Text 18 How Marketing Works

1. Planning

That new product you saw in the shop today. Did you realize it was planned, meticulously and deliberately, months, probably years ago? Every single aspect of it. Marketing executives in the manufacturing company are at the center of this planning. They co-ordinate the team of specialists whose judgment will affect the success of the operation: production managers, accountants, statisticians, packaging designers, publicity experts and so on. Backing all this is …

2. Market research

Risk is inevitable in industry. The whole enterprise turns on how well the company is able to gauge what you - the public - are going to want in the future. Big sums of money are to be invested in the product; research is vital to reduce the guess work in this to a minimum. Research executives of many kinds must test the product itself (its taste, price, colour, fitness for purpose – the lot!); they also test the ways in which its advantages can be best communicated to its future uses.

3. Advertising agency creative work

While new products are being developed, the company’s advertising agency is kept closely involved. Once the go ahead has been given, the agency’s team of specialists (copywriters, artists, film producers, media planners, etc.) headed by the account executive, prepares recommendations covering the various parts of the advertising plan. This will be coordinated and submitted to the manufacturer’s marketing manager.

4. Public launch

The research stages have been completed, the advertising produced, the sales promotion schemes arranged; the agency has made its bookings with media executives in newspapers, television and so on. Now, for the first time, it reaches you – through advertising. The initial “idea” has been turned into a product. Here comes the real test: will you, the customer, respond to the advertising and buy enough of the product to earn the company a profit and justify the company’s risk and investment?

5. Selling and distribution

The manufacturer’s managing director cannot retire to the country. He cannot wave a magic wand over you and make you go on buying his product, however good it is. His sales force must go on persuading and reminding multiple store buyers and round-the-corner-shopkeepers to buy, stock, display and sell it to you. His distribution manager must ensure that goods are always available, so that you – the customer – can buy what you want and when you want it.

From: E. McGregor. Advertising.

Preparing the Text

A. Studying the language

1. “meticulously” (1), “affect” (1), “the lot” (2): find suitable substitutes.

2. “go ahead” (3): explain in English.

3. What is a “multiple store”? (5)

4. Explain the following terms:

a) marketing executive, research executive, account executive, media executive;

b) marketing manager, production manager, distribution manager;

c) managing director;

d) accountant;

e) packaging designer.

B. Studying the text: questions and stimuli

Try to characterize the marketing process in the form of a systematic diagram:

- the different stages;

- people involved and their function;

1. What is the first stage in the marketing process? What is the function of marketing executives, production managers etc.?

2. What is the second step? What do the different experts want to try to find out next?

3. Discuss the term “market research”. What are the methods employed? Make a list of questions that might be asked in such an interview.

4. What is the third step? What is meant by “sales promotion schemes” and “advertising campaign”?

5. What is the last step?

C. Points for comments and discussion

1. Discuss the role of “market research” in modern economy.

Suggestion:

• Why is market research so important in the marketing process? (to lower the risk, to avoid losing money, etc.)

• Could we do without it?

• Why was not it needed in the 19^th century? (people’s needs simple and obvious; today more sophisticated)

• What are the problems in connection with market research? Is it really so easy to find out what people really want?

2. Comment on: “They also test the ways in which its advantages can best be communicated to its future users” (15).

Suggestion:

• Explain the sentence. (they, its)

• Is that the whole story (the only purpose of advertising)?