HISTORY OF MARKETING

In some ways marketing is as old as civilization itself. You may have seen films based in ancient Greece
or Rome with images of bustling market stalls and traders actively engaged in persuasive
communications. Of course these traders would not have called their activities marketing and their
activities may seem far removed from someone ordering airline tickets via a website.
The concept of marketing that we now see has more to do with developments during the industrial
revolution of the 18th and 19th centuries. This was a period of rapid social change driven by technological
and scientific innovation (see BBC history website). One result was that for the first time the production of
goods was separated from their consumption. Mass production, developing transport infrastructure and
growing mass media meant that producers needed to, and could develop more sophisticated ways of
managing the distribution of goods.
EVOLUTION OF MARKETING
The Trade Era: Production consisted in handmade goods that were limited and generally traded through
exploration.
The production orientation era
- For much of the industrial revolution goods were generally scarce and producers could sell pretty
much all that they could produce, as long as people could afford to buy them. Their focus was
therefore on production and distribution at the lowest possible cost and what marketing
management that there was considered these issues (for example, reducing distribution costs,
opening new markets).
The sales orientation era
- From the start of the twentieth century to the period following the Second World War (although the
development was interrupted by the wars) competition grew and the focus of marketing turned to
selling. Communications, advertising and branding started to become more important (see archive
at the History of Advertising Trust website) as companies needed to sell the increasing outputs of
production in an increasingly crowded market. Marketing was therefore still a 'slave' to production,
but focussed on distribution, communication and persuading customers that one manufacturers
goods were better than anothers.
The marketing orientation era
- From the 1960s onwards most markets have become saturated (the size of the market remains
the same). This means that there is now intense competition for customers. The sophistication of
marketing management has therefore developed into what we now see in a modern marketing
department. Marketers are involved at a strategic level within the organisation and therefore inform
an organisation about what should be produced, where it should be sold, how much should be
charged for it and how it should be communicated to consumers. Modern marketers research
markets and consumers. They attempt to understand consumer needs (and potential needs) and
allocate organisational resources appropriately to meet these needs. Modern marketers are
particularly interested in brands. They are also increasingly interested in ensuring that employees
understand marketing, i.e. that everyone within the organisation involves themselves with
marketing activities.
The Relationship Marketing Era
- The focus of companies shifts towards building customer loyalty and developing relationships
with clients. Authors such as Don Peppers, Martha Rogers and Philip Kotler were instigators of the
importance of creating bonds, considering that "the cost of attracting a new customer is estimated
to be five times the cost of keeping a current customer happy." (Kotler, 1997)
The Social/Marketing Era
-Concentrates on social interaction and a real-time connection with clients. Businesses are
connected to current and potential customers 24/7 and engagement is a critical success factor.

Marketing- is the activity, set of institutions, and processes for creating, communicating, delivering, and
exchanging offerings that have value for customers, clients, partners, and society at large.
STRATEGIC MARKETING APPROACHES
Identify the tactical action steps which will turn your strategy into a reality in your marketing plan, using the
guide below. The seven tactics below are sometimes referred to as the 7Ps because they all start with the
letter p.
1. Your product or service
What product or services are you going to offer? Discuss the branding, the packaging (where applicable),
and ongoing product or development. You should consider the features and benefits you offer, your unique
selling points (What makes your product/service different from everyone else's) and what potential spin-off
products of services might be.
2. The pricing of your product or service
Price is a critical part of your marketing mix. Choosing the right price for your products or services will help
you to maximise profits and also build strong relationships with your customers. By pricing effectively you
will also avoid the serious financial consequences that can occur if you price too low (not enough profit) or
too high (not enough sales).
3. Your position (place) in the marketplace
Whether it's a retail store, online shop or on social media, 'place' refers to the channels and locations for
distributing your product, related information and support services. This is how you will position your
product in the marketplace, it's the location where a product can be purchased. Often referred to as the
distribution channel, this can include any physical store (e.g supermarket) as well as virtual stores (e.g
eBay) online.
Being in the right location can be a deciding factor in whether a customer buys from you or not. To find out
where your ideal customer is buying from it's worth doing some market research.
4. The promotion of your product of service
How do you promote and market your business now (or intend to)? Regardless of how good your
business is, if you dont promote it and tell people you exist, its unlikely you will make many sales.
Promotion is about attracting the right people to use and reuse your business. There are a number of
techniques to use and they can be combined in various ways to create the most cost effective strategy for
your needs. This can include online, branding, public relations and advertising.
5. The people in your business (e.g. salespeople, staff)
If you have employees in your business, they can influence the marketing of your products and services.
Knowledgeable and friendly staff can contribute to creating satisfied customers, and can provide the
unique selling experience that an organisation is often seeking. If an outstanding team provides a
competitive advantage, then the quality of recruitment and training becomes essential to achieving your
marketing objectives. Make sure you have processes and training in place to get the most out of your
team.
6. The process represents the buying experience
Process represents the buying experience the customer gets when they buy your product or service. For
example, the way a fine bottle of wine is presented and served in a restaurant, the reaction of a business
to a complaint or the speed of delivery in a fast food outlet.A poor process can undermine the other
elements of the marketing mix. Budget airlines, for example, may offer very competitive headline prices,

