Marketing(from the English market - market, marketing - market science) is a company management system that better adapts production to market requirements for a more profitable sale of goods. This system originated in the 1920s. in the USA and in the 1950-1960s. spread widely in Western countries when difficulties in marketing products worsened.

Let's look at how marketing is practically organized. Here we will focus on four conditions for effective trading.

4 conditions for effective trading

Produce a product needed by the buyer

The first condition: to choose for production a product that the buyer needs, has high quality and competitiveness. It is intended to create a “buyer’s market”, i.e. produce goods that a potential consumer would agree to purchase. The Berger King company (snack bars) proclaimed the main marketing principle:

“Produce what you can sell instead of trying to sell what you can produce.”

Other experts popularly explain the meaning of marketing: the worm should be to the taste of the fish, not the angler. To carry out these installations, the company must carry out a number of activities:

• A. Study the market, customer needs.
• B. Improve the quality of the product: improve the design (artistic design), including color, size and other features, take into account the psychology of consumers, as well as emotional and rational motives for purchases.
• B. Select a market segment (section) where consumer satisfaction is poorly satisfied and there is less competition. Select a specific type of product that is appropriate to produce.

For example, a company American Time Corporation When studying the watch market in the United States, she identified three segments based on the type of customer requirements. The first segment (23% of the market) consisted of people who wanted to buy cheap watches and did not attach importance to their quality and appearance. Consumers in the second segment (46%) prefer high quality, more elegant and expensive watches. The third segment (31%) consists of people who buy watches as a gift and are especially interested in their appearance. However, it turned out that the watch industry mainly produced products for the third segment. Firm American Time Corporation sharply increased the production of improved products for the first two segments and used new distribution channels (watches began to be sold in department stores, pharmacies and other parts of the market trade). As a result, the company took first place in the world in the production of wristwatches.

The price of the product covers production costs and makes a profit

The second condition of marketing: the product must cover production costs and bring profit to the enterprise, and also be acceptable to the consumer. In practice, flexible pricing is used. Appeals attract people's attention “buy two items for the price of one”, “if you buy five items (bars of soap, etc.), you will get the sixth one for free”. In cases where a person is dissatisfied with the purchased durable goods, he is guaranteed a refund.

Application of all methods of promoting goods to the buyer

The third condition for effective marketing: apply all methods of promoting the product to the buyer; influence people so that they buy it.

For these purposes the following are used:

• pre-sale service (providing credit for purchase) and post-sale service (warranty repairs and
• stimulating the sale of goods and rewarding regular customers of service enterprises (hotels, airlines, banks, etc.)
• providing maximum convenience for consumers (“buffet” in restaurants, hotels)
• professionally delivered advertising

Determination of market position

The fourth condition for effective marketing: determine your position in the market (establish where and when it is most profitable to sell the product). Failure to comply with this requirement results in serious errors. Thus, in the state of Rhode Island (USA), two small restaurants went bankrupt: they served a wide selection of Italian dishes with fairly high prices, but among the local residents there were many people of Swedish origin with an average income.

As evidenced by many years of experience, the use of marketing allows manufacturers and sellers to decisively improve trade service (service). However, one cannot help but see the downside of marketing:

• price increase due to expensive, albeit beautiful packaging
• increased costs for credit to customers, their after-sales service, etc.
• widespread intrusive and often unreliable
• the use of poisonous dyes and harmful food additives that give goods a more attractive appearance
• advertising of products harmful to health - cigarettes, alcoholic drinks, etc.

Appropriate countermeasures are applied against such actions of firms. In many countries, legislation provides for consumer protection; control over product quality is being strengthened; Advertising activities are streamlined so that they do not harm people. Societies that protect consumer rights are actively working in this direction.

So, thanks to marketing, manufacturing companies improve production and improve market relations with consumers of their products. Ultimately, all this leads to an increase in mass and profit margins.

