Understanding the 7 functions of marketing is vital for every successful business. Each of the tasks of marketing aspects highlights a step in marketing for a business.
If you launch a new product there is no guarantee it will succeed. That is why, marketing is crucial so that people can know the product and show their love for it.
Being a startup consultant, I have seen many businesses fail. Because they did not market their product perfectly.
Moreover, marketing is a large procedure, it is extended beyond selling a product or service. That is why you need to understand all the different functions of marketing very effectively.
Here, in this article, I will discuss the importance of the 7 functions of marketing. Whether you have a small startup or a multi-million dollar company, hope this guide will help you grow and succeed.
What Are The 7 Functions of Marketing?
There is a lot involved in marketing, and marketing functions are the specific areas where the markets need to focus.
All the marketing functions come with unique responsibilities and a wide pillar that includes several tasks, and strategies to implement.
Marketing functions are the foundation of marketing. The marketing functions involve activities aimed at identifying, satisfying, and retaining customers while achieving the organizational goal.
The 7 functions of marketing include:
- 1. Promotion
- 2. Selling
- 3. Product Management
- 4. Pricing
- 5. Marketing Information Management
- 6. Financing
- 7. Distribution
The Importance of The 7 Functions of Marketing:
#1. Promotion:
Promotion is the thing that every marketer, advertiser, or marketing professional thinks when they think of marketing. Promotion is the most common function of marketing.
It involves selling the product or service to the customers. However, the act of promotion involves making aware of your product to your potential customers.
Also, promotion includes letting your customers know about your company.
To promote your products, you can implement marketing strategies such as advertising, PR (public relations), content marketing, local online marketing, and more.
Promotional strategies also involve:
- Email marketing
- Paid ads
- Social media marketing
- Influencer marketing
Promotion can also be imagined as the beginning state of the marketing aspect.
#2. Selling:
Selling is a second marketing function focused on generating potential customers for your brand. Selling is delivering your product or service to potential customers through promotions and brand awareness campaigns.
When selling a product, communication is the key. The selling marketing function needs to be performed strategically and carefully.
Selling is the function of marketing that not only nurtures leads through the decision-making process but also establishes a deeper relationship with the target audience.
The selling process is all about building relationships with prospects and sharing the right content with them. Selling also involves communicating with the target audience in such a way that it can grow the buying interest in them.
Marketers need to work closely to establish successful strategies to sell the products. No customer wants to be told what should they buy, that is why marketers must be tactful in the course of selling.
#3. Product Management:
Before you promote or sell a product, you should have a product or service. Product management is the development, design, and improvement of a product that you will market.
The most important part of product management is ensuring that the final product meets all the criteria that the customers searching and demanding for.
As a marketing professional, you must research to ensure whether your business creates an offering that will resonate with your target audience.
Moreover, you must continue learning from your target audience of post-launch the product.
Product management is looking for opportunities to develop or improve the product or service. Also, you must know when you should pull back any changes if the changes are not well-received by the customers.
You must focus on adjusting and managing the products so that your company remains ahead of the curve. If you continuously offer the best products, the customers will appreciate the products and continue to buy your products.
#4. Pricing:
Pricing is the fourth function of marketing, and it is one of the most difficult marketing functions. Pricing involves setting the right price for the products or services you sell.
While setting the right price for your product or service, there are a few factors that you should consider. These factors include the consumers’ perception of the value of the product, the production price, and the competitor’s price.
Pricing a product also depends on your brand. If you run a luxurious brand then you can set a premium pricing for the products compared to competitors.
If you run a business that encompasses low prices and value then you should take these considerations while setting the price for the product.
If you raise the price of the product then many customers may think that you are generating more money. So, a large customer base may turn away from your brand and let you lose profit.
#5. Marketing Information Management:
Research is crucial for any function of marketing, but research plays a great role in the market information management function.
Marketing information management is the process of gathering the data of competitors and consumers. Data is the key to the marketing industry for every business.
That is why, it is crucial to collect data regarding your target audience, their purchasing habits, and more. Learning the data helps you understand how can you improve your business to serve them more.
Also, you need to gather information regarding how your competitors are approaching the market. The strategic marketing aspect involves effective data collection, otherwise, you are just shooting in the dark.
You can easily collect more information about your customers through:
- Surveys
- Reviews
- Comments
- Direct communication with your target audience
- Engaging with your target audience
- Interviewing with your target audience
#6. Financing:
Financing is one of the most important functions in marketing, and finances involve securing funds for your campaigns.
Financing may not be the most attractive function in the marketing aspect, but it is crucial for every business. When it comes to financing in marketing, budgeting is the most important priority.
You need finances to run the ads, marketing tools, and team members. This means you need to be sure that you have enough money to run your marketing campaigns every year.
Financing can be the trickiest among the other marketing functions because you may want to see a great return on marketing investments.
Good marketers can show that their marketing budget helps to increase revenue. Moreover, an efficient marketing budget helps businesses to achieve an upward trajectory.
#7. Distribution:
Distribution involves deciding where, when, and in what condition the product or service must be available.
Indeed, the supply chain management chain handles the distribution process but it is still one of seven marketing functions.
Once you have successfully marketed and sold your products to the target audience, you need to deliver the products into their willing hands.
Distribution is the process of transporting the product you sell to the hands of the people who buy it.
Distribution can be done online or offline, and there are various channels through which you can distribute the products. These channels include:
- Wholesale stores
- Retail stores
- Online stores
- Sales calls
- Catalogue
It is the job of a marketer to choose the right distribution strategy with the company’s target customers.
As a marketer, you must learn where are the most prospective customers and how can you reach out to them.
Conclusion:
Before you initiate your next marketing campaign, you must first learn the 7 functions of marketing. This will help you to optimize your campaigns smarter and achieve a great result on investing.
Each marketing function is designed to achieve something. By understanding all the aspects of marketing, you can adjust your tools, budget, and strategies more optimally!
