Marketing Management is Demand Management
Production and logistics manage supply and marketers manage demand. Marketing management is the procedure of planning, organizing, implementing and controlling marketing strategies. Marketing management is called demand management because it is principally an arrangement method that is used to estimate and administer the demand for definite goods and services. Different stages of demand –
If a major part of market dislikes the product and may even pay a price to avoid it – vaccinations gall bladder operations etc. marketing task is to analyze why the market dislikes the product and whether a marketing program can change beliefs and attitudes. Negative demand indicates the situation when consumers dislike the products and may even pay a price to avoid it. For example Vaccines of cholera. People dislike it because of its health hazards.
Marketing task to analyze why the market dislikes the product. Implement new marketing strategies to change the customer’s attitude regarding the products.
No demand indicates the situation, when consumers may be unaware or uninterested in the product. Target consumers may be unaware of or uninterested in the product. Ex. A college student may not be interested in foreign language courses. In the case of a new product or due to lack of promotional activities, no demand can be created.
Marketing should look at ways for ways to benefit others with their product and of people natural needs and interests. The marketing task is to include the product in the existing product line.
- Latent Demand
The market feels strong needs for some products like harmless cigarettes. A marketer needs to measure the size of this market and develop such goods. Latent demand indicates the situation, when consumers may share a strong need that cannot be satisfied by an existing product.
Marketing task – to measure the size of the potential market and develop goods and services to satisfy the demand. And measuring the actual demand for the product.
Declining Demand: Market for products etc. declines. Declining demand indicates the situation when consumers begin to buy the product less frequently or, not at all. Then marketers need to know the causes and rectify. For example, The use of typewriter is reducing.
The marketing task is to reserve declining demand through creative remarketing. The main task of marketing management is to establish a new life cycle for the products.
- Irregular demand
The demand for many products and services are seasonal. Irregular demand indicates the situation when consumer purchases vary on a seasonal, monthly, weekly, daily, or even yearly basis. A marketer needs to devise ways called synchrony marketing like flexible pricing, promotions, and other incentives. For example: In holidays, demand for amusement park increases.
The marketing task is to find ways to alter the pattern of demand through flexible pricing and promotion which is called synchronic marketing. These types of the task of marketing management are called synchromarketing.
(f) Full demand: Sometimes full demand is there. The marketing task is to maintain the current level of demand in the face of changing consumer preferences and increasing competitor. Full demand indicates the situation when consumers are adequately buying all products put into the market place. Example: Demand for Sunsilk, rin power white detergent, etc.
The marketing task is to maintain the current level of demand in the face of changing consumer preferences and increasing competition. Investigate the overall condition of the product from time to time and maintain a reasonable price
(g) Overfull demand: Sometimes demand is higher than what an organization can handle. Then the marketing task called de-marketing is required. When the actual demand is greater than the company’s expected demand then it is called overfull demand.
Marketing task – finding ways to reduce demand temporarily or permanently which is called de-marketing. Increase public awareness through promotional effort.
(h) Unwholesome Demand: Unwholesome product will attract organized efforts to discourage consumption like unsealing campaigns against cigarettes, alcohol, and handguns. That means, when the demand for products threatened the social wellbeing then this type of demand is called unwholesome demand. For example Demand for tobacco, cigarettes, drugs, etc.
Marketing task – to get people who like sometimes to give up using such tools as fear messages, price hikes and reduce availability and also, destruction of demand for the product.
Marketing management is a business discipline which is focused on the practical application of marketing techniques and the management of firm marketing resources and activities. So, it could be said that marketing management is demand management.