but if the final price is inflated by additional charges such as baggage charges and administrative fees,
customers may begin to feel they have been taken advantage of.
Try to document your key processes and procedures so your staff and suppliers know what to aim for.
This should include:financial and information technology.
7. The physical environment where the good/services are presented
The physical environment where your products or services are sold and delivered can have a significant
impact on how your customers' experience your business. The physical environment can be the quality of
the furnishings in your consulting rooms, the design of your reception area or website.
Creating a positive physical environment doesnt have to be costly a vase full of fresh flowers or a
creative window display can make a big difference.

Marketing Environment
The marketing environment represents a mix between the internal and external forces which surround an
organization and have an impact upon it, especially their ability to build and maintain
successful relationships with target customers.
The marketing environment consists of the micro and macro environment.
Macro environmental factors include social, economic, political and legal influences, together
with demography and technological forces. These are sometimes referred to as the PESTLE factors
and are discussed in more detail in PESTLE analysis. The organization cannot control these forces, it can
only prepare for changes taking place.
Micro environment refers to the forces closely influencing the company and directly affect the
organizations relationships. The factors include the company and its current employees, its suppliers,
marketing intermediaries, competitors, customers and the general public. These forces can sometimes be
controlled or influenced and are explained in more detail in Porters 5 Forces.
Environmental Contexts
Familiarity with the different types of markets helps marketers to better understand the
marketing environment they operate within.
The main types of customers are businesses, consumers, government bodies and employees.
Several transactions can occur between them, leading to the concept of consumer or B2C markets,
Business or B2B markets, export markets, government or G2C markets, with each having their own
specific profile.
Business to business (B2B) marketing represents the sales process between organizations or
institutions. Transactions in these markets are often more complex, the distribution channels
are shorter and more direct with stricter product standards and specifications.
Consumer markets (B2C) are represented by individuals who purchase goods, products or
services for their own consumption.
They can be segmented into various groups taking into account factors such as age, education,
location, attitudinal values, income, etc., meaning that various marketing strategies can be applied.
G2C markets (government to citizen) develop when governmental institutions become sellers
and citizens assume the role of buyers.

These interactions are becoming increasingly more specialized. For example, we can have B2E
(business to employee), a transaction that reflects what businesses do attract and keep their employees in
terms of recruitment tactics, benefits and opportunities, plus E2B(employee to business). Others from the
digital arena include C2C (consumer-to-consumer) or P2P (peer-to-peer), which represent the ability
of online users to interact directly with each other, without the need for an intervening organization
other than to facilitate the communication.
4PS + 3PS OF MARKETING
Product variable (p): this refers to the tangible product and services that the marketer have in his
offerings. It refers to it packaging, shape size,
Portability, engineering features, and the supportive services rendered after sales to increase consumer
satisfaction. In order To achieve some desired objective on the product, marketers can choose to develop
more attractive and effective product to meet identified sets of needs and want of the target market.
Marketers can also choose to modify an existing product to a more refined suitable brand e.g. by
modifying it shapes, packages etc. To meet with consumers need and wants.
Promotion variable: the promotion variable involves all strategies which the marketer employs to
communicate it product offerings to the target market. The objective is to;
Create product awareness
Educate the market And
Also to create a good organizational image.
Marketers make promotional decisions like;
The promotional massage to pass across
The best media to use in passing these massages
The most effective form of promotion in every market situations and
The cost effects on the kind of promotional method to employ.

