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Smarta Marketing Ideas for Smarta Marketers

Is Marketing the Same as Selling? Are Marketing and Sales Different?

Dr. Brian Monger

Is Marketing the Same as Selling?

Only is a broad, somewhat simplistic concept, where “selling” is thought of as the exchange activity. Marketing is an overall Organisational activity (the planning, pricing, promotion, packaging, advertising and selling of any Value Offer (Product. Selling is therefore only a part of the overall Marketing of any Product and therein lies the difference.

Are Marketing and Sales Different?

This is a perenial topic in forums and will get lots of responses – particularly I have found from sales folk.  Their basic message is that Sales and Marketing are different.  Marketers don’t understand Selling.  Sales people are important and underappreciated.

The basic problem with the topic and discussion is that very few participants understand or use the terms correctly.  They only think of “sales” and “marketing” as organisational departments, not as functions.

 

It is difficult to have a useful discussion if the key terms are not understood and agreed

So here are a few useful definitions to help (I hope) the discussions

Marketing

The process of exchange of value between Provider (Seller) and Customer (Buyer).  Involves creating and providing what customers want in return for something they are willing to give (money, time, or membership)

The systematic planning, implementation and control of a mix (see Marketing Mix Strategy) of business activities intended to bring together buyers and sellers for the mutually advantageous exchange or transfer of products (Sale, Hire, Acquisition) for some form of Payment. The process of planning and executing the conception, Product Pricing, Promotion and Place (Distribution) of offers (ideas, goods and services) to create exchanges that satisfy individual and organisational objectives.

(1) The management process responsible for identifying, anticipating and satisfying customer requirements while achieving organisational objectives (including profitably).

(2) Fundamental policy-forming activity devoted to selecting and developing suitable products for sale – promoting and distributing these products in a manner providing the optimum return on capital employed. (Teach Yourself Marketing, John Stapleton, 1975.)

(3) Marketing starts in the market place with the identification of the customers’ needs and wants. It then moves on to determining a means of satisfying these needs and of promoting, selling and supplying a satisfaction. The principal marketing functions might be defined as Marketing Information and Research, Product Planning, Advertising and Promotion, and Distribution.

Marketing is generally thought of as one of the three or four basic activities of all organisations.  Thus – Marketing; Finance and Operations (or Production and HR)

Marketing Department

A division within a company with responsibility for the planning and coordination of all marketing activities

Marketing department marketing/Marketing department orientation
A term used to refer to the orientation of an organisation which has established a separate department to look after its marketing activities, but which is not totally imbued with the marketing philosophy. An orientation in which all marketing activities are brought under the control of one department to improve short-run policy planning and to try to integrate the firm’s activities.

Sale

A sale relates to someone or some organisation buying something. Sales are often confused with the process of Selling. Result – or pinnacle activity involved in selling products (goods and services) in return for payment (money or some other compensation of value to the seller).

The amount of Products (both goods and services) sold in a given period of time. Sales are operating revenues earned by a company when it sells its products.

Sales

The amount of Products(all forms) sold in a given period of time

The simplistic term to mean the “Sales Department.  This is OK except where it confuses the overall activity of the organisation in the Marketing function

Sales department

Sales department is the division of a business or an organization accountable for selling services or products. The department responsible for planning, organising, controlling and evaluating the activities of the sales force.

Selling

Process of persuasion leading to an exchange or trading arrangement.

Personal Selling

One of the possible activities of the Promotional Mix\

The process of making oral commercial representations during a buyer/seller interview situation. Direct, face-to-face communication between buyer and seller. Personal selling is a basic activity and is old as marketing itself . Colloquially referred to as face-to-face selling. Sometimes known as buyer/seller interface.

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

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In Branding – Look to success in the margins

Dr. Brian Monger

Lets fact it – In the real world, competitive brands seldom differ much from each other. Any market successful innovation tends to be quickly cloned. Nor does much advertising give very different images or values to functionally similar brands, despite what tends to be said about this.

