Sales and marketing management Marketing: communicating superior customer’s value

Marketing is the art and science of choosing target

market and getting, keeping and growing customers through creating, delivering and

Marketing is an ongoing process of defining, anticipating, and creating customers need and wants and of organizing all the resources of the enterprise to satisfy customer demands at the desirable profit to the firm and also benefits to the customers. Marketing is used to identify the customer, to keep the customer, and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management. Marketing evolved to meet the stasis in developing new markets caused by mature markets and overcapacities in the last 2-3 centuries. The adoption of marketing strategies requires businesses to shift their focus from production to the perceived needs and wants of their customers as the means of staying profitable. The term marketing concept holds that achieving organizational goals depends on knowing the needs and wants of target markets and delivering the desired satisfactions. It proposes that in order to satisfy its organizational objectives, an organization should anticipate the needs and wants of consumers and satisfy these more effectively than competitors. The marketing concept emerged in the mid 1950 and challenged the preceding concept .

set of institutions. . partners.Ideally. marketing should result in customer who is ready to buy.delivering and communicating superiors customer values to its chosen target market . delivering. offering and freely exchanging products and serve of value with others” As per marginal definition marketing is “art of selling products” • Peter drucker:-the aim of marketing is to know and understand the customers so well that the product on services fits him and sell itself . communicating.The marketing concept holds that the key to achieving its organizational goals consists of the company being more effective than competitor in creating . and society at large. and exchanging offerings that have value for customers." As per Social definition of marketing (Philip kotler) “Marketing • is a social process by which individual and groups obtain what they need and want through creating. and processes for creating. clients. Definition • Marketing is defined by the American Marketing Association (AMA) as "The activity.

leading & controlling organizational resources. . Sales:activity. a seller agrees upon a price at which he willingly parts with ownership of or any claim upon the item. psychology. distribution and selling but now. the obligation for which arises due to the seller's requirement to pass ownership. sales. There follows the passing of title (property or ownership) in the item. anthropology and neuroscience. business planning and execution. The purchaser. the sale remains valid and gives rise to an obligation to pay. mathematics. The overall process starts with marketing research and goes through market segmentation. though a party to the sale. ending with pre and post-sales promotional activities.the provider of the goods or services . does not execute the sale. Revenue. training. sociology.completes a sale in response to an acquisition or to an appropriation or to a request. If the seller completes the first two above stages (consent and passing ownership) of the sale prior to settlement of the price. Ideally. staffing.Marketing practice tended to be seen as a creative industry in the past. which included advertising. Sales management is attainment of an organization's sales goals in an effective & efficient manner through planning. A sale is the pinnacle activity involved in the selling products or services in return for money or other compensation. the academic study of marketing makes extensive use of social sciences. only the seller does that. To be precise the sale completes prior to the payment and gives rise to the obligation of payment. The marketing literature is also adept at re-inventing itself and its vocabulary according to the times and the culture. and sources of funds fuel organizations and the management of that process is the most important function. economics. It is also related to many of the creative arts. and the application and due settlement of a price. It is an act of completion of a commercial The seller .

in terms of today’s products and markets. Wants of buyers are stressed in marketing. Difference between sales and marketing Selling g Emphasis is on the product Emphasis is on customers wants It starts with the seller and is Here company first determines preoccupied all time with the needs customer’s wants and then figures of the seller out how to designe and deliver a product to satisfy those wants. Planning is long –run-oriented. Needs of sellers are stressed in it. It views the customers as core of the business and sees business from the point of views of the . It is pre-occupied with the seller’s need to convert his product into cash. It views the customers as the last link in the business. In it buyers is the centre of the and activities start with the seller’s business universe and activities existing products. Management is sales –volumeoriented. It is based on push approach It believes on ‘pull approach’ Marketin Seller is the center of the business. It is pre-occupied with the idea of satisfying the customer’s needs into products. in terms of new products. follow the buyer and his needs. tomorrow’s markets and future growth. Management is profit-cumcustomer satisfaction oriented. Planning is short –run-oriented .

