Do you remember pagers? When you saw last on road a hybrid 2-wheeler- a typical mix of bicycle and scooter? How many of you purchased VCD players no sooner it was out in market, and lately thanked for not buying soon VCD player in jiffy as DVD players flooded the market in short time soon thereafter? Are you sure mini domestic air coolers is still a choice of mass when compared to low cost ACs?

What happened to the large investments and borrowings made for manufacturing of these products? Where did the financial projections stood even though they were made for even 3-5 years for seeking bank loans, investors' money and very often for IPO subscriptions? Whether and what care was taken in SWOT for the constantly changing leading edge technology in products' manufacturing and the marketing needs? All the figures derived for the market size, customers, competition have miserably gone wrong. As a result the promoters, banks, institutions and stake holders might have found tough time for ROI. What happened to project reports without specifics in marketing reality check?

These are some of the examples entirely based on facts like companies performances in the past, capability of reaching volumes and current financial strength. Reality in marketing very often is missing. Business is marketing. Marketing is an important business function besides innovation. To understand the dynamics of complex markets is not everyone's cup of tea, not even for the recent management graduates. One needs a variety of industry and market experience, exposure beside marketing expertise. It is said in US, that time before a new chip comes out from the company in the market, the chip and the product using the chip get outdated. We may not talk about this extreme saying, but it is important to forecast the sustainability of project and projections made for 3-5 years with all internal as well as external factors, though in place today, but needs a marketing reality check. Beyond a preliminary care taken while making financial projections and qualifying companies for possibility of growth in situations like some described above, isn't it justify figures to be inaccurate, unless a marketing reality check is made. FIs and investors must take opinion of marketing, trade and industry experts before investing. A new technology, change in customer behaviour, local to global competition etc. also bring untimely death of industry.

What is Marketing Reality Check?

By its meaning, Reality Check is an assessment to determine if one's current circumstances, performance standards, available financial resources and expectations, whether really confirm to reality in marketing i.e. developing further business, more customers, profitable and long term revenue generating business. Understanding execution process – besides financial angle, you need to really understand your marketing and sales cycle and your customer's buying process. Reality Check answers Dos & Don'ts, Whys and Why Not? Reality Check offers everything by topic and creates a logical start-to-finish flow for each section, from competitors to customers, sales to service. 

Marketing Reality Check (MRC) is an independent, third party comprehensive assessment of risk involved in financial projections due to dynamics of market as an impact of economy, globalization, liberalization and industrialization, its impact on company's performance and additional financial burden to meet the challenges of 3Cs of Marketing viz. change, customer and competition. MRC also assess technological, operational, managerial, promotional, distribution standards and excellence, brand equity and fund allocation in subsequent years for business development and marketing – whether it is sufficient enough for survival, growth and achieving targeted figures, reach bottom line for timely repayment and overall profit accumulation for company.

Page 123