Four Marketing Philosophies
There are four primary philosophies that influence how a business will establish their marketing strategy:
1. Market Orientation
2. Production Orientation
3. Sales Orientation
4. Societal Orientation
Each orientation is an indication of where the business will focus their marketing efforts.
Marketing Concept
It is important to discuss the marketing concept first because a business that implements the marketing concept possesses a market orientation. The marketing concept is an organizational approach based on the belief that an organization exists as a result of its ability to satisfy customers wants and needs while achieving organizational objectives. Based on this perspective the success or failure of a business relies on the customers purchasing decision of whether or not to buy the product. In this approach, how the business views its products is irrelevant, and the focus is on what the customer thinks they are purchasing, and how the customer perceives the product. The customer defines the business; the business will be a success or failure as a result of the customers perceived value of a given product.
When following this concept, a business will place an emphasis on the customers wants and needs. The business will then focus on the characteristics that differentiate their product from their competitors. The business will also seek to integrate all business processes to ensure customer satisfaction.
Market Orientation
A business that implements the marketing concept is considered as a firm with a market orientation. With this fundamental approach to marketing the business will place an emphasis on researching customers, competitors, and the market as a whole. The business will seek to provide value to the customer through all aspects of the business.
Production Orientation
In contrast to the market orientation, a production orientation places an emphasis on internal capabilities. The business analyzes what it does best and focuses on those attributes to produce products, with disregard for the wants or needs of the customer.
Sales Orientation
With this philosophy a business believes that their aggressive sales tactics are what generates sales. Typically a business that takes this approach places an emphasis on maintaining an aggressive sales force, pushing for high sales. The underlying belief is that high volume sales will result in larger profits for the company.
Societal Orientation
As implied, this marketing approach places an emphasis on the social impact a product has; the individual and society as a whole. It should be noted this belief closely follows the ideals of the marketing concept, but it goes a step further and seeks to ensure that the products offered by the business are in the best interest of the individuals and society.