Principles of Marketing: Quarter 1 - Module 2: Marketing Approaches

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Principles of Marketing

Quarter 1 – Module 2:
Marketing Approaches
Principles of Marketing
Alternative Delivery Mode
Quarter 1 – Module 2: Marketing Approaches
First Edition, 2020

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Principles of Marketing
Quarter 1 – Module 2:
Marketing Approaches
Introductory Message
For the facilitator:

Welcome to the Principles of Marketing with Grade 11 Alternative Delivery Mode


(ADM) Module on Marketing Approaches!

This module was collaboratively designed, developed and reviewed by educators both
from public and private institutions to assist you, the teacher or facilitator in helping
the learners meet the standards set by the K to 12 Curriculum while overcoming
their personal, social, and economic constraints in schooling.

This learning resource hopes to engage the learners into guided and independent
learning activities at their own pace and time. Furthermore, this also aims to help
learners acquire the needed 21st century skills while taking into consideration their
needs and circumstances.

In addition to the material in the main text, you will also see this box in the body of
the module:

Notes to the Teacher


This contains helpful tips or strategies that
will help you in guiding the learners.

As a facilitator you are expected to orient the learners on how to use this module.
You also need to keep track of the learners' progress while allowing them to manage
their own learning. Furthermore, you are expected to encourage and assist the
learners as they do the tasks included in the module.

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For the learner:

Welcome to the Principles of Marketing Alternative Delivery Mode (ADM) Module on


Marketing Approaches!

The hand is one of the most symbolized part of the human body. It is often used to
depict skill, action and purpose. Through our hands we may learn, create and
accomplish. Hence, the hand in this learning resource signifies that you as a learner
is capable and empowered to successfully achieve the relevant competencies and
skills at your own pace and time. Your academic success lies in your own hands!

This module was designed to provide you with fun and meaningful opportunities for
guided and independent learning at your own pace and time. You will be enabled to
process the contents of the learning resource while being an active learner.

This module has the following parts and corresponding icons:

What I Need to Know This will give you an idea of the skills or
competencies you are expected to learn in the
module.

What I Know This part includes an activity that aims to


check what you already know about the
lesson to take. If you get all the answers
correct (100%), you may decide to skip this
module.

What’s In This is a brief drill or review to help you link


the current lesson with the previous one.

What’s New In this portion, the new lesson will be


introduced to you in various ways such as a
story, a song, a poem, a problem opener, an
activity or a situation.

What is It This section provides a brief discussion of the


lesson. This aims to help you discover and
understand new concepts and skills.

What’s More This comprises activities for independent


practice to solidify your understanding and
skills of the topic. You may check the
answers to the exercises using the Answer
Key at the end of the module.

What I Have Learned This includes questions or blank


sentence/paragraph to be filled in to process
what you learned from the lesson.

What I Can Do This section provides an activity which will


help you transfer your new knowledge or skill
into real life situations or concerns.

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Assessment This is a task which aims to evaluate your
level of mastery in achieving the learning
competency.

Additional Activities In this portion, another activity will be given


to you to enrich your knowledge or skill of the
lesson learned. This also tends retention of
learned concepts.

Answer Key This contains answers to all activities in the


module.

At the end of this module you will also find:

References This is a list of all sources used in developing


this module.

The following are some reminders in using this module:

1. Use the module with care. Do not put unnecessary mark/s on any part of the
module. Use a separate sheet of paper in answering the exercises.
2. Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3. Read the instruction carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are
not alone.

We hope that through this material, you will experience meaningful learning and
gain deep understanding of the relevant competencies. You can do it!

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What I Need to Know

This module was designed for you to master the Marketing Approaches. The scope
of this module permits it to be used in many different learning situations. The
language used recognizes the diverse vocabulary level of students. The lessons are
arranged to follow the standard sequence of the course. But the order in which you
read them can be changed to correspond with the textbook you are now using.

The module contains the following lesson:


 Lesson 1 – Marketing Approaches

After going through this module, you are expected to:


1. describe marketing approaches
2. identify the different marketing approaches
3. explain the evolution of marketing
4. become aware of the importance of learning marketing approaches

What I Know

True or False. Write T if the statement is true and F if the statement is false. Write
your answers on a separate sheet of paper.

1. Sales Orientation uses aggressive selling, advertising, and distribution


strategies
2. Production Orientation emphases on the well-being of society.
3. Marketing Orientation is also called customer orientation which is driven by
customer needs.
4. Societal Marketing Orientation focuses on creating long-term value
relationship and customer relationship management.
5. Customer Relationship Orientation focuses on producing as much as
possible at lowest cost.
Lesson

1 Marketing Approach

In this lesson, the definition and approaches to marketing will be discussed in detail.

