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Sales and Marketing

A Presentation
made on November 3, 2017, by
TVG.Ramanathan, M.Sc., MBA., CAIIB
at
DC College, Vagamon
Marketing Vs. Sales
Marketing and sales are both aimed at
increasing revenue.
Then what is the difference
between them?
::ACTIVITY::
Discuss and list them.
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Sales vs Marketing Activities
The typical goal of marketing is to generate interest in the product and
create leads or prospects.
Marketing activities include:
Consumer research to identify the needs of the customers
Product development designing innovative products to meet
existing or latent needs
Advertising the products to raise awareness and build the brand
Pricing products and services to maximize long-term revenue
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Sales vs Marketing Activities

On the other hand, sales activities are focused on converting


prospects to actual paying customers. Sales involves directly
interacting with the prospects to persuade them to purchase the
product.

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Marketing vs. Sales

Marketing thus tends to focus on the general population (or, in any


case, a large set of people) whereas sales tends to focus on individuals
or a smaller group of prospects.

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Comparison chart of Marketing and Sales

Let us now attempt a comparison of Sales and Marketing in more detail


for our clear understanding, before we proceed any further.

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Comparison chart of Marketing and Sales

Marketing Sales

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Definition

Marketing is the systematic A sale a transaction between two


planning, implementation and parties where the buyer receives
control of business activities to goods (tangible or intangible),
bring together buyers and sellers services and/or assets in exchange
for money

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Approach
Broader range of activities to sell Make customer demand match
product/service, client the products the company
relationship etc.; determine future currently offers
needs and has a strategy in place
to meet those needs for
the long-term relationship

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Focus
Overall picture to promote, Fulfil sales volume objectives
distribute, price
products/services; fulfil
customer's wants and needs
through products and/or services
the company can offer

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Process
Analysis of market, distribution Usually one to one
channels, competitive products
and services; Pricing strategies;
Sales tracking and market share
analysis; Budgeting

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Scope
Market research; Advertising; Once a product has been created
Sales; Public relations; Customer for a customer need, persuade the
service and satisfaction customer to purchase the product
to fulfil her needs

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Horizon

Long term Short term

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Strategy

Pull Push

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Priority
Marketing shows how to reach to Selling is the ultimate result of
the Customers and build long marketing
lasting relationship

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Identity
Marketing targets the Sales is the strategy of meeting
construction of a brand identity so needs in an opportunistic,
that it becomes easily associated individual method, driven by
with need fulfilment human interaction. There's no
premise of brand identity,
longevity or continuity. It's simply
the ability to meet a need at the
right time

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Marketing Mix Definition:
The marketing mix definition is simple. It is about putting the right
product or a combination thereof in the place, at the right time, and
at the right price. The difficult part is doing this well, as you need to
know every aspect of your business plan.
As we noted before, the marketing mix is predominately associated
with the 4Ps of marketing, the 7Ps of service marketing, and
the 4 Cs theories developed in the 1990s.

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Marketing

How many Ps are there in

Marketing?
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Marketing

What are the Ps in Marketing?

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The 4Ps in a Marketing Mix
1.) Product
2.) Price
3.) Place
4.) Promotion
A marketing expert named E. Jerome McCarthy created the Marketing 4Ps
in the 1960s. This classification has been used throughout the world.
Business schools teach this concept in basic marketing classes.
The marketing 4Ps are also the foundation of the idea of marketing mix.

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The Ps in a Marketing Mix - PRODUCT

Product The first of the Four Ps of marketing is product. A product


can be either a tangible good or an intangible service that fulfils a need
or want of consumers. Whether you sell custom pallets and wood
products or provide luxury accommodations, its imperative that you
have a clear grasp of exactly what your product is and what makes it
unique before you can successfully market it.

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The Ps in a Marketing Mix - PRICE

Price Once a concrete understanding of the product offering is


established we can start making some pricing decisions. Price
determinations will impact profit margins, supply, demand and
marketing strategy. Similar (in concept) products and brands may need
to be positioned differently based on varying price points, while price
elasticity considerations may influence our next two Ps.

