Marketing plays a huge role in any successful business plan because without it; the chances of penetrating the market are low. Businesses need to adopt the best marketing strategy that allows a business to have a competitive edge. However, with constant economic downturn, many companies cut back on marketing and pursue other plans. Marketing has been taunted as the proactive thinking element of business in its effort to increase profitability.

Marketing allows a firm to expand to other regions through increase in sales volumes and revenues. In essence, an increase of business sales occur as a result of increased market share. An increase in the market share of a business becomes possible in instances where there is growth in customer base, increase in the frequency of purchase, and also because of upsurge in the average spending. A business needs to focus on attracting customers to their products in order to grow the market share in relation to the competitors. The business also needs to increase the number of purchases and one way would be to make it easier for customers to find their products. For instance, in a supermarket, putting items like bread and milk in the opposite ends of the store, it motivates customers could pick “extras” along the way. Sales can also be increased by ensuring that the average spending for each customer rises through incentives such as offering volume discounts. When a customer buys in large quantities, discount is provided and this increase sales(Hill & Jones, 2013).

In addition, when market share enhances because of increase in sales, it is possible to accomplish greater scale in operations, and this means increased profitability. Many firms are constantly trying to expand their market share by focusing on greater customer base, lowering prices, and even through advertising. These strategies of expanding the market share give a company competitive advantage and finally leads to increase in revenues. If consumers have a preference for the company’s product, it means greater sales for the firm and this create a barrier for competitors. Furthermore,higher market share indicates that if the market grows, the leader obtains more in terms of revenues. In this way, marketing through expansion of thecompany’s market share grows the business sales that lead to more revenue, which translates to profits and vice versa (Hill & Jones, 2013).

Customer satisfaction is a key marketing strategy that ensures that a business enhances it sales and position in the market. Customers appreciate quality products that fulfil their needs, and this ensures their satisfaction. For instance, if a television set performs all the needs it stated during promotes, customers feel satisfied and this enhances sales. However, in instances where customers are unhappy with a product, the sales decrease. Customer satisfaction plays a huge role in ensuring referrals to other consumers, which leads to high sales for the product (Deptolla, 2004).

Additionally, increased customer satisfaction ensures repeat clients and this enhances profitability. When a customers’ are satisfied with the products that a firm generates, they are most likely going to purchase the same products in the future. Customer satisfaction ensures profitability because it differentiates a firm from its competitors since, consumers purchase regularly where they are pleased with available products. If the customers are satisfied, they keep returning for the product even many years down the line. This means that the firm is assured of loyalty and recurring customers for its products, and this beats the competition in large scales. In this way, the sales increase, and the profits of the business grow as the customers remain satisfied (Deptolla, 2004).

Conclusion

Marketing is an important aspect of any business growth and development in order to boost sales and revenue. Through marketing, the business expands its market share to reach more customers and grow its operations. This boosts the company competitive edge because its products are reaching a wide area. Additionally, customer satisfaction remains a significant marketing strategy because satisfied customers come back for the same product, brand loyalty is created, and word-of-mouth referrals attract more clients. All these attribute boost sales and in addition, they result to more returns for the business.

References

Hill, C., & Jones, G. (2013).Strategic Management: An Integrated Approach (10 ed.). Mason: Cengage Learning.

Deptolla, A. (2004). Effects of customer satisfaction on the company’s sales success. Munich: GRIN Verlag.

Need assistance with this?