Sales and marketing are two business functions within an organization. They both impact lead generation and revenue.
The term sales, refer to all activities that leading to the selling of goods and services, and marketing is the process of getting people interested in the goods and services being sold. Sales is a term used to describe the activities that lead to the selling of goods or services.
Salespeople are responsible for managing relationships with potential clients and providing a solution for prospectus that eventually leads to a sale.
Marketing encompasses all activities that help spark interest in your business. Marketers use market Research and Analysis to understand the interests of potential customers.
Marketing departments are responsible for running campaigns to attract people to the business brand, product, or service.
What is Selling ?
The selling concept is based on the premise that the customer won’t buy a good/services of your brand unless you perform sales and promotional activities at a large scale.
Therefore, businesses and companies should carry out promotional and marketing activities to accelerate their product in the market. Customers have inner needs and your job is to convert their inner needs into buying your product through motivation and persuasion.
The selling concept is very useful for selling unsought good i.e., insurance.Where you find your target segment of the market first and then you persuade them by explaining the benefits of the product. The final goal is to sell many products, to increase the net profit.
The main characteristics of the selling concept are as follows:
- It focuses on the needs of the inner of businesses and companies.
- Goods and services define their business in the selling concept.
- It focuses on everyone, whether they are Kids or adults as long as they can buy good and services.
- As the sale of your business increases, the profitability would increase.
- The concept is applicable where you price your product based on the cost. They are short-term oriented.
Types of selling
- Industrial selling
- Service selling
- Retail selling
1. Industrial selling
Under industrial selling, marketing transactions takes place between at least two companies, both of which seek to generate favours from the business. That is why industrial selling is also termed as business to business selling.
Industry selling is more Complex and time-consuming because a sales person has to negotiate with a number of individuals representing the buying organisation, particularly in large firms.
Needless to mention, goods that are dealt in this selling are industrial in nature.
2. Service selling
Service selling has some distinctive properties vis-a-vis product selling. One major characteristic feature of service selling is that of service creation, where selling takes place simultaneously.
In product selling these two are separate incidents. A doctor or a lawyer advice and suggests remedies to their clients simultaneously.
An insurance agent selling insurance product to a customer persuades him to purchase and only then sell sit. This is because services is more of an activity or performance designed to evolve and solve specific problem of customers.
3. Retail selling
Retail selling, popularly known as retailing, involves activities both in selling goods as well as services. Thus, it aims to deliver the finished goods to the consumers for personal or business use.
Retailing is the last stage of distribution. It facilitates the adoption process of product and services by consumer and aids in creating value addition to the merchandise to make it more attractive and acceptable to the consumers.
Retail selling may take the form of store retailing or non- store retailing. In store retailing, selling takes place from a physical location in a market where as non-store retailing is based on door to door selling, mail order selling, or selling through the internet.
What is Marketing ?
Marketing is a social process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others.
The marketers work hard to discover the needs and wants of customers and try to develop products or services which would satisfy them. All the firms try to produce the products which will be demanded by satisfying customers needs and wants.
The main characteristics of the marketing concept are as follow:
- The focus is on the needs and wants of customers.
- The benefits of your product and services would define your business.
- Instead of focusing on everyone, the marketing concept focuses only on a specific segment of the market.
- Your business would profitable if your products have satisfied the needs and want of customers.
- If the business environment is competitive, then you should follow the marketing concept because it would be favourable in such an environment.
Types of Marketing
- Affiliate Marketing
- Social Media Marketing
- Email Marketing
1. Affiliate Marketing
An affiliate helps promote the product of a brand on whatever online channel they feel fit. The good thing with using this marketing method is that businesses is only get to pay the affilate when the latter’s promotion generator a sale.
Affiliate marketing is an effective method as the publisher will do everything possible to market a brand’s products to consumers for the commission they stand to get.
2. Social Media Marketing
Businesses employ this method to reach a potential customers who already spent a great deal of their time on social media platforms. Great marketing on social media can help bring success to a business.
It makes it easy for brands to interact with their customers and build a relationship. It can also help to derive leads and sales.
3. Email Marketing
Email marketing is one of the most direct and effective ways a business can connect with leads, nurture them, and eventually convert them into customers. Email marketing is a digital marketing method where companies send emails to prospects and customers.
The content of the emails could be educational, entertaining or promotional as the case might be. On most occasions, the email sent out aims at potential customers to take actions that favour the brand.
Differences Between Sales and Marketing
|Sales can be understood as a process of selling the goods to customer at a definite price and at a given period of time.||On the contrary marketing is the act of analyzing the market and understanding the needs of the customers in such a way that whenever a new product is launched, it sell itself.|
|Sales is product oriented, as the sales persons emphasize on increasing the sales of the product.||In contrast, Marketing is customer oriented as all promotional activities are performed keeping the target customer in mind.|
|Sales have a fragmented approach which stresses on selling all that is produced.||Marketing has an integrated approach which stresses on ascertaining the customer requirements and providing them with the product of their need|
|Sales focus on the company needs||Marketing stresses on the needs of the market|
|Sales is concerned with the flow of product or service to the customer||Marketing is concerned with all the activities which facilitate the flow of goods to customers|
|The objective of sales is to instigate Shoppers in such a way that they turn out as buyers||Marketing is to identify the needs of customers and create product to satisfy those needs|
|There is a one- to-one relationship in case of sale i.e., one product is sold to one customer by the salesperson at a time||As against one- to-many relationship is there in case of marketing as an advertisement reaches millions of customer at a time|
|Sales focus on the individual i.e., direct interaction with the customer and persuading him to purchase the product||Marketing concentrates on the general public i.e., creating the value of a product to increase sales|