Marketing is one of the fundamental disciplines for market professionals such as retailers, advertising workers, marketing researchers, managers of new and branded products, etc. The listed market professionals need to know:

• how to describe the market and break it into segments;
• how to assess the needs, demands and preferences of consumers within the target market;
• how to design and test a product with the consumer properties required for this market;
• how to convey to the consumer the idea of ​​​​the value of a product through price;
• how to choose skillful intermediaries so that the product is widely available and well presented;
• how to advertise and sell a product so that consumers know it and want to buy it.

According to the founder of marketing theory, American scientist Philip Kotler, Marketing is a type of human activity aimed at satisfying needs and wants through exchange .

The role of marketing in the economy is to increase its trade and operational efficiency. At the present stage, marketing is understood as an expression of a market-oriented management style of thinking, capable of not only responding to the development of the market environment, but also changing the parameters of the environment itself, providing access to the market, expanding the market, and ensuring market security.

History of the emergence and development of marketing. Four eras of marketing

Most scientists define marketing as a type of human activity that is aimed at satisfying emerging needs and wants through exchange. And although exchange relations arose almost simultaneously with the emergence of humanity, the formation of marketing as a separate science began to occur only after the “Great Depression” that reigned in the West in 1923-1933.

American scientist and economist Peter Drucker believed that Japan became the birthplace of marketing. In 1690, the founder of the future famous Mitsui family settled in Tokyo and opened the first department store. In this store, Mr. Mitsui pursued a trading policy that was about 250 years ahead of its time. For the first time in the history of trade, the store owner focused on his customers, purchasing only what was in demand, providing a system of guarantees for the quality of the goods, and constantly expanding the range of goods.

In the West, people started talking about marketing only in the mid-nineteenth century. The first to suggest that marketing should be the central activity of an enterprise, and working with its own circle of consumers should be the task of a manager, was Cyrus McCormick. This man is better known as the inventor of the first combine, but it was he who created such marketing areas as price policy , market research, service.

As an academic science, marketing originated in America. Marketing courses were first taught at the University of Illinois and Michigan in 1901. Therefore, the USA is considered to be the birthplace of modern marketing.

In the history of marketing, scientists identify four main eras :

• production era;
• sales era;
• the era of direct marketing;
• era of relationships.

Production era lasted until 1925. At this time, even the most developed companies in Europe focused only on the production of quality goods, and hired third-party people to sell them. It was believed that a good product was quite capable of selling itself.

The most prominent representative of the business of those years was Henry Ford, whose famous phrase: “Consumers can have the color of the car they want as long as it remains black” best characterizes the attitude to marketing of that time. Most industrialists believed that it was enough to produce the best product to beat the competition. However, this turned out not to be entirely true, and the era of production ended before reaching its peak.

Sales era (since 1925) - in Europe and the USA, production techniques were improved and production volumes increased. Manufacturers already had to think about more efficient ways to market their products. It was a time of great discoveries, and products that were completely unfamiliar to consumers appeared on the market, the need for which still needed to be convinced by the population. Sales specialists began to appear in large companies, but they were still given a secondary role.

The era of marketing itself began after the Great Depression. The population's demand for goods began to grow, and so did the importance of sales departments. Only those companies survived that knew how to take into account consumer demand and focus on it. During the Second World War, there was a pause in the development of marketing relations.

After the war, marketing was no longer seen as an additional or secondary activity. Marketing began to play a leading role in product planning. Marketers, together with product engineers, identified consumer needs and tried to satisfy them. Market orientation helped achieve rapid financial success, and consumers eagerly accepted new products. This is how consumer-driven marketing was born.

Relationship Era appeared towards the end of the twentieth century and continues to this day. Its characteristic feature is the desire of marketers to establish and maintain stable relationships with consumers. The company strives to maintain permanent relationships with suppliers. Potential competitors create joint ventures, trademarks are combined into one common product. The main goal in a highly competitive environment is to maintain and increase sales and stay afloat.

