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A marketing oriented firm (also called the marketing concept, or consumer focus) is one that allows the wants and needs of customers and potential customers to drive all the firm's strategic decisions. The firm's corporate culture is systematically committed to creating customer value. In order to determine customer wants, the company usually needs to conduct marketing research. The marketer expects that this process, if done correctly, will provide the company with a sustainable competitive advantage.The concept of marketing orientation was developed in the late 1960s and early 1970s at Harvard University and at a handful of forward thinking companies. It replaced the previous sales orientation that was prevalent between the mid 1950s and the early 1970s, and the production orientation that predominated prior to the mid 1950s. Since the concept was first introduced in the late 1960s, it as been modified, repackaged, and renamed as "customer focus", "the marketing philosophy", "market driven", "customer intimacy", and "the marketing concept".
1 Application of the concept
This consumer focus can been seen as a process that involves three steps. First customer wants are researched, then the information is dissiminated thoughout the firm and products are developed, then finally customer satisfaction is monitored and adjustments made if necessary.
Techniques that firms use to understand the customer include:
A marketing oriented firm will typically show the following characteristics:
- Extensive use of various marketing research techniques
- Broad product lines
- Emphasis on a product's benefits to customers rather than on product attributes
- Use of product innovation techniques, such as; brainstorming, concept testingConcept testing is the process of using quantitative methods for evaluating consumer response to a product idea prior to the introduction to the market of an actual product which embodies that idea and for generating communication designed to alter consum, and force-field analysis.
- The offering of ancillary services like credit availability, delivery, installation, and warranty
- Customer satisfaction and complaint monitoring procedures, including; exit interviews, customer complaints database, and Web and telephone information hotlines.
- Organizational structure in which the marketing manager reports directly to the CEO.
2 See also
- marketingMarketing is the craft of linking the producers (or potential producers) of a product or service with customers, both existing and potential. Some form of marketing arises naturally in all capitalist societies but is not limited to capitalist societies.
- sales orientation
- production orientation
- personal marketing orientationFor technical and sociological reasons, marketing has dealt with aggregates like market segments, target markets, and demand. They traditionally have used broad and blunt instruments like mass marketing, national advertising, assembly line production, and
- marketing research
- marketing managementMarketing management is the practical application of marketing techniques. It is the analysis, planning, implementation, and control of programs designed to create, build, and maintain mutually beneficial exchanges with target markets. The marketing manag
MarketingMarketing is the craft of linking the producers (or potential producers) of a product or service with customers, both existing and potential. Some form of marketing arises naturally in all capitalist societies but is not limited to capitalist societies.
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