Marketing is one of the most important components of a business affecting sales and productivity. Attracting customers is not as easy as we think, especially when there is tough competition out there in the market. All business owners understand the importance of marketing, but they cannot distinguish between marketing and advertising. Marketing has vast boundaries and advertising is just a part of it.
Many people confuse marketing with advertising. While both have their own importance, advertising is only a single component of the marketing process. While Marketing consists of advertising, customer support, distribution, market research, media planning, product pricing, public relations, and sales strategy.
There is a term called Marketing Mix used in business, this is a tool used by businesses and Marketers to help determine a product or brand’s offering. The 4 P’s have been associated with the Marketing Mix since their creation by E. Jerome McCarthy in 1960. These 4 P’s are Price, Place, Product, and Promotion. However, in the late 70’s it was widely acknowledged by Marketers that the Marketing Mix should be updated. This led to the creation of the Extended Marketing Mix in 1981 by Booms & Bitner, which added 3 new elements to the 4 P’s Principle. This now allowed the extended Marketing Mix to include products that are services and not just physical things. The extended 7 P’s are People, Process, and Physical evidence.
As a part but a core part, advertising has served a critical purpose in the business world by enabling sellers to effectively compete with one another for the attention of buyers. Whether the goods and services your company provides is a necessity or a luxury, you cannot rely just on a word-of-mouth chatter to keep a steady stream of customers. A strong commitment to advertising is as much an external call to action as it is an internal reinforcement to a sales team.
For a business to succeed, the product or service it provides must be known to potential buyers. Unless a business is known in the community and has communication with customers readily available, smart marketing strategies to create product or service awareness must have been applied. Without marketing, potential customers may never be aware of any business offerings and business may not be given the opportunity to progress and succeed. Using marketing to promote your product, service, and the company provides your business with a chance of being discovered by prospective customers.