Marketing Process – Understanding the Marketplace

Marketing Process Step 1

Understanding the Marketplace and Customer Needs

In the first step, the marketing process starts with understanding the needs and wants of consumers, to understand the marketplace. Now that, the most fundamental concept of marketing is human needs.

Needs

Needs includes clothes, food, safety, etc. The market does not create these needs, because they are the basic naturally part of human need.  On the other, there are wants.

Wants

Wants are something that is not a basic need.  Want is a person’s own wish to buy something extra. For example, I phone a zinger burger, a tin of Pepsi, a Ferrari Car, etc. Wants are actually shaped by society. Wants become demands when purchasing power increases.  People want products with benefits that add high value and satisfaction.

 

Market Offering is also a part of Marketing Process

Consumer needs and wants are fulfilled through the market offerings. It is a combination of products, services, experience, the information offered by the market to satisfy consumer needs and wants. A market offering can be physical products like Death Wish Coffee, Oreo,  FritoLey, Heinz; it can be services like Disney Cruise Line, Ritz-Carlton, Hotel, Airline, etc. The market offers may also be an entity like person, place, idea or information, etc.

 

Customer Value and Satisfaction

Consumers usually experienced a broad variety of products and services that may satisfy Needs and wants. How do consumers pick out among these enormous market offerings? Customers feel expectations about the value and satisfaction that various market offerings will deliver. Satisfied customers buy again and tell others such as friends and family members about their good experiences. Dissatisfied customers often switch to competitors and laugh at the product of others. So, Marketers must be careful to set the measure of expectations. If marketers set expectations low, they may satisfy those who purchase but fail to attract enough purchasers. If they set expectations too high, purchasers will be disappointed. Customer value and customer satisfaction are key building blocks for developing and managing customer relationships.

 

Exchanges and Relationships in Marketing Process

If consumers decide to satisfy their needs or wants through relationship exchange, there is marketing exists. Exchange is the work of getting the desired thing from someone by offering something in return. In the large sense, the marketer endeavors to generate a response to some market offering. The response might be more than simply buying and selling services and products.

For example, a politician wants votes; a student wants a high score; a blogger wants an audience, and a social action group wants idea acceptance. Marketing involves actions taken to make, maintain, and increase desirable exchange relationships with target audiences involving a product, service, idea, or another object. Business wants to build strong relationships by regularly delivering superior customer value.

 

Marketplace

The concepts of market lead by the exchange and relationships market. A market is a place of potential buyers and sellers of products and services. These buyers split a specific need or want which can be satisfied through the exchange of relationships between buyer and seller.

 

Marketing Myopia

Marketing Myopia is not a part of the marketing process. It is just for clarification of myth. Marketing myopia is a mistake of paying more focused attention only to the product rather than its inherent benefits and experience. It means they pay attention only to existing wants and lose focus on customer needs. For example, A company of half-inch drill bits may think that the customer needs a drill bit. But what the customer really needs is a half-inch hole. Therefore, if this myopia happens by company, organization, or store, it will create difficulties for existing companies because whenever a new company launches its products that served the customer’s needs better or maybe less expensive.

 

You can also check the basic overview of marketing

 

2 Responses

  1. pomes says:

    Can you please explain myopia? I did not get it clearly.
    Thanks in advance.

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