Introduction to Marketing

Marketing Definition

According to the 1985 AMA: "Marketing is the process of planning and execution of conception, communication, and distribution, as well as pricing, ideas, products, and services for exchanges that satisfy individual and organizational objectives."

Kotler: "Marketing is that human activity directed at satisfying needs, wants, and desires through exchange processes."

Differences Between Marketing and Sales

• Marketing considers consumer needs and develops products accordingly, while sales focuses on selling existing products.
• Marketing may not always be lucrative (e.g., social marketing), while sales aims to generate profit.
• Marketing includes post-sale activities, while selling primarily focuses on the initial transaction.
• In marketing, the company produces what consumers want, while in sales, the consumer considers what the company offers.

Social Marketing

Ortega: "Social marketing is the marketing whose main objective is the modification of opinions, attitudes, or behaviors, and adherence to an idea or social practice, by certain population groups."

Kotler: "Social marketing is the design, application, and supervision of programs with the purpose of increasing social acceptance of ideas."

Differences Between Social Marketing and Marketing

• Marketing can generate social benefits, but its primary goal is profit, while social marketing is not-for-profit.
• Social marketing is often associated with non-profit organizations, while marketing can be used by any type of organization.
• In marketing, there is an exchange and a benefit (even if not always monetary), while in social marketing, the focus is on satisfying needs without necessarily involving a direct exchange.

Advertising

Advertising is a controlled and impersonal communication process that uses mass media to promote a product, service, or institution, with the aim of informing or influencing purchase or acceptance.

Communication Policy

Communication policy involves decisions related to product or service communication. Methods include:

1. Advertising
2. Public Relations (PR): Activities aimed at establishing and maintaining good relationships with stakeholders and the public.
3. Sales Promotions: Incentives designed to stimulate purchase of products or services.
4. Sales Force: Personal communication to persuade potential customers.

Distribution Policy

Distribution policy involves decisions related to how customers access products or services. This includes:

1. Choice and management of distribution channels (e.g., direct sales, retail stores).
2. Organization of physical distribution (e.g., transportation, warehousing).
3. Merchandising (e.g., window displays, product placement).

Philosophies of Marketing Management

1. Production-oriented, Sales-oriented
2. Organization-oriented, Market-oriented
3. Active Marketing

Organization of the Marketing Department

1. By functions
2. By products
3. By markets
4. By territories
5. Mixed or combined (most common)

Market

Ortega: "A market is a set of individuals and organizations involved in the buying and selling of goods and services, or the use thereof, and that is delimited by a product and a geographical area."

Castaneda: "The market is not just a concrete space where exchange operations are carried out, but rather a group of people who engage in it."