Unit Title: Marketing PrinciplesUnit Code: 4Date Issued: 6th March 2013 Student Name: Andrei OlariuStudent ID: P1003160Due Date: March 2013 Module Leader John HeatherInternal Verifier Name M. Azam Mephisto Products Ltd Mephisto ltd raised from form the idea of an engineer James Watkinson which married the daughter of the owner of a detergent manufacturer, where also realised hi can improve the work in the chemical industries and make it more qualitative and much safer.
He started first to manufacture safety devices for his father-in-low and then grow wider because he believed in his product and he introduce it on the market focusing on chemical industry only, but for that needed a plan to penetrate the market. Because the customers did not know about his product and they were not aware of such a device might be needed for their mechanisms a team of salesman’s took the product and successfully sales it over the country.Also started to do some advertising and promotions from some parts of his profits, for a while there were some discounts for larger orders to make potential customers buy the product but Watkinson’s philosophy was: ‘If they want the product badly enough they will wait for it’, as well as: ‘Why offer discounts for larger quantities – if they did not want that many they will not order them. ’ During for five years the business was very successfully, but unlikely its market share dropped drastic when on the market new competition arrived with more innovative products.
Now Jim Bullins the senior executive at Mephisto decided is time for a new marketing director to come aboard. What Mephisto Is looking to accomplish with a new marketing director is to establish, expand and maintain relationships with customers and partners. Defined by (AMA 2007): "Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. Defined by (CIM 2001): "Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably" The marketing manager has to create a plan that shows all the steps that needs to be undertaken to achieve the business marketing objectives.
That plan has to include and not to be limited to: The demand of product and services, a description of its competitors and a stand point of the business and its competitors for their strengths and weaknesses. Also is important to include a description of the product and services rendered with possible future improvements. -An advertising, promotional and loyalty program plan included in the marketing budget. -A pricing strategy. Mephisto believed its product is unique and high quality, which that makes it superior and customers will like it and buy it straight away.
The problem on this approach is that’s not enough for a product to be superior to sell out, unless you satisfy the clients with what they want and what they need.Mephisto should have done a marketing research to help them see what is going on into their marketing environment, like what the customers think about their product, how are their needs changing, the competitors strategies and in which way macro and micro environment affects the business. When realised sales dropped down the company should take in consideration an improvement to the product and some updates to try and stay ahead on the market and not fall beyond their competitors. Benefits of marketing orientation for Mephisto: Is the focus on the customer and their needs and this is just the first step.
