Evolution of
Marketing
Production Era (1870-1930)
-Focuses on internal capabilities of a firm rather than
desires and needs of the market.
-It was at the time of industrial revolution when there was
high demand for products and less competition; therefore there was no need for
consumer research.
-The goal was to increase production to keep up with demand.
-The organization seeks to pursue efficiently in production
and distribution and holds that consumers favor products that are available and
highly affordable.
Product Era
-The major task of the organization is to produce products
that it thinks would be good for the public. The emphasis is on quality,
performance and features of the product.
-However, this stage leads to marketing myopia where
the firm falls in love with its products while the public may have second
thoughts.
Sales Era
(1920-1950)
-The assumption was that buyers will not purchase items that
are not essential.
-People will buy more goods and services if aggressive sales
techniques are used e.g. personal selling and advertising.
-The business looks at sales as the major means of
increasing profit, consumer tastes and needs receive little consideration.
-The budget and advertising, sales promotion, personal
selling and other demand-stimulating activities increase.
-It is most common with unsought goods e.g. encyclopedia,
funeral policies, political candidates etc.
-The fundamental problem with this approach is lack of
understanding of the needs and wants of the market.
Marketing Era
-It recognizes that production and extensive promotion
didn’t guarantee that customers would buy the product. It realizes that sales
depend more on customer decision to buy the product.
-The business adopts a customer orientation – where
they have to determine what the customer wants, rather than try to change the
customers’ needs to fit what is produced.
-This is also known as “outside-inside marketing”.
Societal Marketing
Era
-States that the social and economic justification of any
organization existence is the determination of target market needs, wants and
interests to the delivery of the desired satisfactions more effectively and
efficiently than competitors while preserving or enhancing both the consumers
and the society’s best interests or well-being.
-It involves “green marketing”, “friendly production” and
“environmental friendliness
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