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Food-Service-Manual-for-Health-Care-Institutions

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Chapter 3<br />

Marketing<br />

In the past, health care providers managed operations with little concern <strong>for</strong> environmental<br />

pressures and changes in the marketplace. However, given that health care technology has<br />

expanded and that the percentage of the gross national product spent on health care has<br />

increased, the health care system now must change its approach to be more consistent with<br />

other sectors. It is no longer immune to the complexities and uncertainties of its environment.<br />

A number of uncontrollable pressures within the health care environment (discussed in<br />

Chapter 1) make health care delivery today increasingly more turbulent and stressful. These<br />

pressures have <strong>for</strong>ced providers to learn and implement new skills to make their operations more<br />

cost-effective while maintaining quality standards. Primary among these responses has been the<br />

implementation of marketing, which has long been used in other consumer-oriented fields.<br />

Marketing is often confused with sales, advertising, and public relations. In fact, these<br />

activities are part of marketing. To produce targeted results, not only must marketing become<br />

a way of doing business in the health care operation, it must become a function of management.<br />

In the health care context, marketing is oriented to consumers, as opposed to sales or a<br />

product.<br />

To apply to the health care field, marketing is defined as a tool that strives to meet the<br />

needs, wants, and demands of the customers to obtain products and service of quality and<br />

value. The American Marketing Association defines marketing as “the per<strong>for</strong>mance of business<br />

activities that direct the flow of goods and service from the producer to the customer.” Because<br />

many different health care options currently exist and because changes in health care delivery<br />

will continue, providers must design services with the opinions and perceptions of their customers<br />

in mind. There<strong>for</strong>e, health care nutrition and food service departments are becoming<br />

increasingly—and more overtly—important in facilities’ overall marketing strategies.<br />

This chapter introduces key marketing concepts, including services management, the difference<br />

between goods and services, types of markets, market and basis <strong>for</strong> segmentation, target<br />

markets, marketing mix, and advertising and promotion. These concepts then will be applied to<br />

devising a cyclical, five-phase marketing management model based on the following elements:<br />

• In<strong>for</strong>mation: maintaining records; collecting, analyzing, and interpreting data<br />

• Planning: operational and strategic planning, the planning process, documentation and<br />

components of the marketing plan<br />

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