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Leslie Sanchez
Mr. Taylor
College Composition II-106
22 February 2013
Marketing Evolution: A Key to Business Success
In the 1800s, customers were provided with newspaper advertisements filled with mobs
of words. There seemed to be no effort in trying to understand a customer’s needs, but rather the
attempt was to convey a company’s or product’s information in a convenient matter in order to
gain a profit. During that time, it might have been what worked, but would it work today or even
fifty years ago? Certainly not; the world has changed and along with it, so have business
activities, including marketing. In today’s world, few would be interested in searching through
ant-sized words for the latest trends or food promotions nor might they be able to even focus for
enough time if they did decide to take on the challenge. This form of advertising, then, would be
unfavorable for companies to attract customers in this day and age. Consequently, because
advertising is a major part of marketing, old advertising techniques would be very out of place as
well. Throughout the years, marketing has changed and it is not what it used to be because of
various factors, but innovative marketing techniques can be the key to a company’s success.
Marketing is the development, promotion, and distribution of products with a goal in
mind to satisfy customers’ wants and needs through both goods and services. To implement the
marketing concept, companies must apply the four Ps: price, product, place, and promotion. In
order to apply the marketing concept, marketers and companies must be able to understand their
consumers, but the change in their mentality has contributed to the change in marketing. To
attract the new mentality of consumers, greater attention needs to be drawn to the psychology
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behind marketing. Basing off of Wolf and Snyder’s “Traffic Cop” of human behavior, values
derived from personal life experiences, generational experiences, and personal life situations,
along with corresponding attitudes aid in decision making. Wolf and Snyder add that those
values “act like switches—they are on, off, or in neutral. Marketers want to flip these switches
from off to on or from neutral to on” (149-150). When applying the marketing concept,
marketers take these ingredients into consideration in the attempt to match their values to the
consumers’ values as much as possible. However, these switches might just turn off if there is a
lack of innovative marketing techniques.
Because the mentality of consumers has changed throughout the years, marketers and
their techniques have needed to and will continue to need adaptation to the new marketing
environment. The psychology of marketing also applies to age generations and there are four
major age ones that marketers use as target markets: The Baby Boom Generation, Generation X,
Generation Y, and, the most recent one, Generation Z, . The Baby Boomers consist of those born
between 1946 and 1964 and are currently the largest age group of consumers and of the
population as a whole (Green). According to Wolfe and Snyder, “In 1989, adults 40 and older
became the adult majority for the first time in history” (9). In prior years, marketing seemed to
be aimed towards a younger audience; however, that younger audience no longer exists as a
majority. Perhaps the reason some experts say marketing has weakened over the years is because
marketers have not realized the new, older guests that have appeared in today’s market. Their
marketing techniques have not adapted in order to meet the new majority’s expectations. Along
with the new majority, new values, attitudes, and ideas have appeared, being the reason for a
need of new and unique marketing techniques that will attain their attention.
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For over a century, marketing has been through a major transformation. Creative
marketing techniques were rare, if not nonexistent, before the early 1900s. During that time
period, the marketing concept had a product orientation; that is, it was limited to taking orders
and distributing finished goods. According to Tadajewski, “sales volume was equated with
business success and the task of marketing was to sell those items the factory could produce.
Instead of positioning customers as central to all organisational activities, the main focus of a
sales oriented firm was fixated on selling their products and the customers were not the starting
point for, say, new product development” (194). The marketing concept later took a turn to a
sales orientation where advertising started to make a presence and companies began to include
personal selling. Shortly after the end of World War II, many Americans had access to
televisions, giving way to a whole new method of reaching consumers through innovation, which
is what the American Dream sought after during that time. Thus, the appearance of advertising
as well as that of marketing became more common. In 1950, Neil H. Borden proposed the
marketing mix and marketing began to have more of a customer orientation (Sullivan 22).
