Philip Kotler’s book “Marketing Management” is the most popular marketing book in management and marketing in the world. Then, the book is the main reference of marketing student in many universities. That’s why Philip Kotler marketing definition is important.
Philip Kotler formulated a short definition of marketing. Marketing is meeting needs profitably. (Kotler, 2016: 27) . Marketing is meeting needs in a profitable way. These definitions explicitly and implicitly convey the components of marketing. There are marketers, target market, and products. Marketers are people who meet their needs. Target Markets are people who are fulfilled their needs. Then marketers give products that satisfy their needs. Target markets give money or benefit to marketers.
Continuation of Butler Definition
This definition continues Butler’s definition, that marketing work is cross-sectoral work. Marketing takes care of sales and production. Marketing is not only limited to the sales and distribution sector. Marketers also participate in arranging for goods and services to meet the needs of the target market.
Drucker Support of Marketing Concept
Marketing is not a promotional activity with the burden of realizing sales. This is in line with what Peter F Drucker said. “People often assume businesses need sales promotion activities. But the goal of marketing is to make sales promotions unimportant. The purpose of marketing is to know and understand the market properly so that products and services are appropriate and sell themselves “(Drucker: 1972). Marketing is a matter of how to understand what the market is about, and make an offer that is in accordance with that will, so that the product sells by itself. Philip Kotler added that many people think that marketing is the art of selling products. Even though the art of selling products is the small end of marketing ice. Marketing is oriented towards meeting the needs of the target market in a profitable way.
Before Marketing Concept founded
Before the concept of marketing was known, people only knew production and sales/distribution. Production takes care of making goods. While this distribution is the task of intermediaries, including taking risks, transporting goods, financing, making advertisements, selling, assembling, selecting, and shipping to buyers. If the sales department experiences obstacles in sales, it’s not a problem of production, it’s a sales problem.
To answer the question, what factors determine the demand? The thought at the time said the price determines the demand for an item. The influence of prices on demand depends on the level of elasticity of an item. This is a well-known explanation in economics until now. The name is the law of supply and demand.
From the organizational structure of the business before the marketing concept was born, they were also aware of other factors, besides prices, which determine the increase in demand, namely distribution. They have a distribution division. It shows that they are aware that distribution is a factor that determines demand.
Born of Marketing Concept
In 1914, Butler made a new concept, namely marketing. Butler defines marketing as the plan behind a campaign or series of promotions. Butler is a sales manager at the Protect and Gamble company. This concept is different from distribution and sales. This concept appears new because based on experience, there are many problems that need to be solved first before making advertisements in the media and sending salesmen to the streets. Companies need to make decisions about products, distribution channels or how to reach the desired market. (Kazuo Usui, 2008, Development of Marketing Management, Ashgate).
The idea of Butler who included product planning as part of marketing management or the plan behind the campaign was an extraordinary idea in his day. The marketing idea has a different scope and orientation than sales management. Marketing has a new meaning. At that time, production decisions were part of production management, not part of marketing that was still synonymous with sales. With the marketing concept, the marketing department participates in managing the production aspects that determine the success of the sales campaign program.
Misconception About Marketing
Until now there are still many people who equate marketing as a sales promotion and advertising. Indeed, from the outside, the marketing work that seems invisible is a promotion, while its contribution to production planning is not visible, even though it is very important to adjust products and market needs.
Butler formulated marketing work in product policy to ensure the product achieved the technical quality that was in accordance with consumer preferences before the product was launched to the market. Before becoming part of marketing, production does not think about the suitability of products with consumer preferences.
Now, more than 100 years after the emergence of Butler’s concept, the concept of marketing is growing. Definition, factors, and ways of working experience development.