CHAPTER I

INTRODUCTION

IntroductionNeed and Significance of the StudyStatement of the ProblemOperational Definition of Key TermsObjectivesHypothesesScope and Limitation of the StudyOrganisation of the Report

It is not the biggest, the brightest, or the best that will survive, but those who

adopt the quickest – (Darwin, 1964)1.

The meteoric rise of information as the most sought after economic

commodity has metamorphosed the information sector by the fag end of the

twentieth century. As a result, information processing has become a major

societal activity, and recognition of information as a key resource for the

economic, socio-cultural and political development of a nation is gaining

increasing acceptance. Falling in line with the trend business organisations,

governments and individuals of present era are collecting and storing more and

more data than any previous generations in the history.

As much as eighty percent of a typical executive’s time is spent in the

processing and communication of information. More than fifty percent of the

United States work force is employed in jobs that involve some form of

information processing. A large proportion of these employees is “Knowledge

Workers”; their duties involve the production and use of information outputs –

documents, reports, analyses, plans, etc. (Davis and Olson, 2002)2. The

statement of Davis and Olson, well known figures in the field of Management

Information Systems, clearly substantiates the increasing importance that the

modern society is attributing to information based products and services.

With the newfound prominence, information is elevated to the position of

a tradable commodity just like the conventional goods and services resulting the

emergence of a new market called information market. The unlimited freedom

and potential offered by the free market economy is attracting the attention of

the private investors to the information market as never before.

Information is almost like a new product. Therefore, unless and until it is

marketed efficiently and effectively the flow or use of information will be almost

minimal. Information marketing is very essential because, though information is

inevitable for solving day-to-day problems, there is no information need

perception on the part of the information needy (Mohan, Shrinivas and

Sashikala, 1996)3.

Till recently libraries enjoyed unquestionable monopoly as information

handling agencies. They never competed against each other or faced

competition from outside agencies. The performance of these organisations

largely remained unmeasured and nobody has raised serious doubts regarding

the relevance of these agencies to the society. Being public utilities, the

authorities have given a free hand in their administration and management for

long.

The globalisation and liberalisation effects are rapidly changing this

scenario altogether. Librarians are asked to downsise, economise and

streamline, while they are simultaneously expected to provide the fastest, latest

and most expensive hardware and software so as to make the information market

place accessible (Mercado, 1998)4. Government and social sponsors have been

propagating that social institutions, be hospitals, educational institutions or

libraries, have to become self-sufficient. Such organisations are advised to work

and purposefully demonstrate their relevance and competence to their clients.

Shrinking financial assistance from the government causes major worry

for the library managers. The financial position of the majority of the

universities in India is far from satisfactory. There are universities which do not

have enough money to pay salaries, leave alone meeting other expenses on

maintenance of buildings, classroom facilities, laboratories, libraries, hostels….

Most of the universities are working on deficit budgets and their revenue from

different sources is hardly sufficient to meet the growing demands. The total

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dependence of the universities on the state funding has become a problem, as

most state governments themselves are bankrupt. They are not in a position to

meet the growing cost of higher education (Sreevastava, 1999)5. While the

financial support is coming down at a fast pace, the rate of obsolescence of

reading materials and user demand for micro and nascent information are on the

rise. To compound the problems, there is always pressure to start new

technology assisted information services to be competitive in the information

market.

Modern libraries and information centres annually spend huge sum either

to start new services or to maintain the existing one. But the million-dollar

question is whether the user community is utilising the resources at the disposal

of these libraries and information centres to the optimum level? Generally there

is a conviction that quality attracts attention automatically. But the studies

reveal that it is a wrong notion. Chang and Hsieh (1996)6 reported that despite

the healthy state of public libraries in Taiwan over the past forty years, less than

ten percent of the population has registered as library users. It shows the need to

promote the library as well as its services among the user community.

The impact of Internet has created a demand for libraries to realign their

position in the market place. In the study conducted by Clarke (2001)7 it was

found that advent of free patent information on Internet was adversely affecting

the activities of Patent Information Libraries. Many libraries were experiencing a

loss of users and decrease in demand for patent copies. With the variety of

information and speed in communication it was making fast inroads into the

market share, which have been traditionally enjoyed by the libraries.

