Marketing audit: Augumenting effectiveness in sales

The tools selected for measuring the marketing effectiveness should be precise and based upon empirical data, says C R Chenthir K

Do companies have an option to measure the marketing effectiveness. Yes, in the new atmosphere it has become so essential for their very survival. Gone are the days when companies carried marketing department full of staff whose role nobody actually understood. Today, all are accountable and all have to be able to demonstrate their maximum contribution to the business.

What is marketing effectiveness? How to measure it, and why is its measurement important? The answers to these questions will be available when we answer the following. Whether the company is able to provide the right products for the right people at the right place? Whether there was a definite marketing plan developed after assessing the current situation?

Whether all the strategies and tactics have been integrated in the marketing plan that is capable of being executed by the company? Whether the company’s marketing plan has covered the brand, products, new product development plans, market segments, geographical and customer plans? Whether the marketing plan has an analysis on the current situation, objective, goals, strategy, action plan and a system of evaluating the marketing function and process?

Whether the marketing plan has a provision to evaluate both long term marketing effectiveness and short-term marketing effectiveness? Effectiveness may not be tangible. Quantifying the value of this intangible asset is a difficult, but not impossible task. The tools selected for measuring the marketing effectiveness should be precise and based upon empirical data. They should be consistent over a period of time and correspond to the wider objectives of the business.

Marketing effectiveness is about building brands and markets. Ultimately it must yield increased profits. One of the recent study conducted in India has revealed that 46 per cent of the marketing chiefs acknowledged that their marketing plans are not executed as planned. As we are aware that, “Success is not simply a matter of being passionate about our brands and their marketing, but developing a passion for understanding where the gaps are.”

According to Philip Kotler, “Marketing is not the art of finding clever ways to dispose of what you make. It is an art of creating genuine customer value.” If the company wants to achieve this they have to move towards customer. Lot of companies have dreams to be customer-focussed, the first step towards reality is to evaluate their marketing effectiveness.

Marketing effectiveness can be evaluated only by ensuring a marketing score card. Marketing score card helps the company to assess, analyse, sustain and improve their marketing effectiveness. As Philip Kotler firmly said “The best way to review, evaluate, and improve the marketing function is to undertake a marketing audit.”

Because marketing audit will throw light whether the company, recognise the importance to service the needs and requirements of chosen markets, whether the company primarily thinks in terms of selling current and new products to whoever buying them. Does the company feels the importance of serving wide range of markets and needs with equal effectiveness. Whether the company has different plans for different segments of the markets. Whether the company has different plans for different markets.

Whether the company understands the needs and requirements of the well defined markets chosen for their long term growth and profit potential. The future debate will not be about the importance of marketing, but what should we do to measure its effectiveness for survival. Marketing audit can direct an organisation towards a totally new direction.

The writer is Marketing Facilitator, Plutus Pharma.
Email: plutus_in@hotmail.com.
Website: Plutuspharmasolutions.com