Monday 27 July 2015
Friday 17 July 2015
People Pay for Satisfactory Responses to perceived Problems or Opportunities
Different
customers and various products together give a complex matrix to deal with by
selling people to change and fine-tune their selling behaviour. This is the
catch generally being faced by organisations & fail to understand their
falling sales. Distinctions in selling behaviour therefore is of paramount
importance to understand to succeed in selling.
In a
research done by McKinsey on more than 1200 managers who were ‘Purchasing
Decision Makers’, a big gap was found in what managers ‘said’ was important ,
generally it was price and product features and what actually drove their
decisions about vendors.
The
study clearly identified that the Attitude Scales & Responses thereon do
not come out to be positively effecting buying decision. It means, factors like
Eco-friendly products, green products although being talked about a lot, but
study shows that in reality, such attitude does not influence positively buying
decisions.
Another
factor which came out of the McKinsey study is that ‘not having adequate
product knowledge and contacting customers too frequently by a sales person’
undermines selling. The study clearly come out on that customers look for fewer
but more meaningful interactions.
In
short, it can be said that ‘People pay for satisfactory responses to
perceived problems or opportunities.’ Eg. Theodore Levitt said, people
don’t buy 2 inches drill bits but 2 inches hole. Levitt has said that
Organisations are infected with ‘Marketing Myopia’ i.e. focussing on product
features than benefits. He said that marketing myopia makes organisations fail
to understand - Market Scope, Product Substitutes and Customer motivations
to buy or not. He said, customers
‘hire’ products to get their jobs done.
It
therefore can be concluded that organisation should have a product or service
with benefits, relevant to customer. A clear distinction between features and
benefits.
The
MARKETING STRATEGY should focus on driving relative importance of FEATURES and
BENEFITS.
Sunday 12 July 2015
Mindless experience to mindful actions
It is a fact that 'experienced' people emphasize on their experience rather on the content they gathered when they were being experienced.. Getting old, no one can stop. Watch keep ticking. The said article focus on how mindful actions make a difference and not the mindless experience.
The article published in the magazine HUMAN CAPITAL, JULY -2015
Monday 6 July 2015
All customers are not same
Products manufactured has no value,
until sold and money due realised. Conversely, selling if not tuned to a
product, it remains a heroic act. It can therefore be said that it is the
alignment of selling behaviours with sales tasks i.e. critical to managing
performance of the organisation.
Selling behaviour alignment has come
into prominence as research conducted to find out reasons of failure of
start-ups. It is found that nearly 44000 companies were founded in the year
2000. Out of them, fewer than 6% achieved more than $10 million in revenues by
2010 and fewer than 2% more than $ 50 million.
Companies generally begin with the ‘Product Performance Advantage’ –
advantage that product drives into the market, finding a gap in a product
category. This advantage is diluted slowly as other products or even new
products in the same category start filling in the gap and companies first fail
to comprehend reasons of their product failure and eventually not able to build
on their initial product performance advantage by translating their strategy
into business development initiatives. In other words, failure at the end
of a leadership team to define core competencies of the organisation and their core
customers.
Business development is driven by
selling skills tuned to buying behaviour of core customers.
There are lots of ways to sell but an
organisation has to choose a specific way, appropriate to the organisational
strategy and core competency. Here comes the rule of ‘understanding target
customers and their buying behaviour’.
All customers are not same.
Saturday 4 July 2015
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