Differentiation?

It is often said that brands need to be differentiated. In a differentiation strategy, a firm seeks to be unique. it selects one or two attributes that many buyers in an industry perceive as important (Michael Porter, 1985).

Differentiation which is successful (in terms of sales) asks to be copied.

If we steal a lead we find the advantage is only temporary. So we rapidly lose our edge and off we go again, striving to get ahead once more. Thus the battle of the brands continues, with broad competitive parity/ over time the normal and natural state of most of our markets.

Me-tooism remains the dominant force in competition. Being competitive means cashing in on one’s competitors’ successes.

So innovation may not the stuff of effective long-term competition, except defensively. One probably cannot afford to be left behind..

The key strategic objective needs to be remembered – to gain a sustainable competitive advantage by building sustained customer loyalty with products (goods and services)

What is brand salience?

According to Neil Barnard and and John Scriven (Ehrenberg, A., Barnard, N., and Scriven, J. (1997). ‘Differentiation or salience’, Journal of Advertising Research, 37/6: 7–14.) If Brand A has more salience than B, it has more people who:

  • Are “aware” of it (for just about any awareness measure)
  • Have it in their active brand repertoires (for frequently bought products)
  • And/or have it in their consideration sets (i.e., brands they might buy)
  • Are familiar with the brand
  • Feel it has brand assurance (e.g., retail availability, after-sales service, etc.)
  • Have positive attribute beliefs about Brand A
  • Regard it as value for money
  • Harbour intentions to buy and/or to use it in the future (and do so)
  • Would buy-A-if-their-usual-brand-was not-available
  • Choose A in a named product test
  • Note and recall its advertisements (by and large)
  • “Talk more often and more richly about it in focus groups
  • Are “loyal” to A (by any measure of loyalty)

Salience is about how many consumers regard it well, or “well enough,” or see it as “salient”

So – the real differences need to occur in what we see as the margin . That is ensuring competitive brands will differ in emotional features (e.g., brands have different personalities) which link with specific target segment desires. The real differentiation is understanding that a brand’s true salience and value lives inside consumers minds and help them identify products that promise them a certain set of benefits.

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Why They Don’t Get the Message

Dr Brian Monger

People use a sophisticated psychological defence mechanism to filter out unwanted information. This mechanism consists of four “rings of defence”:

Selective Exposure.

People tend to seek out only that information which agrees with their existing attitudes or beliefs.

Selective Attention.

People tune out communication that goes against their attitudes or beliefs, or they pay attention only to parts that reinforce their positions, forgetting the dissonant parts. This is why two people with differing points of view can come to different conclusions about the same message. Each of them is tuning out the parts with which they disagree.

Selective Perception

People seek to interpret information so that it agrees with their attitudes and beliefs. This accounts for a lot of misinterpretation of messages. Some people don’t block out dissonant information; they simply reinterpret it so that it matches their preconceptions.

Selective Retention.

People tend to let psychological factors influence their recall of information. In other words, we forget the unpleasant or block out the unwanted. This also means that people tend to be more receptive to messages presented in pleasant environments

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Guerrilla, Viral and Ambush Marketing

Dr Bian Monger
Guerrilla marketing is unconventional marketing activities intended to get maximum results from minimal resources. It is more about matching creative idea and wits than matching budgets. Rather than marching their marketing dollars, guerrilla marketers snipe away with their marketing resources for maximum impact.
Undercover marketing is a subset of guerrilla marketing where the buyer doesn’t realise they’re being marketed to. For example, a marketing company might pay an actor or socially adept person to use a certain product visibly and convincingly in locations where target segments congregate. The actor will talk up the product to people they befriend in that location, even handing out samples if it is economically feasible.

Undercover marketing is also know as buzz marketing or stealth marketing.

