Evolution of Marketing Models Essays
Marketing is one of the vital functions of any organisation. The marketing efforts enables the firm’s products to be visible and desired by customers. Marketing decisions can be made based on certain predefined theories and models, that enable a marketer to make an educated decision (Van Bruggen and Wierenga 2000).
The term ‘marketing model’ refers to any diagrammatic, mathematical or tabular representation of information that can provide insights to the user in a logical manner (Lazer 1962). Marketers have been using various marketing models since the end of World War II. Since then, the models have changed drastically to adapt to the business environment (Leeflang and Wittink 2000). Some of these are: brand equity …show more content…
The second era sees the rise of models that are specific to marketing problems and situations. These models are larger and more complex and lacked simplicity, which make them harder to use. Models are developed to cater to specific marketing situations and as such the number of models in use increased. Even though these models claimed superiority over the previous era, Leeflang (1974 cited in Leeflang and Wittink 2000) argues that the models lacked a reality element.
The third era focuses on the realism as well as the usability of models to implement them to the marketing problems. Little (2004) describes various reasons why models are not used by managers. He states that quality models are not found easily as they might be incomplete. Managers may not completely understand them and as such will not implement them in the decision making process. Little (2004) suggests that models need to satisfy certain criteria to be considered in the decision making process. In model structure, the model must be complete, simple and robust while not obtaining substandard answers. The model must also be easy to use as well as have an implementation strategy. He suggest the use of various smaller models to make the