Product Orientation vs. Market Orientation

Overview

There are two marketing strategies discussed in this article.  Product Orientation and Market Orientation.  These two marketing strategies impact the company directly because the organization is built around the support of one of these two strategies to optimize operations successfully.

Product Orientation

When marketing a product using product orientation the emphasis is placed upon the product itself and how it is differentiated from competing products.  Therefore, a company oriented in such a manner places it resources in such a way as to ensure its expertise, information and systems are focused accordingly.  That is, in supporting the success of the product by whatever measures are appropriate.  This could mean fast delivery, rapid warranty action, continuous development of periodic improvements, and easy access to instructional information.  We can expect to see company investments in developing its product, testing to ensure product performance and enrichment, and the centering of its efforts to ensure the product performs throughout its designed lifecycle.

Marketing Orientation

When marketing a product using a market orientation the emphasis is placed on an appealing attribute in the market.  When a company is so oriented, its expertise, information and systems are built to ensure that all customers (seen as its market) is satisfied.  This could mean a company being a low price provider, having fast product preparation, ensuring ease of product use or consumption, providing high availability and easy access.  We can expect to see the company investing in researching market demand, and conducting thorough market testing and changing consumer trends while also preparing for complete customer support and interaction.

Table 1, Product Orientation vs. Market Orientation^

Transfer of Marketing Strategies

We can also expect the passing of time to change a company’s focus and move from one marketing orientation to another.  For instance, a fast food restaurant can start up on a product orientation then find it necessary to transform its strategy to a market orientation as the brand develops into a sustainable restaurant chain.  All of a sudden the number of variables to its success grow exponentially causing the company to scan a broader business landscape and horizon.  This is the desirable result of growth and management needs to keep open and flexible during this time of transition.

Insightfully yours,

Robert Majdak Sr, Co-Founder

Crystal Majdak, Co-Founder

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References

Kottler & Keller. (2011) Product Orientation vs. Market Orientation (Powerpoint). Pearson Education. Prentice Hall