Currie Journal of Knowledge
What Marketing Is and What Marketing Is Not
How to cite: Di Muro, F. (2021). What Marketing Is and What Marketing Is Not. Cascade Journal of Knowledge, volume 2 (3), 8:21. https://doi.org/10.46290/cjok000014
Abstract: This presentation provides a definition of marketing and identifies the four conditions required for marketing to occur. These conditions are illustrated through the use of an example. The presentation concludes with a brief discussion of what marketing is not.
Keywords: Marketing, Selling, Promotion, Price, Place, Distribution, Value

Learning outcomes:

Transcribed copy of screencast

Hello, everyone. So in this module, I’m going to talk about what marketing is, and what marketing is not. The learning objectives for this module are to understand the definition of marketing, to identify and understand the four conditions required for marketing to occur, and to understand what marketing is not.

Marketing is a set of procedures for creating, communicating and delivering value to customers, and for managing customer relationships in a way that benefits the company. According to the American Marketing Association, which is probably the most influential Marketing Association in the world, marketing is defined as the set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partners, and society at large.

So now that we’ve talked about what marketing is, let’s briefly identify the four conditions required for marketing to occur. The first condition for marketing to occur is you need to have two or more parties with unsatisfied needs or wants. The second condition is that the parties in question have to have the ability to fulfill the needs or wants. The third condition is that the parties in question have to be able to communicate, and the fourth condition is that there must be an exchange.

Let me illustrate these four conditions with the following example. When I moved to a new city to start my job as a professor, I had to find a suitable living arrangement. So I thought about it, and I eventually decided that I wanted to buy a house — so that was my unsatisfied need or want: I wanted to buy a house. Now, on the other side of things, a real estate agent wants to help potential buyers like me purchase a home. So in my house buying example, we have two parties with unsatisfied needs or wants. So the first condition of marketing in my house buying example is satisfied.

The second condition is that the parties in question have to have the ability to fulfill the needs or wants. So it was great that I wanted a house, but how was I going to be able to pay for it? Now, I had some money saved up, but not nearly enough to buy a house. So to solve this problem, I had to go to the bank to get pre approved for a mortgage. Luckily for me, the bank decided to preapprove me for a mortgage, which meant that not only did I want to house, but now I was actually able to buy a house! Now on the other end of things, it’s great that a real estate agent would want to help a prospective buyer like me purchase a home, but a real estate agent has to have the skills and knowledge necessary to help people buy houses. Real estate agents do have the skills and knowledge to help people buy houses, because they take courses that teach them how to buy houses, and most of them also have years of experience in buying homes in the markets that they work in. Thus, the second condition of marketing in my house buying example is satisfied.

The third condition is that there must be a way for the parties to communicate. There are various ways that real estate agents communicate their services to potential buyers — they might do it through TV ads, print ads, billboards, even through word of mouth. So I was able to find a real estate agent and since we both spoke English, we were able to communicate with each other, which meant that the third condition was satisfied.

The fourth condition is that there must be an exchange. In my case, I paid money in exchange for the real estate agent’s services.

So, overall, my house buying example, satisfied the four conditions required for marketing to occur.

Let’s conclude this module by talking about what marketing is not.

So, a great example of what marketing is not is the example that is given on the slide, and that is that marketing is not selling. So, it’s true that selling is an important part of marketing, but selling alone does not make up what marketing is. So, therefore, we can say that marketing is not selling.

Now, similarly, we can say that marketing is not advertising. So, it’s true that advertising is an important part of marketing, but advertising alone does not make up what marketing is. So, therefore, we can say that marketing is not advertising.

We can also say that marketing is not pricing. So, pricing is an important part of marketing, but of course, pricing alone does not make up what marketing is. So, therefore, we can say that marketing is not pricing.

In addition, marketing is not products or services. Of course, products or services are an important part of marketing, but products or services alone do not make up what marketing is. So, therefore, we can say that marketing is not products or services.

In the same light, we can say that marketing is not place or distribution. Now, place or distribution is once again an important part of marketing, but place or distribution alone does not make up what marketing is. So therefore, we can say that marketing is not place or distribution.

So the idea is this: the idea is that marketing is made up of a combination of a whole host of activities: so for example, marketing involves creating a product or service that people need and want, it involves pricing it, promoting it, distributing it. Marketing also involves developing marketing strategies, it involves scanning the external environment, it involves determining how and why people buy.

So marketing is made up of all of these activities and more, because I can’t list every single activity that is part of marketing because there are just too many to list. So the idea is that marketing is a combination of all of these activities that I’ve mentioned and more. And any one of these activities on its own is NOT marketing.

Thank you very much.

Fabrizio Di Muro

The University of Winnipeg
F.DiMuro@uwinnipeg.ca

Fabrizio Di Muro is an Associate Professor at The University of Winnipeg.

References:

American Marketing Association (2021). Definitions of Marketing. AMA, https://www.ama.org/the-definition-of-marketing-what-is-marketing/

Crane, F. G., Kerin, R. A., Hartley, S. W. and Rudelius, W. (2017). Marketing, 10th Canadian Edition. Toronto: McGraw-Hill Ryerson.

Keefe, L. M., (2008, January 15). Marketing Defined. Marketing News, 28-29.

 

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