Fromthe definition of marketing concept in the textbook, the marketingconcept is a way that companies collect information about the needsof their customers and make better decisions based on the informationthey have. These decisions must be able to satisfy what the customerneeds and also make the company better than their competitors.
Companiesthat implement marketing concept
Thereare number firms that use the marketing concept. One of the firms Ichose is Nike, Inc. Nike is a multinational company that deals withmanufacturing of sports apparel i.e. shoes jerseys, balls, etc. Nikeis one of the biggest companies in supplying of athletic shoes andapparel. The company name itself is a household name, and it hasmarketed itself very well worldwide. Most professional athletes wearNike branded shoes making the consumer know that Nike products arethe best.
AsI did my research, I found out that Nike uses the marketing conceptto get more customers and have high-profit margins by the end of onefinancial year. They observed that not every customer wants theproduct they release to the customers. For example, a customer mightnot like the shoe that the company has released reason being that thedesign is not fascinating to the customer. The color also might beone of the issues that customer would decline to buy the shoe.Therefore, with the said information Nike Inc. came up with an onlinemarketing strategy that customers can design their shoe on theirwebsite.
Thename given to this service was called NIKEiD. This service involvesthe customer going to the Nike official website. On the website, itgives on options how you would like to customize your pair ofsneakers. NIKEiD shows you the blueprint of the shoe and from thereoptions are indicated e.g. like the color the customer wants, thetexture of the shoe, should it be leather or synthetic and some otheroptions. The NIKEiD product has made Nike be ahead of itscompetitors not many competitors can offer this type of service. Oneof the best things about NIKEiD is that for the product to befinished being customized it only takes two weeks therefore in aperiod of 17 days after ordering the product the customer will havethe product. This has eased the need of the customer going to theshoe designer and wasting hours trying to come up with the perfectblueprint and design of the shoe. Therefore, I can conclude that theuse of the marketing concept by Nike not only has it boosted theirsales but also it has made customers retain Nike as their choice ofbrand when it comes to sports apparel. A good example is myselfsometimes I have used this service, and it has proved to be veryefficient (Dibb,et al. 2005).
Companiesthat do not seem to implement marketing concept
Fora company to be successful and have high-profit margins by the end ofthe financial year, it does not necessarily need to use the marketingconcept. One of the companies I would like to talk about is Apple.Apple has a division called beats electronics. This division handlesdesigning audio products that customers use their phones, laptops ormusic players. A good example is the headphones they make calledBeats by Dr. DRE. These headphones are widely known worldwide becausemostly they are used by music artists as a show of class. The reasoncustomers buy this product is because they are used by their favoriteartists or having the headphones is like a cliché among the modernsociety. Apple markets the product by endorsing the product to musicartists, professional athletes, etc. Music is a necessity to themodern society everyone listens to music no matter the genretherefore for one to listen to music one must have the audioequipment. There are many products they produce such as theheadphones or the portable sound system etc. The beats electronicsuses more than half of its profit margin in marketing their product.They believe that the customer wants what their favorite artist orathlete uses to listen to music. Through this marketing method, thishas enabled beats electronics to have high-profit margins at everyend of every financial year, and their sales are growing yearly.Since most customers want to have the Beats by Dr. Dre, this has ledto other companies to want to market their products with the Beats byDr. DRE. A good example is HTC, this company major in selling ofmobile phones. HTC uses the same technology patented by the beatselectronics on their audio products. Beats Electronics gets revenuefrom HTC using their technology and HTC sales get boosted, meaningthe two companies are on win –win situation (Dibb,et al. 2005).
Itis evident that the use of marketing concept can be very useful tocompanies, and also it prepares companies for future outcomes e.g.should a firm continue producing a particular product or should itcease to produce it and look for other alternatives. We can also seethat it is not necessary to use the market concept for a company tothrive successfully in the business world as in the case of BeatsElectronics.
Dibb,S., Simkin, L., Pride, W. M., & Ferrell, O. C. (2005). Marketing:Concepts and strategies(p. 850). Houghton Mifflin.