Contents

1   History of marketing thought

o 1.1   Periodization

o 1.2   Birth of marketing ideas

o 1.3   Traditional schools

o 1.4   Modern schools

2   Marketing history

o 2.1   Timeline of innovation

o 2.2   Periodization

2.2.1   Production orientation

3   The societal marketing concept

4   See also

5   References

History of marketing thought

The history of marketing thought deals with the evolution of theories in the field of

marketing, from the ancient world . Marketing historians agree that the discipline

branched out of at the turn of the twentieth century, though some argue that scholars

in the ancient and medieval ages had already studied marketing ideas.

Periodization

Robert Bartels in The History of Marketing Thought' categorised the development of

marketing theory decade by decade from the beginning of the 20th century thus:

1900s: discovery of basic concepts and their exploration

1910s: conceptualisation, classification and definition of terms

1920s: integration on the basis of principles

1930s: development of specialisation and variation in theory

1940s: reappraisal in the light of new demands and a more scientific

approach

1950s: reconceptualisation in the light of managerialism, social development

and quantitative approaches

1960s: differentiation on bases such as

managerialism, holism, environmentalism, systems, and internationalism

1970s: socialisation; the adaptation of marketing to social change

With the growth in importance of marketing departments and their

associated marketing managers, the field has become ripe for the propagation

of management fads which do not always lend themselves to periodization.

Birth of marketing ideas

In pre-modern economies, the predominance of small enterprises militated against

the recognition of marketing as a separate field of expertise. Changes in the patterns

and intensity of economic activity, as well as the rise of economics as a science,

particularly in the 19th century, paved the way for studies of marketing. The growth in

size and scope of national and international economies in the course of the Industrial

revolution led eventually to a transcendence of ad

hoc retailing and advertising innovations and eventually to systematization. Marketing

emerged as a separate technical field only in the late 19th century. The OEDtraces

the abstract usage of the word only as far back as 1884.

Traditional schools

Traditional authorities[who?] on marketing concentrated on products and on the sale and purchase of goods and services. They paid little attention to areas like after-sales service, and devoted even less attention tosocial responsibility or to social accountability.

Modern schools

Marketing historians like Eric Shaw and Barton A. Weitz point to the publication

of Wroe Alderson's book, Marketing Behavior and Executive Action (1957), as a

break-point in the history of marketing thought,[3]moving from the macro functions-

institutions-commodities approach to a micromarketing management paradigm. After

Alderson, marketing began to incorporate other fields of knowledge besides

economics, notably behavioral science, becoming a multidisciplinary field. For some

scholars, Alderson's book marks the beginning of the Marketing Management Era.

Unlike economists, marketers have difficulty in organizing the different theories in

their discipline into schools-of-thought.[clarification needed] However, some marketing

historians like Jagdish Sheth have tried to identify the main concepts behind the work

of scholars in the field, grouping their ideas into "marketing schools" such as the

following:

the Managerial school emerged during the late 1950s and became arguably

the predominant and most influential school of thought in the field

the Consumer/buyer behavior school, which dominated the academic field in

the second half of the twentieth century (apart from the Manageerial school),

features theories emerging from behavioral science

the Social exchange school, which focuses on exchange as the fundamental

concept of marketing

Marketing history

Much of traditional marketing practice prior to the twentieth century remained

hidebound by rules-of-thumb and lack of information. Information technology,

especially since the mid-twentieth century, has given the marketeer new channels of

communication as well as enhanced means of aggregating and analyzing marketing

data. Specializations have emerged (especially sales versus marketing

and advertising versusretailing) and re-combined (business development) over the

years.

[edit]Timeline of innovation

1450: Gutenberg's metal movable type, leading eventually to mass-

production of flyers and brochures

1730s: emergence of magazines (a future vector of niche marketing)

1836: first paid advertising in a newspaper (in France)

1839: posters on private property banned in London

1864: earliest recorded use of the telegraph for mass unsolicited spam

1867: earliest recorded billboard rentals

1880s: early examples of trademarks as branding

1905: the University of Pennsylvania offered a course in "The Marketing of

Products"[4]

1908: Harvard Business School opens

1922: radio advertising commences

1940s: electronic computers developed

1941: first recorded use of television advertising

1950s: systematization of telemarketing

1970s: E-commerce invented

1980s: development of database marketing as precursor to CRM [5]

1980s: emergence of relationship marketing

1980s: emergence of computer-oriented spam

1984: introduction of guerrilla marketing

1985: desktop publishing democratizes the production of print-advertising

1991: Integrated marketing communications gains academic status [6]

1990s CRM and IMC (in various guises and names) gain dominance in

promotions and marketing planning[7],[8]

1995-2001: the Dot-com bubble temporarily re-defines[citation needed] the future of

marketing

1996: identification of viral marketing

2000s: Integrated marketing gains acceptance and in 2002 its first dedicated

academic research centre[9],[10]

[edit]Periodization

One marketing standard chronology(Bartels, 1974;Dawson, 1969;Keith, 1960; Kotler

and Keller, 2006)subdivides marketing history as follows:

