Marketing audit is a formal and systematic reviews on strategies and marketing plans are taken. Audits can be carried externally by independent auditors or internally by the marketing department. Auditing is the test records and procedures and identify problems in the environment, the organization and between organizations with their suppliers. The goal is to see how well the company implemented the concept of marketing-creating value for customers in rate of profit. Marketing audit allows management to look far beyond the routine reporting of sales and market share forecasting. Managers can use the audit to check the productivity of marketing costs that have been planted.
Why Audit Needed?
Often the need for audit do not appear before all things have been turned into one of the first-declining sales, falling margins, loss of market share, production capacity unused completely. At this time, management often try to correct the wrong symptoms. Introducing new products or interesting products, reorganizing the sales force, reduce prices, and cost cutting are just a few of the usual action taken. However, these measurements tend to be more effective if fundamental problems are not identified. Even if it can survive long enough in tempo, the company actually solve their problems through a process of elimination. Problems should be quickly defined, and the audit is one way to help define it.
In short, the audit is a structured approach to collecting and analyzing information and data in complex business environments and is an important prerequisite in solving the problem.
Companies that perform audit was faced with two types of variables. The first is a variable that can not be controlled directly by the company. These variables usually take the form of what can be described as an environment variable, market, and competition. The second is a variable that can be fully controlled by the company. This variable we call the operational variables. This variable gives us some direction on how to form an audit, ie, in the form of external audit and internal audit.
External audits related to the variables that can not be controlled, and internal audit related to the variables that can be controlled. External audit begins with an examination of information about the state of the economy in general, and continued with a view to the health and growth of the markets served by the company. The purpose of internal audit is to assess the organization’s resources in relation to environmental and resource competition.
When Marketing Audit Performed?
A mistake that some believe is that the marketing audit is the latest effort to define a company’s marketing problem, or at least something good is done by an independent body from time to time to ensure that a company is on the right path. Since marketing is a function that is so complex, we believe that it is very necessary to realize a comprehensive analysis, at least once a year at the beginning of the planning cycle.
Companies that succeed, in addition to using the information, control procedures, and marketing research are normal throughout the year, start planning cycle each year with a formal review, through a sort of audit process, of all the factors that have an important influence on marketing activities.
Who Should Perform Marketing Audit?
An important issue in the marketing audit is who should do it. Whether the audit should be carried out by executives and managers of the company or by outside consultants? We believe that it is wise to periodically engage outside consultants to conduct a marketing audit. Every company has a risk of blindness to reality because of the influence of corporate culture. This is particularly true for companies that have a great product, or worse yet, that magnificent. There will be no internal audit that can penetrate a “superioty complex” company or organization, which could result in companies losing their ability to understand what consumers want and need.
Not much, if any, outside consultants who have thorough knowledge of the market, consumer, corporate culture, and industry as a company owned by line managers. This is the reason for doing an audit by the line manager in the ditanggungjawabinya company. Audit objections to these types of issues revolves around the lack of time and lack of objectivity