The document discusses different marketing philosophies: production, sales, marketing department, marketing concept, and societal marketing. It compares the marketing department philosophy with the marketing concept philosophy. The marketing concept philosophy defines the firm's mission in terms of customer benefits and satisfaction rather than just the products it makes. It emphasizes identifying customer needs through two-way communication and developing products to meet those needs. The marketing concept requires long and short-term planning to achieve profit through satisfying customer needs.

1. MARKETING PHILOSOPHY
Marketing philosophies
Production philosophy . . . is production (product) oriented. It implies a good product will sell itself, or
"we don't need a sales department because we can sell everything we can produce".
Sales philosophy . . . says, "our capacity exceeds our orders and we don't want to reduce production, so
lets find some new customers".
Marketing department philosophy . . . says "let's find new customers for our products but not produce
more than we can sell, and lets make adjustments to production, prices, and products to keep
everything in balance".
Marketing concept philosophy . . . says, "let's identify and meet the buyers needs and wants, consistent
with our company's long term mission, and our business objectives".
Societal marketing philosophy . . . says, "let's continue to meet the market needs, and our business
objectives, but do so in a way that also enhances the well being of society".
Marketing philosophy comparison
Marketing department vs. marketing concept
The marketing concept philosophy
Defines the firm's mission in terms of benefits and satisfaction it offers, rather than in terms of products
it makes and sells.
Emphasizes two way communications to identify customer needs - then develops markets and products
to satisfy their needs. Gone is the emphasis on one-way communications to persuade people to buy
products already made.
Requires both long and short range planning to achieve profit by meeting customer needs. Gone is the
exclusive focus on short range planning to achieve volume sales, volume objectives.
Emphasis is on total systems integration of all departments to achieve profit goals. Gone is the exclusive
focus on the efforts of individual departments and sales forces
Sales executives think in these terms
1. Sales volume rather than profit
Increase current sales

2. Achieve commission and bonus
2. Short run rather than long run
Think only about today's products, markets, customers and strategies
Don't think about product/market expansion strategies over the next 5 years
3. Individual customers rather than market segments
Knowledgeable about individual accounts
Less interested in developing strategies for market segments
4. Field work rather than desk work
Prefer to sell to customers instead of developing plans and strategies and plans of implementation
Marketing executives think in these terms
1. Profit planning
Plan sales volume around profits.
Plan product mix, customer mixes and marketing mixes to achieve profit
Plan with acceptable risk
2. Long run trends, threats and opportunities
How to translate these into new products and markets
Use to develop strategies to assure long term growth
3. Customer types and segment differences
Determine ways to offer superior value to the most profitable segments
4. Good system for market analysis, planning and control
They are comfortable with numbers and working out financial implications of marketing plans
Marketing is
"PROCESS OF PLANNING"
"SATISFACTION OF PEOPLE NEEDS AND WANTS"
"CREATE AND KEEP THE CUSTOMER"

3. "PROCESS OF PREDETERMINING CONSUMER DEMAND"
"CENTRAL ORGANIZATIONAL FUNCTION"