Most people don't know what
real definition of marketing is. In general, they mistake marketing as being synonymous with advertising, sales, or promotion. Marketing is a highly evolved science of making a profit from transactions. It is, in fact, a very broad term. Whether you work for a business, a nonprofit organization, a services organization, or an organization that sells goods, definition of marketing is same: It's process of identifying consumer wants or needs and then identifying ways of meeting those wants or needs at a profit to marketer.
MARKETING ISN'T JUST PROMOTING AND SELLING! Why is it important to understand definition of marketing? It's because we often think that all we have to do is promote a product and it will sell.
However, as what definition of marketing points out, marketing involves first finding out what people need before figuring out how to get them to buy a product.
THE 4Ps OF MARKETING! In order to fully understand definition of marketing, marketers often break down its definition into what is known as "4 Ps of Marketing."
The 4Ps are:
- Product - Place - Promotion - Price
It's marketer's job to find or invent product to be sold, plan ways to get it to a particular place (distribution or logistics), promote it to its target audience, and determine price it should be sold at.
IT'S ALL BECAUSE OF THE CUSTOMERS! Why do marketers take 4P approach? This is because marketing is based on concept of customer retention. This concept states that customers who are happy with product they receive will come back again and or tell their friends about product. This is very important because estimates for most industries state that it costs at least five times as much to find new customers as it does to retain current customers.
