This was due to the pure energy and the size of productivity brought by the Industrial Revolution including the innovation of the telephone and electricity. 1 ass’s to sass’s commonly known as the Production Era, because during the Industrial Revolution goods were scarce and producers could sell pretty much what they could produce providing people could afford the goods. Therefore focus was on production and distribution at the lowest cost due to high demand for products. It was believed that if somebody makes a product, somebody else will want to buy It.
The Sales Era was Introduced In the 1 biffs to sass’s. After the Second World War competition grew focusing marketing now towards selling rather than mass production. Higher Importance was placed on advertising, branding and communications In an effort for companies to attract consumers in a market which had increasing outputs of production and an ever crowding market. Marketing was still classed as a ‘slave’ to production however the mass production capabilities required a different approach and understanding of the tools used to influence consumer demand.
In the sass’s consumers began to get frustrated with prices, quality of products and the shortage of product information leading to the Consumer Movement”, helping the shift towards a different approach. The sass’s to sass’s, “Paradigm Shift” or Marketing Era was a turning point for marketing in which modern marketing emerged. The 1 ass’s represented a watershed for marketing as the mainstream debate became steeped In science (Egan 201 1), built on the mass marketing dominance and high growth In the US.
This would come later on In Europe as they were suffering from shortages Like rationing, meaning they were less directed at stimulating the wants than restricting needs. The Marketing era originated from .NET-up demand from the war years’ restrictions on supplies of consumers goods and explosive growth in population. 4 million babies per year was being born as soldiers returning home wanted to start families. Rising families created an increase of consumers, known as Baby Boom. Sass’s onwards the majority of markets became saturated, there was intense competition for custom.
This brought a new line of thinking, marketers started to get involved with organizations at a strategic level and could inform them on what should be produced and how should it be communicated to consumers. During this time was growth within the field and its academic infrastructure, the Mama’s membership rose from 4000 In 1950 to 17,000 In 1980. As marketing thought developed It had more scientific Influence devoting more to the perspective of marketing manager. 1960); marketing management as analysis, planning, and control (Philip Kettle 1967) was all introduced in this era.
Attention mostly pushed towards Border’s (1954) marketing mix, this was 12 sections which marketers could input variables and see consumer’s different reactions. This got modified by McCarthy (1960) now known as the ups. It retained key elements from the functional school however shifted the respective towards the marketing management approach, this was used so businesses could apply the ups to gain influence over the market. Phillip Kettle cemented the turn to the managerial mainstream with the publication of his textbook.
This was a ‘How to’ book influencing young academics using behavior sciences, switching from a What is happening and why approach to What should happen & how to make it happen’ (Ellen 2014) Conditions in sass’s to Sass’s reinforce the superiority of the marketing mix paradigm, infrastructure development aided distribution, and television offered opportunities to advertise to a vast audience. Combined with the simplicity and communicability of the marketing mix paradigm turned it into ‘a highly effective impact machine’ (Gross, 1996, p. 16).
The transactional marketing approach by Kettle in times of mass marketing and homogeneous demand worked effectively, leading to transactional marketing becoming the dominant paradigm. The ups was treated as the unchallenged basic model of marketing, overpowering previous models. It became known as an indisputable paradigm. Around this time was the Parameter theory which was a dynamic marketing mix approach linked to the product life cycle, it was much more plopped model however never received attention due to the easier to comprehend marketing mix.
The ups constituted a product-orientated approach to marketing not a customer-orientated one, yet it could not be challenged. (Keynote paper) The same could be said for Jostler’s transactional approach to marketing which eventually became the new marketing paradigm. This approach took on a short term transactional view to marketing and was only concerned with selling a particular product to the consumer then moving on the next one. This seemed to work well in Sass’s and onward, however due to the mass marketing and homogeneous demand o could conclude that the time of the theory was right not the actual theory itself. Ass’s were times of change because ups wasn’t used as much in the newer lines of thought. The ups looked more like framework and now the new dominant logic was intangibles such as skills, information, and ongoing relationships, this is when relationship marketing started surfacing. The goods centered dominant logic view of marketing was said to hinder the full appreciation for the roles services played and therefore block us from having a fuller understanding of marketing. Globalization of cuisines and the new found recognition for customer retention among other trends reinforced the change in mainstream marketing.
The marketing mix approach was restrictive and the transactional approach relied on brand images leaving consumers decisions price based, therefore something had to be done to distinguish one firm’s product to another without lowering the price. Relationship marketing strategies then started to prevail, by trying to add value to the product wherever possible not just providing a core product but forming a relationship between the customer and the business therefore increasing brand loyalty and repeat business. The prominent more to obtain a new customer than to maintain the relationship with an existing customer.
Using Apples as an example they have Apple stores all-round the world offering a great deal of service to customers, such things like this make the relationship stronger and continually add value to the products. (Egan 2011) Customer relationship management focuses on continuous learning and information gathering about customers, in doing so enables them to meet consumers’ expectations and needs. Through the use of CRM software and social media, companies are continuing to find innovative ways in which they can not only reach customers but interact and learn about them.
Consumers in the future will gain more influence over the markets due to the degree of products being made and the amount they diversify with one another. Technology increasing makes it easier for marketers to have a relationship with their consumers, such as Tests loyalty card enabling the consumer to gain rewards for their repeat business therefore creating a firmer relationship. Advancements like internet cookies and interactive advertisements have made it that much easier for companies to advertise select amount of products tailored for the customer due to their searches on the internet.