Marketing - what are these simple words? Definition, Concept, and Functions of Marketing

In recent years, questions have often arisen whether the concept of marketing is the right philosophy in the era of active use of the environment, lack of raw materials, rapid population growth, hunger and poverty in the world and neglect of social benefits that meet the individual requirements of customers, work in the most understandable, long-term interests customers and society. The marketing concept eliminates potential conflicts between customer expectations, customer interests, and long-term social well-being.

As part of this article, consider marketing - what it is in simple words.

Definition

There are a lot of definitions of marketing. More than 300 in different sources. In order to determine, in simple words, marketing - what it is, consider the most popular definitions.

Marketing is a social process in which individuals and groups get what they need by creating, offering and sharing with other goods and services that have value. This definition was given by F. Kotler.

The shortest definition of marketing is "to satisfy needs, achieve profit."

Well-understood marketing is not a set of tricks and special actions, but a well-thought-out strategy and the resulting tactics of actions, focused on target customers, based on knowledge and research that are closely related to market realities.

Briefly and simply, marketing is an activity of a company that seeks to make a profit while satisfying the interests of customers and customers.

Within its framework, such basic issues are identified as:

• search and assessment of market opportunities leading to the satisfaction of the needs of specific recipients (customers) and the exact definition of these needs;
• product development based on this knowledge and dissemination strategy;
• preparation of an appropriate pricing strategy;
• connection with the market.

Another definition of marketing in short and simple words is an activity, a set of institutions and processes used to create, communicate, deliver and exchange products that are valuable to customers, partners and society.

Under this concept should be understood the process of pricing, promotion and distribution of products, goods and services for the purpose of exchange aimed at achieving the goals of the organization and individuals.

Concept

The concept of marketing in simple terms is a business philosophy. It concerns the ability to research the state of the market, the fundamentals of pricing, the ability to predict customers and their preferences, interact effectively with them to meet their needs, and make final profit.

According to this concept, the goal of marketing can be considered customer satisfaction.

According to the famous scientist P. Drucker, the main goal of marketing is to thoroughly get to know the client for the subsequent sale of goods to him without much effort.

From the goal, we present the main tasks:

• detailed market analysis;
• study of pricing and policy;
• competitor analysis;
• assortment creation;
• release of goods on demand;
• service maintenance;
• communication aspects.

Briefly and simply, the marketing concept is a combination of four elements - 4P: product, price, advertising, location.

Principles

The basic definition of marketing is the concept of principles.

Three main ones can be distinguished:

• customer focus;
• integration of marketing activities;
• profitability (in the long run).

The basic principle of marketing is customer orientation. Its implementation is based on the separation and description of groups of acquirers (segmentation and profiling, taking into account their more accurate characteristics), the choice of those who will be focused on the marketing proposal (determining the target market), and the actions that occupy the optimal place in their awareness (positioning).

Among other principles, there are:

• research of production capabilities of the company;
• planning methods and programs for marketing products;
• market segmentation;
• updating the product line in accordance with demand;
• flexible adaptation to demand.

Functions

The definition of marketing functions involves the following components:

• analytical function;
• sale of goods;
• production organization function;
• introduction of innovations;
• management and control function.

The first function includes the study of external and internal causes that affect the company, testing the tastes and preferences of customers and the range of products. It should be noted that it is necessary to comprehensively study the internal environment of the organization in order to observe the competitiveness of the market.

The sale of goods contains a price and food policy, creates a distribution of goods and increased demand.

Under the production function is understood the creation of goods through the introduction of new technologies, the organization of the supply of material and technical resources necessary for the company. The production function refers to the management of the quality and competitiveness of the finished product or service, i.e., it corresponds to the quality of the product in accordance with established standards.

The function of advertising innovations plays a role in the development and creation of a new product or service.

The managerial and control function provides the planning and forecasting of the process in the organization, the organization of the communication system, information support and risk management.

Instruments

The concept of marketing in simple words and what it means involves the study of tools.

Marketing tools form the so-called marketing mix. The most popular 4P concept is the product (product), price (price), distribution (place) and promotion (promotion).

The development of marketing has led to the expansion of this set with additional elements - people (people), material evidence, process, etc. There are other concepts of marketing tools, an example of which is the concept of 4C - customer value, cost, convenience of purchase, communication.

Among the main tools use:

• market research;
• poll;
• observation;
• demand generation methods;
• analytics;
• study of external environmental factors;
• customer research;
• analysis of the goods of the company;
• planning a future product range;
• creating price policies;
• consulting and others

Thus, when defining marketing in simple terms and what it is, we can say that this science is focused mainly on the buyer and his needs.

Classification of marketing types

When researching a question, marketing - what is it, an important stage is the presentation of the classification.

Depending on the size of the market, mass (undifferentiated), concentrated (motivated) and diversified marketing are distinguished.

The undifferentiated doctrine contains a product created for all market segments. At the same time, there is no expansion of the product range; goods are sold at low prices.

In concentrated marketing, things are reversed. Goods or services are created for a specific group of customers.

With differentiated marketing, various advertising opportunities are used that are aimed at several market segments. But it should be noted that for each sector of the market a certain proposal is created. This type of marketing is considered more promising in relation to the two previous types.

The essence of network marketing

Consider what network marketing is in simple words.

Network marketing (MLM - multi-level marketing) is the development of products from the manufacturer to the user, which is advisory in nature. In this case, the so-called distributor can not only sell the product, but also attract new sales agents to the company. The MLM Business Plan assumes that distributors:

• used this product;
• sold it to customers;
• attract the rest of the sales agents to create a network of businessmen.