History of marketing development in Russia

The periodization of marketing development in Russia has significant differences . The first period of marketing development began in 1880 and lasted until October 1917. This was a time of active development of Russian industry on the basis of large-scale entrepreneurship. Even then, various marketing tools were used, in particular the formation of public opinion through the release of printed and wall advertising, participation in international exhibitions and fairs, and patronage.

Domestic entrepreneurs have successfully used sales and personnel promotion techniques. There was an industry for the production of packaging for goods. But there was no unified marketing system yet. While in large universities in Europe and America marketing was already taught as a separate discipline, in Russia individual knowledge on marketing could only be obtained in a general course economic theory , which was taught in commercial schools.

The revolution interrupted the development of marketing in Russia. Within five years, the country needed most of its industrial and food products. Production was stopped and destroyed. The Civil War and the First World War pushed the problem of marketing far into the background.

With the advent of the NEP era, a new round of marketing development is taking place in Russia. The Market Research Institute appeared in Moscow, the first institution in Soviet Russia to study marketing. N.D. Kondratiev The theory of “Business cycles” is created, the first scientific work on marketing. However, with the advent of 1929 and the rigid distribution system of goods, the development of marketing froze again until the Khrushchev thaw.

Under Khrushchev, Soviet economists became interested in marketing, giving a negative assessment of marketing as a phenomenon completely alien to the economy of Soviet Russia.

In the 1970s, Russia began to enter the foreign market, and domestic specialists’ ignorance of the simplest basics of marketing led to failures in trade relations. Realizing their mistake, the country's leadership urgently rehabilitated marketing by introducing a new academic discipline in a number of universities in the country.

A new stage in the development of domestic marketing began in 1992-1993. The economic reforms of those years are assessed differently, but it was they that led to the formation of market relations and spurred the development of marketing.

Many enterprises found themselves on the verge of bankruptcy and were forced to resort to marketing tools in order to establish sales against the background of the rapidly changing economic situation in Russia. Some urgently repurposed their activities, focusing on consumer demand, while others closed and declared bankruptcy.

Today, the importance of marketing in Russia is recognized by all those associated with the market and involved in economic activities. Marketing is taught as a separate discipline in colleges and universities. Marketing has become an independent specialty; marketing graduates are becoming in-demand specialists in any enterprise.

Role and functions:

• 1. From a consumer point of view:
  • - marketing makes consumers more informed
  • - marketing sets quality standards in the minds of consumers
  • - marketing makes consumers more manageable
• 2. From an enterprise point of view:
  • - Environmental analysis and market research
  • - Analysis of real and potential needs
  • - Product planning
  • - Sales planning
  • - Product promotion planning
  • - Price planning

Question 6. New product planning process

The process of product planning and creation of new products affects all areas of the company's activities. All divisions of the company are involved in one way or another, including the sales department, production department, research and development department, financial group, legal service, etc.

The new product planning process includes 8 stages:

Generation of ideas- this is a kind of search for opportunities - the creation of a product of market novelty. Ideas for creating a new product arise in marketing laboratories as a result of conducting surveys or analyzing consumer complaints, considering proposals from sales agents, patent information, and conclusions of experts in engineering and technology.

Selection of ideas . If the goal of the preliminary stage was to generate as many ideas as possible, then here, on the contrary, to reduce this number by removing unsuitable ones. The filter list for new products includes the following characteristics:

• - general analysis of products;
• - potential profit;
• - competition;
• - market size;
• - level of investment;
• - possibility of patenting;
• - degree of development of science and technology;
• - impact on existing products;
• - marketing characteristics;
• - resistance to seasonal factors;
• - ease of production;
• - availability of resources;
• - the possibility of production at competitive prices It is necessary to determine the possibility of patenting, this will give the inventor the opportunity to obtain exclusive sales rights for 17 years Determining patentability includes issues such as::
• - can the proposal be patented?
• - or patented competing products?
• - what is the validity period of patents?
• - Patents from competing licensing firms are available?
• - are there any patent violations in a competing company?
• - description of the size, structure of the target market, sales volume, market share and profit for the next few years
• - general information about the price of the product, the general approach to its distribution, estimates of marketing costs for the first year
• - long-term goals for sales and profit indicators, formation of a marketing mix.