Marketers now started to first determine what consumers needed or wanted before developing
goods and services to satisfy them. When marketers and companies discovered that consumers
could be understood by marketing through the use of demographics, they realized it would be the
key to more efficient marketing during the last half of the 20th century (Wolfe and Snyder 154).
Before this, companies almost entirely focused on making a profit rather than on the importance
of combining good customer relationships to achieve their and consumers’ goals. Around the
same time, the concept of mass marketing was introduced. In the attempt to gain a larger profit,
marketers used their techniques to attract consumers as a whole, ignoring marketing differences
and leaving out specific target markets, focusing instead on broad target markets. With the
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drastic change in society’s values and attitudes, mass marketing would not be efficient in today’s
world because “the term mass market is founded on an outdated theory of wealth distribution”
(Nunes and Johnson x). In fact, according to Wolfe and Snyder, Don Peppers and Martha Rogers
declared the mass marketing technique to be dead by 1995 (53). Thus, even 18 years ago
marketers started to realize that they needed new marketing techniques for the upcoming century.
Before this declaration, a significant change took place in the marketing environment during the
1980s, which might have led to the death of mass marketing; the relationship with customers
began to develop a greater importance as an ingredient in marketing techniques. Now focusing
deeper on individualism of consumers through a strong relationship, companies and marketers
could better understand their consumers’ wants and needs, enabling them to develop more
enhanced and efficient techniques. In the 1980s, the American Marketing Association, AMA,
defined this relationship marketing as “marketing with the conscious aim to develop and manage
long-term and trusting relationships with customers, distributors, suppliers, or other parties in the
marketing environment ” (Sullivan 24). Marketers decided that having a relationship with their
customers, such as through conversations over the phone or in personal selling, was the way to
separate from the no longer efficient mass marketing. Yet, society’s views have continued to
change and into the current decade, solely relying on relationship marketing may not be enough
to provide quality marketing techniques.
The innovation in technology has also contributed to the need for new marketing
techniques. Consumers demand more creative ways for their attention to be grasped, and with
technology being a big part of their life, incorporating technology into marketing is
advantageous. “A 1995 study by Information Resources, Inc. , found that 70 to 80 percent of new
product introductions fail, with each failure resulting in a net loss of up to $25 million” (Wolfe
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and Snyder 4). Through the promotion aspect of marketing, companies communicate their
innovations in goods or services, so marketing is very important and essential in the follow up of
innovation. Without proper marketing techniques in the promotion of companies’ products,
products are likely to fail. Furthermore, “prior research has identified the integration of
marketing with research and development, or R&D, as a key success factor for new product
development. [Marketing provides] activities that proved relevant information for the entire NPD
process” (Ernst, Hoyer, and Rubsaamen 80-81). Marketing techniques are not only needed to
promote new products, but also for R&D where researchers apply consumer data regarding needs
and wants to develop the best products possible. Currently, innovation is a trend and considering
that marketing is very important in this area, techniques need to be more innovative for
customers. With the availability of mobile television, Nooks, YouTube, and other online or
electronic services, newspaper and television ads are no longer a strong marketing tool. Wolf
and Snyder believe that “the fact that Starbucks, New Balance, and other brands…..became
super brands without advertising on television suggests that the tube is no longer the highpowered marketing tool it once was” ( 4). Consumers are now turning to the internet for their
activities and marketing techniques need to follow their footsteps in order to continue to grasp
their attention. Marketing activities could now be turning to more creative ways by using social
media and online services. The usage of Twitter, Facebook, and other social networks has taken
a significant increase during the last few years, to the point where many businesses feel that it is
beneficial and perhaps vital to join the trend as a way to attract a wider range of consumers. To
attract them, marketers and businesses can utilize such or similar technological tools that have a
greater focus on individuals, rather than remaining with a devotion to old and inefficient
marketing techniques.
