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Sunday, January 16, 2011

MARKETING CONCEPT & DEFINATIONS

Definitions of Marketing:
One of the Famous Marketing Expert W.J. Stanton Says “Marketing is a total system of interacting business activities designed to plan, price, promote and distribute want satisfying products and services to the present and potential customers.”

Another Marketing Expert Mr.Phillip Kotler Says “Marketing is analysis, organization, planning and controlling of the firms customer – determining resources, policies and activities with a view to satisfying the needs and wants of chosen customer groups or as profits.”

Marketing concept:
Today the concept of marketing is essentially a concept of “customer orientation.” The marketing department is much concentrated on customer’s attitudes and their behavior as the center point of marketing.

“Mahatma Gandhi” already said – “Customer is king.” Now in today’s competitive world customer is real king, an analysis of customer behavior is a pre-requisite for decision makers of a planned economy because it enables them to have an understanding of current and future demand of different commodities and match the supply with changing pattern of customer demand.

As Peter F. Drucker has said, marketing is the only way where one can satisfy individuals and social values, needs and works, be it through producing goods, supplying services, postering innovation for creating satisfaction.

Customer:
In simple terms customer means a person who buy goods and services from any shop. Customer is a magnet and all other activities related to marketing are dependent on that magnetic movement. Means change in customers need and wants.

M.K. Gandhi Says “A customer is the most important visitor on our premises; he is not dependent on us. We are dependent on him, he is not an interruption on our work, and he is the purpose of it. He is a part of it, we are not doing him any favour by serving, and he is doing us a favour by giving us an opportunity to do so”.

CUSTOMER PERCEPTION
Perception plays a very important role in shaping the personality of individuals. Perception results in individual differences in processing information received and end up interpreting the same event or object differently. As we know each person has a unique perception.

Perception means “A process by which – an individual selects, organizes, and interprets stimuli into a meaningful and coherent picture of the world.”

“Perception is the selection and organization of environmental stimuli to provide meaningful experience for the perceiver.”


It can also be referred to as a psychological process where people obtain (take) information from the environment and make sense of their world. Perception can be defined as “The process of receiving, selecting, organizing, interpreting, checking, and reacting to sensory stimuli or data.”

Nature of Perception:

Perception is unique interpretation of the situation by the individual and that is not an identical recording. Thus we have to remember:
Perception is a complex cognition process, giving a unique picture of the world, which may be different from reality at times.
There is a lot of difference between the perceptual world and real world.
Many of the problems occurring in organization are often found to be the problem of perception.

Factors influencing perception
The perceiver:
To understand what a person interprets when looking at the object or target being perceived will be influenced by the personal traits of the individual like; their attitude, their motives, their interests, once past experience, and also their expectation towards it.

The target:
Perception is more impacted by the motions, sound, size with many other characteristics. This occurs because the target is not perceived in isolation but along with it background.

The situation:
Perception is influenced by various situations such as time, work environment, social environment, light, heat etc., These may simultaneously impact the perception process making it an extremely complex process. For instance if a person attired in dhoti-kurta were to enter office premises, he is likely to draw more eyes on around in the compound of his house.

Model of perceptual process
Perception is a three phase process of selecting, organizing, and interpreting information. One can understand interpersonal situations better if they appreciate how each person construct perception.

The study of perception largely the study of what we subconsciously Add to or subtract from raw sensory input to produce our own private picture of the world. The perception is the result of two different kinds of inputs that interact to form the personal picture – the perception that each individuals experiences. One type of input is physical stimuli from the outside environment; the other is provided by the individuals themselves. The combination of two produces a very private and personal picture of the world to each person.

Perceptual selection:
Consumers subconsciously exercise a great deal of selectivity as to which aspect of the environment they perceive. That is, a person’s perceptual selection may be on account of the interplay of a complex set of factors, some are internal factors while some forma part of external factors. Consumer selection is based on Expectation and Motives.

Expectation:
People usually see what they expect to see and what they expect is usually based on familiarity, previous -- experience, or preconditioned set. For example, if we expect lawyers to be unscrupulous, politicians to be corrupt, Youngsters to be rude and soon, we will perceive them to be so, totally ignoring the individual’s real traits.