In part. and industry context. in a large consumer products company. the marketing manager may act as the overall general manager of his or her assigned product. To create an effective. the discipline of marketing management often overlaps with the related discipline of strategic planning. customers determine the price. Approaches to marketing . and composition of customer demand accepted definition of the term. firms must possess a detailed. In analyzing these issues.[1] Marketing managers are often responsible for influencing the level. Rapidly emerging forces of globalization have compelled firms to market beyond the borders of their home country making International marketing highly significant and an integral part of a firm's marketing strategy. objective understanding of their own business and the market in which they operate. Here emphasis is placed on the integrated marketing and all marketing tasks are coordinated and integrated. It views business as a ‘goods producing process’ Here emphasis is given on the needs of the customers. It views business as a customers satisfying process Marketing management:-at a glance Marketing Management is a business discipline which is focused on the practical application of marketing techniques and the management of a firm's marketing resources and activities. Here cost determines the price. In it emphasis is given on saleable surplus with the corporation. cost-efficient Marketing management strategy. In it.customers. emphasis on ‘somehow selling’ and there is no coordination among the different functions of the total marketing tasks. timing. In it. this is because the role of a marketing manager can vary significantly based on a business' size. For example. corporate culture.

this entails simply selling an already existing product. people would buy and consume the product. Thus. Such an orientation may suit scenarios in Product Quality of the product Selling Selling methods . Consequently. until the until the minimum efficient scale is reached. and not determining new consumer desires as such. this signifies a firm exploiting economies of scale. relates to a perception or attitude a firm holds towards its product or service.An orientation. The product orientation and The selling orientation Western Orientatio Profit driver European n timeframe Description Production Production methods A firm focusing on a production orientation specializes in producing as much as possible of a given product or service. essentially concerning consumers and end-users. A firm would also assume that as 1960s long as its product was of a high standard. Throughout history marketing has changed considerably as consumer tastes are changing faster The marketing orientation evolved from earlier orientations namely • • • The production orientation. and using promotion techniques to attain the highest sales possible. coupled with a good certainty that consumer tastes do not rapidly alter (similar to the sales orientation). in the marketing context. A firm employing a product orientation is chiefly concerned with the quality of its own until the product. 1950s and A firm using a sales orientation focuses 1960s primarily on the selling/promotion of a particular product. A 1950s production orientation may be deployed when a high demand for a product or service exists.

Marketing Structure marketing analysis was structured into three areas: Customer analysis. a firm would employ market customers research to gauge consumer desires. Company analysis. and thus supplying Needs and 1970 to products to suit new consumer tastes. More recently. As an wants of present day example. with little likelihood of changes in consumer tastes diminishing demand. and analysis of the industry Context. It involves a firm essentially basing its marketing plans around the marketing concept. The 'marketing orientation' is perhaps the most common orientation used in contemporary marketing. Competitor analysis. Collaborator analysis. it has become fashionable in some marketing circles to divide these further into certain five "Cs": Customer analysis. Company analysis. or otherwise sells a product that is in high demand. use R&D to develop a product attuned to the revealed information. and Competitor analysis (so-called "3Cs" analysis). Marketing environment .which a firm holds dead stock. and then utilize promotion techniques to ensure persons know the product exists.

Money. economics and technology. Materials and Markets. politics. It is continuously changing. The internal environment is as important for managing change as the external. and the marketer needs to compensate for changes in culture. It includes suppliers that deal directly or indirectly. Globalization means that there is always the threat of substitute products and new entrants. There may be aggressive competition and rivalry in a market. They are generally audited by applying the 'Five Ms' which are Men. A company does not generally influence any laws (although it is accepted that they could lobby or be part of a trade organization).The micro-environment:-This environment influences the organization directly.' Marketing research . All factors that are internal to the organization are known as the 'internal environment'. consumers and customers. but that are out of their direct control. and the company needs to be flexible to adapt. Machinery. As marketers we call the process of managing internal change ' internal marketing. The wider environment is also ever changing. and other local stakeholders The macro-environment This includes all factors that can influence and organization. The internal environment.

recording. The marketing –mix . Marketing research is often partitioned into two sets of categorical pairs. by methodological approach:   Qualitative marketing research. Market segmentation can be defined in terms of the STP acronym. firms are taking note of the benefit of servicing a multiplicity of new markets. which involves the conduction and compilation of research for the purpose it was intended. and analysis of data about issues relating to marketing products and services. Market segmentation Market segmentation pertains to the division of a market of consumers into persons with similar needs and wants. but often used to support another purpose or end goal. Target and Position. Marketing research. meaning Segment. segmentation allows a better allocation of a firm's finite resources. either by target market:   Consumer marketing research. First. and Business-to-business (B2B) marketing research Or. and Quantitative marketing research The goal of marketing research is to identify and assess how changing elements of the marketing mix impacts customer behavior.Marketing research is the systematic gathering. A firm only possesses a certain amount of resources. Furthermore the diversified tastes of the contemporary Western consumers can be served better. can be divided into the following parts:  Primary research (also known as field research).  Secondary research (also referred to as desk research). Accordingly. With more diversity in the tastes of modern consumers. as a sub-set aspect of marketing activities. The purpose for market segmentation is conducted for two main issues. is initially conducted for one purpose. alternatively. it must make choices (and appreciate the related costs) in servicing specific groups of consumers.

