Principles of Marketing : Chapter 1

So the main error of understanding between Marketing and sales is that industry in Pakistan normally confuse sales with marketing and vice versa. There is a substantial difference between both of them. Normally I put marketing as a class room, you have windows, board, rostrum, bench, fans. So marketing is made up for different components like publicity, public relations, sponsorship, digital marketing, sales, advertisement and promotions. So sales is just one component where main strategy is short-term to create profits. While Marketing focus on long-term goals and creating and capturing value to understand the consumer and develop a meaningful relationship. The major concepts furthermore describe about the myopic situation of marketing. Myopia is basically short-slightness of the market. Big giants like Nokia and Kodak suffered from it. It’s basically when companies don’t innovate themselves or their process , they lag behind competitors and in the end they lose their valuable customers.

Marketing management plays in dual nature of a theory. Some practitioners say it’s a sciencewhile some portrays it with an art. But how, Science is because it talks about the concept of sales management (quantitative) and achieving KPI’s, while art is because it talks about the creative part in advertising and ways of promoting your products and services.

De-marketing another concept where companies pull down their demand on the temporary basis. It’s a strategy where companies can’t fulfill the market order or they are full in demand. So not to create a bad image, they de-market in a way that customers value is intact with it.

Lastly the orientation of marketing management is critical because it shows how the shift in economy took place with the steps of creating value. Since for me, this model should be expandable to a case of digital marketing after societal marketing. In Production concept, customer focus on that product which is easily and readily available and easy to use, I put the basic needed products in it. As the transformation goes on, the concept of value generate itself,  where customer will buy or prefer that product which will create value for them.

What is Value then?

V=B/C
value=benefit/cost

More benefit more value , more cost less value

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