What’s In

Marketing approaches evolved to meet the needs and wants of all parties involved
in the exchange process.

Notes to the Teacher


You may use any related textbook or reference for describing the
Marketing Approaches
What’s New

Marketing Approach Defined


Marketing approach refers to the forms or types of various marketing orientation,
concept, philosophies used by companies to attract, retain, inform, and build good
relationship to potential and existing customers.

It is important to know and understand the fundamental approaches used in


Marketing. Each approach is unique and has its own advantages and disadvantages.
Application of a marketing approach will greatly affect the growth of a business.

Evolution of Marketing Approaches


Table 1. Different Marketing Approaches

Name Type Timeline Focus


Production/ Traditional Industrial  Produce as much as
Revolution up possible at lowest
until the 19th cost
Century
Product  Offer high quality
Orientation products
Sales Traditional Early 1920’s and  Aggressive selling,
Orientation after the advertising,
Industrial and distribution
Revolution
strategies
Market Contemporary 1950’s to present  Produce a product
Orientation that fulfil the
customer needs and
wants
Societal Contemporary Began in the late  Well-being of society
Marketing of 1960s and early  Corporate Social
Orientation 1970s to present Responsibility (CSR)
Customer Contemporary Late 1990’s to  Creating long-term
Relationship present value relationship
Orientation  Customer
Relationship
Management (CRM)
What is It

Production/ Product Orientation


The evolution of marketing started from production orientation during the industrial
revolution period. The industrial revolution paved way for companies to produce
more products in the market and it started competition between production
companies. Its view is that the company success lies in production efficiency,
therefore having low production cost as possible which is usually done by
manufacturing in a large volume to reduce expenses and price. Product orientation
views to produce high quality products. The companies believe that “a good product
should sell itself” so companies focused on product innovation rather than satisfying
the demand of the market.

Sales Orientation

The second stage in the evolution of marketing approaches is sales orientation. This
was based on the idea that manufacturing or production companies can produce
beyond what the market can accept. Due to high volume or surplus of products in
the market, the competition among production companies increased during the first
half of the 20th century. During this period, various sales-oriented companies realized
the need for more aggressive selling strategies because they assume that people do
not want to purchase products unless they are persuaded.

Marketing Orientation

Also called customer orientation, is the third stage in the evolution of marketing
approaches. During the 1950’s onwards, companies realized the significance of
understanding the needs of the market. Marketing orientation is driven by customer
needs. Companies therefore seek to find solutions to meet the demands of customers.
The fundamental assumption of marketing orientation is that customers want to
satisfy their needs, and is willing to buy products satisfies their needs. Customer
needs may include information about products, product usage advice, and product
availability.

General Electronics (GE) was one of the first companies to implement a marketing
strategy that focused on meeting the needs of the customer. GE’s 1952 report
outlined the Philosophy:’’ thus Marketing, through its studies and research, will
establish what the customer wants in a particular product, what price he is willing
to pay, and where and when it will be wanted. Marketing will have Authority in
Product planning, Production scheduling, and Inventory Control as well as Sales,
Distribution, and Servicing of the Product”.
Societal Marketing Orientation

Fourth, one of the recent stages in the evolution of marketing approaches is the
societal marketing orientation which addresses the well-being of society. Its examples
are companies that adheres with laws of environmental protection and sustainable
development such as Corporate Social Responsibility (CSR) practices. Many
consumers today are socially conscious that demands for products are eco-friendly
and ethically manufactured.

One good example is Jollibee. The company uses metal utensils, ceramic plates, no-
straws and plastic cups for dine-in and uses paper bag for bagging its take-out
products which adheres to City Ordinance No. 2876.

Another example is the Body Shop, a skin and cosmetic company which sells
products that are made with only 100 percent natural ingredients. The company also
actively supports and pursues community trade-using highly skilled but small-scale
farmers, craftsmen, and rural cooperatives – “not because it’s fashionable but based
on the belief that it’s only way to do business’’

Customer Relationship Orientation


For marketers, it’s not just making sales which count but good customer relationship
experience that makes their brand a meaningful part of the customers lives.
Customer Relationship Orientation is a contemporary concept used by company
marketers that focuses on keeping current customers and improving its existing
relationship with them. This focuses more on retention and enhancement of
customer relationships.
Before, customer relationship is visible through customer service counters or
centers. Today, it is where business marketers connect with customers online to
share marketing information, provide customer support services, and maintain on-
going customer relationships.