The goal of any undercover campaign is to generate buzz. Spontaneous word of mouth, or buzz, is free, can reach consumers isolated from all other media, and unlike conventional media, consumers tend to trust it. Marketers find it very hard to predict buzz let alone generate it on demand. However when it works, undercover marketing does exactly that: an ideal consumer from the example above will not only begin using that product themselves, but will also tell their friends about it, inciting a planned viral marketing campaign that looks spontaneous.

Viral marketing refers to marketing techniques that seek to exploit pre-existing social networks to produce exponential increases in brand awareness, through viral processes similar to the spread of an epidemic. The term “viral advertising” refers to the idea that people will pass on and share cool and entertaining content; this is often sponsored by a brand, which is looking to build awareness of a product or service. These viral commercials often take the form of funny video clips, or interactive Flash games, images, and even text.

Ambush Marketing refers to the strategic placement of marketing material and promotions at events that will attract consumer and media attention. It has been defined as “the practice whereby another firm, seeks association with the sponsored activity without payment to the activity owner”. This company attempts to deflect some of the audience attention away from the sponsor to itself.

 

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on https://smartamarketing2.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Join Dr Brians LinkedIn groups:

Marketing – Dr-Brians-Marketers-Network  http://www.linkedin.com/groups/Dr-Brians-Marketers-Network-Number-2650856

Manangement/Project Manangement – The Project Management Information Network.  http://www.linkedin.com/groups/Project-Management-Information-Network-Practical-6618103

Come on over and share more great information and ideas.

Increasing Training Effectiveness

Dr. Brian Monger

Establishing an open and encouraging internal climate to increase training effectiveness

Normally, people returning from a course are left almost alone.

The supervisor is not very interested in what they have learned and how to make use of new ideas and factual knowledge.  The employees are, at best, left alone to implement new ideas.  Even more frequently, the returning employees realise that everybody, especially the boss, is totally uninterested in what they have learned.  Sometimes they get the impression that the fact that they have been away for training has only created problems, for example, with under-capacity.  Nobody seems to care about any positive effects of the course.

In such situations, any new idea and favourable-attitude effects are rapidly destroyed.

Instead, the manager or supervisor should encourage the employees to implement new ideas and help them realising how they could be applied in their specific environment.  Moreover, some on-the-premises training is often helpful and encouraging as a continuation of the course or training program.

The management style demonstrated in the daily job by managers and supervisors has an immediate impact on the job environment and internal climate.  Probably, recognition is the issue that keeps it going.  It may sound soft, but it is critical. The mere way of managing is, therefore, an internal marketing issue.

Joint planning and decision making with the employees involved is a means of achieving commitment in advance to further actions that emerge from the planning process.

The need for information and feedback 

Here, the supervisor has a key role.  Moreover, he or she is responsible for creating an open climate where service-related and customer-related issues are raised and discussed.

Management support and the internal interactive communication are the predominant tools of the attitude management aspect of internal marketing, but they are, of course, key ingredients of communication management as well.

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known consultant with over 45 years of experience assisting both large and small companies with their projects.  He is a specialist in negotiation and behaviour He is also a highly effective and experienced trainer and educator

He is very well known and highly regarded as a Linked In groups manager

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on https://smartamarketing2.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Join Dr Brians LinkedIn groups:

Marketing – Dr-Brians-Marketers-Network  http://www.linkedin.com/groups/Dr-Brians-Marketers-Network-Number-2650856?trk=my_groups-b-grp-v

Manangement/Project Manangement – The Project Management Information Network.  http://www.linkedin.com/groups/Project-Management-Information-Network-Practical-6618103?

Come on over and share more great information and ideas.

The Eight Ancient Asian Elements of Success

Dr. Brian Monger

Lear the ancient wisdom of success from China

The ancient eight essential elements of success are:

  • Tao: Moral standing, ethics, righteousness. The product and the company culture need to be in line with Tao, righteousness. Without Tao, a short-term profit is attainable, but long-term success is not possible.
  • Tien: Timing of your products and your marketing strategy needs to be in line with the social timing and the universal timing.
  • Di: Utilize your company’s assets and liabilities, as well as, each individual understands their everyday work and quality of life.
  • Jian: Leaders relate to their staff, customers and suppliers according to five qualities: wisdom, trustworthiness, benevolence, courage and discipline.
  • Fa: Effective executive’s actions will result in keeping the revenue coming in rapidly.
  • Xu, Shi: Paradox of the real versus the unreal.
  • Qi, Zheng: Innovation and tradition.
  • Know thyself, Know others:  know yourself, your product, and your customers.

