NEW TRENDS IN MARKETING
The strategy and tactics behind marketing programs have changed dramatically in recent years as firms have dealt with the enormous shift of the “new economy” in their external marketing environment. Changes in economic, technological, political – legal, sociocultural, and competitive environments have compelled marketers to develop new approaches and philosophies. Kotler identifies five major forces of this new economy.
1. Digitization and connectivity through Internet, Intranet and mobile services.
2. Disintermediation and reintermediation via new middlemen of various sorts.
3. Customization and customization through tailored products and by providing customers ingredients to make products themselves.
4. Industry convergence through the blurring of industry boundaries.
5. New customers and company capabilities.
In the face of tighter budgets and the general demand for greater effectiveness in marketing many marketers are starting to employ more creative and innovative ways to reach out to their target customers. Many have started marketing cooperatively in order to share costs among two or more marketers who are trying to reach the same consumers.
HOW BUSINESS PRACTICES ARE CHANGING
The change in technology and economy are eliciting a new set of beliefs and practices on the part of business firms.
1. From organizing by product units to organizing by customer segments.
3. From focusing on Just the financial scorecard to focusing also on the marketing scorecard.
4. From focusing on shareholders to focusing on stakeholders.
5. From marketing does the marketing to everyone does the marketing. Every employee has an impact on the customer and must see the customer as the source of company’s prosperity.
6. From building brands through advertising to building brands through performance.
7. From focusing on customer acquisition to focusing on customer retention.
8. From no customer satisfaction measurement to in-depth customer satisfaction measurements.
9. From over-promise, under-deliver to under promise, over-deliver.