Techniques of marketing control
There are various techniques of marketing control to measure and evaluate the results of market strategy and to take corrective actions in case of any deviation. There are 7 techniques or methods of marketing control:
1.) Marketing audit:- marketing audit means regular checking of company’s environment, objectives and strategies and recommend a plan to improve the firm’s marketing performance. The job of marketing audit is done by marketing auditor. To do the marketing audit marketing auditor can ask questions to consumer, whole seller, retailer, or manager to judge the marketing performance. He may ask the following question:
a) what are the pricing strategy of competitor?
b) what are the changes in consumer behavior?
c) what are the distribution strategy of competitor?
d) what are the likes of consumer?
e) what are the needs of retailers?
2.) Credit control:- credit control is one of the important marketing control technique. Credit control helps the firm to decide what credit facilities it can give to whole-seller, retailer and it’s customer.
3.) Budgetary control:- budgetary control is very important tool in the hands of management. It helps in controlling cost and maximizing the profit. it also helps in setting up effective budgetary control system.
4.) Market share analysis:- Market share analysis helps in planning the future marketing goals and how these goals can be achieved. If market share analysis is showing that market share in increasing than it is a sign of the growth of the company and if it is showing that market share in decreasing than it is a sign of the decline of the company in that case necessary steps has to be taken.
5.) Ratio analysis:- it helps the company in knowing it’s profitability, liquidity, activity of the company. Net asset ratio, gross profit ratio, net ratio, current asset ratio, working capital ratio all these are very important ratios for the company.
6.) Variance analysis:- it helps the company in knowing what are the differences between actual and standard performance and in case of any deviation how these can be removed.
7.) SWOT analysis:- SWOT analysis means strength, weakness, opportunity, threat to the company. Strength, weaknesses are internal to the company. The can must decide how it can increase its strength and how it can remove its weakness. While opportunity and threat are external to the company. If the company avail the opportunity before its competitor then it will be beneficial for it. Similarly the company faces the threats from its competitors and it is necessary to remove them.
Thus, these are the important techniques of the marketing control.