What are the effects of marketing costs on profitability?
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Answer:
Marketing costs will affect the bottom line of any business much the same as employee payroll, IT department, or any other business expense. Can marketing expenses be justified? My answer is yes. Without marketing you cannot have a business retain profits for any extended length of time. Marketing gets your products placed and sold. Marketing retains your customers and keeps them loyal. Marketing builds investor confidence. Marketing builds your company reputation. Marketing creates new rewarding relationships with potential customers. Marketing educates your sales force. Marketing creates a very loyal workforce. Marketing builds your brand equity. Marketing does even more than what I have just listed ...
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