The Role of PEST Analysis in Marketing

by Shamsul
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The Role of PEST Analysis in Marketing


Basically, the main purpose of marketing is to encourage people to purchase your product. It is a kind of creative message that is designed specifically to catch the attention of customers. The role of PEST analysis or Pestle analysis is very important in marketing. Therefore, you can consider social media and plenty of marketing platforms for advertising your product or services. Marketing is a virtual connection between the customer and business and it represents the interest of both parties. Today, marketing is all about innovation and technology because of the immense popularity of social media or digital media.

In this section, you can take the example of Steve Jobs. They hired the services of a prestigious ad agency to promote their smartphones and tablets. Due to effective marketing, they gained immense recognition from people. We have mentioned many times that you should add some important factors such as pricing, packaging, and promotion in your promotional or marketing strategy. Well, marketing is not our main topic in this article. We will discuss the role of PEST analysis in marketing because these factors are also important for your business.


PEST is a tool to analyze the external factors of any business such as political, economic, social, and technological. In this article, we will talk about the function of PEST analysis in marketing. Let’s start.

Politics in PEST Analysis:

Whether you are working domestically or globally, government intervention and decisions can affect your business performance. Tax laws, trade restrictions, and employment policies can heavily impact your business (directly or indirectly). Foreign marketing and political stability are two important factors that can also affect your performance.


It is really easy to understand the economic factor. Thus, there are several economic factors like disposable incomes, inflation, exchange rates, and interest rates that can influence your organization or business. These factors determine the future of your business.


In this section, the culture of the society and people’s behavior are two major things. Moreover, purchasing power, ethics, population trends, and media are really important things in the social segment. These things show that where you need improvement in your working and selling behavior.


In production, communication, and distribution, you need advanced technology. Thus, these things ensure your competitiveness in the related market and bring some important edge. You should update your technology on a priority basis.

PEST Analysis in Marketing:

Keep in mind that PEST analysis only gives insight into external factors. It shows the major contributions of any organization’s marketing strategies. For instance, if you don’t consider social factors seriously then you will lose sales and also experience legal problems. Social factors are directly associated with the people and society in which you are operating. If you don’t follow rules and regulations then it can offend your audience. You have to design your marketing strategy according to the region and culture. On the other hand, if you fail to exploit digital marketing then there is a chance that you will lose a major portion of your customers. These are some important PEST factors that improve your marketing strategy.


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Read More:

PESTLE ANALYSIS and Its Impacts in Marketing

PESTLE Analysis of Starbucks | Starbucks PESTLE

Difference Between PESTEL or PESTLE Analysis


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