Libraries have much benefited from a strong market place identity and

minimum competition. The rapid emergence of World Wide Web based

information resources in combination with high quality Internet commerce, have

caused a genuine challenge to libraries’ traditional distinction in satisfying user

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needs. Premium commercial brands face the same challenge in today’s

information technology intensive information market. Libraries can learn from

brand management strategies developed in response to changing customer needs

and expectation (Wolpert, 1999)8.

In recent years libraries of all types have found it necessary to compete

for both money and clients. Economic policy makers of the present day are no

longer ready to tolerate inefficiency. Their modern mantra, “perform or perish”,

is pretty clear and straight. Pressure for accountability and emergence of

enterprise culture have led the library and information professionals to take

aggressive actions for financial self-sufficiency. This has led to ‘user pay for

his/her needs’ principle and profit making by library and information

organisations (Shah, 1998)9.

Institutional excellence will now have to be achieved through competition

that too at world wide, rather than through rules, regulations and control. It is a

clear warning to all organisations thriving on the public exchequer that

tomorrow will not be bright at all until and unless they reorient them selves

according to the changing environment.

The emergence of distance and online education has opened up a new era

for libraries all over the world. Driven by economics and enabled by

innovations in educational technology, this new market presents unlimited

opportunities especially for academic libraries. Wolpert (1998)10 argues that

libraries should provide support to distance education as a new business

opportunity, utilising market evaluation and analysis. Close alignment with

faculty and administrators, together with meaningful performance measures can

position academic libraries to provide appropriate educational support while

improving awareness of the importance of libraries as a competitive advantage

in distance education.

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As a consequence of the radical changes that have taken place in the last

decade due to information revolution, globalisation, marketisation and

privatisation librarians and information managers of today are facing four-

pronged challenges. They are:

♦ Increase in the clientele, their variety, their demand and expectation,

♦ Increase in the initial or capital cost of information and information

technology, the need to leverage the technology, and find new levels of

economies of scale to serve the increasing potential clientele,

♦ Drying up of the public sponsorship, subsidy, and need to find alternative

source of revenue,

♦ Complexity in ways of identifying the clients and their requirements, and

serving them (Rao, 1999)11.

The conventional approach to the management of the libraries can no

longer be effective in the rapidly changing information environment. It is high

time for them to shed many old convictions and assume new ways to doing

things. The traditional concept of library being a service rendering agency and

librarian as a custodian of documents needs to be altered. Instead, modern

libraries have to assume the role of a dynamic competitor in the information

market and librarians should be true professionals capable of leading the

libraries through the corridor of uncertainty. Because of all of these existing

challenges and intensifying changes, it is not surprising that at least a handful of

libraries have turned to “tried and true” business models for improved planning

and development, and that they are employing marketing plans as one method

for moving forward (Kassel, 1999)12.

Librarians and information managers, therefore, need to redefine the

philosophy of library management and have to incorporate modern management

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techniques to strive and thrive in the highly competitive and strategically

important information market. They need to shed their static image and make

themselves indispensable to their organisation. Application of marketing

techniques to the management of libraries and information centres is a positive

step in this direction.

Marketing discipline has developed into an essential business function

since the past forty years. During this period, concepts and insights have been

applied not only for consumer goods and services but also to non-profit

organisation, social development problems and so on (Janakiraman, 1998)13.

Marketing is basically a concept of customer orientation. In other words, it is a

philosophy, which says that, the organisation that creates the genuine consumer

satisfaction usually succeeds in achieving the organisational goals. For long it

has been preached by all, including Mahatma Gandhi, the father of our nation,

that the consumer is king. What this implies is that the products/services are

bought not merely because of their quality, packaging or brand name but

because of their capacity to satisfy a specific need of a customer as well.

