Marketing Evolution

It is widely believed that marketing has advanced through five phases of evolution: the simple trade era, the production era, the sales era, the marketing department era and the marketing company era. However, there has been an emergence of two more eras: the relationship marketing era and social marketing era.
The simple trade era was characterized by hand-made or hand-harvested commodities, which supply was rather limited. Any available surplus was duly sold. Commodities, at that time, ruled the day with exploration, exploitation and resource trade as the major economic activities.
This was followed by the production era which occurred mainly during the industrial revolution. It involved producing as many goods as possible at the least possible cost. It was believed that inexpensive products in ample supply would attract consumers the most. Products would be made available in the most possible outlets. This strategy is still adopted by some firms in new developing markets with low costs of labor.
The production era paved way to the third stage of marketing evolution, the sales era. This is where we meet the pushy salespeople, intrusive telemarketer and objectionable advertising to lure consumers to buy products. Companies had to work hard to sell what they had produced. They aimed at increasing profits from sales volumes to beat competition. This strategy is still employed when the goods produced are more than the market demand.
Next, there was the marketing department era which emerged to take care of the previous sales orientation which was failing. Advertising, sales, promotion, public relations, etc. were brought together under the marketing department to enhance control and coordination. This stage of marketing evolution represents a period of great awakening for businesses.
The marketing company era followed soon after. This was geared towards discovering and responding to the needs of consumers which was why businesses existed. Marketing was no longer a single department's concern. The whole organization's goal was centered on marketing and long run customer satisfaction, directly or indirectly. The classical theory takes this as the final stage of marketing evolution which is still in play.
However, we also have the relationship marketing era. This seeks to build a lasting relationship with the customer that is mutually beneficial. Lifetime customer value and customer loyalty were highly valued with trust as a vital principle in building the relationship. Customer relationship management (CRM) and data-mining became catchwords in marketing. This era still plays a vital role in today's businesses.
Not long ago, there was a paradigm shift from the relationship marketing era to the social/mobile marketing era. This concentrates on relationships fostered by the consumers that enhance real-time connections and social exchanges.
Businesses are always connected to their customers with communication and exchange of information as crucial determinants of success. Trust and a positive image count immensely, as well.