Popular Posts

Tuesday, July 10, 2007

One thing you need to do is sell

You need to sell things

You start a company for many reasons, but one of the basic functions in a company is that you must sell your product to make money, to pay your way in the world, you can do this by different sales channels, reps, distributors, online, or cold calling, the list is nearly endless, but there are a few basic things you can do to make sure what ever channel you use, you can make sure it is effective>

Case study:

I just sold my house last week, and I did not use the Estate agent's services, as I feel they are a rip off, the quality of service they provide in the UK is very poor, in the US it is different and it does add value to the process, but in the UK it is giving away a large amount of money for not much in return. I followed a few basic steps:

  • I knew the market value of the property, from the records of local sales, I knew what I would accept for the sale of the property, so I fixed the price at just below the market value for a quick sale and the money I saved on fees made it up to the market value.

  • I knew that the position was good, main street with plenty off exposure, so I marketed the property there and online. I knew that there would be plenty of traffic passing the house and hence the exposure of my advertisement was good. If I did not have a such a good position or place, I would have suffered from lack of exposure to my advert.

  • I knew the house well, so when there was prospective customers viewing the property, I could present the house to it's best and most attractive.

I may not have sold the house as quick as I did, if I did not have a good location and a strong market demand, I believe in other reasons why, God wanted to move me on to my new role so he was giving me a helping hand.

So to give you the professional spin on selling 101, I have included a summary below of key points, using the 4P's of marketing, and remember as an entrepreneur you will be selling your company every minute of your life, to your family, to your supplier base, to your investors and to your customers, so this is a very good skill to have in your tool box.

In popular usage, "marketing/ selling" is the promotion of products, especially advertising and branding. However, in professional usage the term has a wider meaning which recognizes that marketing is customer centered. Products are often developed to meet the desires of groups of customers or even, in some cases, for specific customers. E. Jerome McCarthy divided marketing into four general sets of activities. His typology has become so universally recognized that his four activity sets, the Four Ps, have passed into the language.
The four Ps are:
Product: The product aspects of marketing deal with the specifications of the actual good or service, and how it relates to the end-user's needs and wants. The scope of a product generally includes supporting elements such as warranties, guarantees, and support.
Pricing: This refers to the process of setting a price for a product, including discounts. The price need not be monetary - it can simply be what is exchanged for the product or service, e.g. time, or attention.
Promotion: This includes advertising, sales promotion, publicity, and personal selling, and refers to the various methods of promoting the product, brand, or company.
Placement or distribution refers to how the product gets to the customer; for example, point of sale placement or retailing. This fourth P has also sometimes been called Place, referring to the channel by which a product or service is sold (e.g. online vs. retail), which geographic region or industry, to which segment (young adults, families, business people), etc.
These four elements are often referred to as the marketing mix.[2] A marketer can use these variables to craft a marketing plan. The four Ps model is most useful when marketing low value consumer products. Industrial products, services, high value consumer products require adjustments to this model. Services marketing must account for the unique nature of services. Industrial or B2B marketing must account for the long term contractual agreements that are typical in supply chain transactions. Relationship marketing attempts to do this by looking at marketing from a long term relationship perspective rather than individual transactions.
As a counter to this, Morgan, in Riding the Waves of Change (Jossey-Bass, 1988), adds "Perhaps the most significant criticism of the 4 Ps approach, which you should be aware of, is that it unconsciously emphasizes the inside–out view (looking from the company outwards), whereas the essence of marketing should be the outside–in approach". Even so, having made this important caveat, the 4 Ps offer a memorable and quite workable guide to the major categories of marketing activity, as well as a framework within which these can be used.
Seven Ps
As well as the standard four Ps (Product, Pricing, Promotion and Place), services marketing calls upon an extra three, totaling seven and known together as the extended marketing mix. These are:
People: Any person coming into contact with customers can have an impact on overall satisfaction. Whether as part of a supporting service to a product or involved in a total service, people are particularly important because, in the customer's eyes, they are generally inseparable from the total service. As a result of this, they must be appropriately trained, well motivated and the right type of person. Fellow customers are also sometimes referred to under 'people', as they too can affect the customer's service experience, (e.g., at a sporting event).
Process: This is the process(es) involved in providing a service and the behaviour of people, which can be crucial to customer satisfaction.
Physical evidence: Unlike a product, a service cannot be experienced before it is delivered, which makes it intangible. This, therefore, means that potential customers could perceive greater risk when deciding whether to use a service. To reduce the feeling of risk, thus improving the chance for success, it is often vital to offer potential customers the chance to see what a service would be like. This is done by providing physical evidence, such as case studies, testimonials or demonstrations.

I hope this helps out, my friends from Wikipedia were a big help in supplying some of the information.



No comments: