THE PRODUCTION CONCEPT: The production concept is one of the oldest concepts guiding sellers. The production concepts holds that consumers will favour those products that are widely available and low in cost. Managers of Production-oriented organizations concentrate on achieving high production efficiency and wide distribution coverage . The assumption that consumers are primarily interested in product availaility and low price holds in at least two types of situations. The first is where the demand for a product exceeds supply, as in many Third World countries. Here consumers are more intersted in obtaining the product than in its fine points. The suppliers will concentrate on finding ways to increase production. The second situation is where the product's cost is high and has to be brought down through
THE PRODUCT CONCEPT: The product concept holds that consumers will favour those products that offer the most quality, performance, or innovative features.
Managers in these product-oriented organizations focus their energy on making superior products and improving them over time.These managers assume that buyers admire well-made products and can appraise product quality and performance. These managers are caught up in a love affair with their product.Product-oriented companies often design their products with little or no customer input.
The product concept leads to "Marketing myopia" a focus on the product rather than on the customer's need.
THE SELLEING CONCEPT: The selleing concept or sales concept is another common approach many firms take to the market. The selling concept holds that consumers ,if left alone, will ordinarily not buy enough of the organizations products . The organization must there fore undertake an aggressive selling and promotional effort.
The concept assumes that consumers typically show buying resistance or inertia and have to be coaxed into buying , and that the company should have a whole battery of effective selling and promotion tools to stimulate more buying. The selling concept is practiced most aggressively with "unsought goods ," those goods that buyers normally do not think of buying things such as insurance, encyclopedias, and funeral plots. These industries have perfected various sales techniques to locate prospects and hard-sell them on the product benefits.
Most firms practise the selling concept when they have overcapacity . Their aim is to sell what they make rather than what the market wants.Therefore , people are surprised when they are told that the most important part of marketing is not selleing . selleing is only the tip of the marketing iceberg.