What is marketing?
There are many definitions of marketing however, the most appropriate and effective definitions are more focus upon the customer’s orientation and their needs and wants satisfaction.
Here are some marketing definition developed bounding with the customer orientation and their needs and wants.
1. Philip Kotler & Armstrong (2010)
1.1. Marketing is the social process by which individuals or organisations obtains what they needs and wants through creating and exchanging value with each other. (Kotler & Armstrong 2010).
===> This definition is based upon a basic marketing exchange process and recognition the importance of the value to customers.
1.2. The process by which companies create values for customers and build strong relationship in order to capture value from customers in return. (Kotler & Armstrong 2010).
===> In this definition, Kotler and Armstrong developed the original recognition to define the importance of the long term relationship with customers achieved by the relationship marketing (CRM)
2. The Chartered Institute of Marketing (CIM)
Marketing is the management process of defining, anticipating and satisfying customers requirements profitably.
===> CIM’s marketing definition is not only at identifying the customers needs or requirements but also satisfying them (in short term) and anticipating them in the future (long term retention). This is highlighted the necessary of a marketing process with marketing objectives and outcomes.
(CIM is recognised as being one of the most influential marketing bodies in the world which is the professional body of marketing in United Kingdom).
3- American Marketing Association (AMA)
Marketing is the activity, set of institutions and process of creating, communicating and delivering and exchanging offerings that have value for customers, clients, partners, and society at larger (approved by October 2007).
===> This definition is in common with Kotler & Armstrong (2010) one. The AMA’s definition is concentrated on value creation and delivery and the long term retained customers.
4- Baker 1976
The enigma of marketing is that it is one of man’s oldest activities and yet it is regarded as the most recent of business disciplines (Baker, 1976).
===> This definition identified that marketing has always been a part of business and it is a myth of a purely contemporary idea.
Explanation and evaluation each definition
1. Kotler & Armstrong 2010
1.1. There are some important term defined as
Social: Marketers are looking at people, the community and the interactions between people. As aforementioned the better marketing definition is focused on customers orientation and satisfaction of the customers needs and wants.
Process: the process mentioned here is not about the process of manufacturing a products, in which the customer relationship is considered to be enhanced. It is about moving consumers from point A to B, C, D and so on and investigating for their decisions and behaviours.
Terms of needs and wants: there are different here between needs and wants. We needs air to breath, foods and water to survive (Physical Needs or Basic Needs in Maslow’s Hierarchy of Needs). However, for example when we look at a brand products as Apple’s Iphone :
- Do we need to communicate?
- Do we want to communicate?
- Do we need to take picture?
- Do we want to take picture?
Thus, somehow needs and wants have certain differences and when examined under a brand like Apple Iphone and you may appreciate that what perhaps was a want or a requirement but not a fundamental needs. For instance, we need a small phone to communicate with our friends and relatives, or more higher needs of downloading the apps to manage the daily diaries or schedules.
Needs and wants are varied and interchangeable in the marketing perspectives under different circumstances and customers segmentation.
Exchange process: actions of exchanging goods or services for other goods and services or using the means of exchange as money, debit, credit cards and so on
Value: this is vital because adding value is often term of management. However, value to organisations and customers are two different aspects which values they are willing to pay for to attain.
For instance, a pair of jeans may costs around £8 to manufacture. This will be very cheap to be sold in hypermarket or supermarket which they probably cost around £20.
However, many customer are going or wiling to buy a Diesel jeans or the highly brand value products, they may pay £100 up to £150 for the same product range as a pair of jeans.
This is because in there, with the good brand value products, its presumed that value not only the good quality, and materials but also a prestigious brand associated with their self-esteem needs as to be respected, recognised, admired, ect.... (Maslow’s Hierarchy of Needs)
1.2. Key terms:
Process: mentioned above in 1.1 part
Value: mentioned above in 1.1 part
Building and retaining relationships: This is fundamental to modern marketing with the term of relationship management. Definitely, long term relationships with customers will be huge profitable and beneficial to any organisations when maintaining the existing relationships is always more efficient and cost and time-effective than building new relationships.
For example: we all have relationships with our family, partners, relatives and friends, and those relationships are tended to be evolved and enhanced to be better and closer over time. This perspective is also similar to a company in which, the existing customers relationship will be improved over time by effective CRM process to capture the loyal customers who brings world of values for company in term of their profiles, social relationships, interactions and responses.
2- The Chartered Institute of Marketing (CIM)
Process: mentioned above in 1.1 part
Needs/requirements: mentioned above in 1.1 part
Identifying: classified what customers needs and wants
Anticipating : it is about improving the longer term relationship with customers by anticipating their needs and wants may be in the future. Anticipation is indispensable in the CRM process.
Satisfying: fulfil customers needs and wants through the products, services and solutions to their problems.
For example: In case of Apple’s Iphone
- Identifying: what are customer needs?
They need a phone to communicate
They want a modern smart phone with more apps for entertainments and management functions.
- Satisfying: needs and wants are satisfied by a fabulous smart phone as Iphone.
- Anticipating: investigating and forecasting what are customers expecting or requiring in the future? More apps, better IOS operating systems, more privacy and safety, more luxury in appearance and so on. By which, Apple upgrades and launches its new products each 6 months with always more modern and newer version which have solutions for the weakness and defections of the old one (Iphone 4, 4S, 5, 5S, 6, 6S,... etc)
3- American Marketing Association (AMA)
This definition is comprised lots of Kotler & Armstrong (2010) term and also favourable of the CIM’s definition however AMA takes it more global and sociable perspective.
Process: mentioned above in 1.1 part
Exchange offerings: mentioned above in 1.1 part
Values: mentioned above in 1.1 part
Customer, clients, partners, society: more global and sociable perspective in exchanging values, offerings and CRM process.
Creating, communicating, delivering: create values, communicate and inform to customers and delivery the values to them.
4- Baker 1976
Man’s oldest activities: marketing is not new or recent-talk topic. It was developed from long time ago in the history. In the past, simply, people exchange the goods to other in order to gain their needed products, no exchange means as money, cards, etc... involved but it is basically a from of marketing. Until now, the concept of marketing is more complex and has more perspectives or aspects to address.
Business disciplines: Marketing is alway a part of a business.








