Logistics interfaces with Marketing
According to Wagner & Eggert (2016), "Logistics is related to the other half of marketing and plays an essential role in the physical movement and storage of the products". Interfaces with marketing are elaborated in terms of price, product, promotion, and place. The pricing decisions of logistics are related to carrier pricing and also with the volume of products that affect the storage and moving of products from one place to another. The quantity prices are adjusted so that organizations can ship the products at a reasonable price.
Next decision in marketing is related to the product. The changes in the product affect the container size and also the storage space. At the time of supplying the product, it is important to consider proper packaging of the products so that product can be prevented from any damage.
Decisions related to place is also related to the decision of distribution channels and it takes into consideration both transactional and physical decisions of distribution channels. Next is related to the promotion. At the time of promotion, the companies spend a large amount on national advertising campaigns so that sales can be improved. It is important for the companies who are taking into consideration promotional activities to inform its logistics manager so that proper quantity of inventory will be available for distributing it to the customers. Marketing can push and pull the products through distribution channels (Khan, 2014).
Khan, M. T. (2014). The concept of'marketing mix'and its elements (a conceptual review paper). International journal of information, business and management, 6(2), 95.
Wagner, S. M., & Eggert, A. (2016). Co-management of purchasing and marketing: Why, when and how?. Industrial Marketing Management, 52, 27-36.