Motives:
People tend to perceive the things they need or want, the stronger the need, the greater the tendency to ignore unrelated stimuli in the environment an individuals perceptual process simply attunes itself more closely to those elements in the environment that are important to that person.
These factors give rise to four important concerning perceptions:
Selective exposure
Selective attention
Perceptual defense
Perceptual blocking


Perceptual organization:
The second process of perceptual model is organization. The perceptual organization is the process by which people group environment stimuli into recognizable pattern. In simple, a person’s perceptual process organizes the incoming information into a meaningful whole. For instance, if a person gifts the motorbike to his friend, he will not perceive the colour, mileage or looks or seat cover but he will perceive motorbike as a whole. The basic form of perceptual organization are- Figure-ground principle, perceptual grouping, closure, perceptual constancy, and perceptual context.

Figure-ground principle:
People have tendency to organize their perceptions into figure ground principle. In this principle perceived objects will be separated from its background that is the figure is always perceived to be in contrast to its background and hence will be noticed. The manner in which the figure is perceived will depend upon the background.

Perceptual grouping:
This principle refers to the tendency to group several stimuli into a recognizable pattern. This grouping is usually done on the basis of continuity, closure, promitiy and similarity. Grouping can be used advantageously by marketers to imply certain desired meaning in connection with their products.

Closure :
Closures refer to the tendency to close or complete an objects or event and perceive it as a whole even though only a part of the object is evident; that is, they consciously or subconsciously fill in the missing object or event. For example hearing the beginning of a message leads to the need to hear the rest of it.

Perceptual constancy:
Perceptual constancy works on the principle of learning and it emanates from patterns of cues. According to this, irrespective of the information received by the senses, the size, shape, colour, brightness and location of an object remain fairly constant. The learning takes place even if each situation is different and their interaction between the inborn and learned tendencies within the entire process.

Perceptual interpretation:
The interpretation of stimuli is unique, because it is based on what individuals expect to see in light of their previous experience on the number of plausible explanations they can envision and on their motives and interests at the time of perception. Stimuli are often highly ambiguous some are weak because of poor visibility, brief exposure, high noise level and constant fluctuations. Even strong stimuli tend to fluctuate dramatically because of different angles of viewing, varying distance and changing level of illumination.

When stimuli are highly ambiguous, an individual will usually interpret them in such a way that they serve to fulfill personal needs, wishes, and interests and so on.

Through the interpretation of ambiguous stimuli, respondents reveal a great deal about themselves. Individuals are subject to number of influences that tend to distort their perception;

Physical appearance
Halo effect
Stereotype
Attribution

Physical appearance:
People tend to attribute the qualities they associate with certain people to others who may resemble them, whether or not they consciously recognize the similarity. For example, selection of models for print advertisement and television commercials.

Halo effect :
It is the process of evaluation of another person solely in the basis of one’s attribute, either favorable or unfavorable. This means the halo
effect blinds the perceiver to take notice of other attributes which also are to be considered if evaluation is to obtain a complete and accurate impression of the other person.
In other words, historically the halo effect has been used to describe situations in which the evaluation of a single object or person on a altitude of dimensions is based on the evaluation of just one or few dimensions. For example, if a person is a good organizer we infer that he is also a good leader; this is known as halo effect (taking one single right).

Stereotype:
It refers to the tendency to assign attributes to a person solely on the basis of a category of people of which he/she is a member, means individual tend to carry pictures in their minds of the meaning of various kinds of stimuli. These serve as expectations of what specific situation, people or event will be like, and they are important determinants of how such stimuli are subsequently perceived. Stereotyping often results in attributing favorable or unfavorable traits to the person being perceived.

Attribution:
Attribution is the complex process in which we observe other’s behaviors and try to infer causes behind it from various areas. Attribution refers to the tendency one develops to explain the way in which one judges other people’s behaviour by interpreting their traits, motives and intensions through attribution process.

One thing is most important that is customer is a god, in Indian’s slogan is “Grahak Hamara Bhagavan Hai”, “Aaj Nagad Kal Udhar”, “NO Credit”, “No Exchange”, “Once gods sold never get back” and so many. If your are business man please respect to your customer, if you are respect and give them correct response, if you are communication is good with you customer definitely you will go very high in business.
If you are studying about marketing like BBM, MBA or other related marketing courses, please purchase the Mr.Phillip Kotlers books. It is realy helps to your study and you will get 100% results.

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