The Importance of Understanding Marketing in Business

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The Importance of Understanding Marketing in Business

The Importance of Understanding Marketing in Business
Business concepts

Maybe many of you interpret marketing the same as sales, although it is closely related to business and customers, but marketing and sales are two very different things. Starting from the definition, work process, scope of work, different priorities and functions make sales and marketing cannot be equated.

Definition of Marketing

In its sense, sales or sales is an activity or business selling products or services from a seller to a buyer at a certain price. Meanwhile, marketing or marketing is an activity, a series of institutions, and the process of creating, communicating, delivering, and exchanging offers of value to customers, clients, partners, and the general public. Marketing begins with meeting human needs which then grows into human desires (source: Wikipedia). Because it can be interpreted that sales or sales are more to selling a product or service, while marketing or marketing is a strategy designed to increase sales in a particular business.

Marketing Function

The main goal of a business is to make a profit by producing goods and services needed by the community as a target market, therefore the marketing function cannot be separated from the business itself because it is closely related to strategies that can attract customers so that there is an increase in sales. impact on increasing company profits so that the main objectives of the business can be achieved.

To be able to achieve the goals of the business, marketing has important functions in the company which are divided into three types. These functions are an exchange function, a physical distribution function, and an intermediary function. Each function certainly has different activities and implementations in business.

a. Exchange Function

The first function of marketing or marketing is the exchange function, the exchange function is defined so that consumers can buy products by exchanging. Exchange here can be in the form of exchanging money for goods or goods for goods in buying and selling, the exchanged products can be used alone or resold.

b. Physical Distribution Functions

The second function of marketing is the physical distribution function, the physical distribution of products is carried out by transporting and storing products from producers to be given or sold to consumers. Transportation is carried out in various ways and modes of transportation such as land, sea, and air. Whereas storage is done by depositing and maintaining the amount of supply so that there is no shortage when the product is needed to meet community needs.

c. Intermediary Functions

The last function possessed by marketing is an intermediary function that functions as financing, information retrieval, product grouping, and so on to be able to deliver products to consumers. This function connects the other two functions, namely the exchange function and physical distribution.

The Role of Marketing in Business

After knowing the function of marketing, namely the function of exchange, physical distribution, and intermediary, you will more easily understand the important role of marketing in a business. However, in addition to knowing and understanding the function of marketing in business, it’s a good idea to understand the important role of marketing in a business.

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a. As Sales

One of the main roles of marketing in business is sales or sales, because it seems that we know that one of the important elements of a business is the profit earned from the process of selling a product or service that is generated from the business.

b. As a Promotion

Marketing also plays a role in promoting the business and products that the business produces, both in the form of goods and services. The goal is that the public as the target consumer of the business can get to know these products and increase business profits by increasing sales potential.

c. Research and development

In addition to playing a role in sales and promotion, marketing also plays a role in product research and development so that the products provided by the business are always up to date and can meet changing market needs. This aims to increase sales and company profits. Marketing must research consumer needs and carry out certain innovations on products owned by the company, and ensure whether these products can meet consumer needs or need to be re-developed.

d. Implementation of the Marketing Communication Concept

Marketing communication or marketing communication is a field in communication that is tasked with carrying out a communication strategy in communicating a product, therefore marketing as a marketing communication actor must have a role in building good relationships between companies and consumers by making good communication too. Implementation of the Marketing Communication Concept

Marketing communication or marketing communication is a field in communication that is tasked with carrying out a communication strategy in communicating a product, therefore marketing as a marketing communication actor must have a role in building good relations between companies and consumers using good communication as well.

Marketing Plan and Marketing Strategy

By implementing good marketing communication to build good relationships with consumers, another thing the marketing team must do is make a marketing plan and run a marketing strategy well. You may think that the marketing strategy and the marketing plan are the same thing, but in fact, the two things are entirely different entities.

a. Marketing Plan

A series of systematic and coordinated processes from management that lead to a marketing strategy to achieve goals so that the marketing plan can be achieved. So the marketing plan is the thing that will drive the marketing strategy in a business.

b. Marketing Strategy

In a sense, marketing strategy includes “what” you want to achieve to increase the profit in business that will be received by the company with the effort you put in. For example, you have to provide detailed information to consumers about what products you offer and also what makes your product unique from other similar products.

Types of Marketing

Marketing has a fairly broad scope which is divided into various types depending on three important things in the marketing strategy and marketing plan, namely the target market, marketing techniques, and the tools used. Different types of marketing certainly make the way of implementation different, to better understand the three types of marketing, here is a detailed explanation of the types of marketing.

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a. Based on the target market

One of the important things that affect the marketing strategy and marketing plan is the target market in a business, this is because in planning and the process of making a product a company must first understand the target market so that the product made can meet the needs of the intended consumer. Based on the target market, marketing is divided into four types, namely:

  • Business to Business (B2B), which is a marketing technique used by companies to target other companies or businesses to other businesses by offering products that can expose these other businesses.
  • Business to Consumer (B2C), is a marketing technique used to target general consumers.
  • Consumer to Consumer (C2C), a marketing technique aimed at consumers for other consumers.
  • Business to Government (B2G), is a marketing technique carried out from business to government agencies

b. Based on Marketing Techniques

Like the target market, marketing techniques are also important things that must be considered in making a marketing strategy and marketing plan. This is because marketing techniques determine consumer perceptions of the products you offer. Based on marketing techniques, marketing is divided into four types, namely:

  • Word of Mouth (WOM), this type of marketing prioritizes word of mouth as a marketing technique.
  • Guerrilla Marketing, which is an unconventional guerrilla marketing technique, has the potential to be interactive and deliberately placed in unexpected places.
  • Affiliate Marketing, a marketing technique in which a business or company provides a reward if an affiliate can bring consumers to the business.
  • Database Marketing, a marketing technique that utilizes a potential consumer database to then promote products with personal communication.

c. Based on the tools used

Apart from the target market and marketing techniques, the tools used to carry out marketing are also important things that can influence the marketing plan and marketing strategy. Based on the tools used, marketing is divided into three types, namely:

  • Telemarketing, which is a marketing model using the telephone in which the seller collects some potential customers to buy a good or service.
  • Digital Marketing, which is a marketing technique that uses digital channels to promote products such as television, the internet, social media, and websites.
  • Direct Mail Marketing, namely direct marketing techniques using brochures, promotional letters, and street advertising.

After reading the explanation of marketing starting from the definition, function, role, and types of marketing. Hopefully, you will understand the importance of marketing in business. For your business to grow, don’t forget to advertise through the Froggy Ads service, you can start by advertising your products so that later you can increase visitors on your online business portal. Froggy Ads is an online advertising service that can help you control all your product campaigns. helps you target your desired marketing target and provides you with multiple options for marketing your product.