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Various government regulations have also been a factor in the need for more innovative
marketing techniques. For example, fat content information was once prohibited by the NLEA
for marketers; today, such information is required (Pappalardo 741). In addition to having to
include honest information in advertising, required fat content information now prohibits
marketers from impressing customers through possible prior lies or lack of information. This has
resulted in the need for companies to more closely analyze their marketing techniques to avoid
accidental mistakes that could interfere with NLEA requirements. In 1915, Congress created the
FTC in order to regulate business (Beatty, Samuelson, and Bredeson 977). A section of this
Federal Trade Commission act states, “It shall be unlawful for any person, partnership, or
corporation to disseminate, or cause to be disseminated, any false advertisements” (Sec.12).
Through marketing techniques, businesses try to impress customers, but if deceiving techniques
were used prior to the regulation, it is no longer possible. Due to the FTC, Companies had to
develop new, yet honest, techniques in order to create the same pleasant impression of their
service or products. A mention of a case in Business Law and the Legal Environment details that
Nestlé faced trouble with the FTC when selling a drink called Boost Kid Essentials, which
claimed to have probiotics. However, the company did not stop in its tracks in trying to impress
kids and their parents; they also claimed that Boost would prevent children from getting sick and,
consequently, from missing school. The problem was that Nestle had no evidence for their
product’s claims (Beatty, Samuelson, and Bredeson 978). Their unsuccessful marketing
technique exemplifies the difficulty that government regulations have triggered. Their technique
attempted to provide needs and wants by developing an appealing impression to their customers,
but their fictitious technique interfered with FTC regulations. In order to recreate an impression
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and gain back customers, Nestle probably had to develop new marketing techniques, which is a
key to the retention of consumers, not only for Nestle but for every business.
Telemarketing regulations have also been a major disadvantage for traditional marketing
techniques. With traditional marketing tools like television and print ads, telemarketing, at its
time, was an innovative technique for marketers, but government regulations have affected its
efficiency. According the U.S. Small Business Administration, “Telemarketing is regulated at
the federal level by two statutes: the Telephone Consumer Protection Act of 1991 (TCPA) and
the Telemarketing Sales Rule (TSR)...the Federal Trade Commission FTC is responsible for
enforcing the TSR” (“Telemarketing Laws”). The TCPA requires marketers to limit their calls
between 8 A.M and 9 P.M and maintain a “do not call list”. In addition, they must honor
subjects’ requests to not be called again (“Telephone Consumer Protection Act”). These
limitations have resulted in marketers having to drop the telemarketing technique. With the
regulations, not very many subjects will be available to market to in this way because many will
be on the “do not call list”. Many have caller ID so they can avoid such calls and some may not
even have a home phone at all due to the availability of cell phones. Thus, with telemarketing
left as an inefficient and almost rare technique, marketers have had to develop new ways of
inducing a relationship with their customers by finding a substitute to this marketing technique of
the past.
A local candy company has throughout the years taken notice of the factors that have led
to the changes in marketing techniques. The Palmer Candy Company began in 1878 when a fire
destroyed the home of Edward Palmer in St. Joseph, Missouri. Instead of rebuilding, Palmer
decided to relocate in Sioux City, Iowa, where he bought and developed a wholesale grocery
(Candy Industry).Their main business came from delivering candy and fruit by fleet of horse
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drawn wagons and at that time only sold candy on the side. Shortly after the start of the next
century, however, they began a full candy business and the factory was divided into pieces, one
for the fruit and other produce and one for the candy. After closing the fruit company in 1969
(Palmer Candy), it presently focuses on a variety of candy products, including peanut clusters,
chocolate-covered raisons, swirled pretzels, and, their most famous, Bing candy bars.
