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Marketing Control
Dr. Gopal Thapa
Tribhuvan University
Email:thapazee@gmail.com
Marketing Control
• Marketing control is the process by which firms assess the effects of
their marketing activities and programs and make necessary changes
and adjustments
• Marketing control includes:
• Annual plan control
• Profitability control
• Efficiency control
• Strategic control
Marketing Control Process
• Goal setting- What do you want to achieve?
• Performance measurement- What is happening?
• Performance diagnosis – Why is it happening?
• Corrective action – What should we do about it?
Types of Marketing Control
•Annual plan control
•Profitability control
•Efficiency control
•Strategic control
Annual Plan Control
• Sales analysis
• Market share analysis
• Expenses to sales analysis
• Financial analysis
• Market-based score card analysis
Profitability control
• Profitability control by:
• Product
• Territory
• Customer segment
• Trade channel
• Order size
Efficiency
• Efficiency control
• Sales force
• Advertising
• Sales promotion
• Distribution
Strategic Control
• It is exercised by top management
• It consists of:
• Marketing effectiveness review
• Marketing audit
• It is a review of
• Firm’s marketing objectives
• Strategies
• Program
Marketing Effectiveness Review
• It measures
• Customer orientation
• Integrated marketing organization
• Adequate marketing information system
• Strategic orientation
• Operational efficiency
Marketing audit
• A marketing audit is a comprehensive, systematic, independent, and
periodic examination of a company’s or business unit’s marketing
environment, objectives, strategies, and activities, with a view to
determine problem areas and opportunities and recommending a plan
of action to improve the company’s marketing performance.
• Philip Kotler
Characteristics of Marketing audit
• Comprehensive
• Systematic
• Independent
• Periodic
Components of Marketing Audit
• Marketing environment audit (Macro and task environment)
• Marketing strategy audit
• Marketing organization audit
• Marketing system audit
• Marketing productivity audit
• Marketing function audit
Marketing Environment Audit
• Macro Environment
• PEST
• Task Environment
• Markets
• Customers
• Competitors
• Distribution and dealer
• Suppliers
• Facilitators
• Publics
Marketing Strategy Audit
• Business mission
• Marketing objectives and goals
• Strategy
Marketing Organization Audit
• Formal structure
• Functional efficiency
• Interface efficiency
Marketing System Audit
• Marketing information system
• Marketing planning system
• Marketing control system
• New-product development system
Marketing productivity Audit
• Profitability analysis
• Cost-effectiveness analysis
Marketing Function Audit
• Product
• Price
• Distribution
• Marketing communication
• Sales force
Strategic Marketing Evaluation
and Control
Conduct strategic
marketing audit
Select performance
criteria, measures, and metrics
Obtain and
analyze information
Assess performance
and take necessary
action

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Marketing control

  • 1. Marketing Control Dr. Gopal Thapa Tribhuvan University Email:thapazee@gmail.com
  • 2. Marketing Control • Marketing control is the process by which firms assess the effects of their marketing activities and programs and make necessary changes and adjustments • Marketing control includes: • Annual plan control • Profitability control • Efficiency control • Strategic control
  • 3. Marketing Control Process • Goal setting- What do you want to achieve? • Performance measurement- What is happening? • Performance diagnosis – Why is it happening? • Corrective action – What should we do about it?
  • 4.
  • 5. Types of Marketing Control •Annual plan control •Profitability control •Efficiency control •Strategic control
  • 6. Annual Plan Control • Sales analysis • Market share analysis • Expenses to sales analysis • Financial analysis • Market-based score card analysis
  • 7. Profitability control • Profitability control by: • Product • Territory • Customer segment • Trade channel • Order size
  • 8. Efficiency • Efficiency control • Sales force • Advertising • Sales promotion • Distribution
  • 9. Strategic Control • It is exercised by top management • It consists of: • Marketing effectiveness review • Marketing audit • It is a review of • Firm’s marketing objectives • Strategies • Program
  • 10. Marketing Effectiveness Review • It measures • Customer orientation • Integrated marketing organization • Adequate marketing information system • Strategic orientation • Operational efficiency
  • 11. Marketing audit • A marketing audit is a comprehensive, systematic, independent, and periodic examination of a company’s or business unit’s marketing environment, objectives, strategies, and activities, with a view to determine problem areas and opportunities and recommending a plan of action to improve the company’s marketing performance. • Philip Kotler
  • 12. Characteristics of Marketing audit • Comprehensive • Systematic • Independent • Periodic
  • 13. Components of Marketing Audit • Marketing environment audit (Macro and task environment) • Marketing strategy audit • Marketing organization audit • Marketing system audit • Marketing productivity audit • Marketing function audit
  • 14. Marketing Environment Audit • Macro Environment • PEST • Task Environment • Markets • Customers • Competitors • Distribution and dealer • Suppliers • Facilitators • Publics
  • 15. Marketing Strategy Audit • Business mission • Marketing objectives and goals • Strategy
  • 16. Marketing Organization Audit • Formal structure • Functional efficiency • Interface efficiency
  • 17. Marketing System Audit • Marketing information system • Marketing planning system • Marketing control system • New-product development system
  • 18. Marketing productivity Audit • Profitability analysis • Cost-effectiveness analysis
  • 19. Marketing Function Audit • Product • Price • Distribution • Marketing communication • Sales force
  • 20. Strategic Marketing Evaluation and Control Conduct strategic marketing audit Select performance criteria, measures, and metrics Obtain and analyze information Assess performance and take necessary action