Proof of Concept comes down to presenting the intended product to the consumer and thereby changing his attitude towards the product, making him want to make a purchase at this early stage of development

Economic analysis accepted ideas are based on the study of forecasts of demand, costs, competition, required investments, profits. The process of developing a new product is associated with making decisions about the design of the product, its equipment, choosing a brand, determining the properties of the product unknown to the buyer, and checking the consumer’s attitude towards the new product.

Test marketing used to test a new product by market relations. It involves clarifying the location, timing of the sale of the goods, the nature of the information to be obtained, and the results of processing.

8. Commercial implementation corresponds to the stage of implementation of life cycle technology, includes the implementation of a marketing plan and full-scale production, requires significant costs, and quick management decisions.

Among the factors that need to be considered during the commercialization period are the following:

• - speed of determination by consumers;
• - speed of determination by distribution channels;
• - intensity of distribution;
• - production capabilities;
• - promotion structure;
• - prices;
• - competition;
• - period for achieving profitability;
• - cost of commercial sales.

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In a market economy, the role of marketing is to organize free and competitive exchange and effective communication between seller and buyer to ensure that the supply of goods and services matches the demand for them.

Exchange is the physical flow of goods between producer and consumer.

Communication is the flow of information before, during and after an exchange, aimed at effectively matching supply and demand.

The distribution process is responsible for organizing the exchange of goods and services, the task of which is to transfer products from the state of production to the state of consumption. This “flow” of products into the state of consumption creates three types of benefits: state benefits, place benefits and time benefits. Creating a state benefit means the totality of all material transformations of transferring a product into a state suitable for consumption (fragmentation, packaging, sorting, etc.). Creating the benefit of place involves spatial transformations (transportation, geographic distribution, etc.) that make goods available to users in places of use, transformation or consumption. Creating time benefits means temporary transformations (mainly storage) that make goods available to users at the time they need. It is thanks to these functions that manufactured goods come into the “field of view” of target consumers, which creates favorable conditions for the coincidence of supply and demand. Exchange can only occur if potential buyers are informed of the existence of the goods and/or their properties. The development of knowledge of manufacturers, distributors and buyers is ensured by marketing communications.

In a typical market, seven communication flows can be distinguished (Fig. 1). Before investing money, the manufacturer collects information to determine the needs and desires of customers that constitute an opportunity beneficial to him, the manufacturer. Likewise, a potential buyer conducts research into supplier offerings. Once production starts, the manufacturer begins a communications program.

“Vicious circle” of economic development

Marketing initiates a “vicious” circle of economic development (Fig. 1.2). This development process includes the following stages:

need strategic competitive market

Rice. 1.

• 1) Marketing helps identify underserved or unmet market needs and stimulates the development of new or improved products.
• 2) Marketing develops an effective marketing program to create and/or increase market demand for these new products.
• 3) An increase in demand entails a reduction in costs, which allows prices to be reduced and thereby contributes to the emergence of new groups of buyers in the market.
• 4) The resulting market expansion requires new investment in production capacity, which creates economies of scale and stimulates further research and development to create new generations of products.

Rice. 2.

Marketing contributes to the development of democracy in business because it:

• 1) initiates an analysis of consumer expectations;
• 2) determines investment and production decisions based on perceived market needs;
• 3) takes into account the diversity of tastes and preferences of consumers (which is expressed in market segmentation and the development of improved products);
• 4) stimulates innovation and entrepreneurship.