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Putting Together a Marketing Plan

Dr. Brian Monger

Good Marketing Management is crucial to marketing success. Remember, marketing is more than just running a few ads or posting a few status updates on a social media site. Marketing management includes several different components that come together to make an effective marketing plan. The plan should include an overview, situation analysis, marketing strategy, marketing tactics and, most importantly, a marketing budget.

Marketing Plan Overview

The first step in your marketing project management is to create an overview, or summary, of the entire plan. This overview should be no longer than one page and discuss the main points of the marketing plan. Write the overview last to be sure you don’t miss any important points when writing the summary.

Objectives

Objectives are measurable goals.  The basis for your objectives will likely be in the Business Plan.  You develop or translate these into Marketing Objectives.

Situation Analysis

The situation analysis is the foundation of the marketing plan and is critical to good marketing management. Include any market research and competitive analysis.  Details of current market size, projected growth, information about your competitors. Also include an assessment of your business, including strengths and weaknesses (SWOT), and a summary explaining how you will develop Strengths and overcome Weaknesses.  Detail likely Opportunities and  potential Threats.  Be honest and as specific as you can.

Target Market

Be sure to define your target segment/target market (customers) in detail.  The Target Market profile will become the basis for all your marketing strategy.  If it is only a few lines long it is not going to very specific or useful. Check out articles on Segmentation and Targetting in the Smartamarketing blog (see details at the end of this article)

Strategy

The marketing strategy section includes how you plan to achieve the marketing objectives you determined. This section of the project should include the Marketing Mix Strategy – Usually focused on the “four P’s:”

Product – Describe your product (Product includes Services), and be sure to include both features and benefits.

Price – The pricing strategy used to determine the pricing of your Product.

Place – The location where you will sell your Product (including services), distribution channels (physical or on-line).

Promotion – The methods you plan to use to promote your product or service.

Be sure to include how the strategy should be implemented – the marketing tactics that will be used such as advertising, social media, events, Personal Selling and other forms of Promotion.

Schedule

Include a monthly/weekly schedule (timelines) of events

Marketing Budget

Complete your marketing plan with a budget created from the costs associated with each section of the plan. Be realistic when creating the budget, using actual costs whenever possible.

Review Regularly – and adjust

Check that you are obtaining the desired results. If not, adjust the plan and budget.  Reality needs flexibility

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

The Need to Better Understand Management Planning

Dr. Brian Monger

The degree to which a company is able to cope with its operating environment is very much a function of the understanding it has of the management planning process as a means of sharpening the rationality and focus of all levels of management throughout the organisa­tion.

This requires further explanation.  What most companies think of as planning systems are little more than forecasting and budgeting systems.  These give impetus and direction to tackling the current operational problems of the business, but tend merely to project the current business unchanged into the future – something often referred to in management literature as ‘tunnel vision’.

The problem with this approach is that because companies are dynamically evolving systems within a dynamically evolving business environment, some means of evaluation of the way in which the two interact has to be found in order that there should be a better matching between them. Otherwise, because of a general unpreparedness, a company will suffer in­creased pressures in the short term, in trying to react and to cope with environmental factors.

Many companies, having gone through various forms of rationalisation or efficiency- increasing measures, become aware of the opportunities for making profit which have been lost to them because of their unpreparedness, but are confused about how to make better use of their limited resources.  This problem increases in importance in relation to the size and diversity of companies.

In other words, there is widespread awareness of lost market opportunities through unpre­paredness and real confusion over what to do about it.  It is hard not to conclude, therefore, that there is a strong relationship between these two problems and the systems most widely in use at present, ie. sales forecasting and budgeting systems.

