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The evolution of marketing
A short presentation by Katie Underhill
Marketing is...
 CIM: “Marketing is the management process responsible for
identifying, anticipating and satisfying customer requirements
profitably.”
 Dibb et al: “Marketing consists of individual and organisational
activities that facilitate and expedite satisfying exchange
relationships in a dynamic environment through the creation,
distribution, promotion and pricing of goods, services and
ideas.”
 American Marketing Association: “Marketing is the process of
planning and executing the conception, pricing, promotion and
distribution of ideas, goods and services to create exchanges
that satisfy individual and organisational objectives.”
What the definitions have in common
 There’s a motivation for the selling organisation, i.e.
‘organisational objectives’, for example ‘profit’
 Customer satisfaction is stressed as important
 Marketing is a ‘mutual exchange’ where
both supplier and customer make a gain
 Marketing is a process that is planned and
managed
The evolution of marketing
•Production orientation
•Product orientation
•Sales orientation
•Marketing orientation
Production orientation
 Characteristics:
 Produce as cheaply as possible
 Keep prices low
 “People will buy anything as long as it’s cheap enough”
 Example: governments – NHS and education
sectors
Product orientation
 Characteristics:
 Products are designed to have a lot of features that meet the
needs of a large number of customers
 Take the view that if the product is right it will sell itself
 Ultimately the cost of the product becomes too high as
customers don’t want to pay for features they won’t use
 Example: Gillette razors- who knew they needed 5
blades?!
Sales orientation
 Characteristics:
 People will buy only if they are sold to
 High pressure sales pitches
 Often result in cancelled orders once the sales rep has left the
room!
 Generally supply exceeds demand so the org has to sell what
it’s made rather than what the customer wants
 Example: double glazing company
Marketing orientation
 Characteristics:
 Look at what the customer wants/ needs
 Acts accordingly
 The customer is at the centre of everything the organisation
does- activities are co-ordinated around customer needs
 Example: Amazon
 Market orientation is fundamental to the continuation
and competitiveness of an organisation
 A whole company approach
 All departments act with the customer in mind
 The company use and collect knowledge about the
customer
 They transmit information to the customers using a
common message (brand)
Some Key Points on Marketing Orientation
Peter Drucker says…..
 “The aim of marketing is to know and understand the
customer so well that the product fits him and sells
itself. Ideally, marketing should result in a customer
who is ready to buy”

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The evolution of marketing

  • 1. The evolution of marketing A short presentation by Katie Underhill
  • 2. Marketing is...  CIM: “Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably.”  Dibb et al: “Marketing consists of individual and organisational activities that facilitate and expedite satisfying exchange relationships in a dynamic environment through the creation, distribution, promotion and pricing of goods, services and ideas.”  American Marketing Association: “Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organisational objectives.”
  • 3. What the definitions have in common  There’s a motivation for the selling organisation, i.e. ‘organisational objectives’, for example ‘profit’  Customer satisfaction is stressed as important  Marketing is a ‘mutual exchange’ where both supplier and customer make a gain  Marketing is a process that is planned and managed
  • 4. The evolution of marketing •Production orientation •Product orientation •Sales orientation •Marketing orientation
  • 5. Production orientation  Characteristics:  Produce as cheaply as possible  Keep prices low  “People will buy anything as long as it’s cheap enough”  Example: governments – NHS and education sectors
  • 6. Product orientation  Characteristics:  Products are designed to have a lot of features that meet the needs of a large number of customers  Take the view that if the product is right it will sell itself  Ultimately the cost of the product becomes too high as customers don’t want to pay for features they won’t use  Example: Gillette razors- who knew they needed 5 blades?!
  • 7. Sales orientation  Characteristics:  People will buy only if they are sold to  High pressure sales pitches  Often result in cancelled orders once the sales rep has left the room!  Generally supply exceeds demand so the org has to sell what it’s made rather than what the customer wants  Example: double glazing company
  • 8. Marketing orientation  Characteristics:  Look at what the customer wants/ needs  Acts accordingly  The customer is at the centre of everything the organisation does- activities are co-ordinated around customer needs  Example: Amazon  Market orientation is fundamental to the continuation and competitiveness of an organisation
  • 9.  A whole company approach  All departments act with the customer in mind  The company use and collect knowledge about the customer  They transmit information to the customers using a common message (brand) Some Key Points on Marketing Orientation
  • 10. Peter Drucker says…..  “The aim of marketing is to know and understand the customer so well that the product fits him and sells itself. Ideally, marketing should result in a customer who is ready to buy”