Philip Kotler (1985, p. 6)14, the marketing guru, defines marketing as “the

analysis, planning and implementation and control of carefully formulated

programmes designed to bring about voluntary exchanges of values with target

market for the purpose of achieving organisation’s objectives. It relies heavily

on designing the organisation’s offering in terms of the target markets’ needs

and desires, and on using effective pricing, communication, and distribution to

inform, motivate and service the market”.

Marketing is so basic that it cannot be considered a separate function. It

is a whole business seen from the point of view of the customer. The success or

failure of an institution is not determined by the producer but by the consumer.

Hence, marketing is a managerial way to harmonise the needs and wants of the

outside world with the purpose, resources and objectives of the organisation.

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Marketing scholars have long advocated the extension of marketing

concepts in general and marketing orientation in particular to the nonprofit

sector. In doing so they have urged nonprofit managers to overcome their

reluctance with business terminology so that their organisations may benefit

from improved cash flow and the increase in market share is predicted from the

adoption of these business methodologies (Kohli, Jaworski and Ajith Kumar,

1993)15.

The terms such as marketing oriented, customer focused, market driven

and customer centric have become synonymous with proactive organisations

worldwide. Marketing orientation is comparatively a new approach in the

management of marketing activities. The concept got the required momentum

when the Marketing Science Institute organised a conference in Cambridge,

Massachusetts, on the topic “Developing a Marketing Orientation” in the year

1987. Since then the Marketing Science Institute has been the key research

organisation shepherding the growing body of scholarship on marketing

orientation and continues to provide an important source of funding on the topic.

It also has a sound body of experts for generating research ideas relating to

marketing orientation.

Kohli and Jaworsky (1990)16 defines marketing orientation as the

organisation wide generation of market intelligence, or information on

customers’ current and future needs, dissemination of that information across

departments, and organisation wide responsiveness to it. Marketing orientation

has also been described as the implementation of marketing activities designed

to satisfy customer needs better than the competitors’ ability to satisfy the

customer needs (Martin and Grabc, 2003)17.

Marketing orientation consists of a series of actions, directed towards the

organisation and the target market, that would achieve marketing objectives and

improve organisational performance. Organisations that are deemed to be

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marketing-oriented should engage in marketing research, segmentation,

positioning and analysis of consumer needs. The responsiveness of such

organisations to the needs and requirements of consumers will be quick and

positive. In addition they may try to differentiate their service offering in order

to overcome competitors’ action as a means of achieving competitive advantage

(Panayides, 2004)18.

A marketing orientation holds that the main task of the organisation is to

determine the needs and wants of the target market and to satisfy them through

the design, communication, pricing, and delivery of appropriate and

comparatively viable products and services. In short, it refers to the way in

which an organisation implements the marketing concept. Being marketing-

oriented is more than just being customer-oriented. It requires and demands the

full support of the organisation to be fully implemented in the long term and,

indeed, it may need a complete change in an organisation’s culture.

Marketing orientation has four dimensions namely, needs of the

customer, focus on the customer segments, internal and external co-ordination

and profit through satisfied customer. Most organisations understand the need

aspects, but they have traditionally not been conditioned to take care of the other

aspects. In order to make any organisation responsive to its customers, it

should make not only an enquiry regarding the current customer satisfaction but

also undertake research to know unmet consumer needs and preferences and

discover ways to improve the services. It should train the employees to be

customer-minded and would encourage the customers to participate actively in

the affairs of the organisation.

Marketing orientation can act as a performance-enhancing stimulant

provided it is applied in true letter and spirit. This has been continuously

proclaimed both by marketing academicians and marketing managers. Judged

by the attention paid by practitioners and academicians in speeches, textbooks

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and scholarly papers, marketing orientation is the very heart of modern

marketing management.

Marketing is traditionally associated with industry and commerce. Just

like other service rendering organisations, libraries too were slow to integrate

marketing as a managerial function. Only recently they became aware of the

need to market their products and services. “Non-profit institutions that do well

used to think that they don’t need marketing. But, as a famous old saying by a

great nineteenth century Con man has it, ‘it is much easier to sell the Brooklyn

Bridge than to give it away’. No body trusts you if you offer something for free.

