Marketing Management

The Core Idea of Marketing Management

Marketing management is simply the management of the marketing function. It means planning, organising, directing, and controlling all the activities that make the exchange of goods and services possible between producers and consumers. The entire focus is on achieving the desired exchange outcomes with a specific target market.

The American Management Association defines it as “the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services to create exchanges that satisfy individual and organisational goals.” Philip Kotler calls it “the art and science of choosing target markets and getting, keeping, and growing customers through creating, delivering, and communicating superior customer values.”

What Can Be Marketed?

Anything of value can be marketed. The textbook gives a wide range of examples:

• Physical Products: Motorcycle, iPod, mobile phone, footwear, television, refrigerator.
• Services: Insurance, health care, business process outsourcing, security, financial services (investment), computer education, online trading.
• Ideas: Polio vaccination, Helpage, family planning, blood donation (Red Cross), donation of money on Flag Day (National Foundation for Communal Harmony).
• Persons: Election campaigns for candidates for certain posts.
• Places: ‘Visit Agra – City of Love’, ‘Udaipur – The City of Lakes’, ‘Mysore – The City of Gardens’, ‘When Odisha celebrates, even the Gods join in’.
• Events: Sports events (Olympics, cricket series), Diwali mela, fashion show, music concert, film festival, elephant race (Kerala Tourism).
• Information: Production, packaging, and distribution of information by universities, research organisations, marketing research agencies (market information), and technology information providers.

The Three-Part Process of Marketing Management

A careful reading of the definition reveals three essential steps:

• (i) Choosing a target market. For example, a manufacturer may decide to make readymade garments for children up to the age of five years.
• (ii) Focusing on getting, keeping, and growing customers. The marketer must create demand so that target customers buy the product, keep them satisfied so they stay loyal, and attract more customers so the firm can grow.
• (iii) Creating, developing, and communicating superior customer value. The primary job of a marketing manager is to create superior value that attracts customers, communicate that value to prospective buyers, and persuade them to purchase.

Functions Performed by Marketing Management

Marketing management involves performing several key functions:

• Analysing and planning marketing activities.
• Implementing marketing plans.
• Setting up control mechanisms.

All these functions must be performed in a way that achieves the organisation’s objectives at the minimum cost.

Managing Demand, Not Just Creating It

A common misconception is that marketing management is only about creating demand. In reality, it is about managing demand effectively according to the market situation. …