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The Ps in a Marketing Mix - PLACE

Place Often you will hear marketers saying that marketing is about
putting the right product, at the right price, at the right place, at the
right time. Its critical then, to evaluate what the ideal locations are to
convert potential clients into actual clients. Today, even in situations
where the actual transaction doesnt happen on the web, the initial
place potential clients are engaged and converted is online.

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The Ps in a Marketing Mix - PROMOTION

Promotion Weve got a product and a price now its time to promote
it. Promotion looks at the many ways marketing agencies disseminate
relevant product information to consumers and differentiate a
particular product or service. Promotion includes elements like:
advertising, public relations, social media marketing, email marketing,
search engine marketing, video marketing and more. Each touch point
must be supported by a well positioned brand to truly maximize return
on investment.

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Marketing Mix 7Ps
The 7Ps model is a marketing model that modifies the 4Ps model. The
7Ps is generally used in the service industries.

We will see the 3 Ps added to the service industries to the 4 Ps we have


seen earlier in some detail.

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#5 Marketing Mix People

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The companys employees are important in marketing because they are the
ones who deliver the service. It is important to hire and train the right
people to deliver superior service to the clients, whether they run a
support desk, customer service, copywriters, programmersetc.
When a business finds people who genuinely believe in the products or
services that the particular business creates, its is highly likely that the
employees will perform the best they can.
Additionally, theyll be more open to honest feedback about the business
and input their own thoughts and passions which can scale and grow the
business.
This is a secret, internal competitive advantage a business can have over
other competitors which can inherently affect a businesss position in the
marketplace.

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#6 Marketing Mix Process

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The systems and processes of the organization affect the execution of
the service.
So, you have to make sure that you have a well-tailored process in
place to minimize costs.
It could be your entire sales funnel, a pay system, distribution system
and other systematic procedures and steps to ensure a working
business that is running effectively.
Tweaking and enhancements can come later to tighten up a
business to minimize costs and maximise profits.

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#7 Marketing Mix Physical Evidence

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In the service industries, there should be physical evidence that the service was
delivered. Additionally, physical evidence pertains also to how a business and its
products are perceived in the marketplace.
It is the physical evidence of a business presence and establishment. A concept
of this is branding. For example, when you think of fast food, you think of
McDonalds.
When you think of sports, the names Nike and Adidas come to mind.
You immediately know exactly what their presence is in the marketplace, as they
are generally market leaders and have established a physical evidence as well as
psychological evidence in their marketing.
They have manipulated their consumer perception so well to the point where
their brands appear first in line when an individual is asked to broadly name a
brand in their niche or industry.

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Marketing Mix 4Cs

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The 4Cs marketing model was developed by
Robert F. Lauterborn in 1990. It is a
modification of the 4Ps model. It is not a
basic part of the marketing mix definition,
but rather an extension.
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Customer Value. Consumer Wants and
Needs A company should only sell a
product that addresses consumer
demand. So, marketers and business
researchers should carefully study the
consumer wants and needs.
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Cost According to Lauterborn, price is
not the only cost incurred when
purchasing a product. Cost of conscience
or opportunity cost is also part of the
cost of product ownership.
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Convenience The product should be
readily available to the consumers.
Marketers should strategically place the
products in several visible distribution
points.

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Communication According to
Lauterborn, promotion is manipulative
while communication is cooperative.
Marketers should aim to create an open
dialogue with potential clients based on
their needs and wants.
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In a nutshell
Whether you are using the 4Ps, the 7Ps, or the 4Cs, your marketing
mix plan plays a vital role. It is important to devise a plan that
balances profit, client satisfaction, brand recognition, and product
availability. It is also extremely important to consider the overall
how aspect that will ultimately determine your success or failure.
By understanding the basic concept of the marketing mix and its
extensions, you will be sure to achieve financial success whether it is
your own business or whether you are assisting in your workplaces
business success.
The ultimate goal of business is to make profits and this is a sure-fire,
proven way to achieve this goal.

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The beginning.

Any Questions?
Or
Anything any one want to supplement?
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