The international market is heavily biased towards demand. Companies, when deciding to launch a new product, are primarily guided by the needs of consumers. Marketing analyzes consumer demand. There are several approaches to the study of demand. The most effective and modern type of marketing is holistic. He proposes to solve the problem of marketing in a complex way. The market is so oversaturated with goods and services that using one marketing tool is no longer enough. In order to interest the consumer, it is necessary to approach the solution of the problem in a systematic way.
Concept
Holistic marketing is a set of marketing tools used simultaneously to increase consumer demand. The word 'holistic' comes from the Greek word 'holos' which means 'whole'. This approach helps to capture and manage marketing processes: forecasting, planning, implementation and analysis. All tools must work together. The concept of "holistic (holistic) marketing" is an alternative to the concept of intensifying sales efforts.
Target
The goal of classical marketing is the sale of an existing product, increasing its value to the consumer. While the concept of holistic marketing offers a different approach. It is based on the following principles: production for the sake of the consumer, taking into account the needs, customer orientation. The ultimate goal of holistic marketing is to satisfy the needs of consumers and reach all groups of the target audience.
The main task of holistic marketing is the optimization of production processes, their integration to create a product that satisfies the needs of consumers. The focus of the entrepreneur's interests is transferred from the product to the consumer.
Components
The founder of the modern theory of holistic marketing is considered to be Philip Kotler, who defined the components of marketing. He also explained the need for their mutual and harmonious simultaneous development.
The essence of the concept of holistic marketing lies in the relationship of 4 elements:
- Marketing of partnerships is the process of building long-term friendly relations with all counterparties of the company. Includes suppliers, buyers and the channel of communication with them. The condition for building partnerships is mutual benefit. Suppliers can provide the best prices and conditions, and buyers willcome back, they will have a commitment to the company and brand. This phenomenon is called "marketing partnership network". It is the same asset of the enterprise as the image or customer base.
- Social is the main part of holistic marketing, based on an understanding of the social, moral, environmental objectives of marketing. Companies, releasing a new product to the market, should make the life of their consumers quality, and not vice versa. Consumers like to contribute to the cause of the world. For example, you can offer customers to package goods in biodegradable plastic, so they save the planet and feel their involvement in protecting the environment.
- Internal marketing is the need for the introduction of integration tools and their acceptance by all members of the company. From the salesperson to the top management, everyone needs to understand their role in creating a complete system. Corporate ethics and training of new employees help to ensure compliance with the conditions of internal marketing.
- Integrated - development systemmarketing activities and providing strong communication channels between them. A high degree of integration is achieved by making informed decisions, taking into account the entire range of incoming information and analyzing the possibility of implementing marketing activities in relation to each individual case.
Internal marketing is usually divided into 2 levels. The first level includes all executive and sales departments. These include advertising and sales services, departments for the study of consumer demand, product management. The second level is represented by employees responsible for training and promoting ideas of interconnected marketing among company employees. The category includes HR specialists, coaches, business coaches, department heads.
Marketing mix
This is a collection of marketing activities. The system considers holistic marketing as a modern management concept. It consists of a chain: product - cost - distribution - promotion. In this case, the product is understood as measures to attract the attention of the buyer to the product (product quality, packaging design, warranty, trademark creation).
The "cost" element includes the development of a product discount system, credit conditions, compensation and a price list, that is, the pricing policy of an enterprise that can influence the choice of a consumer. The distribution process includes distribution channels, assortment, market coverage, transportation. Promotion means the process of selling products, advertising, channeling customers and direct marketing.
Tools
The holistic marketing toolkit includes 3 levels:
- The level of demand management. It consists in focusing the attention of the manufacturer on consumers. Includes collecting data about consumer needs, creating a useful product for the consumer and managing customer relationships.
- Resource management level. Impliedarea of key competencies. The level consists of the space of core competencies, the business domain and the management of the company's internal resources.
- The network management layer is the process of building a collaborative network. Consists of processes for creating a common space for partners, finding and managing business partners.
McDonald's
The company has been demonstrating a high degree of efficiency in implementing holistic marketing since its inception. The fast food chain is famous for its friendly staff, speed of service and attention to public opinion at the same time. Criticism is perceived as an opportunity to improve the product and brand. In the 90s, rumors began to circulate around McDonald's about the excessive harmfulness of fast food.
The leadership of the restaurant chain reacted immediately to this. McDonald's has added more vegetable salads to the menu, apple slices for children and tried to reduce the calorie content of some dishes on the menu. And after being criticized for using packaging that is harmful to the environment, McDonald's began to use sustainable materials that do not pollute the environment.
Puma
A successful example of holistic marketing is the business process management system created by Puma. This is a German company that has successfully launched and promoted its sportswear on the international market. But few people remember that in the 70s the company experienced a significant drop in consumer demand. It was gradually being forced out of the marketcompetitors.
Holistic marketing helped solve the company's problems. "Puma" began to focus on the needs of its customers. To begin with, they divided them into target groups: professional athletes, slimming people, fans of sporting events and those who like to wear sportswear in everyday life. The management began to develop separate types for each segment of consumers, taking into account their needs: clothing for yoga, snowboarding, running, etc.
Then a campaign was launched to evaluate the new products by consumers, and edited it according to requests. Only after that the company started advertising campaigns at international sports competitions, on catwalks and in sports bars. This allowed them to target their target audience and return the brand to its former popularity.
Xerox
In its work, the company is guided by the main principle of holistic marketing - internal leadership. Each employee of the company is given guidance on how the actions of a particular employee affect consumers. Employees are aware of the benefits of their own work and feel supported. The work of the company resembles a well-oiled clockwork. Xerox is making another bet on complete openness for consumers, everyone can get a tour of the factory.
Avon
This company has become famous not only for its ability to please consumers, but also for one of the best models of social marketing. Avon spent 400 milliondollars to fund the fight against breast cancer. This is a direct way to win the favor of consumers. By creating unique products, the company emphasizes the social need for the brand and actively helps people.