Customer Relationship Orientation incorporates the use of Customer Relationship


Management (CRM) wherein customer data from all sources are captured to manage
customer interaction, engage customers, build customer relationship, and create a
customer valued brand experience.

Lastly, Customer Relationship Orientation focuses on customer loyalty and long-


term customer engagement rather than shorter-term goals like customer acquisition
and sales. It is important to know and understand the important function of
Customer Relationship Orientation. Customer engagement is the key for a profitable
customer relationship. Without it, there would be no valued bond between the
customer and the company product or service offering.

Examples are popular clothing stores such as Gap, Banana Republic, and Old Navy
which offer coupons to customers who join their mailing list. Customers on the list
also receive information about sales and promotions to keep them up-to-date with
the newest deals at the store.
What’s More

Activity 1.1 Understanding Marketing Words


Find the definitions of the following words:
1. Approaches
2. Market Evolution
3. Sales
4. Marketing
5. Societal

What I Have Learned

Directions: Read carefully and answer the following questions asked in the activity.
Write your answers in a yellow pad paper.

Reflection Activity:

1. What do you think would happen if marketing did not evolve and people got
stuck in the period of sales orientation?
2. How would consumers behave in that kind of marketplace?

What I Can Do

Instructions:
1. Select one (1) existing local product or service company in your area. Write the
following:
a. Name of the local company
b. Product or service of the local company (Choose only 1)
c. Marketing Approach (Choose only 1)

2. Choose one (1) marketing approach that is currently being used by your selected
company. Observe and write in 1-2 paragraphs all the details about how its
marketing approach is being used using a separate sheet of paper.
Assessment

Multiple Choice. Choose the letter of the best answer. Write the chosen letter on a
separate sheet of paper.
1. This marketing approach mainly focuses customer retention and relationship.
a. Customer Relationship Orientation
b. Production Orientation
c. Marketing Orientation
d. Societal Marketing Orientation

2. It is a marketing approach that evolved during the industrial revolution during


the middle of the 19 th century until the turn of 20th century. Its concept is to
produce as much as possible at lowest possible cost.
a. Customer Relationship Orientation
b. Production Orientation
c. Sales Orientation
d. Societal Marketing Orientation

3. A marketing approach where companies employ aggressive selling tactics for


people to purchase their products. Its focus is to sell.
a. Sales Orientation
b. Customer Relationship Orientation
c. Marketing Orientation
d. Societal Marketing Orientation

4. It is a marketing approach that realizes the importance of understanding


the needs of the market
a. Sales Orientation
b. Production Orientation
c. Marketing Orientation
d. Societal Marketing Orientation

5. A marketing approach which addresses the well-being of society. Its examples


are companies that adheres with laws of environmental protection and
sustainable development.
a. Sales Orientation
b. Production Orientation
c. Marketing Orientation
d. Societal Marketing Orientation
Additional Activities

Note:
Teachers may add related supplementary activities that are related with the topic.
Instructions:

Using 1-2 paragraphs, write the important things you have learned from Lesson 1.
Use a separate paper for your answers (10 points)
References
Claessens, M. (2018). Evolution of Marketing Theory – From Production to
Marketing Orientation. https://marketing-insider.eu/evolution-of-marketing-
theory/

CNN Philippines (2019). Quezon City bans single-use plastics, disposable materials
in hotels, restaurants. Retrieved from
https://cnnphilippines.com/news/2019/12/1/quezon-city-plastic-waste-joy-
belmonte.html?fbclid=IwAR0xo734Y2l0IKxWn5ukZtDzi8uF65z10RzFz8PUUZ9
YlMtOHNbAHSxfEFY#:~:text=Ordinance%20No.,customers%20dining%20in%
20their%20establishments.

DIWA Senior High School Series: Principles of Marketing Module (2017). Principles
of Marketing. Diwa Learning Systems, Inc.

Hive Studio (2018). The 5 Evolution Eras of Marketing. Retrieved from


https://hivestudio.net/the-5-evolution-eras-of-marketing/

Maddox, K. (2008). American Marketing Association releases new definition of


Marketing. Retrieved from https://adage.com/article/btob/american-
marketing-association-releases-definition-marketing/270184

Merriam Webster (n.d.). Societal. Retrieved from https://www.merriam-


webster.com/dictionary/societal?src=search-dict-hed

Salvador, M. & Fua-Geronimo, E. (2009). Principles of Marketing. Allen Adrian


Books Inc.
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