BUSINESS MANAGEMENT - MARKETING vs. SELLING

This is the 24th of a series of newsletters published on Business Management and Management Skills. Not all topics will apply to your business, but each section will be beneficial to establish company goals and objectives. By reading and studying these newsletter articles, you’re taking the first step in achieving your goals.

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The goal of marketing magic is to boost business. And you must do that actively. Passively doing a good job and hoping for a good word-of-mouth referral is a good way to give up top line revenue, as well as a good chance at high-margin work.

All too often, whomever various salesmen or saleswomen plan on calling upon next week is seen as the firm’s marketing plan. Their roles are understood as the task of picking up plans and turning in on time a bid on a plan and specifications job. In turn, price-cutting is seen as a negotiation, where the same job that was originally bid is finally sold at a lower price. Then, the salesperson is given a commission for selling the job at a potential if not preordained loss!

Selling is (for sure) a vital function, but it’s only an integral part of a firm’s total marketing plan. Selling does not encompass the entire marketing concept. Marketing can be divided into five tasks as follows:

Define the market area.
Research consumer needs.
Develop products to meet consumer demand.
Recruit, select, and train necessary manpower to deliver the product, and
Develop its sales approach and advertising support.

There are three markets that a company may attempt to sell to: general consumers, industrial markets, and governmental markets. Within these markets are various segments with discernible unique needs. Examples are:

Industrial design and build.
Industrial plan and specification.
Planned service/maintenance.
Emergency repairs.

What specific markets does your firm currently sell to?
What market segments within these markets does your firm currently market to?
What markets does your firm want to do less (or more) business in?
What major marketing changes will your firm be implementing next year?

NOTE: Please also refer to the section on Advertising and Business Marketing in this series of articles on Business Management.

Mike Holt’s Comment: This newsletter article was extracted from Mike Holt’s Business Management and Management Skills’ Workbook. Watch for our next newsletter, and as always, we invite your comments and feedback. Send us your real-life experiences. We value your opinions and participation. Please respond to Barbara at bjparks@atlantic.net. And… be sure to visit Mike Holt’s Website at www.mikeholt.com

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