In a personal interview with Martin Palmer, current and fifth generation owner of the
business, he discusses how their marketing has changed throughout the years. He tells how the
company accustomed to utilizing a piece of skinned calf skin leather with “Palmer Candy
Chocolates” stamped and branded on it as a marketing technique. Martin continues, “Now we are
using social media, including Facebook. We do a lot of internet sells. We go to national trade
shows.” Although the calf skin method of marketing might sound like an attractive technique, the
company has realized that new ones need to be developed because their consumers have
changed. However, the company does not just settle with traditional methods of marketing or
even through social media; the company has developed unique marketing techniques. Martin
says, “Our best marketing tool is if we can get them to come tour because if they come look at
what we do here, not just equipment or the size of the building, but to meet our people. They
always talk about it, they walk away and go, ‘Wow, we never get to talk to people making our
products.” This is one of their best marketing techniques apart from other traditional ones, which
include testimonials, advertisements, or simply “outliving their competitors”. Another excellent
technique uses the distribution part of the marketing mix by staying mostly local. Marty says he
knows he is not as big as Hershey’s or Mars, but that he wouldn’t want to compete head to head
with them. Instead, he has developed a strategy to become a top selling business in the local
region, called a market niche. Martin adds, “With little market niches, a very effective business
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strategy for a smaller company is to be the dominant player in a small niche. Our strategy for the
future is to continue to identify small market niches that the big guys don’t care about because it
is too small of a market for them but it’s perfect for our company and then become the player or
one of the dominant players in that niche.” Palmer Candy is a successful business, being famous
for their Bing and Twin Bing bars, but although, due to their quality, they could have the
capacity to become known to a wider range of the country’s population, their secret to success
has actually been the marketing plan to stay local and succeed in their market niche. Palmer
candy also realizes the importance that marketing plays in new product development. Martin
states that they are researching and developing new stuff, but do not have a R&D department, so
most of their innovation comes either from customer requesting things or the team members who
“cook up weird things”. As mentioned, marketing is a vital part of the NPD stage as well as for
the innovation demand from consumers that has been present throughout the years. Palmer
Candy no longer uses the old marketing techniques which most likely included mass marketing.
Instead, they have applied the marketing concept and take consideration of their consumers’
requests in order to satisfy their needs and wants when developing new products. When asked if
marketing and product development have become more vital over\ the years, Martin responded:
When I first started it was more a question of whatever capacity I had to make
stuff people would buy. If I could make peanut clusters I just made them and we
would find customers that would buy them. That is not the case anymore; we have
to make what they want…it’s not just enough to make what you think is good,
you have to do the market research to find out what the customer really wants
then produce it to fit their specks and at their price and taste. It’s a lot harder than
it used to be. It used to be very straight forward; you made it, they bought it, end
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of story. The world is a lot tougher, that’s why there are only 30 of us left from
300 that started out. They didn’t figure it out.
The Palmer Candy Company did figure it out and their product and marketing
innovations and the associated product quality have made them a successful local business for
135 years. With a respect to demands for innovation from Siouxland customers and with a desire
to build quality relationships with them and those from other areas, Palmer Candy has developed
new techniques that go beyond the use of even social media. Clearly, their efficient marketing
mentality has played a very significant role in their Bing bar success.
Consumers are year by year challenging marketers and businesses to develop innovative
techniques to grab their attention in order to stay as loyal customers. Many factors have
contributed to this demand for innovation, not only in products but in marketing techniques as
well. Consumers’ values and attitudes towards life have evolved. Technology has also evolved to
the point where it is found in almost every aspect of a consumer’s daily life. Therefore, in order
for marketing to be efficient, it must “follow the leader”, their consumers. This means that
marketing techniques must not rely on the old mass marketing concept, product and sales
orientation, and even the traditional and once beloved print and television ads. New and
interactive marketing techniques are the key to the retention of consumers. The Palmer Candy
Company has applied the new mentality in order to develop new and more engaging marketing
techniques, taking in consideration the importance of understanding their consumers in order to
develop their products and it is what has been a major part of their current striking success. Life
is not what is used to be one or two hundred years ago; therefore, marketing will need to be in
sync with the change in lifestyle and consumer mentality so that businesses have ongoing
success in the ever-changing business environment.
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