The Marketing Concept
In many cases, once the manufacturer has sold his product to a middleman, he has minimal or no auxiliary apprehension with where his product goes, who buys it, or who finally uses it. However, since inefficient marketing practices can result in lost sales and lost profits to the manufacturer, some manufacturers become more concerned with marketing and get involved in the full marketing sequence for their products. It is becoming more and more common, particularly with large manufacturers, for a sales or marketing department to create strategies and lead the entire marketing effort. The practice of a manufacturer scheduling or organizing the marketing of a product past an initial sale is often referred to as the marketing concept.
To develop a scheme or strategy, the manufacturer’s marketing department must estimate when, where, and in what quantities a product will be demanded or wanted. The group may direct distributors on the most competent ways of delivering and storing the product. The group will probably suggest to sellers how the product can be best known to the public and how it should be priced. Advertising and sales promotions are devised to reach potential consumers and are coordinated with the rest of the marketing strategy.
The marketing team will most likely have an important say in making production and packaging decisions. This involves directing production toward the more sellable products, styles, and designs. To make an effective marketing strategy possible, the manufacturer must have the cooperation of distributors and sellers.
