Market Orientation
Candlefocus EditorAt its core, market orientation is about leveraging and adapting to a constantly shifting consumer base. Rather than looking inward to set product goals, businesses that embrace market orientation look to the customers to gauge what should be produced. This differs from the traditional “make and sell” approach where a company would design and manufacture a product before attempting to find customers.
When integrated successfully, market orientation can immensely benefit a business’s bottom line. Being able to better understand the needs and expectations of customers and act on those insights to provide relevant offerings is key. Research done by the Journal of Consumer Psychology has determined that consumers are willing to pay a higher price for a company’s product if they feel that the company has accurately assessed their values and given them an experience tailored to those values.
Moreover, market orientation can be used to gain insight into long-term opportunities and potential untapped markets. Some of today’s biggest companies have achieved tremendous success by using forward-thinking market orientation techniques to anticipate the interests of the changing customer base. This process involves analyzing the current trends, predicting future ones, and striving to understand what are sometimes unarticulated needs of consumers.
These companies have gained success by closely listening to their customers and having the flexibility to tweak their offerings as customer preferences develop. Market orientation is no longer just a differentiator. It’s a game changer. Businesses that embrace market orientation principles have a leg up over those that don’t. The key is to approach the principles as more than just a concept, but as a cultural imperative. Doing so allows businesses to stay ahead of the curve, understand the needs of their customers, and develop products that consumers want before they even know they want them.