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Kotler, 14e; Prentice Hall, USA
What are marketing functions?
WHAT IS MARKETING?
Marketing is defined as the process of determining the needs and wants of consumers and being able to deliver products that satisfy those needs and wants. Marketing includes all of the activities necessary to move a product from the producer to the consumer. Think of marketing as a bridge from the producer to the consumer. Marketing starts with market research, a learning process in which marketers get to know everything they can about the needs and wants of consumers, and it ends when somebody buys something. Many companies feel that services provided to customers after the purchase also are an important part of marketing. All of these enterprises -- production, advertising, transportation, processing, packaging, and selling -- are included in the marketing process.
Defined: Marketing Functions are activities performed within organizations that create for specific products or services. . Facilitating functions Activities that assist in the execution of exchange and physical functions. Exchange functions Activities that promote and enable transfer of ownership. Physical functions Activities that enable the flow of goods from manufacturer to consumer. value
THE FUNCTIONS OF MARKETING
In order for the marketing bridge to work correctly -- providing consumers with opportunities to purchase the products and services they need -- the marketing process must accomplish following important functions. The functions are:
Jamshed Khattak Visiting Faculty in Marketing (SZABIST/MAJU/UOL/RIFAH/UCP) email@example.com
banks and other financial institutions provide money for the production and marketing of products. the success of business depends on the effective purchasing system. He may. distributing and consuming require large funds. test and fashion of consumer nature of demand. 14e. the selection of proper source of supply. method of packing. quality of goods. Concentration of raw material is necessary for the regular supply of the standardized materials because these are used in large volume by manufacturers. The buying function includes the determination of needs. can or bottles etc. It is more essential in case of marketing of agriculture commodities which are generally grown in similar quantities by larger number of producers in territories spread over vast areas. It thus enables the producers to formulate and to carry out selling policies. Packaging and Packing:.e.This is an important function of marketing and occupies much of the time of both business undertaking and consumers. like wheat. the amount of information needed has also regarding trademark. Buying . This may be relatively simple or exceeding complex whether this function is conducted by the manufacturer. In the present economic stage. It may be regarded as an aspect of marketing because it has a considerable influence Jamshed Khattak Visiting Faculty in Marketing (SZABIST/MAJU/UOL/RIFAH/UCP) jktkgaju@gmail. may have experienced staff of buyers. the internet. the selection of proper source of supply. test and fashion of consumer nature of demand. The buying function includes the determination of needs. As the demand for various products in national or international market have raised. When a retailer sells commodities on credit. in return. he is rendering a financing service. No person can think of conducting business without sufficient finance. title from the seller to the buyer. and phone. USA Fall 2012 Market Information . weather. into something the consumer can use – for example. may pass part of burden back to the credit granting manufacturer.information from around the world about market conditions. It helps a businessman to secure information regarding trademark. Prentice Hall. title from the seller to the buyer. So the product. can affect the marketing process. So large business concerns have separate purchasing department. Market information is provided by all forms of telecommunication. Financing . prices to considerably increased. Processing – Processing involves turning a raw product. and political changes. such as television.Packing is meant the placing of goods in small packages i. bread. quality go goods. There are various method and ways by which such investigations and experiment may be conducted. Kotler. prices of goods are procedure of distribution.Principles of Marketing by Philip P. the wholesale or the retailer. The whole modern production and marketing mechanism is based on credit and money. price movements. in part shift this function back on the wholesaler who has extended credit to him. There is wide gap between the production of goods and consumption of goods.com 2 9/7/2013 . Processing is the physical act of putting together and collection of goods to obtain larger quantities of similar goods. method of packing. while the wholesaler.
1 Potatoes. On the other hand. airplane.Many products are graded in order to conform to previously determined standards of quality. Because of the nature of natural resources. Grading in reality is a part of standardization. Warehouses are required to store the goods for the adjustment of supply to demand. theft. Transportation -products must be physically relocated to the locations where consumers can buy them. and raised or manufactured largely or exclusively in certain places. color. size. Many goods must be packed in order to be preserved or delivered to the buyers. As the wholesale require the product in large units according to the requirements of retailers. This is a very important function. Grading may be based on shape.products must be stored and protect ed until they are needed. ship. Dividing:Dividing is an other important function of marketing. Packing is concerned with the wrapping and crating necessary for the transport or storage of goods. appearance. strength. and telecommunications for non-tangible products such as market information. Kotler.Principles of Marketing by Philip P. Storage . 14e. goods are produced in large quantities in anticipation of future demand and for the unknown customers. Standardizing involves the determination of basic measure or limits to which articles being standardized. When the goods are sent by the seller to the buyer Jamshed Khattak Visiting Faculty in Marketing (SZABIST/MAJU/UOL/RIFAH/UCP) jktkgaju@gmail. Product of agriculture and the extractive industries are usually graded according to general standard. concentration of skilled or unskilled labor. Risk-Taking . The ultimate consumer finds it necessary to purchase some goods in advance of need and to store them for the future use. It enables the businessmen to reduce the bulk of commodities in order to take them more readily transportable. when you purchase US No. USA Fall 2012 on sales in the domestic consumer market. Prentice Hall. Transportation involves all kinds of movement of persons and goods from one place to another. truck. variations in climatic conditions. For example. Transportation includes rail road. large scale manufacturing. It is process which tests the conformity of commodities to standards that have been previously set up. you know you are buying the best potatoes on the market.com 3 9/7/2013 . or natural disasters. It is the function of transportation to convey commodities from places where their utility is relatively low to places where it is higher. Grading and Standardizing . The principal economic basic for transportation is the enhancing the value of goods by the creation of place utility. But retailer requires the products in small quantity so they divide the stock into small units according to the need of customers.insurance companies provide coverage to protect producers and marketers from loss due to fire. Thus effective transport is indispensable to economic progress. Storage is a major marketing function which involves the utilization of substantial manpower and capital resources. specific gravity and chemical contents. This function is especially important for perishable products such as fruits and vegetables.
storm and change in the temperature. therefore. in terms of minimizing these risks by shifting them on others shoulder's. finding buyer. Selling is indispensable function of every marketing and is basic reason for the operation of business concerned that more sales must be obtained at less cost. The businessman and other exporters think. USA Fall 2012 through rail.Principles of Marketing by Philip P. 14e. Prentice Hall. Jamshed Khattak Visiting Faculty in Marketing (SZABIST/MAJU/UOL/RIFAH/UCP) jktkgaju@gmail. creating demand.com 4 9/7/2013 . The goods may be lost or damaged or destroyed by sea perils. fire. there may be risk of loss. negotiating price and transferring the title. road and ship. Kotler.e. But this function is expensive because it involves many activities i. flood. So insurance provides safety against any unforeseen circumstances and ways to the business people to cover losses or dangers. Selling – Producers function within a free market to sell products to consumers. theft.
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