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researching and developing an innovative product can be successful, even if there has been no formal market research
Here there is still the belief that if businesses produce an innovative product of a good-enough quality, then it will be purchased. mostly in electronic and pharamutical industries
invent and develop products in the belief that they will find consumers to purchase them.
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Trying to offer choice and range so that every consumer need is met can be expensive
If a business attempts to respond to every passing consumer trend or market fashion, then it may well over-stretch its resources and end up not doing anything particularly well
benefits
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Constant feedback from consumers – market research never actually ends – will allow the product and how it is marketed to be adapted to changing tastes before it is too late and before competitors ‘get there first
likely to survive longer and make higher profits- since consumer needs are met
chances of newly developed products failing in the market are much reduced – but not eliminated
key feature
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produce what consumers want rather than try to sell them a product they may not really want to buy
The consumer is put first.
requires market research and analysis to indicate present and future consumer demandpatterns
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Marketing → operations
Sales forecasts will be used by the operations department to plan for the capacity needed, the purchase of the machines that will be used and the stocks of raw materials required for the new output level.
Market research data will play a key role in new product development
Marketing → human resources
ensure that the recruitment and selection of appropriately qualified and experienced staff are undertaken to make sure there are sufficient workers
e sales forecasts will be used by human resources to help devise a workforce plan
marketing --> finance
necessary capital is available to pay for the agreed marketing budget,
use the sales forecasts of the marketing department to help construct cash-flow forecasts and operational budgets.
Select as needed:
form basis of marketing strstegies
brkn down into regnl, prdct sales target-allows MBO
prgrss be monitrred agnst targets
prvde sense of direction for the marketing dept.
communicated effectively to all depatments
be SMART
be determined by senior management- >>determine trades for the coming years- dealt with management at the highest level
fit in with the overall aims of the business >>reflect aims of the whole organisation and attmpt to aid achve these aims
brand identity
customer satisfaction
frequency a loyal customer shops
total sales
market share
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a consumer considers a product to have good value if it provides satisfaction at what is thought to be a good price.
Marketing managers believe it is their aim to convert human needs to wants by pursuasive prosuct imagery in advertising.
wants are broader in perspectiv; requirements to satisy invidual needs like desire for knowledge- not neede for suvival
Needs are requrirements for basic survival as biological beings
the place where buyers and sellers meet in exchange
abstract- internet
physical- groceries and bazaars
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