You need to market even the most beneficial services” (Drucker, 1993, p. 53)19.

Marketing is really spurred by the presence and increase in competition

that the institutions face in a way that has never faced before. Most of the

organisations do not get interested in marketing when they are comfortable.

Suddenly they find that they do not understand their customers very well and

customers are leaving them. Traditional or systems-centered libraries are

witnessing this phenomenon for the last few years.

The doyen of Indian library science Dr. S R Ranganathan, with his

foresight, might have envisaged such a tricky situation for librarians and

information professionals well ahead of times. He has formulated an ideal

philosophy for this little science to deal with any situation in “Five Laws of

Library Science”. An in-depth analysis of the philosophies of marketing and

library science reveals that both have a lot in common as both these disciplines

aim to achieve customer satisfaction by orienting the organisation to adjust

according to the changing environment.

The philosophy of marketing is nothing new to the library and

information professionals. Modern libraries have been practicing this user

centric approach since their formation. The golden rule of ‘right information to

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the right user at the right time’ is a clear manifestation of the importance that the

profession has attributed to this pro user approach.

Marketing as a concept began even before Samuel Swett Green spoke

about the importance of reaching out to the common man at ALA’s meeting in

1876. His ideas were taken up in the USA as advertising and provision for

mobile libraries. The Danish library pioneer, Andreas Schack Steenberg

introduced library extension work to Scandinavia in the early 1900’s. The inter-

war years operated with the interchangeable concepts outreach/advertising,

publicity/extension work and community relations. Since 1950 the public

relations concept became incorporated into library vocabulary and Sweden saw

its first PR librarian in the 1960’s. But library marketing in its true perspective

became a reality with the immense contribution of the modern marketing guru,

Philip Kotler (Renborg, 1998)20.

Like other non-profit organisations, the intentional and organised

application of marketing in the dissemination of information was started during

the 1970’s. It was once again the marketing guru Philip Kotler who identified

the libraries as one of the potential area for applying marketing. It was in their

paper ‘Broadening the concept of Marketing’ published in the year 1969, that

Philip Kotler and Sydney J Levey made a brief reference to the ways in which a

public library makes decisions regarding the distribution of books to the public.

Though it was only a small reference, it provided the much-needed momentum

for the application of marketing in libraries. Since then the libraries all over the

world have been incorporating marketing techniques in the administration and

management of libraries.

Information services have always been under constant pressure to prove

the value of their staff, services and existence to the management. Application of

marketing in libraries is a way of improving exchange of services between the

library and its surroundings and of improving the library’s place in the

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information market. It hopes to affect the user behaviour so that users use the

services more and non-users become users.

Marketing strategies applied to the information products/services, in a

way similar to that used for the promotion of commercial goods and services,

can alleviate to a great extent the problem of non-utilisation and underutilisation

of products and services offered by the libraries and information centres. Raina

(1998)21 states that by bringing in a marketing orientation to the libraries and

information centres, librarians and information managers can ensure; (1)

increased information awareness or consciousness among their clientele; (2)

optimal utility of the rich learning base of their library and information centres

and (3) sustained development of their library and information centres through

income generation.

Marketing theory essentially propagates a customer oriented rather than a

product oriented approach and stresses the importance of satisfying customer

needs. Thus, purposeful adoption of marketing orientation in libraries and

information centres can ensure the following positive aspects.

♦ Better user satisfaction.

♦ Giving credence to the library policy to be cent percentage user oriented

institution.

♦ Developing a good rapport with the users and thus ensuring a long and

harmonious relationship.

♦ Helping the libraries to accelerate information market penetration and

development.

♦ Helping to acquire a competitive edge in information marketing.

♦ Using the satisfied users as a media for promoting information products

and services.

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♦ Creation of customer loyalty.

♦ Improvement in staff morale and commitment.

♦ Accomplishing financial self-sufficiency or improving resource

mobilisation capacity.

♦ Ensuring efficient and effective use of library resources.

