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Difference between selling and marketing

Marketing Emphasis on consumer needs and wants Company first determines customers need and wants and then decide on how to deliver a product to satisfy these wants Mgt. is profit oriented

1. Emphasis on product 2. Company manufactures the product first and then decides to sell it

3.Mgt. is Sales-volume oriented

4. Planning is short term oriented In terms of today s product and mkt

Planning is long term oriented in terms of tomorrow's market and future growth

5. Stresses needs of a seller 6. Views business as a goods producing process 7. Emphasis on staying with existing technology and reducing cost 8. Cost determines price

Stresses needs and wants of buyers Views business as a consumer satisfying process Emphasis on innovation in every sphere on better value to the customer by adopting a superior technology Consumers determine price , price determines cost

The basic function and role of selling

Generate sales

Earn revenue

S.Mgt is more strategic and of long term as it involves Planning Organising Directing Controlling of all the selling activities of organization

Selling approach highlights: Maintaining good customer relationship

Managing the profitability of a firm Managing customer complaints Building brand value in the eyes of the customer

Mgt. of sales force demands attention towards the

emerging roles and functions of the sales person in the context of an evolving environment The job of a sales manager is not only to organize sales but also to carry out management functions such as guiding and leading a set of people to achieve sales targets. As the level of hierarchy increases more and more management functions get added on to the primary job of selling. Sales managers at higher levels are responsible for strategic decisions .

Strategic decisions such as

Organizing the sales force Determining the sales force compensation structure Forecasting long term sales Over all controlling of sales organization

The role of sales manager in an organization has

become strategic. He is looked at as combination of

An accountant Planner Personal Manager Marketer

Duties and responsibilities of Sales Manager

Determining sales force objectives and goals Finalizing sales force organization, size, territory, and

quota Forecasting and budgeting sales Selecting, recruiting and training the sales force Motivating and leading the sales force Designing compensation plan and control systems Designing career growth plans and building relationship strategies with key customers.

The job of a sales manager is not only to organize sales but also to carry out management function. The function of SM can be classified into 2 parts SM functions
Personal Selling
Personal communication Satisfying the buyers current and latent needs. Establish and build a profitable & symbiotic relationship with customer

Sales Mgt.
More strategic & long term consequence Involves planning, organizing, directing & controlling all selling activities

Personal Selling
Personal Selling can be defined as the process of person to person communication between a salesperson and a prospective customer in which the former learns about the latters needs and seeks to satisfy those needs by offering the prospective customer the opportunity to buy something of value, such as goods or a service.

Characteristics of Personal Selling


3. 4. 5.

It is flexible It builds relationships It allows more efficient communication It can be expensive It is a form of dyadic communication

Dyadic communication means direct or one on one

communication between two people. This offers the salesperson an advantage over other form of marketing comm.

It allows for tailoring of the message

Lack of distraction

Personal selling Some important aspects

1. It enhances customers confidence in the seller. 2. It promotes long-term business relations through personal intimacy. 3. It provides a human touch to business transactions. 4. It helps facilitate the seller to understand each customers need and preferences more clearly. 5. It helps satisfy a customer by modifying the product as per the customers choice and preference.

6. Helps build long term relations between the business and the customer. 7. It helps keep up with the competition in the market, based on product customization as per customers preferences. 8. It is a powerful and effective tool in convincing the customer about the product 9. Time lag between introducing a product through the media and actual selling is reduced. 10. It provides prospective customer with a better understanding of the product and an interactive opportunity to liaise with the sales personnel.

Setting Personal Selling Objectives

S.Mgt. determines personal selling role in the

promotional program. The marketing planning group sets personal selling objectives determines

Sales related Marketing Polices

Formulates personal selling strategies

Finalize the sales budget

The combined impact of these decisions constitutes the framework within which the sales force is managed

Types of personal selling objectives

Depending upon company objectives and the promotion mix, personal selling may be assigned such qualitative objectives such as:1. To do the entire selling job 2. To Service existing accounts 3. To search out and obtain new customers 4. To secure and maintain customers cooperation in stocking and promoting the product line. 5. To keep customers informed on changes in the product line and other aspects of mkting strategy.

6. To assist customers in selling the product line. 7. To provide technical advice and assistance to customers. 8. To assist with the training of middlemens sales personnel . 9. To provide advice and assistance to middlemen on management problems. 10. To collect and report market information of interest and use to company mgt.