Marketing control is the process of monitoring the proposed
plans as they proceed and adjusting where necessary.
Marketing control is a step through which the success of
marketing efforts can be assessed present and prospective
problems could be identified and steps are taken to resolve them
in order to achieve marketing goals.

“Marketing control is the
process of taking steps to
bring actual results and
desired results closer
together”
---Philip Kotler
“It is concerned with analyzing the performance of marketing decisions, uncovering
the performance problems of opportunities and taking corrective actions to resolve
the problems or to take advantages of the opportunities”.
--- Cravens

• To achieve objectives.
• To make the plan successful.
• To formulate and modify marketing strategies
• To adjust with external environment.
• To measure and evaluate effectiveness of marketing efforts.
• To achieve better coordination
• To rectify mistakes

Significance Of Marketing Control
Place the organisation in the right direction.
Identifies the responsibilities.
Absorb organisational complexity.
Changes in formulation of plans .

Helps in keeping all marketing operations in right direction
Helps in improving the performance of marketing department
Helps in better utilization of marketing resources
Improve the effectiveness of marketing planning
Helps marketing manager to delegate his authority to the lowest possible
extent
Minimizes the chance of mistakes
Helps in coordination of the activities of the various department
Helps in marketing decision-making

Marketing Control Process
1. Establishing Standards of Performance
2. Measuring Performance
3. Comparing Performance against Standards
4. Corrective Actions

1)Annual Plan Control
Annual Plan control consists of many tools all of which are used to
establish whether the targets set in the company’s annual plan have been
achieved or not.
The company adopts a management by objectives methodology in four steps:-
1. Sets monthly or quarterly sales targets
2. Closely watches the product’s performance in the selected areas.
3. Identifies significant differences between actual sales and the set targets and
the reasons and causes therefore
4. Takes necessary steps to correct the situation and reduces the gap between
the targets and sales actually achieved .

Plan performance are regularly checked using the five tools described
as follows:-
 Sales Analysis
In this technique actual sales is compared with the targeted sales.
 Market Share Analysis
Sales analysis does not reveal how well the company is performing
relative to competitors. It is helpful in identifying whether the change in
sales due to change in external environment or it is the internal
weaknesses of the company.
Competitors market share evaluation
 Marketing Expense Analysis
Annual plan control requires making sure that company is not
overspending to achieve sales goals.

 Financial Analysis:
Marketers are using financial analysis to find
profitable strategies beyond sales building. (Ratio
analysis is very useful here. Profitability and turnover
ratios are very famous)
 Customer Attitude tracking:
It is the method to track customer attitude and
satisfaction (It is a qualitative term. Identification of
customers, dealers and other employees.
1.Feedback or suggestion system
2.Customer panel
3. Customer surveys

 More Information Analysis
 All the controls discussed so far have been financial
in nature. Companies also need to analyze
information available in their markets.
 New consumer added
 Preferences of targeted market
 Unhappy, disappointed customers
 Product quality
 Consumer dropped
 Quality of service
 Relative awareness in the market segment

2.Profitability
Control
 Profitability control and efficiency control allow a
company to closely monitor its sales, profits, and
expenditures.
 Profitability control demonstrates the relative profit-earning
capacity of a company’s different products and consumer groups.
 This control is to determine the actual profitability of the firms
products, territories, market segments and intermediaries.

It involves
1. Identifying Functional Expenses
2. Assigning Function Expenses to Marketing Entities
3. Preparing Profits and Loss statement
4. Taking Action

3.Efficiency Control
 Efficiency control involves micro-level analysis of the
various elements of the marketing mix,
including sales force, advertising, sales promotion, and
distribution.
Types of Efficiency Control:
1. Sales Force Efficiency Control
2. Advertising Efficiency Control
3. Sales Promotion Efficiency Control
4. Distribution Efficiency Control
5. Marketing Research Efficiency Control

A) Sales force efficiency -
Sales Manager needs to monitor the market
place signals with regard to the levels of
efficiency
B)Advertising Efficiency-
Generally accepted that one cannot assess or
evaluate the or evaluate the value received in
return for the money spent on advertisement.

C) Sales promotion efficiency-
To improve the sales promotion efficiency
,management should record the cost and sales impact
of each sales promotion.
D) Distribution efficiency-
The distribution efficiency decline when the
company experience their sales increase.

4.Strategic Control
 It is a in-depth study undertaken to examine whether the company is
pursuing its best opportunities with respect to markets and products.
Marketing department having policies, objectives, strategies and
programs are to be reviewed and changed periodically.
 Methods or Tools of Strategic Control:
1. The Marketing Effectiveness Review
2. The Marketing Audit
3. The Marketing Excellence Review
4. The Ethical and Social Responsibility Review

The marketing audit is a fundamental part of the
marketing planning process.
 It Is a Systematic, Comprehensive Analysis And
Interpretation Of Marketing Activities By Considering
Both Internal And External Marketing Environment.

What resources do we have at hand?
 MEN (Labour)
 MONEY (Finances).
 MACHINERY (Equipment).
 MINUTES (Time).
 MATERIALS (Factors of Production).

 customer
 Competitors
 Culture
 Economic aspects
 Legal aspects

 Comprehensive
 Systematic
 Periodical
 Independent
 Critical review
 Evaluation
 Opportunities and weakness
 Preventative and curative

 Marketing Environment Audit
 Marketing Strategy Audit
 Marketing Organisation Audit
 Marketing System Audit
 Marketing Productivity Audit
 Marketing Function Audit

 1 )Competitor Analysis
Competitor analysis involves checking out the new
products or services offered by your competitors,
examining their marketing strategies and determining
whether they are succeeding or failing with their
businesses
 2) Customer Analysis
An analysis involves gathering data about your
customers during or after check out and then tabulating
this information in a spreadsheet for comparison

3 )Testing Research
Once you identify a target customer base, you can determine
the potential success of a new product or service, the marketing
methods needed to promote and sell it and the financial impact of
a planned marketing strategy through prerelease group testing
4) Customer Feedback
Customer feedback is a marketing control technique similar
to testing research, but instead of gaining insight into future
products and services, you evaluate customers' opinions of
existing products or services and the marketing methods you
currently use

5)Cost Analysis
To perform a cost analysis, look at the current costs
involved with all aspects of your business including inventory,
distribution and the current costs of your marketing
strategies. After you determine the costs, compare the
numbers with your existing budget and the costs of alternative
marketing methods.

1. Marketing audit
2. Credit control
3. Budgetary control
4. Market share analysis
5. Swot analysis
6.Variance analysis

 Information
 Cost
 Actual measurement cant possible
 Experts needed
 Lead to change marketing policy
 Need of restructuring marketing strategy
 Difficult to small firm