subject: Marketing Vs. Advertising: What's The Difference? [print this page] The terms marketing and advertising are often misunderstood, and sometimes even used interchangeably. I want to clarify what each one means and explain the difference between the two. I believe that understanding what true marketing really is, is the most important factor that will determine either the success of failure of a business. Let us get to it.
What Is Marketing?
Marketing is the process by which companies build strong relationships with their customers by providing value to their customers, and are rewarded for their efforts. Marketing is not about closing sales, it is about BUILDING RELATIONSHIPS. Sales are the reward for the value provided to a customer. Sales are not the goal. People are the goal. Helping people, providing a solution to their need, offering them a product or service that benefits them, that is marketing.
When you hear the word marketing you should think "building relationships". That is the core value, the core definition of marketing. Don't think money, promotion, or sales. Think relationships. Maximized relationships. A relationship that is maximized is one that is built upon an exchange of value between two parties, and benefits all people involved. The skills of marketing are not related to selling and promoting, but are related to listening, understanding needs, connecting. An effective marketer knows how to identify a need, and then communicate clearly to the customer about how he can provide a solution, and make sure the problem is solved.
When marketing is correctly understood, the recipient is always the most important part of the equation, not the sale itself. Successful marketing will always lead to sales, but the sales must be interpreted as the reward, and never the goal. That is where business thrives and everyone involved is satisfied. Let's move on to advertising.
What Is Advertising?
Wikipedia has a very good definition: "Advertising is a form of communication used to persuade an audience to take some action with respect to products, ideas or services." Ok, so reading that statement, what would you say is the core value of advertising? What is the most central theme? One word: Persuasion. Advertising is all about persuasion and driving consumer behavior. A company is trying to cause people to make a certain decision that will lead to a purchase.
So how is that different from marketing? Marketing has nothing to do with persuasion. Marketing is about creating a strong relationship with a customer by providing them with value. In marketing, you are not trying to persuade a person to take a certain action to buy something. With advertising, the sale is the goal. Making money is the goal. With marketing, helping the person and connecting with them is the goal. It's very easy to see how these two concepts can be confused.
Am I saying that advertising is bad? No, not at all. It's a reality that oftentimes marketers have to spend money to make money. I am not placing a value judgment on either marketing or advertising, only seeking to distinguish the two independently. In order to use a strategy effectively, you first need to understand that strategy. How can you be a good marketer if you do not really know what marketing is?
Final Thoughts
Marketing then, is based around building relationships that provide value and service to people, and result in sales. The goal of marketing is about making and keeping relationships that benefit both sides. Advertising is about persuading people to take an action which leads to a sale. The goal of advertising is persuading a person to buy something. Effecting the behavior of a consumer. Do you get it?
