3 Crucial Differences Between Sales and Marketing You Need To Know

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.

  1. Scope

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.

2. Definition

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.

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15 thoughts on “3 Crucial Differences Between Sales and Marketing You Need To Know

  1. The Pull & Push Strategy in today world for the upcoming entrepreneurs have to be very focused.Since most of them work of yield in tech numbers XYZ rather than the feel on ground work.good one Neeraj.

  2. Dear Sir,
    I agree to your differentiation but this is possible only in a corporate sector. What will the small entrepreneurs do to have two different departments? They can not afford it. In the present scenario of competition the entrepreneur only thrives to fulfil the sales target to meet both ends. Please suggest.

    • Hi Yogesh
      My suggestion is to dedicate time to each of these activities separately. The same person can do both activities, but both sales & marketing require a different approach. For example you can dedicate one or two days of the week for marketing and another one of two days for sales.
      Thanks
      Neeraj

  3. The Marketing is to reach the consumers and the Sales activity is nothing but generating revenue to the business by finalizing the orders with the customers. Hope I got it in a right manner, thank you.

  4. Hai neeraj thank you so much for the information about marketing and sales it is very clear we are in pre owned carz and two wheeler business and we have NBFC we need your guidance.
    thanking you,
    Santosh olety

  5. Dear Neeraj,
    Greatly appreciate the simplification of Marketing and sales, till date i was of the opinion that both were the same .. thanks for the post..
    Great to hear from you..

  6. Hi Neeraj,
    Thanks for the clear description on how each function works. This blog definitely helps entrepreneurs to understand the nuances of the businesses and helps them hone their strategies to move ahead.

    Thanks

  7. Hi

    One crucial difference..marketing vs sales..

    Marketing is applied Economics n Finance

    Sales is applied Psychology,Sociology n therefore..Consumer Behaviour