The Marketing Concept
The philosophy of the marketing concept relies on the needs and wants of the customer, the customer is at the centre of what the firm is producing, if the customer is not satisfied then there will be no demand for the product. The marketing concept sets out to find out what the customer wants or needs and endeavours to deliver their product in a superior way to their competitors. “The marketing concept is the philosophy that firms should analyse the needs of their customers and then make decisions to satisfy those needs.” (Anon., ND) Firms need to focus on the wants and needs of the customer before they develop their product; this is a key characteristic of the marketing concept as the product cannot be sold to customers if it is not what they want. “The marketing concept and philosophy states that the organization should strive to satisfy its customers' wants and needs while meeting the organization's goals.” (Henley, 2015) Firms should ensure that the customers’ needs and wants are met whilst they strive to meet their own goals; satisfied customers are what the firm needs in order to survive. “Everybody must be concerned with customer satisfaction.” (Anon., ND) The firm, as a whole, is committed to ensuring that the customer is satisfied, therefore every member of the company is involved in this. It does not matter whether it is a member of staff on the shop floor or a member of the accounts team, every individual should ensure their satisfaction.
Britvic’s Micro and Macro Environment
The micro environment are the specific forces that affect a business - their suppliers, customers, employees, competitors, media and shareholders, these forces can normally be controlled by the company. Porter’s 5 forces is a strategy tool invented by Michael Porter to indicate the forces that shape industry competition.
Taken from http://www.tutor2u.net/business/strategy/porter_five_forces.htm The macro environment are the external forces that directly or indirectly affect all companies regards promoting, producing and selling to customers, these forces cannot normally be controlled. PEST Analysis for Britvic:
This includes legislation, voluntary codes/practice, market regulations, trade agreements and tax levies/breaks (marketing.net, ND). Britvic abide by the Codes of Practice (Annex A) regarding marketing of soft drinks to children, they do not engage in marketing to children under 5 and have responsible guidelines for under 16’s (Gatward, 2013). Economic factors
This includes interest rates, government policy, income, taxation and unemployment. In the Britvic Soft Drinks Review 2014, Britvic stated that drink sales were on the upturn, sales were on a record high after a long awaited decent summer, making consumers start to purchase more. After the recession consumers are also being less wary with their money and starting to return to choosing quality products (Graham, 2014). Socio-cultural factors
This includes demographics, culture, ethics and attitudes, changing family structure, trends and current issues. In March 2011, The Department of Health brought out the Public Health Responsibility Deal. Subsequently, Britvic have now started labelling their products with a voluntary colour-coded nutrition label on the front of their products for health conscious consumers (Graham, 2014).
This includes internet, television, mobile phones and global communication. Britvic have developed a website for the education of young people, aimed at schools and also at students 14+. It covers production, marketing and consumers and health and hopes to educate young people in these areas of the soft drinks industry (Britvic, 2015).
“Market research is the collection and analysis of information about consumers, competitors and the effectiveness of marketing programs” (Ward, 2015). Market research is an...
Bibliography: Britvic, 2015. Britvic Learning Zone. [Online]
Available at: http://www.britviclearningzone.com/
Britvic, 2015. Market research. [Online]
Available at: http://www.britviclearningzone.com/marketing/managing_the_product/market_research.php
Gatward, J., 2013. Britvic GB. [Online]
Available at: http://www.britvic.co.uk/en/Sustainable-business/Policies-and-Reports/Marketing-to-children-policy.aspx
Graham, F. -. P., 2014. Britvic GB. [Online]
Available at: http://www.britvic.co.uk/~/media/Files/Media%20Centre/Reports/Britvic%20Soft%20Drinks%20Review%202014.ashx
Henley, J., 2015. Encyclopedia of Business, 2nd ed.. [Online]
Available at: http://www.referenceforbusiness.com/management/Mar-No/Marketing-Concept-and-Philosophy.html
Ward, S., 2015. About Money. [Online]
Available at: http://sbinfocanada.about.com/od/marketing/g/marketresearch.htm
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