Functions of Marketing
Nature of Marketing is given in the diagram below.
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Scope of Marketing are given below.
- Buying
- Selling
- Assembling
- Standardization
- Grading
- Branding
- Transportation
- Warehousing
- Financing
- Market Research
Functions of marketing are as follows:
1. Buying
Function of marketing buying is the first step in the marketing process. Proper decision about what to buy, how to buy, where to buy and at what price to buy, must be taken after adequate and appropriate research. Every trading concern needs efficient and economical buying to get adequate profit.
2. Selling
Functions of marketing selling involve a transfer of title of goods to the buyer. The main aim of sale of goods is to earn the profit. The selling function creates demand for the products and involves creation and expansion of markets for the goods produced in anticipation of demand. Thus selling increases profit of the business and production of goods and services available to the consumers in the society.
3. Assembling
Functions of marketing assembling means collecting goods of similar nature from different sources of supply, at one convenient central place for further processing or distribution. Assembling is mostly done in case of agricultural goods. When goods are assembled at one place, the cost of warehousing, standardizing, grading, packaging, labeling of goods is much lesser. Demand for agricultural goods is perennial (through the year) and thus supply is maintained throughout the year.
4. Standardization
Functions of marketing, A standard is a norm or criteria given to a product. It is a mental process of fix standards for a given product like size, weight, color, strength, texture, purity, durability, performance, etc. A standard reflects the quality of the product and helps quality control. It creates trust and confidence in the minds of customer. Organic certification for agricultural goods and Fair-trade certification mark for manufactured and industrials goods. Standardization is very essential for branded goods.
5. Grading
Functions of marketing, grading refer to classification of products in different categories on the basis certain fixed standard. Grading is a physical process. It follows standardization. Each product is grouped or graded. It reflects a certain level of quality.
6. Branding
Functions of marketing, branding means giving a name, mark, symbol, color or a combination of these to a product. An identity of a product is created, and a customer can distinguish the products from those of competitor's products. Brands give an assurance of a certain level of quality and performance of the product. Branding is a tool used to survive, face and fight competitions.
7. Transportation
Functions of marketing, transportation refers to movement of goods and services from the place of production to the place of consumption. It removes the problem of distance and helps in continuous production of goods, on a large scale. It helps in expanding markets and maintains price stability and generates employment. It also helps in balanced development of a country.
8. Warehousing
Functions of marketing, warehousing creates time utility. Goods have to be stored after they are produced until they are consumed. At present, the goods are produced in anticipation of demand and so the producers store the goods systematically in warehouses until the time of sale. Storage helps to keep the steady flow of goods throughout the year and also maintain price stability. The producer can concentrate on production on a large-scale and also benefit from the economics of scale.
9. Financing
Functions of marketing, finance is the life blood of business, and finance is very essential for the smooth conduct of marketing function. At every stage, it is very important to have adequate and cheap finance. Finance is made available through loans and advances from banks and financial institutions.
10. Market Research
Functions of marketing, modern marketing requires a lot of information accurately, adequately and promptly to solve many marketing problems. The study of the marketing problems enables the seller to know when to sell, where to sell, what price to sell, who are the competitors, etc. The market information helps the seller to know the likes, dislikes, taste, and preference of the customers.
Some Important Articles on Marketing are given below.
What is Marketing? Definition, Meaning of Marketing - Diagram
Importance of Marketing - Role, Significance of Marketing
4 P's of Marketing Mix - Elements of Marketing Mix - Definition
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