COSTS AND FUNCTIONS OF MARKETING

COSTS AND FUNCTIONS OF MARKETING

COSTS:-

          About 50 % of Total Product Costs are Marketing Costs

EXCHANGE FUNCTIONS:-

1) BUYING

          Ensuring product offerings are available in sufficient quantities to meet customer demands.

 

2) SELLING

          Using advertising, personal selling and sales promotion to match products to customer needs.

PHYSICAL DISTRIBUTION FUNCTIONS:-

3) TRANSPORTING

          Moving products from their point of production to locations convenient for purchasers.

4) STORING

          Warehousing products until needed for sale

5) STANDARDIZING AND GRADING 

          Ensuring product offerings meet quality and quantity controls of size, weight and other variables.

FACILITATING FUNCTIONS:-

5) STANDARDIZING AND GRADING 

          Ensuring product offerings meet quality and quantity controls of size, weight and other variables.

6) FINANCING

          Providing credit for channel members (wholesalers and retailers) and consumers.

7) RISK TAKING 

          Dealing with uncertainty about future customer purchases

SECURING MARKETING INFORMATION

          Collecting information about consumers, competitors and channel members for use in making marketing decisions.