The manufacturer is responsible for organizing the delivery. It ensures that the distributor receives the products at home. For effective work, sales agents conduct seminars and trainings to develop sales opportunities and ensure success in work.

For a businessman, this type of marketing is attractive, since it does not require experience and huge initial investment in capital.

Network marketing also seems to be cost-effective for the client, since responsible MLM companies provide quality products and a guarantee on them. Before purchasing a product, the user receives all the necessary information about the product for himself and his delivery to his home.

Network marketing generates active and passive income. The agent makes an active profit. Passive income is formed due to the creation and active development of the distribution network.

Network marketing is perceived as an attractive business. But, in addition to its advantages, there are also many disadvantages.

The advantages and negative characteristics of network marketing are presented in the table below.

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

• search for partners in the environment;
• search for partners among friends and acquaintances;
• the ability to create a website to promote products;
• search for partners through social networks;
• meeting new people and attracting them to this type of business.

In network marketing, training for sales agents is free or training discs, books or video clips are used.

Colorful examples of successful development of network marketing include companies: Amway, Avon, Oriflame, Faberlic and Mary Kay.

Network marketing is focused on promoting the product and rewarding the distributor for the work done.

The essence of internet marketing

Consider what Internet marketing is in simple words.

Internet marketing is currently a fundamental innovation in the promotion of products and services.

Web marketing is the application of regular online advertising.

The objective of Internet marketing is to generate income by increasing the number of visitors to a website or blog, which will subsequently become buyers of certain products and services.

Tools for increasing sales of products and services and increasing the number of traffic on the Internet resource:

• SEO optimization. Task: to make a blog or a page visible in the search engines Yandex and Google.
• Banner advertising. Banner advertising means buying a marketing space on other websites.
• Contextual advertising. Popular on the Internet and in search engines.
• Targeting - advertising on social networking sites.
• Newsletter e-mail newsletter helps to create and strengthen communication with the audience, which is subscribed to a specific newsletter of interest.

Online marketers have the following tasks:

• stimulate sales of products and services through direct sales;
• Make engaging content for your target group
• process the received data;
• Track website performance
• maintain the company's style on the Internet;
• hire highly specialized professionals to carry out certain work.

Network marketing contains the following elements: product, cost, promotion, place.

Web marketing has tactics such as:

• viral marketing;
• integrated online marketing;
• PR

The first type is the most difficult, but the most valuable online marketing strategy. It aims to create fascinating information that every consumer will learn many times.

Viral involvement of people is used with:

• introducing movies;
• the introduction of online games;
• website implementation.

Effective work and success can be achieved by combining viral marketing on social networking sites with advertising.

This type is economically viable, since it does not require any special costs. The Advertising Act does not affect viral advertising. This means that there is no censorship, no restrictions, which makes Internet marketing more free.

The fundamental drawback of this type is the lack of control over the action.

Integrated Internet marketing contains a set of different resources and marketing channels for promoting a product or service on the market.

The structure of integrated Internet marketing is as follows:

• enhanced regular marketing;
• coverage of many segments;
• advertising revenue reports;
• sales control in divisions;
• creating a unified system for promoting products or services;
• telephony;
• sales training.

PR involves increasing brand awareness. This strategy must be applied by all companies, regardless of their position, as it helps to increase the income of firms, attract potential customers. The brand is becoming famous and popular on the Internet.

Having studied the goals, tools and tactics of Internet marketing, we can highlight its advantages:

• wide coverage of the target group;
• receiving information at home;
• low advertising costs.

Education marketing

Consider what marketing is in education in simple words.

Educational marketing also refers to the totality of the educational institution’s methods and techniques regarding the activities of the educational market, which turns the wishes and needs of customers (students, parents and society as a whole) into the educational institution’s income (material and moral).

Educational marketing plays a major role in the economic growth of the state:

• dissemination of advanced thoughts in education (development and implementation of innovations and technologies in different sectors);
• the availability of educational services depends on their size and directly affects the improvement of the quality of life of society as a whole;
• educational institutions exist at the expense of the state budget and the provision of services on a commercial basis.

At present, the educational market is ready to provide its own user with a product. Such programs have an impact on the development of competition, blur the differences in the style of educational organization and make it difficult for buyers to understand, remember and determine the attributes of the subject of the educational market.

The correct implementation of the technique of advertising inventory allows the educational institution to stand out among its rivals, attract the right number of students and earn money.

The subjects of advertising relationships include:

• educational institutions (schools, institutes, universities, centers of continuing education);

• users of educational services (citizens and organizations);

• external agents in the structure of the education system (monetary institutions for the provision of loans for educational work, educational authorities at all levels, accreditation and licensing bodies);

• public organizations that promote educational services (political parties, various associations and other non-profit objects). The main recipients of educational services and goods are students of educational institutions.

This type of marketing requires the involvement of buyers in the process of choosing future specialties, criteria, place and form of training, sources of allocation of financial resources, as well as the choice of upcoming development (subsequent level of education or place of work).

Conclusion

In the framework of this article, the definition of what marketing is in simple words was considered.

In conclusion, we note that marketing is an extremely fascinating science for businessmen. Knowing how an advertising plan appears, when and where to use one or another advertising strategy, you can remain competitive in the market for a long time, while earning money. And after mastering Internet marketing, you can achieve tremendous success in your own company.