Important Concepts in Marketing Management

Every company has a different idea or concept regarding marketing management. One company might prefer the concept of marketing by producing goods on a large scale, assuming the cost of production can be reduced, the price of goods will be cheap, and goods will sell quickly. Other companies, however, may have different marketing concepts through improving the quality of goods produced. There are at least 5 marketing management concepts with all the advantages and disadvantages you should know.

Production Concept

Companies that adopt this concept, think that the goods and services produced must be cheap, so they can be made anytime and anywhere so that there are no sales problems. Indirectly, the company is trying marketing management through efforts to reduce production costs and strengthen distribution systems. In order to reduce production costs to a minimum level, companies will rely on large-scale goods production systems. This concept will work well if demand exceeds stock. However, customers do not always buy goods or services that are cheap and easy to obtain. There are times when they need quality goods at reasonable prices.

Product Concept

Companies that use this concept believe that the quality of goods and services produced by the company must be good so that it is easy to attract consumers. This marketing management concept might be acceptable to some consumers, but we must not forget, good quality certainly affects the price, while for some consumers, low prices are still the main goal for buying goods.

Sales Concept

Companies that use this concept think that customers should not be left alone. Companies must direct consumers with a sales technique that must be considered because the goods are not bought but the goods must be sold. In this marketing management concept, companies must think of sales efforts to influence consumers to buy their products. They believe that with a good sales system, they can sell whatever products they offer. This sometimes has a point even though it cannot be relied upon continuously. You might be able to win the hearts of your customers once at the first promotion, but with so many competitors, it could be that customers will switch products later on.

Marketing concept

The difference between sales and marketing is that sales emphasize more on the products sold, whereas marketing is more focused on the wants and needs of consumers. Companies that use marketing concepts assume that customer satisfaction is everything, so the goods or services produced must be according to their needs. In other words, companies like this don’t make what they can but make what consumers want. The concept of marketing management may seem modern and can last for quite a long time, but this concept can only be enjoyed by certain people who have more welfare.

General Marketing Concepts

This concept emphasizes not only customer satisfaction but also the benefits to others. For example, if a company produces cars that are low in fuel but cause pollution. This only makes consumers satisfied, but the community does not receive the benefits. Companies with a general marketing management concept, will not want to sell it.

From the 5 explanations of marketing management concepts above, there are many things you can get to learn. Each concept has advantages and disadvantages. After you determine the concept you want to use, you also need to start thinking about making financial statements. With corporate financial reports, you can manage business finances more easily until you can make the right business decisions.

Journals are online accounting software that can help you manage business finances by making it easy to create financial reports instantly. Not only that, with the Journal, you can also monitor your company’s financial condition wherever and whenever. Register your business immediately now!

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