Sales & Marketing... Salt & Pepper:
How often do you say, "please pass the salt & pepper", when you actually want the salt? How often is sales and marketing used as a single phrase, when the speaker is really talking about selling? If sales and marketing are viewed as one and the same, it's possible, to not see the importance of distinguishing between them. In not understanding, conceptually, the difference between the two, you may miss an opportunity. Clearly there is a relationship between sales and marketing and, as company functions, neither operates exclusively. The owner or management team determines whether the company operates from a selling perspective or a marketing perspective. If the company focus is on selling, the steps leading to profitability are different from a company whose focus is on marketing. A company with a selling perspective focuses on its products or services. Take a company that got started because the founder designed a computer software program and then decided to build a business around that product. The business begins with a product followed by the task of how to promote and sell the software. The steps outlined in a marketing plan would be directed towards selling an existing product. There is an assumption already in place and that is that there are customers who will want to buy the product. Using promotions and/or sales campaigns, the sales staff puts a lot of energy into moving the product. Goals are defined by the number of sales or the amount of each sale and are usually tracked on a weekly or monthly basis. The company's strategy will focus on volume to reach its goals. A company operating from a marketing perspective begins with the customer, rather than the product as a focus. Suppose the same owner or management team decides to use a different approach. Before developing the software, they do some research, talk with potential end users, get information on what the customer may want, find out what isn't working for the customer now and determine what software already exists. The preliminary steps in this marketing plan will involve defining the market, clarifying the customer needs, designing the associated activities needed to reach the customer and determining profitability through budget projections. A promotion/sales campaign is useful to a company with a marketing perspective. The extent to which the company relies on a promotion/sales campaign is different. A targeted market, knowing whom the customer is and what their wants are will play a larger role in the company's marketing strategy. The company will link revenue goals and profitability achievement with customer satisfaction. External forces constantly impact businesses, whether it's the economy, endless technology changes, new products or the competition. When you think about the future and how to deal with these challenges, what elements would you include in a marketing plan? Is your business product oriented or customer oriented? How might your marketing strategy differ, given one over the other? ©2000-present Flight Unlimited - All Rights Reserved |
