There was a time when the difference between marketing and advertising did not exist. By then, the two terms were used interchangeably, similar to the way people might use “special” and “unique,” even though they have different meanings.
But the difference between marketing and advertising has come to light over the years, and it lies in fulfilling two very different functions. In reality, marketing is the term that encompasses the introduction of a product or service into the marketplace, and advertising is a component of marketing. To successfully execute marketing and advertising strategies, it is necessary to understand the differences and become familiar with the current uses of the words.
In addition, while it is not necessarily the most important thing to know as a marketer, it will certainly help communication between different departments and customers. This will allow groups to have more productive conversations and make those discussions more effective in achieving the intended goals and results.
What is marketing?
According to the American Marketing Associationthe agreed definition of marketing is “the activity, set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers, partners and society at large”.
Simply put, marketing is the business practice of identifying, predicting and satisfying customer demands. This information can be obtained from market research conducted by a company. Companies use this market research to develop overall strategies that help identify the best way to serve a customer base, with the goal of increasing revenue at the same time.
Through market research, marketing departments are also responsible for understanding the competitive landscape, how to price products or services to be competitive, and monitoring the effectiveness of all related efforts.
Within an organization, marketing is the team and process that supports all efforts to reach customers where they are and meet their needs, including through advertising. Together, these efforts make up the marketing mix, which is a general phrase that describes the process of bringing a product or service to market.
Synonymous with the marketing mix – and the area where strategic marketing planning comes into play most – are the 4Ps of marketing: product, price, place and promotion.
Product. The product refers to the goods or services that a company offers to its customers. Ideally, the product should satisfy an existing customer demand or be sufficiently compelling that consumers believe they need to have it, thus creating new demand. To be successful, marketers must understand the full product life cycle and have a plan for dealing with products at each stage of their life.
Price. Price is the cost of the product or service that the customer pays. Marketers set the price in a competitive market to show the real or perceived value of the product. There is much to consider when setting a price, such as supply costs, seasonality, the competitive landscape and discounts allowed at any given time, if applicable.
Place. Marketing teams determine where a product is sold and how it is delivered to the market. The goal of company managers is to always have products and services in front of customers at the time they are most likely to buy. In some cases, this refers to placing a product in a particular store or finding the right location on relevant websites.
Promotion. Promotion of a product or service is where advertising enters into the marketing strategy. Promotion-which includes public relations and advertising-shares the goal of creating awareness to help customers understand why they need it and why they should pay a certain price for it. Placement and promotion often go hand in hand, as together they are used to reach the target audience with the right message where they are.
Marketing responsibilities
Marketing plays an important role in promoting a company’s products and services in a market. Its job is to reach potential customers, clients and other key stakeholders by creating a product image that appeals to buyers. Although every company is different, marketing responsibilities reflect some of the following:
- defining and managing the brand
- managing marketing campaigns
- production of marketing and promotional content and materials
- performance marketing and competitor research
- managing and overseeing social media channels
- production of internal communications;
- acting as liaison with the media and press; and
- managing external vendors or agencies.
Marketing techniques
Many different marketing techniques are available to marketing teams, and each type requires its own strategic approach to execution. The most common types of marketing are as follows:
Digital marketing.
Today, digital marketing has a high priority as a marketing engagement tactic. By communicating with potential customers through website content, email campaigns, social media and advertising, companies can reach and engage with prospects in a way that can track ROI.
Traditional marketing.
Along with digital marketing activities, traditional marketing uses other channels to reach target consumers. Through print, radio, billboards and television, brands promote their messages to audiences. Not investing in traditional marketing is closing the doors to a portion of your audience.
Social media marketing.
The most common type of social media marketing is organic, where posts on a page reach the audience of followers. However, going further, social media marketing also involves investing in and being able to pay for targeted ad placements.
Global marketing.
Global marketing strategies allow companies to deploy a unified approach to reach customers locally, regionally, nationally and internationally.
Relationship marketing.
Relationship marketing creates a 1-to-1 relationship with potential customers, appealing to their individual needs to establish a loyal customer base.
Brand management.
Brand management attempts to create a strong link between the company and the customer. It is important to evaluate the types of products or services offered, how they would appeal to the target audience, and correlate the mission or brand with market needs.
What is advertising?
Advertising is the process of making a product or service known to an audience. It takes the overall marketing strategy developed by executives and addresses the P of “promotion” of the 4Ps of marketing. Advertising involves the development of messages that present the brand’s products, services and ideas to the world.
In simplest terms, advertising gets the word out about products, relying on timely offers, creative positioning and the right messaging to ensure that a product resonates with the target audience.
Advertising campaigns use a combination of communication channels to generate interest in a product, casting a wide net to reach customers where they are, as each consumer relates differently to a brand. This establishes a one-way communication channel, where companies can spread the message to a general audience.
Responsibilities of advertising
Advertising is a way of communicating directly with a target audience by putting marketing strategies in front of them. Often, advertising is done through paid promotional strategies to get that method across. This advertising is targeted – whether in digital ads or a full-page ad in a magazine – and there is a cost associated with promoting the marketing message.
- educate the customer about products or services
- improve brand awareness
- generate demand for products and services
- attract new customers; and
- retain existing customers.
Advertising techniques and types of advertising
Advertising, as a unique component of the marketing process, is about ensuring that the word gets out about the products and services offered. There are several types of advertising that can accomplish this, including the following:
Traditional advertising.
This refers to the placement of advertisements in traditional media such as print, radio and television.
In-store advertising.
Advertisements are placed in retail locations to encourage purchase through eye-catching displays and attractive offers.
Online advertising.
Refers to the placement of ads on the Internet within owned media, such as a Web site. This category also includes several subcategories, including the following:
Mobile advertising.
Includes push notifications from apps and in-app advertising. But it can also be in the form of mobile-optimized banners and click-to-call ads.
Pay-per-click advertising.
This is an online ad that is used to drive traffic to a specific campaign page or website. It can be done through search engine marketing, where a company pays for clicks on ads that appear in Internet searches. Display advertising is also used on various websites to target users who have shown interest in the past.
Social media advertising.
Like pay-per-click advertising, social media advertising allows ads to be placed on social media platforms where they can be targeted based on demographic or retargeting information.
Outdoor advertising.
This can also be considered a form of traditional advertising, as it includes billboards and other placements on structures located in highly trafficked areas, but it also includes more experiential marketing. Experiential marketing is a concept that uses in-person ad placements to deeply engage and interact with audiences.
As you will notice, the difference between marketing and advertising is more than obvious, one is more general and the other more specific , which we can summarize in that advertising is a marketing strategy. Perhaps the only obvious similarity is that they are oriented to a consumer or target audience
