Marketing refers to the action or business of promoting and selling products or services, including market research and advertising. Today most of the investors are not interested in funding the startup companies because they have no idea or not aware of how, where and to whom they should sell their products and services. Startup Companies require a good marketing plan in order to promote their products and services. In other words, we can say marketing tells or inform the people about the product, services and about the company early and often.
Early marketing strategies help to focus their attention on creating awareness as well as helps to generate lead. Creating awareness of the product and the company before, during and after the development process ensures the sales and revenue plans can be attained. Once the product of the company gets promoted and people become aware of its utilization, then people will buy those products which are familiar to them. These relationships and leads enable the sales team to make the deals and capture the revenue after the product is available.
The marketing plan like every business plan is based on assumptions. Reaching out to a customer is vital because startup companies need to prove or disprove customer assumptions as soon as possible. Before jumping into full-blown product development and marketing effort. Now we can say the heart of your business lies in marketing. Most aspects of business depend on successful marketing. The overall marketing concept covers advertising, public relations, promotion, and sales. It is a process by which a product or service gets introduced and promoted to potential consumers. Without marketing, none of the potential customers would come to know about the products or services offered by your company and sales may crash and companies may have to close. Some of the importance of marketing for a business is being discussed below.
1. Getting recognition
For a business to succeed in this competitive market, the product or services offered by the company must be known to potential buyers. In order to make the business known to the community and have communication with the consumer readily available, the company has to utilize marketing strategies to create awareness about the product and services among the customers. Without marketing, your potential customer will not be aware or informed about the product or services offered by your company and this may result that your business may lose the opportunity to progress and succeed. Using a marketing plan to promote the product, service and company provide your business with a chance of being discovered by prospective customers.
2. Higher sales
The main motive or purpose of marketing in any business is to help to generate more sales. In order to create awareness among the people, the company needs to advertise and promote their product so that people get to know about it. As awareness becomes a reality, It is also a point where new consumers will start spreading, telling their families and friends about the product they discovered.
Your sales will steadily increase as the word spreads. Thatís the reason business owner invest in marketing. Marketing strategies are being used to create awareness. In the absence of marketing strategies, these sales may not have ever happened and without sales, a company cannot succeed.
3. Maintain a reputation
The success of any business depends on its reputation. In order to have good reputation marketing plays an important role by building a brand’s name in the market. It takes years for a company to build up its reputation. And in order to maintain or retain that same reputation, marketing strategies should be used. Many big-big companies spend thousands of dollars in marketing just to maintain their reputation. Marketing educates the people about the latest trend, helps to boost sales and profit and tries to develop the company’s reputation.
4. Helps in maintaining healthy competition
Marketing helps to foster an environment in the market place for a healthy competition. Marketing efforts get the word out on pricing of product and service, which not only reaches the intended customer but at the same time reaches other companies competing for consumer business. A lot of companies that have a monopoly on products and services can charge almost any price from the consumer. Marketing helps to keep pricing competitive for a business to try to win consumers before its competition does. Without competition, well-known companies would continue to sell at the price they want to, whereas small or new companies would stand a little bit of chance of ever becoming successful in this harsh competitive market. Marketing encourages healthy competition that allows small businesses and new businesses to enter successfully and grow in the marketplace.
5. Gain and retain customer
Once a brand has gained its ground and establishes its customer, marketing enables it to retain its customers. This is very essential so that the brand does not lose its ground to the products that newly come into the market or introduced in the market.
6. Identifying real customer
Marketing strategies allows a business to identify its potential and actual customers. Instead of trying to impose the product or services on unwilling consumers or who are not interested in a particular product, marketing helps to target those customers who have the real need.
7. Provide information
Marketing a product of a company is the best way to provide information about it. It will provide information about the salient features of the products and services to the consumer. And the same information will attract consumers towards the product. Knowing a brand better ensures that customers will come to trust it better.
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