Marketers’ main emphasis is on the customer while sellers focus on the product. A seller is only interested in converting product into cash, he is interested in a long lasting relationship but a marketer believes that business begins with friendship and after sale relationship . A seller sells what the producer has and need not necessary be a product or service that the buyer wants while marketer markets a product a service or a product that meets the need of buyer. This is attested by the way Jane has created good rapport with her customers and even gives them credit facilities.
In contrast Moses is a seller because he is UN-flexible in terms of working hours and he does not offer credit facilities to his clients. His main aim is to sell the product. The main focus of selling is on affecting transfer of title and possession of goods from sellers to consumers or users. In contrast, marketing activities put more emphasis on achieving maximum satisfaction of the customer’s needs and wants. Moses is a seller as he does not keep records of his customers neither does he know any of their characteristics.
His main concern is making sales as compared to Jane ho has gone an extra mile to build very close relationships with her customers. Selling is only a part of marketing process and is concerned with promoting and transferring possession and ownership of goods from the seller to the buyer while marketing is a much wider term consisting of number of activities such as identification of the customers needs, developing the product to satisfy these needs, fixing prices and persuading the potential buyers to buy the same.
Sellers aim at maximizing sales and thereby the profits of the firm while marketing is concerned tit customer satisfaction and thereby increasing profit in the long run. This can be seen by the amount for profit and sales that Moses is currently making and is not making any plans for the future. In conclusion Jane is focused in today and the future which is evidenced by her analyzing customer needs and opened new outlets at eateries where she now supplies vegetables and she is thinking of expanding. Moses on the other hand is ,only with selling as many clothes as possible only to make profits and has no plans for the future.
Marketer By impeachable Sales and profits for the month Moses Daily sales = SSH 7,000 Daily profit-SSH 1,000 For 25 days = SSH 175,000 profit: =SSH 25,000 Jane Daily sales = SSH 3,000 Daily profit-SSH 800 = SSH 75,000 =SSH 20,000 Eateries supplies Total sales: 75,000 50,000 Total profit: 20,000+1 JAZZ=AZIZA =SSH AZIZA Total figures Analysis of each in terms of sales and profit Jane: Total sales :Asks 150,000 Profit :SSH AZIZA Total sales: Asks 175,000 :Asks 25,000 Jane business is the one likely to survive in a competitive environment.
This is because she has enhanced close ties with customers hence building good rapport mongo customers. All Concertmaster will be loyal to her hence they will not be taken by her rivals. Jane offers good customer service and she is flexible to accommodate them. She has diversified her business I sense that they are not located in one place hence incase of unforeseen situation she can still operate in different locations. This is because she has taken measures to expand the business and thus is making sales and generating profits from more than one stream Question iv Benefits which can be derived from relationship marketing
Relationship marketing is an approach which emphasizes the continuing relationships that should exist between an organization and its customers. When a bank claims to be practicing relationship marketing, it signifies that they have undertaken an organization wide strategy to manage and nurture their interaction with clients and sales prospects. To build successful long-term partnerships, c linens look for a bank that is more than a ‘banker’, one who is also interested in their general well being than purely in what can be sold to them.
This concept gives business owners a forum where they can share ideas and even learn more about other opportunities that they can invest in. Customers can give their feedbacks which will enable banks to tailor in their products and services to meet their needs. Timely communication will enable banks check their weakness hence improve their efficiency.. Relationship marketing helps enhance word of mouth referrals. Len this case you are able to build business’s people -to-people customers market banks products and services effectively. This also promote loyalty mongo the customers. Loyal customers in most cases recommend the business to others,thus leading to expansion. Relationship marketing promotes an environment where customers can give feedback and have their issues addressed. Customer will tell what problems or challenges they are encountering Problems with your products/services enabling to improve your products/services. Effective relationship marketing connects people, processes, and technology to increase Profitability and reduce operational costs in the organization. It also leads to increased customer Satisfaction.
Adopting such a concept ensures that communication to customers is extended beyond intrusive advertising and sales promotional messages. The customers feel as part of the message. Relationship marketing promotes word of mouth marketing. The customers patronizing such forums are likely to tell their friends and family about the company.