Evolution of marketing

The marketing has undergone a remarkable change from its primitive barter system to the present-day management oriented approach of marketing.

The traditional marketing was to make the goods available at places where they were needed. To satisfy the multiplied consumer needs and wants, scope of marketing functions had to be enlarged.

Under the barter system, the goods are exchanged against goods without any other medium of exchange (money). The pre-industrial revolution world was characterized by an agricultural-cum-handicraft economy. The different products produced by the agriculturists bartered only in the neighborhoods who were not engaged in the same activity.

Barter system

Gradually commerce and trade developments evolved emphasizing the need for exchange.

In order to smooth our exchanges ‘barter system’ came into vague, though the latent inconveniences of such a system were felt only after some time. Gradually it was realized that this method depends on one party to be able to satisfy another party’s wants-which poses difficulties in most situations. Moreover, the method necessitates the determination of a rate of exchange which is difficult to arrive at in most circumstances of the trade. Thus the need felt for the development of central market.

Production-orientation

This approach was based on the assumption that whatever is produced will be accepted by the consumers. The interest of the consumer was virtually sacrificed to that of the producer. Manufacturing of product was carried out by assuming that customers would search and buy reasonably priced and well-built products. This was based on say’s law ‘supply creates its own demand’. In this approach, the producers concentrate only on the production of goods with the primary aim of profit realization. The customer’s interest was not watched properly under this approach and moreover, the stress was not on the consumption which was the ultimate objective of industry and commerce.

Sales orientation

The period is specified between the great depression and the end of world war II. Drastic changes were reflected in the beginning patterns and behavior of consumers. This approach involves a delibration orientation towards the promotion of sale, various socio-economic factors, like shift from agriculture to industry, development of the means transport and communications, better living standards of people, competition among producers etc. all these changes compelled the producers o have an organized marketing procedure. They realized that benefits might accrue only if prominence is given to the consumers and their needs. With more stress on selling, the selling activity becomes the dominant factor in the marketing of goods in an environment of competition. The main drawback of this approach was the marketing becomes highly sales oriented without any efforts for the satisfaction of the customers.

Consumer orientation

This approach is exactly related to the need of the buyers and therefore it is more close to business success than hard-sell approach. Under this, only such products are brought forward in the market which may satisfy tastes, preferences and expectations of the customers.

The main aim is to satisfy the customers by means of production of the right kind and quality of products at the right price, time and place (market). The matching of goods and services with the markets and consumers become the main motto of the consumer-oriented approach to marketing.

Management orientation

This approach is a natural consequence of increasing attention to the consumer satisfaction. In the present highly competitive market, the marketing factor has become very crucial to all business planning and decision-making. In this approach, the marketing functions assumes a management role to co-ordinate all interacting business activities with the objective of planning, promoting and distributing need satisfying products and services to the present and potential customers.

Marketing and marketers

Marketing means working with markets to actualize potential exchanges for the purpose of satisfying human needs and wants. If one party is more actively seeking an exchange than the other party, we call the first one a marketer and second party a prospect. The marketer is seeking a response from the other party, either to sell something or to buy something. In other words, the marketer can be a seller or a buyer.

Also read:
Importance of marketing in an economy
Marketing concept