Traditional concept of marketing:
In the traditional paradigm of marketing the core focus lies in the facilitation of the exchange of ownership from producers to consumers. Essentially, this concept equates marketing to the sale of goods and services, encompassing the process of making products accessible to end consumers from their original sources. This conventional perspective on marketing aligns with the broad understanding of the term, involving the sale of goods and services post-production. Notably, this traditional viewpoint places a significant emphasis on the actual sales process, while the importance of ensuring consumer satisfaction is relatively limited. Consequently, we can categorize this approach as production or sales-oriented.
Characteristics of the Traditional Marketing Concept:
1. This paradigm originates from the production process, where factories manufacture goods.
2. Emphasis is placed on the offerings of the producer, i.e., the products themselves.
3. The primary focus lies in addressing the preferences and requirements of the producer.
4. Within the framework of the traditional marketing concept, the ultimate goal is to optimize profits by maximizing sales.
5. The strategy to achieve the marketing objective, which is profit maximization, accomplishes through the methods of product promotion and sales facilitation.
6. The objectives pursued within this concept pertain to short-term achievements.
7. Encompassed within the traditional marketing concept are the production concept, product concept, and selling concept.
8. Central to this concept is the production aspect itself.
Modern concept of marketing:
As per the modern marketing perspective, marketing revolves around the generation of clientele. This entails recognizing the requisites of consumers and structuring business operations to effectively fulfill these demands.
In the modern context, marketing encompasses strategic determinations pertaining to the following aspects:
1. Selection of products for production.
2. Establishment of appropriate pricing strategies for customer engagement.
3. Adoption of promotional methodologies to establish contact with and influence both current and potential customers.
4. Identification of intermediaries to facilitate the distribution of goods and services.
The modern marketing concept requires making all the aforementioned decisions after thoroughly evaluating consumer requirements and their satisfaction.
The business pursues the overarching objective of achieving profitability through providing consumer gratification.
This paradigm of marketing recognizes as consumer-centric, emphasizing the significance of consumer requisites and their fulfillment.
The features of Modern Approach to Marketing:
1. This approach commences by identifying the target market and understanding the needs and desires of the chosen market segment.
2. Places emphasis on the consumer's needs and desires.
3. It highlights the importance of consumer needs and interests.
4. Within this modern framework, marketing's primary goal is to attain profits, but it achieves this by ensuring consumer satisfaction.
5. The goal is to achieve consumer satisfaction, and here we accomplish it through well-coordinated marketing strategies.
6. The aim of this approach is to achieve long-term objectives.
7. The modern approach encompasses a consumer-centric philosophy as well as a societal-focused philosophy.
8. The central focus of this approach is ensuring consumer satisfaction.
Traditional Marketing Approaches vs. Modern Marketing Strategies
Traditional Marketing:
Traditional marketing endeavors aim at maximizing profitability.
The traditional marketing approach is characterized by its short-term orientation.
Traditional marketing emphasizes product-centric concepts.
This methodology directs its focus towards selling products or services and achieving substantial financial gains.
Within the conventional marketing framework, scope limits promotional activities.
Traditional marketing operates as a form of push marketing.
Its foundation rests on the principles of production and sales.
Manual and physical marketing techniques constitute its cornerstone.
Product portfolios shape the segmentation in traditional marketing.
This paradigm tends to remain confined within existing markets.
It lacks specific target customer groups or a consistent customer base.
Market surveys and analyses of market competition are often disregarded.
Geographically, traditional marketing primarily centers on local areas.
The concept of traditional marketing is relatively constrained.
Modern Marketing:
Modern marketing strategies aim to ensure maximum customer satisfaction.
A long-term perspective characterizes the modern marketing approach.
Understanding and fulfilling customer needs and desires center modern marketing concepts.
It focuses on engaging customers with the aim of selling products or services while ensuring satisfactory returns.
Modern marketing employs ongoing and sustained promotional activities.
This approach aligns with the principles of pull marketing.
Modern marketing integrates both social and selling concepts.
It encompasses digital and automated marketing techniques in conjunction with traditional methods.
Customer differences and preferences drive segmentation in modern marketing.
The pursuit of untapped markets is a continual endeavor within modern marketing.
Precise target customer groups and a consistent customer base are key features.
This approach conducts market surveys and invest efforts in understanding market competition.
Modern marketing functions at a worldwide level, surpassing the limits of geographical borders.
Modern marketing represents a broader and more comprehensive conceptual framework.