Every function of marketing plays a key role in creating a great customer journey ; from awareness to purchase and post-purchase experiences.

An effective marketing strategy brings all 7 marketing functions together seamlessly.

In this article, we will discuss the following functions: product and pricing strategy, market research, promotion, sales and financing, distribution and logistics, customer service, and risk management. We will explain the purpose of each and provide real-life examples to illustrate how they work .

Definition of Marketing Functions

Marketing functions are the core activities, tasks, and strategies a business performs to attract and retain customers. It’s not just about selling a product or service belgium telegram datait’s also about understanding what potential and existing customers want.

The basic function of marketing is to increase awareness of products or services and direct customers to purchase action .

But to achieve this goal, a complex and carefully planned series of sub-functions must be implemented:

Creating product and pricing strategies: Businesses must determine what their product is, who it is for, and how much it costs.
Conducting market research: Using a variety of techniques, such as surveys and interviews, businesses can understand what customers want, what they value, and how they can adapt their offerings accordingly.
Promoting the business: This involves creating and spreading messages about a company’s offerings, using methods such as online advertising, public relations campaigns and targeted social media engagement.
Managing sales and finances: This requires effectively managing the sales process, ensuring smooth operations and monitoring the financial health of the business.
Managing distribution and logistics: Businesses need to get product from the factory to the customer. They make transportation arrangements, manage stores or warehouses, and ensure products arrive on time.
Providing great customer service: By quickly answering questions, resolving problems, and actively listening to feedback, businesses can increase customer satisfaction.
Monitor risk management: By periodically assessing potential threats, calculating their impact, and implementing preventive measures, businesses can minimize disruptions to their operations.

As we examine these marketing functions in more detail in the following sections, we will see how they fit together to create a well-thought-out marketing strategy and how to effectively handle a product from production to sale and beyond.

What are the 7 Functions of Marketing?

Every marketing function plays a key role in shaping the customer journey from awareness to purchase and even post-purchase experiences. Learn more about post-purchase experiences .

By creating a marketing strategy that effectively combines these seven functions, a business can ensure an effective and efficient conversion process.

Let’s examine these functions, their purposes and real-life examples :

1. Product Management (Product Development and Pricing)

This marketing function involves creating new products or improving existing products based on customer needs and market insights. Pricing strategy is also an important part of product management. The company must set prices that reflect the perceived value of the product , cover costs, and are competitive.

Purpose: The main purpose of Product Management is to increase customer satisfaction and business profitability by providing valuable products to customers at competitive prices.

How is the Product Management function implemented?

Decide what you want your product to achieve.
Create a simple version of the product with the core features your customers need (Minimum Viable Product, MVP) and get customer feedback on the MVP .
Calculate all costs involved in creating and delivering your product. Determine a pricing strategy based on customer value and competition .
Develop a product promotion strategy and launch the product with minimal promotion using this strategy.

For example, Allbirds is a great example of effective product management. The company is known for making eco-friendly and stylish shoes, appealing to Functions of Marketing the interest in sustainable products. The price tag of around $100 per pair may seem high, but it has a loyal customer base. This shows the importance of good product and pricing strategy in product management.

2. Market Research

Market research is the process of gathering, analyzing and interpreting information about a market, a product or service to be offered for sale in the market, and past, current and potential customers of that product or service.

Purpose: Market research aims to shape a business’s marketing strategy by understanding customer needs, preferences, and behaviors. It can predict market trends, create customer profiles, and analyze competitive positions. This function allows businesses to make informed decisions about product development, pricing strategies, advertising, and distribution.

How to Implement Market Research?

Collect valuable customer feedback with online or offline surveys .
Keep up with the latest trends using tools like Google Trends .
Identify your business’s unique selling proposition (USP) by evaluating your competitors’ products, strategies, and market position .
Collect data on customer preferences, behaviors, and purchasing habits using tools like Google Analytics .

For example, Blume’s survey directly gathers valuable insights into customer preferences, satisfaction, and areas for product improvement.

This direct feedback mechanism helps the company shape its product offerings and marketing strategies to better align with the needs and wants of its target audience.

3. Introduction

Promotion is a process that aims to increase customer awareness. It uses various marketing channels to spread information about a product or service, such as social media, radio, television, print, or direct marketing. For example, a business may run a social media campaign to launch a new product and offer promotional codes to increase sales.

Purpose: The main purpose of promotion is to increase brand awareness, create brand identity, inform and engage potential customers, and ultimately drive conversions. It helps customers understand why they should choose a particular product or service over competitors.

How is the promotion function implemented?

Identify and promote the whatsapp mobile number list unique features of your product/service. Functions of Marketing and use them in all your communications.
Expand your reach to your target audience by collaborating with relevant influencers in your industry.
Use retargeting ads on platforms like Facebook and Google to reconnect with visitors who didn’t initially purchase.
Launch unforgettable, unusual and surprising marketing tactics and leave a lasting impression.
Deliver an interactive customer experience and increase brand engagement using augmented reality (AR).
Encourage customers to create and share content about your products/services. (User-generated content)

For example, Rhode encourages its customers to share pictures and reviews about the Lip Case on social media.

This ensures authentic promotional content created by real users is exposed, giving the brand a wider reach and increasing credibility . Plus, every time a user pulls out their phone or shares a selfie, the Rhode brand continues to promote itself.

4. Sales and Financing

Sales and financing are vital marketing components that connect the operational aspects of a business with consumer needs. While sales focuses on building customer relationships and persuading them to buy, financing provides sufficient funds to support marketing initiatives and operations. Purpose: The main purpose of the sales function is to facilitate consumers in making the actual purchase. The financing function helps customers purchase by offering various financing options. This may include providing credit, offering installment options, discounts or campaigns.

How are Sales and Finance functions implemented?

Accurately predicting future sales allows for better planning and budget allocation.
Build strong customer relationships for a smooth purchasing process.
Techniques such as discounts, rewards, and special offers can encourage shopping.
Sound financial planning enables a aol email list company to allocate its resources effectively.
Understand the effectiveness of different strategies by tracking sales and marketing performance metrics such as ROI, key performance indicators , and customer acquisition cost (CAC) .

For example, Starbucks uses the Starbucks Rewards Program to effectively increase sales. This program encourages purchases by offering perks such as free drinks after a certain number of purchases.

Financially, Starbucks effectively uses its revenues to fund expansions, new stores, and marketing initiatives. They engage in meticulous financial planning to ensure that each investment leads to sustainable growth and profitability.