Marketing and Sales – How Different And How Important Is It?
Marketing refers to the action of business of promoting and selling products or services,including market research and advertising whereas Sales refers to the act of selling a product or service in return of money or compensation. Both are considered to be important aspect of a business.The success of any business organization lies on successful marketing.
The overall marketing concept covers advetising,public relation,promotion and sales.Your business may offer the best product or services in the industry,but in the absence of marketing,none of your potential consumer will come to know about it whereas Sales is that department that generates revenue.in any business organiszation.
No matter how good your manufacturing operation is,how cutting edge your technology is,how tight financial goals,it is very important that sales mechanism should be in place otherwise everything will be useless for a company. Some of the importance of marketing and sales are discussed below.
- 1 Importance of marketing
- 2 Importance of sales
- 3 Distinction between marketing and sales
Importance of marketing
1. Getting recognition
For a business to succeed in this competitive market,the product or the services offered by the company must be known to potential buyers.Until and unless your business is known to the community and have communication with your customers readliy available, the company need to use marketing strategies in order to create awareness of product or services.Witout the implementation of marketing strategies,your potential consumer may not be aware of your business offering and your business may lose the opportunity to progress and succeed.Using the marketing strategies in order to promote the product, services and company provides your business with a chance of being discovered by prospective consumers.
2. Maintains reputation or goodwill
The success of any business depends on its reputation or goodwill.In order to maintain its reputation,marketing plays a very important role by buliding a brand’s name in the market.It takes years after year to build its reputation or goodwill in the market.And in order to retain the same reputation marketing strategies should be used or implemented. Many multinational companies spend thousands of dollars on such marketing plan and try to educate the people about the latest trend,helps to boost both profit and sales and try to develop company’s reputation.
3. Increase in sales
The main motive or purpose of marketing is to help the company to generate more sales.In order to create awareness among the people,the company need to advertise and promote their product and services, so that people get to know about the presence of the product.As the awareness becomes reality,it is where the new customer will start spreading and start telling their families and friends about the new product they discovered.As the word spread, your sales will increase steadily. That the reason the business owner invests in marketing plans and strategies in order to create awareness and inform the consumer about the product.In the absence of marketing, these sales may not have ever happened and without sales a company can never succeed.
4. Gain and retain customer
Once a brand gains its ground and establishes its customer, marketing enables to retain its customer. This is very essential so that the brand does not lose its ground to the products that newly come to the market or introduced in the market.
Importance of sales
The sales function is the key mechanism or the important aspect for companies to grow through referrals. In fact, a number of sales organizations indicate collateral material or thank you letters that refferals are essential to their business. Leveraging the fact those new or established customers sees value in the solution; a sales representative can ask if the customer knows about the other people with similar needs or interests. Referrals are an efficient prospecting tool, because they create personal connection in the call to new prospect.
2. Sales conversion
The main role or purpose of sales is improving the efficiency of converting prospects into the customers. Salesperson can directly communicate with the prospects, ask them questions to help, address any possible buyer concerns and ultimately recommend products or services.Without these important steps, the company had to depend or rely on passive marketing messages to carry weight when buyers looks at the purchase decision.For instance advertising cannot give answers to follow-up question which customer have in mind after watching the real advertisement. Messages.Salesperson gets the chance to clarify their doubts.
3. Customer retention
The personal interactive nature of selling makes it an important or key ingredient in company to build long term relationship with customers. Salesperson can go for follow-up after the consumer make the purschae to make ensure that consumer have good experience. In the absence of contact,the dissatisfied consumer do not complain,they shift to other providers.This ongoing interaction also allows for opportunities to make additional sales that address future or ongoing needs of customers.
Distinction between marketing and sales
Marketing and sales both try to aim at increasing the revenue of a company.They are so closely intertwined that sometimes people fail to realize the difference between two.Indeed in a small organization people try to perform both sales and marketing tasks.Marketing is different from sales as the organisation grows and roles and resposibilities becomes more specialized
1. Marketing emphasis on the consumer needs whereas selling emphasis on the product.
2. In marketing company first try to determines the needs and wants of the consumer and then try to decide how to deliver a product to satisfy their wants whereas in selling company think of manufacturing the product first.
3. In marketing managment is profit oriented whereas in sales, management is sales volume oriented.
4. Marketing stresses the needs and wants of buyers whereas selling stresses the needs of sellers.
5. Marketing tries to view the business as consumer producing satisfying process whereas selling view the business as a good producing process.
6. In marketing consumer determine the price and price determine the cost whereas in selling cost determines the price
As Startup Specialists we have used our knowledge and experience to set up a free portal of frank, accurate information. Do check out www.startupinthailand.com for more details on doing business in Thailand /Asia or for a free startup consultation.
Aditya Interactive is the only company in Thailand to provide a single window solution for all business startup and expansion requirements under one roof : Startup consulting | Market Entry | Legal | Serviced Office | Factory Setup | Representation | Recruitment |Accounting | Operations | Sourcing | Buying | Distribution | Marketing | Regional Business Development | Management.
Latest posts by Andy Aditya (see all)
- Can mindfulness help companies thrive in times of turmoil? - January 22, 2018
- Gold prices steady at B20,150 - January 22, 2018
- Authorities acting fast after disasters sap tourist confidence - January 22, 2018