Functions and Importance of Marketing Management
In order to create an effective marketing management strategy, business enterprises must have a strong understanding of their own business and the market in which they operate. Following are the key functions of the marketing management:
The grass root level of any business organization is planning. Planning requires that marketing managers must be aware of environmental conditions facing their organization and forecast future conditions. Hence, after analyzing competitive opportunities, threats, strengths and weaknesses of the organization, the marketing manager creates an action plan to determine when, how, where and by whom the marketing activities viz. sales forecast, marketing programs formulation, marketing strategies, etc. should be carried out to achieve marketing goals.
An organizing function of management develop an organizational structure and allocate human resources to execute the different marketing activities viz. purchase, sell, assemble, storage, transportation, packaging, pricing, advertising, sales promotion, etc, of an organization. The organization involves structure of marketing organization, duties, responsibilities and powers of various members of the marketing organization.
Staffing for marketing activities
To achieve success in the market plan of an organization, the appointment of right and able employees are made to do different marketing activities. In large-scale organizations, personnel department is established for making appointments. Hence, an organization must have marketing personnel with desired capabilities.
Directing of marketing activities
Under this function, the marketing manager gives proper guidance to persons working on different posts so that they discharge their duties efficiently. He motivates, inspires, guide and supervises his sub-ordinates and provides them good leadership so that they can work effectively and smoothly for the organization.
Controlling of marketing activities
Controlling ensures that performance does not deviate from standards. Under this function, the marketing manager establishes performance standards, compare actual performance against standards and takes corrective action when necessary. The performance standards are often stated in terms of units produced, number of defective products, levels of customer service, revenue, costs, profits, etc.
Importance/Significance of Marketing Management
In the technological arena, marketing management plays a crucial role in a commercial and business enterprise. It is a business discipline that focuses on practical application of marketing orientation, techniques and methods inside enterprises and organizations and manages firm’s marketing resources and activities. The points below bring out the significance or importance of management:-
- Satisfies the needs of customers (or consumers).
- Increases market share of the firm.
- Increases production of existing products.
- Raises per capita income and demand for more goods by the consumers
- Provides employment and hence fulfill social obligation.
- Launch new products in the market.
- Reduces cost of sales and distribution.