later be forced to face a problem when a certain product ceases to be in sufficient demand. The goal of marketing is to maintain the existing level market demand, despite increasing competition and consumer preferences, which are so changing today.

The main principles of marketing based on its essence

The following main principles of marketing are identified in accordance with its essence.

1. Careful consideration of the dynamics and state of demand, needs and market conditions. Often consumers don't know what exactly they want. They only want to solve their problems as best they can. Therefore, one of the main tasks of marketing is to understand what consumers really want.

2. Conditions should be created for maximum adaptation to the structure of demand and the requirements of the production market at the enterprise, based on a long-term perspective, and not on short-term gain. Modern concept Marketing is to ensure that the company’s activities (production, scientific and technical, sales, etc.) are based on knowledge of demand, as well as its changes in the future. One of its goals, moreover, is to identify unsatisfied demands and orient production towards their satisfaction.

Marketing is the development, production and then marketing of something for which there is actually consumer demand. The system makes the production of certain goods functionally dependent, first of all, on requests. It requires producing them in the volume and range that the consumer needs. The center of decision-making in the implementation of this concept is shifted from production links to those who feel the pulse of the market. The think tank, source of recommendations and information is the marketing service, not only of market, but also of financial, scientific, technical and production policy of enterprises. Based on an in-depth analysis of the dynamics and state of demand and business conditions, the issue of profitability, prospects and the need to produce a certain product is resolved here.

3. Influencing the buyer, the market through advertising and all other available means. Gunther von Brieskorn, a marketer from Western Germany, characterizing the principles and content of marketing in one of his lectures, argues something like this. In his eyes, the market is a sea, on the waves of which consumers find themselves. Their behavior is characterized mainly by the vector of their needs, which undergoes frequent changes. At the same time, the market is our boss and, when going to see it, we should be well prepared. The consumer is our king and we must fulfill any of his demands.

General Marketing Concept

The general concept of marketing can be characterized as follows: the total cash flow necessary for the operation of the enterprise and the satisfaction of future needs is sent to the manufacturer from the consumer. The task of marketing is to ensure that both, meeting on the market, are able to most fully realize their needs and goals. In other words, marketing is the process of matching consumer demands and firm capabilities. Its result is the provision of goods to consumers that satisfy people's needs, and the profit the company needs to exist, as well as better meet consumer needs in the future.

What should be the goals of marketing activities?

Marketing objectives are the basis of marketing activities. However, they do not necessarily have to be commercial. Marketing goals should be formulated in such a way that they can be expressed quantitatively. For example, you should increase the share of the product in the local market by the end of the year from 10 to 15% or get a 30% profit. The more clearly the goals and objectives of marketing are formulated and communicated to each employee, the more benefits the marketing service will bring.

Goal groups

His goals are divided into 5 groups.

1. Market (market conquest, market share, identification of promising markets) goals and objectives of marketing.
2. Goals can be strictly marketing (formation public opinion, creating a company image, competition, profit volume, sales volume).
3. There are also structural and management goals aimed at improving the management structure of the company.
4. It is also possible to highlight the supporting goals and functions of marketing (sales promotion, pricing policy, product distribution parameters, consumer properties of the product).
5. Another goal is to control the activities of the company.

The following guidelines should be followed when developing your marketing goals. It should be as simple as possible, measurable, achievable, mobilizing, controllable, focusing attention, approved by the organization, ranking. Marketing goals should provide certain incentives for those who manage to achieve them, have people responsible for achieving them, and also include precise deadlines.

Types of marketing depending on the goal

The following types of marketing are distinguished depending on the goal:

• consumer (consumer goods);
• industrial marketing (production goods);
• international;
• consumer-oriented;
• service, product or product oriented;
• non-profit (activities of organizations and enterprises that do not aim to make a profit for themselves personally);
• social (collection various methods implementation public organizations and state social programs);
• micromarketing (activities of individual companies);
• marketing as a state activity carried out in the market sphere.

What marketing principle can be considered fundamental?

The essence of marketing philosophy lies in its principles. The fundamental one puts the focus not on the ambitions and needs of the producer of services and goods, but on the needs and demands of the consumer. This is the main goal of marketing. However, this declaration, very nice, could not be realized if all the other principles of marketing that determine its technology and management of its activities were not aimed at its implementation. Thus, thanks to them, the main goal of the marketing concept is realized.

Basic principles of marketing

Let us note some of them, the most established.

1. Concentrating the enterprise's resources on the production of such services and goods that are actually needed by consumers in the market segments chosen by the enterprise.
2. Understanding the quality of services and goods as the extent to which they satisfy the needs for them. Therefore, unnecessary services (goods) cannot be considered quality. In addition, any difference in the quality of one service or another from another is not significant in itself, but depending on how significant the need that the service characteristic seeks to satisfy, the measured property.
3. Consideration of needs in a broad rather than narrow sense, including beyond the framework of known, traditional ways of satisfying them.
4. Focus on reducing overall consumer costs, as well as taking them into account in pricing, in other words, dominating the consumer’s selling price over the selling price.
5. Preference for a method that actively generates demand and anticipates it, rather than reactive.
6. The predominance of orientation towards the long-term perspective.
7. Continuous collection of information on market reactions and conditions and analysis of the data obtained.

Specifics of open and closed marketing systems

Describing the essence and goals of marketing, we will indicate their specificity in open and closed systems. In open marketing systems, every new contract, agreement, act of exchange that was completed in line with marketing must bring income and/or other additional benefits to society as a whole, and not just to direct participants (if not to the whole society, then at least much more broad groups and layers than the participants in a particular transaction themselves). Thus, marketing goal setting includes an external effect, a socially significant one - externality. In closed systems, the self-development of systems and the stability of their existence depend on the presence of internal competition, as well as isolation from external competitors.

We hope that now you have become closer to the concept of marketing. Marketing goals, as you can see, are quite broad, and their implementation is important for every enterprise.