Q11: The process of marketing involves creating a market offering and to satisfy the needs and wants of the present and potential buyers. The real question is how to create a market offering. Suppose, after gathering and analysing market information, a profitable business opportunity is seen by some firm in the field of producing soft drinks. To develop and market new brand of soft drinks, the firm takes a number of important decisions, for example whether to go for any collaboration with a foreign manufacturer of soft drinks; whether to produce for the local market or for a wider market; what will be the features of the new product so that it is attractive to the target customers; whether the drink will be packed in glass bottles or plastic cans; what will be the name (brand name) of the drink; at what price it will be sold (at par with the price at which other competitive brands are sold or below it or above it); and so on. (a) Identify and explain the two features of marketing discussed above. (b) Identify and explain any four functions of marketing discussed above.
Answers
Answer:
(a) 1. Customer focus:
The marketing function of a business is customer-centred. It makes an attempt to study the customer needs, and goods are produced accordingly. The business existence depends on human needs. In a competitive market, the goods that are best suited to the customer are the ones that are well-accepted. Hence, every activity of a business is customer-oriented.
2. Customer satisfaction:
A customer expects some services or benefits from the product for which payment is made. If this benefit is more than the amount paid, then the customer is satisfied. In the long run, customer satisfaction helps to retain market demand. It helps achieve organizational objectives. Customer satisfaction can be enhanced by providing value-added services, which includes providing additional facilities at little or no extra cost.
(b) 1] Planning
The next logical step would be to make a marketing plan. Firstly you must be very clear about the objectives of the company and what it wishes to achieve. Then you figure out a timeline to achieve these objectives. And finally, you plan the marketing strategy of your company accordingly.
2] Product Development
As per your consumer research, we then develop the product that suits the needs of the consumer. The design of the product is also an important factor in many products. Like for example when buying a car, the design will play a huge factor. There are other factors to be considered like cost, durability etc
3] Standardisation and Grading
Standardisation means ensuring uniformity in the product. All customers must get the same product of the same design and quality. And these standards need to be maintained throughout.
Grading is the process of classification of products according to similar characteristics and/or quality. If the product does not have any predetermined quality or other specifications like say agricultural products. Grading will ensure the consumer knows your goods are of the highest quality.
4] Packing and Labeling
The package and the label are the first impressions your product makes on the consumer so they are of essential importance. They are not only to protect and identify the goods but are great marketing tools. There is proof that an attractive package and label can go a long way in making a product a success.