The most frequently mentioned operating problems resulting from a reliance on traditional sales forecasting and budgeting procedures in the absence of a management plan­ning system.

1.         Lost opportunities for profit

 2.         Meaningless numbers in long-range plans

 3.         Unrealistic objectives

 4.         Lack of actionable market information

 5.         Inter functional strife

 6.         Management frustration

 7.         Proliferation of products and markets

 8.         Wasted promotional expenditure

 9.         Pricing confusion

 10.       Growing vulnerability to environmental change

 11.       Loss of control over the business

The connection

It is not difficult to see the connection between all of these problems.  However, what is perhaps not apparent from the list is that each of these operational difficulties is in fact a symptom of a much larger problem which emanates from the way in which the objectives of a firm are set.

The meaningfulness, hence the eventual effectiveness, of any objective, is heavily dependent on the quality of the informational inputs about the business environment.

Objec­tives need to be realistic 

However, objec­tives also need to be realistic, and to be realistic, they have to be closely related to the firm’s particular capabilities in the form of its assets, competences and reputation that have evolved over a number of years.

The objective-setting process of a business, then, is central to its effectiveness.

Tt is inadequacies in the objective-setting process which lie at the heart of many of the problems of companies.  Since companies are based on the existence of markets, and since a company’s sole means of making profit is to find and maintain profitable markets, then clearly setting objectives in respect of these markets is a key business function.

If the process by which this key function is performed is inadequate in relation to the differing organisational settings in which it takes place, it fol­lows that operational efficiency will be adversely affected.

Some kind of appropriate system has to be used to enable meaningful and realistic management objectives to be set.  A frequent complaint is the preoccupation with short-term thinking and an almost total lack of what has been referred to as ‘strategic thinking’.  Another com­plaint is that plans consist largely of numbers, which are difficult to evaluate in any meaning­ful way, since they do not highlight and quantify opportunities, emphasise key issues, show the company’s position clearly in its markets, or delineate the means of achieving the sales forecasts.  Indeed, very often the actual numbers that are written down bear little relation­ship to any of these things.

 

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

Price as a Creative Variable

Price should not be used like a simple blunt object

Dr. Brian Monger

Implicit in the argument that price must reflect value is the need for flexibility in the methods used to establish prices.  While it may seem obvious to some, a fundamental truism in a market-oriented environment is that “price is a variable.” The opposite of a variable is a constant, something that is unchanging.  Many managers approach price as a constant.  That is, they set prices using a fixed formula, such as determining cost per unit and adding a predetermined margin to arrive at price.  Having applied the formula, they give no further thought to the use of price as a marketing tool.  Not only is such an approach naive and overly simplistic, but it causes the manager to lose sight of the real purpose of a price and to miss creative opportunities for realising profits.

Prices can be varied in many ways.  The only requirement is creative thinking on the part of the manager.  Examples of ten ways to vary a price include the following:

• Keep the same price currently charged but give the customer greater (or lesser) product quality.

• Keep the same price currently charged but give the customer a smaller (or larger) quantity of a particular item.

• Change the time of payment, such as by allowing a customer four months to make payment.

• Offer a rebate or a dollars-off coupon.

• Provide cash, quantity, and/or trade discounts.

• Charge different prices to different types of customers.

• Charge different prices based on the time of day, month, or year.

•  Offer to accept a trade-in from the customer.

• Accept partial or full payment in the form of goods and services instead of money.

• Bundle the product with other Products and charge a single price lower than the combined individual prices.

These are but a few of the possibilities.  The downside is that price as a variable is a more complicated management task and requires considerably more hard work than does price as a constant or fixed phenomenon.  Also, creativity can be dangerous if not properly structured.  Pricing decisions should not be made in a piecemeal fashion, but instead should be part of a larger pricing strategy.

Do you have any ideas to add?