♦ Working as a barometer for measuring progress or lack of progress in

achieving library objectives.

There is no doubt that in recent years marketing has gained considerable

importance in libraries and information centres throughout the world. Even when

the library services are available and sought after, there needs a programme for

marketing those services. But in practice very few libraries undertake formal

marketing and prepare marketing plan. Marketing, therefore, is unplanned.

Promotion is the most commonly used element of the marketing mix. However

marketing can no longer be confined to this one element. The whole range of

marketing activities is needed for the effective management of libraries. It is

only through planning, as advocated by Kotler Anderson Keising approach, that

marketing will cease to be equated with promotion and take on its full potential

as a vital management tool (Nakanga, 2002)22.

Theoretically, the concept of marketing has got the due recognition from

library and information centre managers. But practically the application is still

in a state of infancy. The possible reasons may be inadequate technical

manpower, poor collection of resources, lack of financial and moral support

from authorities, improper organisation of reading materials, lack of adequate

infrastructural facilities, lack of motivation, and lack of awareness of the

potential marketing techniques.

NEED AND SIGNIFICANCE OF THE STUDY

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Falling in line with the reputation of being the most educationally and

socially advanced state in India, librarians and information professionals of

Kerala are always in the forefront in conducting research in innovative areas.

The study on the marketing orientation of the university libraries in Kerala is

such an innovative approach as it is expected to provide valuable inputs

regarding the user perceptions on the marketing management of these

institutions.

The university libraries in Kerala are also facing the challenges posed by

the new economic policies. With the proportionately decreasing budgetary

allocations they are asked to provide latest information products and services to

the ever-increasing users with the assistance of the most modern information

technology devices. This complex situation is warranting the adoption of an

innovative approach in the management of the university libraries, and

marketing orientation could be one such creative approach that may bring the

desired results.

The present study is expected to identify the degree of marketing

orientation in information dissemination activities of the university libraries in

Kerala. The marketing orientation of the university libraries is assessed from

different angles, namely, institutions, membership category, gender, subject and

time spent for retrieving required information. It may provide an opportunity for

the respective management to get a first hand knowledge on how their users

perceive and judge their marketing activities.

Management of the university libraries may be interested in knowing the

factors, which assists them to market their resources. Efforts were also

undertaken to identify the principal components and assess their significance,

which contribute to the marketing orientation of the university libraries in Kerala

in information dissemination. These pieces of critical information can be used

as a solid background to set priorities and may assist in the preparation of a

13

model competitive marketing strategy for the university libraries in the state of

Kerala.

Besides the result of the study can help the library managements to

compare the marketing activities with that of each other so that the libraries with

weaker marketing orientation can take a leaf out of the marketing management

of those libraries with comparatively higher marketing orientation.

The study also assumes significance as there are hardly any similar

ventures undertaken in the university libraries in Kerala to study the application

of marketing of information products and services either from the management

point or from the user point of view.

STATEMENT OF THE PROBLEM

The problem for the present study is entitled as “MARKETING

ORIENTATION OF THE UNIVERSITY LIBRAIRES IN KERALA IN

INFORMATION DISSEMINATION”.

OPERATIONAL DEFINITION OF KEY TERMS

The key terms of the problem and their operational definitions are given

below.

Marketing Orientation

Piercy (1992, p.167)23 defines marketing orientation as:

♦ Strategies concerning the critical decision of market definition and

market segmentation as well as the identification of potential base for

differentiation against competitive offerings;

♦ Plans concerning market mix policies;

♦ Information concerning the entire market used for strategy design.

14

In the study, Marketing Orientation refers to the extent to which the

university libraries in Kerala apply marketing for the dissemination of

information.

University library

Librarian’s glossary of terms used in librarianships, documentation and

the book crafts and reference book (1977, p. 858)24 defines a University Library

as “ a library or group of libraries established, maintained, and administered by a

University to meet the needs of its students and members of the academic staff”.

In the study the university libraries refer to the central library maintained

by the universities in Kerala for their academic community.

