MARKETING PRINCIPLES

Marketing Principles

Table of Contents

ELEMENTS OF THE MARKETING PROCESS2

BENEFITS AND COSTS OF MARKETING ORIENTATION3

MACRO AND MICRO ENVIRONMENTAL FACTORS IMPACTING MARKETING DECISIONS4

SEGMENTATION CRITERIA FOR MARKS AND SPENCER5

TARGETING STRATEGY FOR A SELECTED PRODUCT5

BUYER BEHAVIOUR AND MARKETING ACTIVITIES6

POSITIONING FOR A SELECTED PRODUCT7

Marketing Principles

Elements of the Marketing Process

Marketing is the process through which organisations create value for their customers by satisfying their needs and wants. The marketing process consists of four distinct steps which are, situational analysis, targeting strategy, marketing mix and implementation and control (Ellis, et al., p. 42).

First, the marketing process begins with a thorough examination of the micro and macro environment through which the organisation identifies relevant opportunities for meeting unmet needs and wants of current and potential customers. In order to understand the dynamics of the marketplace to tailor its strategy and to identify opportunities, marketers analyse several macro environmental forces which are political, legal, cultural, environmental, economic, technological and social factors (Pride & Ferrell, 2011, p. 483).

Second, once the situational analysis reveals relevant opportunities, the marketers then engage in segmentation, targeting and positioning process (STP). They gather all possible information about the market, and they use the same to segment the market in different groups of buyers and craft strategies to target one or all of the segments, in different ways. Lastly, marketers also spend their resources towards determining how they prefer their customers to perceive them or what image of the organisation or brand they desire for customers to have in their hearts and minds (Stevens, 2012, p. 80).

Third, the next step involves deciding on the marketing mix, which involves the four P's of product, place, price and promotion and seven P's in case of services with the additional P's of physical evidence, process and people.

Lastly, the marketers have to ensure that they create mechanisms for the effective and efficient implementation of these plans. More importantly, the marketplace never remains static, and there are always several changes that force the marketers to adapt their plans and strategies (Pride & Ferrell, 2011, p. 483).

Benefits and Costs of Marketing Orientation

Marketing orientation refers to the business philosophy whereby all the resources of any organisation are devoted towards identifying and meeting the needs of customers with the utmost focus on exchanging value. Marks and Spencer has been able to enjoy significant success over the past few decades, primarily, due to its ability to follow the marketing orientation. Marketing orientation has allowed the organisation to show a terrific deal of responsiveness to the changing consumer preferences, needs, wants and demands; thus, allowing them to charge premium for their offerings (Lancaster & Massingham, 2010, p. 241). Furthermore, although, in the recent past, the retailer has struggled to impress the shareholders, the company has enjoyed a loyal following by many customers that have kept the company going; something that becomes possible when an organisation follows the marketing orientation (Cant, et al., 2009, p. 127).

On the other hand, there are certain costs associated with a religious following of the marketing orientation that organisations like Marks & Spencer ...