Effectiveness and sufficiency in organizational performance

Marketing Effectiveness and Efficiency

Marketing Effectiveness

Marketing effectiveness means combining the advances in marketing, sales and service - from anywhere in the world - to change how marketing works. The effect of the combination requires coherence and cost-advantage for capitalizing on the marketing effectiveness. It requires a merging of customer database, market research department into a customer insight department. Similarly it requires merging of individual channels, such as mail, call centers and the e-channel. In this case, brand is no longer the preserve of the brand manager and the advertising agency - it is a shared accountability.

Marketing effectiveness requires quick feedback and this acceleration of the feedback loop into real time has put new pressures on marketing managers - they need to understand more quickly in order to react coherently.

In case of the marketing effectiveness the marketing manager will require to interact with several people at the similar rank so that the customer is satisfied with the services provided by the company (Walker, 1999).

This is a holistic view of the marketing.

Marketing Efficiency

In this perspective, marketing is considered a large operating expense. Therefore, the main idea of the managers are to improve their departments' results, eliminate redundant communications tactics, and reorganize budget items to work together to make the most of what they spend. In other words, the efficiency perspective is a traditional view of marketing, in which each strategic business unit looks to reduce their operating expenses but there is no coherence about the customer service per say. In this kind of situation, the marketing manager will be mostly concerned about its own department so that it could reduce the selling expenses or advertising expenses, or may lay off several sales people to reduce the operating expenses.