| A market-focused, or customer-focused, organization Cheap Airline Travel first determines what its potential customers desire, and then builds the product or service. Marketing theory and practice is justified in the belief that customers use a product or service Cheap Airline Travel because they have a need, or because it provides a perceived benefit.
Two major factors of marketing are the recruitment of new customers (acquisition) and the retention and Cheap Airline Travel expansion of relationships with existing customers (base management). Once a marketer has converted the Cheap Airline Travel prospective buyer, base management marketing takes over. Cheap Airline Travel The process for base management shifts the marketer to building a relationship, nurturing the links, enhancing the benefits that sold the buyer in the first place, and improving the product/service continuously to protect Cheap Airline Travel the business from competitive encroachments.
For a marketing plan to be successful, the mix of the Cheap Airline Travel four "Ps" must reflect the wants and desires of the consumers or Shoppers in the target market. Trying to convince a market segment to buy something they don't want is extremely expensive and seldom successful. Marketers Cheap Airline Travel depend on insights from marketing research, both formal and informal, to determine what consumers want and what they are willing to pay Cheap Airline Travel for. Cheap Airline Travel Marketers hope that this process will Cheap Airline Travel give them a sustainable competitive advantage. Marketing management is the practical application of this process. The offer is also an important addition to the 4P's theory.
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Within most organizations, the activities encompassed by Cheap Airline Travel the marketing function are Cheap Airline Travel led by a Vice President or Director of Marketing. A growing number of organizations, especially large US companies, have a Chief Marketing Officer position, reporting to the Chief Executive Officer.
The American Marketing Association (AMA) states, �Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large.".
Marketing methods are informed by Cheap Airline Travel many of the social sciences, particularly psychology, sociology, and economics. Anthropology is also a Cheap Airline Travel small, but growing influence. Market research underpins these activities. Cheap Airline Travel Through advertising, it is also related to many of the creative arts. Cheap Airline Travel Marketing is a wide and heavily interconnected subject Cheap Airline Travel with extensive publications. It Cheap Airline Travel is also Cheap Airline Travel an area of activity infamous for re-inventing itself and its vocabulary according to Cheap Airline Travel the times and Cheap Airline Travel the culture.
Many companies today have a customer focus (or customer orientation). This implies that Cheap Airline Travel the Cheap Airline Travel company focuses its activities and products on consumer demands. Generally there are three ways of doing this: the customer-driven Cheap Airline Travel approach, the sense of Cheap Airline Travel identifying market Cheap Airline Travel changes and the product innovation approach.
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In Cheap Airline Travel the consumer-driven approach, consumer wants are the drivers of all strategic marketing decisions. No strategy is pursued until it Cheap Airline Travel passes the test of consumer research. Every aspect of a market Cheap Airline Travel offering, including the nature of Cheap Airline Travel the product itself, is driven by the needs of potential consumers. The starting point is always the consumer. The rationale for this approach is that there is no point spending R&D funds developing products that people will not buy. History attests to many products that were commercial failures in spite of being technological breakthroughs.
A formal approach to this Cheap Airline Travel customer-focused marketing Cheap Airline Travel is known as SIVA[3] Cheap Airline Travel (Solution, Cheap Airline Travel Information, Value, Access). This system is basically the four Ps Cheap Airline Travel renamed and reworded to provide a customer focus.
The SIVA Model provides a demand/customer centric version alternative to Cheap Airline Travel the well-known 4Ps supply side Cheap Airline Travel model (product, price, place, promotion) of marketing management.
In a product innovation approach, Cheap Airline Travel the company pursues product Cheap Airline Travel innovation, then tries to develop Cheap Airline Travel a market Cheap Airline Travel for the product. Product innovation drives the process and marketing research is conducted primarily to ensure that Cheap Airline Travel a profitable market Cheap Airline Travel segment(s) exists for the innovation. The Cheap Airline Travel rationale is that Cheap Airline Travel customers may not know what options Cheap Airline Travel will be available to them in the future so we should not expect them to tell us what they Cheap Airline Travel will buy in Cheap Airline Travel the Cheap Airline Travel future. However, Cheap Airline Travel marketers can aggressively over-pursue product innovation and try to overcapitalize on a niche. Cheap Airline Travel When pursuing a product innovation approach, marketers must ensure that they have a varied and multi-tiered approach to product innovation. It is claimed that if Thomas Cheap Airline Travel Edison depended on marketing research Cheap Airline Travel he would have produced larger candles rather than inventing light bulbs. Many Cheap Airline Travel firms, such as research and development focused companies, successfully focus on product innovation (Such as Nintendo who constantly change Cheap Electronic Gadget the way Video games are played). Many purists Cheap Airline Travel doubt whether Cheap Airline Travel this is really Cheap Airline Travel a Cheap Airline Travel form of marketing orientation at all, because of the ex post status of consumer research. Some even question whether it is marketing. |
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