MARKETING

ORGANISATION

Module-I Faculty: Rema Gopalan

What is an organisation?
 Defined as “a group of human
beings working together
towards the attainment of
certain common objectives.”
 It is the framework of
relationships among the
persons in a group,specifiying
the responsibilities,authorities
and role of each.
Module-I Faculty: Rema Gopalan
What is Marketing
Organisation?

 A marketing organisation is
simply a framework of
planning and making
decisions in the key marketing
activities that are essential to
marketing success.

Module-I Faculty: Rema Gopalan

Why a Marketing
Organisation?
Need for marketing organisation
arises due to:
 Lack of spontaneity
 Over-riding personal goals
 The nature of organisational job
 Defining official relations
 Ensuring functional performance
 Optimising the managerial inputs
 Encouraging newness
Module-I Faculty: Rema Gopalan
Alternative Patterns of
Marketing Organisation
 Functional Organisation
 Product Based Organisation
 Customer Based Organisation
 Geographic/Territory Based
Organisation
 Combined/Complex
Organisation
Module-I Faculty: Rema Gopalan
 Functional Organisation
 A functional organisation is divided
into specialised marketing functions
like selling,advertising,marketing
research, customer service,pricing
and so on.

 Marketing activities are organised

according to the types of duties
performed and the decision-making
authority and coordination are highly
centralisedModule-I Faculty: Rema Gopalan
 Product Based Organisation
 Applied by large business firms
dealing with a multitude of products.
 This is an arrangement where in the
closely related products are grouped
together and that group is assigned
to a particular product manager.
 If there are many brands within the
same product, each brand may be
assigned to an individual manager
who is known as brand manager.
Module-I Faculty: Rema Gopalan
 Customer Based
Organisation
 A group of customers with similar
needs and a common link between
them constitute a market.

 When different markets, rather than

functions or products form the basis
for differentiating marketing roles,
the organisation is known as market-
centered or customer based
organisation.
Module-I Faculty: Rema Gopalan
 Geographic/Territory Based
Organisation
 Large organisations serve large
geographical areas, the total
market area requires breaking it
into smaller units to reduce logistic
costs
 A national market is divided into
regions, districts and territories on
regional basis and each region has
its own sales force.
 E.g., Johnson and Johnson Ltd.
Module-I Faculty: Rema Gopalan
 Combined/Complex
Organisation
 Organisations with diversified
product range and serving
extensive markets prefer a
complex design i.e., combination
of different types of organisation
forms based on
products,function,geography or
the customer

Module-I Faculty: Rema Gopalan