Information Dissemination

Librarian’s glossary of terms used in librarianships, documentation and

the book crafts and reference book (1977, p. 279)25 defines information

dissemination as “ the distribution or sending of information whether specifically

requested or not, to members of an organisation by a librarian or information

officer. The means used normally includes news bulletins, abstracts, individual

memoranda or letters, and personal interviews or telephone calls, include

accompanying articles, cuttings or reports and the underlining of sentences or

marking of paragraphs in same”.

From the study point, information dissemination refers to the ways and

means by which the university libraries of Kerala share their information

resources and services with their user community.

Kerala

The southern state of India where Malayalam is the principal language

and known by this name.

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OBJECTIVES

1. To find out the level of Marketing Orientation of the university libraries

in Kerala.

2. To compare the variability of the level of Marketing Orientation of the

university libraries in Kerala.

3. To assess the user perceptions regarding the Marketing Orientation of the

university libraries according to their Membership Category, Gender,

Department / Subject background and Time Spent by them in the library.

4. To assess the contributions of various components of the Marketing

Orientation of the university libraries in Kerala.

5. To identify the weaker areas in the Marketing Orientation of the

university libraries in Kerala

6. To suggest remedial measures for improving the Marketing Orientation of

the university libraries.

HYPOTHESES

1. The university libraries in Kerala are Marketing Oriented.

2. The level of Marketing Orientation of the university libraries in Kerala

differs from university to university.

3. Users differ significantly in their perceptions regarding the Marketing

Orientation of the university libraries in Kerala.

4. The contributions of all components to the Marketing Orientation are

significant.

SCOPE AND LIMITATION OF THE STUDY

The study on the Marketing Orientation of the university libraries in

Kerala is an in-depth analysis of the functioning of the university libraries from

the marketing perspective. Here, the intention is to identify the components

16

which constitute the Marketing Orientation construct and find the way in which

they influence the over all Marketing Orientation.

In the West, where similar studies were originally originated in the

management sector, the emphasis was given to the views of the management

rather than that of the users. But in the present study the thrust is given to the

opinions and views of the users as the concept of Marketing Orientation

essentially visualises the customer as the hub of all organisational activities. The

emphasis on the user opinion is based on the assumption that, in any sound

marketing management philosophy, customer perception is given preferential

treatment over the view of the management regarding the utility of the products

and services.

The scope of the study is limited to the university libraries in the

geographical area of the State of Kerala. The university library system normally

consists of one central library and several department libraries. But the span of

the present study is restricted to the central library only. Though the users of the

university library represent a cross section of the society, priority has been given

to teachers, research scholars and students on the ground that they form the core

target group of the university library system.

The study is conducted on a sample of 813 users who are utilising the

services offered by the university libraries. It is not feasible to take all users of

the university libraries in Kerala for the study. Hence a representative sample

from all strata is taken by ensuring adequate representation. The users of the

university libraries consist of individuals and institutions. The institutional

membership is not offered in all the university libraries. Hence such type of

members has been excluded from the present study.

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ORGANISATION OF THE REPORT

The main body of the report is presented in six chapters. The preliminary

part, bibliography and appendices are also given at appropriate places. The main

body of the report is organised as detailed below.

The first chapter constitutes ‘Introduction’ which contains a brief outline

of the problem, need and significance of the study, statement of the problem,

operational definitions of key terms, objectives, hypotheses, scope and

limitations of the study and organisation of the report.

The second chapter provides a short profile of the institutions surveyed

for the study purpose.

The literatures, which are relevant to the study, are presented according to

chronological order in the third chapter under the heading ‘ Review of related

literature’.

Methodology which describes the variables, tools used for data collection,

samples used for the study, sampling techniques used, sample size, data

collection procedure, consolidation of data and statistical techniques used are

presented in the fourth chapter.

The detailed analysis of the data by using different statistical techniques

is presented in the fifth chapter under the heading ‘Analysis’.

The sixth chapter ‘Major Findings, Conclusions and Suggestions’

presents the major findings, conclusion, tenability of hypothesis, implication,

suggestions and suggestions for further research.

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