Promotions 4. involving person to person contact              Pro forma sales Agency-based Sales agents (for example in real estate or in manufacturing) Sales outsourcing through direct branded representation Transaction sales Consultative sales Complex sales Consignment Telemarketing or telesales Retail or consumer Traveling salesman Door-to-door methods hawking Indirect. product 2. Place • Sales at glances A sale can take place through: Direct sales. Elements of marketing mix : McCarthy has given 4 Ps of marketing –mix 1. Price 3.Marketing –mix can be described as a judicious\s mixture of the desired elements of marketing to attain profitable sales volume and maximum consumer satisfaction. human-mediated but with indirect contact Mail-order Vending machine Sales methods: .

            Selling technique IMPACT Selling SPIN Selling Consultative selling Sales enablement Solution selling Conceptual Selling Strategic Selling Sales Negotiation Reverse Selling Paint-the-Picture The take away Sales agents Agents in the sales process can represent either of two parties in the sales process. 4. The seller owes no responsibility to either party getting a fair or honest deal. 6. and therefore turn prospective customers into actual ones. Transaction broker: This is where the salesperson doesn't represent either party. . but handles the transaction only. educate prospects. fill needs and satisfy wants of consumers appropriately. 2. and is responsible to both. This is most often applied in large transactions. 5. 3. A good salesman should never mis-sell or over-evaluate the customer's requirements. The role of the salesman here is to oversee that both parties receive an honest and fair deal. Disclosed dual agent: This is where the salesman represents both parties in the sale and acts as a mediator for the transaction. Salesmen: The primary function of professional sales is to generate and close leads. Sales broker or Seller agency or seller agent: This is a traditional role where the salesman represents a person or company on the selling end of a deal Buyers broker or Buyer brokerage: This is where the salesman represents the consumer making the purchase. just that all of the papers are handled properly. Sales managers: qualified and talented sales managers aim to implement various sales strategies and management techniques in order to facilitate improved profits and increased sales volume. for example: 1.

and training needs. in many out-bound sales environments. Marketing improves the selling environment and plays a very important role in sales. . not just as the output of one department. creating new sales channels. many marketing and advertising executives often lose sight of the objective of sales/revenue/profit. One further common complication of marketing involves the inability to measure results for a great deal of marketing initiatives. the typical process includes out-bound calling. Each step of the process has sales-related issues. "sales" and "marketing" (among others. web site) and/or salesperson. as well as marketing solutions to improve each discrete step. Most large corporations structure their marketing departments in a similar fashion to sales departments and the managers of these teams must coordinate efforts in order to drive profits and business success. or creating new products (new product development). such as "customer service") label for a number of processes whose inputs and outputs supply one another to varying degrees. From this perspective. skills. the sales pitch. opportunity identification.a fundamental pitfall of marketing for marketing's sake. as in any system. For example. without concern for the top or bottom lines . but have the same goal. as they focus on establishing a creative/innovative program.The relationships between sales and marketing Marketing and sales differ greatly. A marketing department in an organization has the goal increasing the number of interactions between potential customers and the organization. that can benefit sales. A good marketing program would address any potential downsides as well. and the close. as well as the whole process. sales promotion. since the component functional areas interact and are interdependent. In essence. and public relations. among other things. improving an "output" (such as sales) involves studying and improving the broader sales process. an "inbound" focused campaign seeks to drive more customers "through the door". giving the sales department a better chance of selling their product to the consumer. Sales management would break down the selling process and then increase the effectiveness of the discrete processes as well as the interaction between processes. In this context. The relatively new field of sales process engineering views "sales" as the output of a larger system. handling objections. Achieving this goal may involve the sales team using promotional techniques such as advertising. The larger system includes many functional areas within an organization. For example. The sales department would aim to improve the interaction between the customer and the sales facility or mechanism (example. publicity. If the marketing department generates a list of potential customers.

Many companies find it challenging to get marketing and sales on the same page . handle very similar concepts and have to work together for sales to be successful.The two departments.even in a down economy. Building a good relationship between the two that encourages communication can be the key to success . although different in nature. .

Sign up to vote on this title
UsefulNot useful