A common mistake I see entrepreneurs make, is not understanding the difference between marketing and sales. This is costing them the revenue growth that they deserve. There are 3 crucial differences between the two.
Marketing and sales are both aimed at increasing revenue. They are so closely intertwined that people often don’t realize the difference between the two. Indeed, in small organizations, the same people typically perform both sales and marketing tasks. Nevertheless, marketing is different from sales and understanding the difference will make your efforts in each more effective.
Marketing has a much broader scope. It focuses on the overall picture to promote, distribute, price products/services; fulfill customer’s wants and needs through products and/or services the company can offer.Marketing focuses on how to reach to the Ideal Clients and build long lasting relationship with them.Marketing targets the construction of a brand identity so that it becomes easily associated with need fulfillment.
Marketing is a pull strategy.
Marketing thus tends to focus on a larger target group of potential clients whereas sales tends to focus on a small group of prospects.
Sales has a much more narrower scope. Its focus is on fulfilling sales targets. Sales is the ultimate result of good marketing.Sales in a push strategy.
Marketing is the systematic planning, implementation and control of business activities to bring the right prospects to your sales team. The most successful businesses create marketing systems.
Sales is the process where a prospect is helped to make a buying decision that results in a sale. The transaction results in an exchange of goods or services for money.
3. Sales vs. Marketing Activities
The typical goal of marketing is to generate interest in the product and create leads or prospects.
Marketing activities can include:
– consumer research to identify the needs of the customers.
– product development– designing innovative products to meet existing or latent needs. This can include competitive analysis.
– Identify distribution channels to effectively reach the right prospects.
– advertising the products to raise awareness and build the brand.
– pricing products and services to maximize long-term revenue.
On the other hand, sales activities are focused on converting prospects to actual paying customers. Sales involves directly interacting with the prospects to persuade them to purchase the product. A written sales process can result in a 20% increase in sales.
Please leave a comment below with what “aha” you have got from this short blog article and be sure to share it with others if you find it useful.