Marketing as the company's engine
Compellingly designed ads, catchy slogans and printed flyers. It is not uncommon to confuse marketing with advertising. But there is much more behind it. A change has taken place: Modern marketing leads companies to economic success by innovation.
Marketing means advertising – that was yesterday
Satisfied customers are the most important thing for a competitive company. There is no lack of competition: If one provider cannot satisfy the needs of consumers, another will. How can one keep up with this?
No other department knows the company’s target group as well as marketing does. With the direct-to-consumer logic of digital change, marketers and customers are in closer contact than ever before. New communication channels such as social media enable direct exchange. Needs can be asked directly. The insights that can be gained in modern marketing are highly valuable: thanks to digitalization, marketers have the opportunity to explore the target market more precisely than ever before. They know how to communicate with the target group, where to reach them and how to create a bond with the company. They identify the consumers’ problems and how they can be solved innovatively.
This is where the greatest opportunity for companies can be found: If marketing is no longer understood only as advertising but as a direct interface to the customer, it can be used for the entire business processes.
Change instead of ads
Marketing has to follow through the entire business process. This is precisely the crux of the change: modern marketing begins where innovative products are created and customer wishes are satisfied as individually as possible. To achieve this, the product range must be constantly expanded and new sales channels must be considered. A practical example: Schwarz+Matt has taken Urlaubsguru offline. In addition to the successful distribution of holiday travel in the form of e-commerce, the concept was packaged into a travel agency of the future. By developing a store in the home town of the founders, customers now have the opportunity to individually design their trip at the store and get an idea of their dream destination through VR glasses even before they start their journey. (Click here for the case)
The core task of the company is to offer the customer added value. And marketing can do this.
The quote from the US economist Peter Drucker sums up the importance of marketing for companies: “Because the purpose of business is to create a customer, the business enterprise has two – and only two – basic functions: marketing and innovation. Marketing is more than just a department of a company. It describes the view of the entire business from the consumer’s point of view. And this is the perspective that is crucial for success.
Marketers are the innovators who turn ideas into solutions
The development of new products, production, financing, communication and distribution. All these areas are examined from the customer’s point of view in marketing. The knowledge gained in this way makes it possible to launch products on the market that deliver exactly what the target group wants and above all can be used. Therefore, it is not necessary to reinvent the wheel but to improve existing ideas and maximize customer benefit. In order to achieve this goal, marketing must be seen as the driving force of the company, which communicates the wishes of the customers to all business units, controls the direction of the processes and develops the product range innovatively and no longer just advertises.
Those who know the target group, win – still
The relevance of marketing for entrepreneurial success becomes tangible at the latest when you look at the success stories of brands such as Apple. Technically speaking, are there better devices than iPhones on the market? Which have a better price-performance ratio? Certainly. So what makes the company the market leader anyway? The brand itself. Apple has understood its target market, offers what customers want and knows how to communicate with them. The company has market power because it knows, better than anyone else, how to use marketing effectively as a corporate strategy.
Marketing is the focus of entrepreneurial activity.
One thing is certain: Marketing offers an incredibly large potential for added value. In order to exploit this potential, companies should no longer think of marketing as an isolated function, but as an entrepreneurial spirit. There must be freedom to explore target markets and develop innovative product ideas. In the future, this is the only way that companies will be able to keep up. Because there is enough competition.