Difference between selling and marketingSelling Marketing

1. Emphasis on product Emphasis on consumer needs and wants

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

Company first determines customers need and wants and then decide on how to deliver a product to satisfy these wants

3.Mgt. is Sales-volume oriented Mgt. is profit oriented

4. Planning is short term orientedIn 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 Stresses needs and wants of buyers

6. Views business as a goods producing process

Views business as a consumer satisfyingprocess

7. Emphasis on staying with existing technology and reducing cost

Emphasis on innovation in every sphere on better value to the customer by adopting a superior technology

8. Cost determines price Consumers determine price , price determines cost

The basic function and role of selling

S.Mgt is more strategic and of long term as it involves

Planning

Organising

Directing

Controlling of all the selling activities of organization

Generate sales Earn revenue

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 alsoto carry out management function. The function of SM can beclassified into 2 parts

SM functions

Personal Selling

•Personal communication•Satisfying the buyer’s 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 personto person communication between a salesperson and aprospective customer in which the former learns aboutthe latter’s needs and seeks to satisfy those needs byoffering the prospective customer the opportunity tobuysomething of value, such as goods or a service.

Characteristics of Personal Selling

1. It is f lexible

2. It builds relationships

3. It allows more efficient communication

4. It can be expensive

5. 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 customer’s 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 customer’s need and preferences more clearly.

5. It helps satisfy a customer by modifying the product as per the customer’s 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 customer’s 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 customer’s 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 middlemen’s 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.