In order for the marketing bridge to work correctly — providing consumers with opportunities to purchase the products and services they need – the marketing process must accomplish nine important functions. The functions are:
- Buying – people have the the opportunity to buy products that they want.
- Selling – producers function within a free market to sell products to consumers.
- Financing – banks and other financial institutions provide money for the production and marketing of products.
- Storage – products must be stored and protect ed until they are needed. This function is especially important for perishable products such as fruits and vegetables.
- Transportation -products must be physically relocated to the locations where consumers can buy them. This is a very important function. Transportation includes rail road, ship, airplane, truck, and telecommunications for non-tangible products such as market information.
- Processing – processing involves turning a raw product, like wheat, into something theconsumer can use – for example, bread.
- Risk-Taking – insurance companies provide coverage to protect producers and marketers from loss due to fire, theft, or natural disasters.
- Market Information – information from around the world about market conditions, weather, price movements, and political changes, can affect the marketing process. Market information is provided by all forms of telecommunication, such as television, the internet, and phone.
- Grading and Standardizing – Many products are graded in order to conform to previously determined standards of quality. For example, when you purchase US No. 1 Potatoes, you know you are buying the best potatoes on the market.