Marketing is not a four lettered word

Marketing 101 – a brief intro

I had a college professor that once said, “There are no successful manufacturing or distribution or research or fill in the blank companies … there are only successful marketing companies”. What she meant was, without marketing, it’s all for naught.  It’s one thing to have that great idea and produce a product or service that will change your life … or the world! But without the rest of the marketing mix, all that effort goes unnoticed. Have you ever seen a warehouse of 3,000,000 unwanted widgets??? I’m pretty sure you don’t ever want to!

Businessdictionary.com defines Marketing as:

“The management process through which goods and services move from concept to the customer.”

It includes the coordination of four foundational elements called the 4 P’s of Marketing. Traditionally, the 4 P’s, aka the Marketing Mix, are more commonly known as: Product, Price, Placement (distribution) and Promotion

“There are no successful manufacturing or distribution or research or fill in the blank companies … there are only successful marketing companies”

So, when you think about it … everything! And you thought Marketing was just about selling stuff.

And not to overcomplicate but in business school each one of those simple words is a book or an entire course!  The marketing well is very, very deep.

Marketing 201

Although the foundation of many Marketing professional’s education, the original Marketing Mix was developed in the 1960’s, in a slightly different environment. A modified view started to form in the 1990’s with the 4 C’s of Marketing and goes something like this: Consumer, Cost, Communication and Convenience.

• Consumer – focus on the customer, not product
• Cost – more comprehensive view including psychological and opportunity costs
• Communication – a less “manipulative” view of promotion
• Convenience – represents the vast options consumers have to … consume

“The business enterprise has two–and only two–basic functions: marketing and innovation.”

This view is significantly more consumer focused and takes into account more external factors and the major shifts in communication preferences Social has contributed.

One last statement on the importance of Marketing. Peter Drucker, the famous NYU Professor and Management Consultant, once said:

“Because the purpose of business is to create a customer, the business enterprise has two–and only two–basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs. Marketing is the distinguishing, unique function of the business.”

Nuff said!

So … why is this important to you and your business? Having a little foundational history helps you understand the magnitude of Marketing in every aspect of your business. Here’s one example.

Product or Service Ideation – during this phase, when you’re trying to determine what is sometimes the most difficult part of starting a business – coming up with what to sell, it’s vital to understand the interdependencies of all the Marketing Mix elements. Who is your consumer and what are their needs? Is the cost of what you’re selling within the budgets of your target audience? Are there easy and affordable ways to communicate your value proposition (advertise)? 

Let’s say you’re looking for a niche to market your widgets. What other parts of the Marketing Mix could affect your decision? Well, do the demographics of your niche match the price target of your product? Are they located in parts of the country (or world) where shipping costs (or travel time) eat into your profits? Are they active in social media to facilitate cost-effective advertising? See how it all fits together?

Is your head spinning? Does all this sound too complicated? The good news is it’s really not. The better news is far too few entrepreneurs take all these things into consideration so when you do, that’s called “your” competitive advantage.

So, do yourself, and your business, a favor – the next time you’re trying to solve that killer question, make sure you don’t attempt to find the answer in a bubble. Marketing can be your best friend and truly help you achieve all your dreams! Here are a few ideas to get you started. Good luck!