1.7: The Value of Marketing
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What you’ll learn to do: explain how marketing creates value for the consumer, the company, and society
For some people, marketing has a reputation as being fluffy, superficial, and light. Certainly a lot of marketing activities have earned that reputation over the years. One goal of this course is to help you understand the important role marketing plays in business and everyday life in today’s globally connected world.
Are we arguing that marketing is an inherently good thing? No, we’re arguing that it is an inherently useful and potentially powerful thing.
Is marketing a matter of life-and-death importance? Generally, no.
Does marketing save lives? Actually, sometimes it does.
- Explain the benefits consumers derive from marketing activity
- Explain the benefits companies and organizations derive from marketing activity
- Explain the benefits society derives from marketing activity
- Describe how an understanding of marketing makes people more informed as both consumers and participants in society
Marketing can mobilize attitudes and behavior around a common vision. It is a powerful medium for expression, creativity, and sharing across an increasingly global society. Marketing can be an agent of change in the diffusion of ideas and innovation. It can also be self-serving and manipulative, playing on human fears and insecurities to separate people from their money and from one another.
With all this in mind, what value does marketing provide?
Marketing remains an active, dynamic field because it serves useful purposes for organizations, individuals, and society.
Marketing Can Benefit Organizations
As explained earlier in this module, organizations use marketing to identify, satisfy, and retain customers. Marketing helps businesses know which problems to solve and which products, services, and experiences to offer. Effective marketing drives product improvements and determines the terms of profitable transactions. Marketing efforts help organizations build and sustain productive relationships with the people and groups they serve. Without effective marketing, companies become islands that retain no meaningful connection to their customers. When an organization loses its audience, eventually it ceases to exist.
Marketing Can Benefit People
Individuals are not just targets of marketing; they can also be beneficiaries. Marketing helps people navigate the world around them to find the things that address their wants and needs. Marketing is responsible for the creation of products that delight people, improve their productivity, and alter their quality of life. In recent years, marketing has contributed to the pervasive information now available to help people make advantageous consumer choices. Marketing reduces the friction and hassle around transactions. Imagine, without marketing you would never know that many of the products you need exist, let alone how to find them.
Marketing and Society
Because marketing is grounded in commercial, profit-seeking behaviors, some would argue that society is a net loser rather than a net winner when it comes to marketing influence. However, effective marketing helps create the conditions for healthy competition and market efficiency, where companies and consumers communicate and exchange mutual value.
Like virtually any tool, marketing can be used for noble purposes or nefarious ones. Regardless, it has a pervasive presence in the modern world. As you learn about marketing and begin to practice its principles, you will see more clearly how it influences your daily life. You will identify opportunities where marketing skills can help you become more effective at achieving your personal and professional goals. With a foundation in marketing, you will become a more informed consumer of the products, services, experiences and ideas you encounter throughout your life.
- The Value of Marketing. Authored by: Lumen Learning. License: CC BY: Attribution
- Outcome: Value of Marketing. Provided by: Lumen Learning. License: CC BY: Attribution
- Lucky Strike Ad (LIFE 1936-12-21). Authored by: Anton Raath. Located at: https://www.flickr.com/photos/fugue/3952296569/. License: CC BY-SA: Attribution-ShareAlike
- Nike Red Laces. Authored by: Omar 18. Provided by: Wikimedia. Located at: commons.wikimedia.org/wiki/File:Nike_(RED)_Laces.jpg. License: CC BY-SA: Attribution-ShareAlike
- Treating Malaria in Cambodia. Authored by: Population Services International. Located at: https://youtu.be/H1oufbunm7g. License: All Rights Reserved. License Terms: Standard YouTube License