Managing Accounting and Financial Aspects of Marketing

Sa？etak In marketing management everyday work the emphasis is on development of creative concepts, execution of marketing promotions and choosing of correct channels for communication with target consumers, which depends on a number of factors. Often marketing employees strongly believe that activities such as budgeting related to marketing activities, monitoring of budget spend and calculationsof return on marketing investment belong to the scope of accounting and finance. The aim of this paper is to highlight the necessity of improvement of financial literacy of marketing employees, which would enable them to regularly measure marketing efficiency and marketing profitability. Apart from controlling implementation of marketing programs and apart from performing marketing audits, marketing employees also have to monitor company’s marketing budget spend in order to make sure there is little deviation from marketing plan and that marketing costs are rational. In negotiations with vendors, they need to analyse cost structure, conditions of invoicing and payment, and when they report to management, they need to perform analyses, generate exact calculations, and also make conclusions based on numerical data and suggestions for future actions. Better understanding of accounting and financial aspects of marketing can improve cooperation of marketing function with other business functions. Determining of contribution of marketing activities to company’s financial results and clear reporting of it will make marketing function more credible