Production orientation era

Product orientation era

Sales orientation era

Market orientation era

Customer orientation

[edit]Production orientation

A production orientation dominated business thought from the beginning

of capitalism[when?] to the mid 1950s, and some[who?] argue it still exists in some

industries.[citation needed] Business concerned itself primarily with production,

manufacturing, and efficiency issues.[citation needed] Say's Law encapsulated this

viewpoint, stating: "Supply creates its own demand". To put it another way, "if

somebody makes a product, somebody else will want to buy it". This orientation rose

to prominence in an environment which had a shortage of manufactured goods

relative to demand, so goods sold easily.[11]

Implications of this orientation include:[citation needed]

narrow product-line(s)

pricing  based on the costs of production and distribution

research limited to technical product-research

packaging designed primarily to protect product

minimal promotion and advertising, limited to raising awareness of the

existence of the product

consumers more interested in simply obtaining the product, and less in its

quality

Some examples:

The early[when?] car industry provides the classic example of production

orientation, exemplified by the story of Henry Ford’s Model T. At this

time[when?] production orientation, an industry-wide philosophy, applied in many

industries.[citation needed]

As of 2009 one sees examples of production-orientation marketing in

individual companies rather than in whole industries because of increased

competition.[citation needed] One might argue[original research?] that some elements of the

production orientation appear in the electronics industry where firms manufacture

large quantities of low-cost, low-price goods when they know that a market exists.

As a possible[original research?] supplementary factor, one can usually replace an

electronic product much more cheaply than fixing it.[citation needed]

Philip Kotler  argues that assembly-line techniques have migrated to services

like government benefits offices, in which they deal with people very efficiently,

but without necessarily entailing full satisfaction on the part of the customer[citation

needed]

The societal marketing concept

Main article: Societal marketing

Societal marketing emerged in the 1960s. The societal marketing concept deals with

the needs, wants and demands of customers: how to satisfy them by producing

superior value that should satisfy the customers and promote the well-being of

society.[citation needed] The producer should not produce products deemed hazardous to

society.[citation needed]

Societal marketing developed into sustainable marketing.

Part 2

History of Marketing

Marketing is a relatively young discipline. Some, however, argue that it has been around for a

long time.

Trade and payment in money, goods and services has been around for many thousands of

years.

Barter or counter trade is becoming popular in business again. Counter trade is more

common than you think. Have a look at this barter example: Some chemical companies often

accept non-monetary payment such as other chemicals, as payment from their customers.

Some argue that marketing has been in existence whenever and wherever there have been

buyers and sellers i.e. - a market.

Some marketing tools such as advertising have been around for hundreds and even

thousands of years. The Ancient Greeks used advertising for commercial purposes. The

traders hired 'criers' to promote their products. Their advertising propositions were sometimes

surprisingly similar to today's television advertisements. But none of the ancient brands lasted

the test of time. Few brands last a century let alone a millennium or two.

There are, however, a few select brands which have been around for a few hundred years for

example: Guinness since 1759 and Pears since 1789

There were many famous brands created during the 19th century. Some have survived. But in

reality few brands succeed in the long term. Fewer still survive two centuries of change.

The great marketing graveyard in the sky is littered with once famous brands which were

regularly bought by legions of 'loyal' customers. Where are they now? Why have they gone?

What caused their demise? Why do you think these once famous and successful brands

eventually failed?

There are many underlying change factors such as fashion or technology, which if ignored,

can affect a market or even, kill off a brand. Everything changes - including lifestyles, values

and attitudes.

Do you think that society reflects advertising or advertising reflects society?

Advertisements can give an insight - particularly into how fashions, values and attitudes

change. Whichever way you look at it 'change' affects markets. The management of change

makes new demands on marketing managers.

Constant Change in Marketing

Change has been constant throughout the history of marketing. Markets change constantly.

The only certainty is change. Everything changes - customers grow old, develop new tastes,

new values, earn different amounts , prioritise 'new' needs, competitors emerge, laws and

regulations change, and technology sends out shock waves of change. Nothing stays the

same.

The world and marketing are changing. They will continue to change. Today's winners may

be tomorrow's losers.

Guess what percentage of the world's 500 most successful companies in 1957 still exist today

? 33%25 or one third of the companies who were at the top of the business league table in

1957 still survive today. Success is momentary. There is no time to rest on one's laurels.

Continual success requires continual monitoring and responses to change - often before the

change actually occurs.

The rate of change accelerated when television burst onto the scene in the 1950s. Today's

computers, satellite, cable, multimedia, and virtual reality networks are also changing

markets, and the way we buy, the way we sell, the products and services we want, the way

we communicate and deliver and even pay for tomorrow's brands.

Have a look at the UK's first commercial advertisement ever shown on TV: A lot has changed

since that advertisement was made.

The discipline of marketing involves much more than just advertising or selling. Today's

marketing requires constant research into customers, competition, communications,

distribution, channels, product development, pricing etc. In addition to continual improvement

in customer care, customer retention and product design, today's marketers look towards long

term changes and future market trends, lifetime customer relationships, as well as addressing

the short term promotional campaigns.

So marketers are surrounded by change. We all are. Back in 500 AD, Heraclitus the Greek

philosopher, spotted it and commented, 'You cannot step twice into the same river for fresh

waters are ever flowing in upon you.' Change is constant.