Product-Focussed Marketing Effectiveness

Freshman (College 1st year) ・Business ・Harvard ・5 Sources

A product-oriented marketing is the one on which the organization focuses its marketing campaign on its internal benefits (Avlonitis & Salavou, 2007). In comparison, marketing is what underpins the advertising mix depending on its perception of what the consumer (customer) feels it wants (Verhees & Meulenberg, 2004). A product-oriented marketing therefore focuses primarily on the product, processes and information that support it. The market-oriented organization strategizes its promotional efforts in accordance with consumers' preferences for its goods, services and practice. Compared to the market-focussed marketing, the product-oriented marketing is more effective because it can lead to the production of products of better quality and design and at reduced prices. Moreover, unlike the market-orientation, which is greatly unpredictable, a business that uses the product-oriented marketing can tentatively improve its products in a way that increases sales and consequently profit.

At attempt to assess the effectiveness of product-oriented marketing over market oriented necessitates describing each of the marketing approaches. Under a product-orientated marketing, a company will lay emphasis on the product itself and the way it is different from rival’s products (Salavou & Avlonitis, 2008). Thus, a firm that orients in such a way places its resources in such a manner that it ensures its information, systems, and expertise are aligned accordingly.

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The method is effective as it would ensure the rapid warranty, fast delivery, progressive development and improvements, and easier accessibility to instructional content. In such a manner, the business makes investments towards product development, testing it to guarantee it performs, improving it, and focussing its efforts to guarantee the product achieves in its entire designed lifecycle.

In contrast, marketing orientation suggests that an organization focusses on the appealing characteristics among the customers (market). Such an orientation is such that the business’s systems, information, and skills are established to guarantee the satisfaction of all customers (who are the market) (Avlonitis & Salavou, 2007). Thus, the marketing approaches could imply providing low prices, preparing products fast and ensuring that customers consume products with ease as well as provision of easy access and great availability. Such a company is expected to invest in studying market demand and carrying out market tests as well as changing trends of consumers while at the same time planning for customer interaction and support.

From the observations, it is seems that a product-oriented marketing strategy product is more effective for small and medium sized businesses which seek to primarily focus on enhancing output, and decreasing costs through massive production to ensuring economies of scale (Verhees & Meulenberg, 2004). Through these, the businesses ultimately improve profits. The approach is effective based on its advantages unlike the market-oriented model because the businesses reduces or eradicates the costs of establishing the preferences of consumers and developing new services and products because in some way, consumers are captive.

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In addition, unlike the marketing-approach, which focuses on fulfilling customer needs, a product-oriented approach has the advantage of allowing a business to focus on the quality of products. As such, the business will not worry about the consumer’s wants or the opinion of the market in a particular economy. Rather, the only focus is establishing a perfect commodity meaning that the business can direct its efforts and money on designing its products to ensure that it functions to specifics.

The product-oriented approach is effective for small businesses because they often tend to use it grounded on its emphasis on design and quality. According to Covin and Wales (2012) small firms, which use the approach in marketing tend to outperform the ones that have a more market-oriented approach concerning performance in relation to targets but not comparative to competition. The approach enables the company to focus on marketing product offerings, which are easier to make as opposed to fulfilling needs. By making products cheap, more people will buy using efficient manufacturing approaches.

Unlike the market-oriented approach of marketing strategy, the product approach enables the business to save time and focus of improving its products rather thanthe market orientation approach, which has less differentiation of products (Im & Workman Jr, 2004). In the market orientation approach, the business spends a lot of timeon its interaction with customersand research, which distracts it from tuning its products to the desirable features. With a product orientation, having a products differentiation is possible than it is for a market-oriented one.

The product oriented marketing approach can allow for the development of technology to be used for creating a wide assortment of commodities, which gives the business economies of scale. By focussing its marketing strategies using the product-oriented approach, a firm can decrease the production costs with an increasing amount of items. With the approach, the business’s focus is on one commodity. Given the focus, the company can create it efficiently and in massive amounts. More products can be produced at lower costs that will augment the produced number (Im & Workman Jr, 2004). It is more effective for a business to focus its marketing mix on promoting the design of its products as opposed to using a market orientation that seeks to reveal the desire of the market, which are not necessarily cost-effective in implementation. The business if thus left in a position of having to determine the particular stated needs of the consumer that will generate the best results for the enterprise while at the same time addressing the needs and expectations of the customer.

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The business, which applies a product-oriented approach, will avoid the costs associated with marketing studies to comprehend the market and the abandonment of former investments of products. These aspects are likely to arise because a market-oriented approach lacks predictability. A product approach is more effective in developing its product as opposed to the marketing-oriented model, which has to make advances strategies on developing its product more cumbersome. The business has to react to the persistent changes in the market needs and use robust technological infrastructures to enable efficient responses.

In sum, the product-oriented approach is more effective than the market-oriented approach particularly for small and medium sized organizations. The marketing approaches that are pegged on the product-oriented approach make more savings in time, costs and energy as they channel their attention on improving product quality and design. Regardless of the market perspectives, the businesses can invest entirely in improving product quality. Such businesses can also exploit technology to improve their profitability. An important attribute worth noting is that with a business that adopts a product-oriented approach, it can produce its products in massive quantities at reduced rates. With better improvement to its products, more purchases will be realized and as a result, there will be greater production at comparatively decreased expenses.

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Avlonitis, G. J., &Salavou, H. E. (2007).Entrepreneurial orientation of SMEs, product innovativeness, and performance. Journal of Business Research, 60(5), 566-575.

Covin, J. G., & Wales, W. J. (2012).The measurement of entrepreneurial orientation. Entrepreneurship theory and practice, 36(4), 677-702.

Im, S., & Workman Jr, J. P. (2004).Market orientation, creativity, and new product performance in high-technology firms. Journal of marketing, 68(2), 114-132.

Salavou, H., &Avlonitis, G. (2008).Product innovativeness and performance: a focus on SMEs. Management Decision, 46(7), 969-985.

Verhees, F. J., &Meulenberg, M. T. (2004).Market orientation, innovativeness, product innovation, and performance in small firms. Journal of small business management, 42(2), 134-154.

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