Price variable: price refers to the value which consumers places on a particular marketers
product offering, and it is often express in monetary terms. Price is a critical tool of marketing
because it effects goes a long way to determine the demands of the product offering in the market,
and it can also hinder or catapult an organization's returns on investments. An effective price is
that price that reflects the actual value of a particular marketers product. So to achieve a set
desire, marketer must make critical decisions regarding to the organizations pricing policies. The
consumers' sensitivities to prices in the target market go a long way to affect a marketers pricing
decision making. Also you as a Marketer must make decisions to the amount of discount to be
allowed in order to encourage demand. In terms of a new product, marketers make decision on the
pricing method to employ in order to encourage purchase, most especially at the introduction stage.
Place/distribution variable: The distribution variable is another controllable which marketers can
employ to determine, where, when and how he want it product offerings to circulate within the
target market, the necessary mechanism to employ for an effective transfer of goods and services
to the target market in order to achieve the objective of marketing which is consumers' satisfaction.
One of the strategic duties of a Marketing manager is to ensure that product are available to the
market at the right time, in the appropriate quantity, and at the right place while also ensuring
minimal transportations and storage cost in order to reduce huge cost acquirement on a product.
The marketing manager also makes decisions regarding to;
The kind and numbers of retail outlets to carry its product.
The geographical location to cover with it product.
The numbers of storage houses to be employed
The selection of meddle men to distribute its product

 The mode of transportation to encourage in order to having an effective distribution of it product

etc.
However, these days marketers have recognized and encourage the following added 3Ps to it marketing
strategies, haven realized their effectiveness to an organization's marketing strategies.
The following 3ps are;
People: people refer to the marketing personals that carry out these marketing activities. These
people who provide the services to the target market now forms other marketing tools since there
level of creativity, skills, and product and market awareness goes a long way to influence purchase.
Marketing manager now invest adequate amount of time in training their marketing personnel in order to
equip them with the necessary skills required to have positive influence in the target market.
Process: the process here refers to the ways in which marketer employ to providing relevant and
supportive services to their customer in order to give them more satisfaction for their patronage.
Marketing manager must make key decisions such as the kind of after sales service, home delivery
etc. to employ because these process when effectively employed will go a long way to create brand
loyalty and also a long lasting relationship with the customer.
Physical evidence: this is the physical environment of the business, it has formed another
marketing tools because consumers are likely to be influence by what they see and most
organizations today are accesses by their physical structures. In order to Influence costumers
confidence to the organization, marketing manager must ensure a more conducive atmosphere to
attract more customers while realizing marketing objectives.
TYPES OF MARKET COMPETITION
Direct Competitors
A direct competitor is someone that offers the same products, with the same end game, Paul said. They
make money from the same thing you do.
A direct competitor is probably what most commonly comes to mind when you think of the word
competition. When I was a communications consultant, I used to work with the competitive sales office of
an IT company. They focused on direct competitors creating a win/loss report for every deal where the
sales team went head-to-head against other IT companies offering similar products and services.
Indirect Competitors
Indirect competitors offer the same stuff but have a different goal, Paul said. They dont drive revenue
the same way.
Heres where content marketing can really have an impact. Essentially, a companys marketing can
compete with your paid product, as well see in the example
Replacement Competitors
A replacement competitor is something someone could do instead of choose your product, Paul
remarked. But theyre using the same resources they could have committed to your product.
These are the most challenging competitors to identify. However, we must remember that our customers
define our competition. After all, the competition is simply the other choices they may choose to make. So
we must interview customers, listen to their social media conversations, and understand macro trends to
gain an understanding of what choices they are really making.

Marketing management is the organizational discipline which focuses on the practical application
of marketing orientation, techniques and methods inside enterprises and organizations and on
the management of a firm's marketing resources and activities.

Social Responsibility and Ethics

Social responsibility is an ethical theory, in which individuals are accountable for fulfilling their civic duty;
the actions of an individual must benefit the whole of society. In this way, there must be a balance
between economic growth and the welfare of society and the environment. If this equilibrium is
maintained, then social responsibility is accomplished.
What it Means to be Socially Responsible and Ethical?
The theory of social responsibility is built on a system of ethics, in which decisions and actions must be
ethically validated before proceeding. If the action or decision causes harm to society or the environment
then it would be considered to be socially irresponsible.

Principles
Of
Marketing
SUBMITTED BY:
Tumpang,Joelry May S.
I-AFM

SUBMITTED TO:
Prof. Aida M. Pangantihon