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

The Motivation to Buy

Dr. Brian Monger

A sale is made when somebody decides to buy – decides that what is proposed satisfies his/her need, or will benefit him/her in some way that he/she does not now enjoy.

Why do people buy? What makes them say yes to some salesmen and no to others? What makes them like some products better than others? Why do people behave as they do?

If marketers could only know in advance of each call what the answers to these, and similar questions, would be, then their task of selling would be much easier.

Unfortunately, it is difficult to predict people’s buying behaviour, and this is the main reason why so much skill is required in marketing. However, there has been much research in the behavioural fields on why people act as they do and from this we are able to see a general pattern of buying behaviour.

All of us are moved by motives and urges

What is Motivation?

1. Motivation can be described as the driving force within individuals that impels them to action.

2. This driving force is produced by a state of tension, which exists as the result of an unfilled need.

3. The specific courses of action that consumers pursue and their specific goals are selected on the basis of their thinking process and previous learning.

II. Needs

1. Every individual has needs: some are innate others are acquired.

2. Innate needs are physiological or biogenic, and include food, water, air, clothing, shelter, and sex.

3. These needs (innate) are considered primary needs or motives.

4. Acquired needs are needs that we learn in response to our culture or environment, and include the need for self-esteem, prestige, affection, power, and for learning.

5. These needs (acquired) are considered secondary needs of motives.

When asked to buy something, a person is confronted with a problem which he/she needs to interpret and resolve. Frequently he/she overcomes the problem (either personal or business) by making a buying decision.

Actually, the sale takes place in the mind of the buyer – it is the buyer’s viewpoint and the satisfactory resolution of his/her buying problem that concerns the marketer.

Often the solution to the problem can be attractive and unattractive at the same time. It may involve the choice between two attractive courses of behaviour or it may involve choosing between two unattractive things.

The marketer’s task is to assist the prospect to resolve his/her problem.

For some the solving of problems, or making decisions, is relatively easy, while for others even a minor decision causes tension and worry.

It is important for the salesperson to appreciate that the higher the tension the more irrational the prospect becomes, and the less likely he/she is to follow the logic of the salesperson’s story.

People generally will not make a buying decision until they are satisfied in their own minds that the benefits they will derive from the product outweigh the costs to themselves.

Marketing and especially selling therefore, is concerned with reducing buyer tensions, and assisting the prospect to identify his needs through the products and services offered.

People buy for basic reasons and, like all selling fundamentals, the reasons are simple and clear-cut. Look at the list below. Not advanced technical terms but simple everyday words. Like all simple things we tend to overlook them but every sale you ever make will be made because your proposition appeals strongly in one or more of these aspects:

• Profit, gain or economy/savings
• Design or appearance
• Pleasure, comfort and pain avoidance (physical and emotional)
• Safety or security
• Convenience
• Love and affection
• Sex appeal
• Social approval
• Pride, prestige/status
• Speed of Operation
• Ease of Operation
• Compatibility with Present System
• Availability/Delivery Speed
• Absolute Price/Price Flexibility
• Service/maintenance support/Software support
• Broad Line of Equipment Supplier Stability
• Competence of Personnel
• Personal Interaction – Liking
• Personal relevance
• Situational factors/Immediacy
• Curiosity/Discovery
• Creativity
• Exclusivity
• Empathy with brand
• Consistency of Delivered Value
• Performance/dependability/ Reliability of Operation
• Reliability of supply
• Environmental concerns

Dr Brian Monger is Executive Director of MAANZ International and an internationally known business consultant with over 45 years of experience assisting both large and small companies with their projects.  He is also a highly effective and experienced trainer and educator

Did you find this article useful?  Please let us know

These articles are usually taken from notes from a MAANZ course.  If you are interested in obtaining the full set of notes (and a PowerPoint presentation) please contact us – info@marketing.org.au

Also check out other articles on http://smartamarketing.wordpress.com

MAANZ International website http://www.marketing.org.au

Smartamarketing Slideshare (http://www.slideshare.net/bmonger)

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