[dropcap]M[/dropcap]arketing YES/ NO sales. Infact nobody denies the importance of both marketing and sales. Marketing is a broader term used for creating brand whereas sales is selling of products. Now, it’s time to understand the reality of Marketing and Sales. In Pakistan the motorcycle industry has over 100 assemblers for a 70cc product but they do not have even its proper sales department or sales team. There is lot of potential in 2 wheeler industry, at present these 100 assemblers are producing 1.8 million motorcycles annually (2012-13) and it is forecasted 3.4 million till 2020. So that Pakistan has a big potential market for 2 wheelers, it demands the industry and business specialists to show strength and moving forward in an organized way, like our neighboring & regional countries; China, India, Malaysia, Indonesia, Philippines, Vietnam and Thailand. We do some marketing practices but we can do for best and in a presentable way, it would definitely create beauty in the business and showing an organized industry.
The difference between Marketing & Sales
This is very important that we should know the basics of marketing and sales, which will help us in improving our business competency. We know marketing and sales both are important activities for any business development of an organization. Marketing is a broader term and is used for research, branding, advertising, sales etc. Whereas sales is one part or activity of the marketing. When we interact with the consumer and sell the product, it is called sales.
Marketing is creating demands while sales are fulfilling that demands. Marketing is more related with branding while sale is related with one-o-one marketing. For example, when we do all activities to reach the mass consumers and create demands then we are doing marketing of our products and when we are reaching with buyer’s prospects one by one then we are doing sales. It means sale is a direct activity while marketing is indirect activity.
In small organizations usually marketing and sales both are handled by the same HRof its department, but with time these organizations when their sales volumes become high and high they separate the HR and departments and implement both the activities. Both the activities are interrelated on some points at the time. When a person is doing marketing then he is doing sales on a large scale while when a person selling then at the same time he is doing marketing also.
There is another important difference between marketing and sales, that is our focus. Marketing focuses on long term concerns while sales is related with short term focus. Marketing is more related to education, creating awareness of the product in the market and sale is related to description of the products. Marketing does these activities on a large scale while sales does these activities on very short scale and most of the times one-o-one basis. Sales is more related with interpersonal and interaction with prospects.
The Importance of Planning
Planning is a process which involves the determination of future course of action, i.e. why an action, how to take an action, and when to take action are main subjects of planning. The best practice is plan your work or work with a plan.
We must plan because it bridges the gaps; where we are and where we want to go. It makes us the things possible which would not otherwise happen. It is one of the basic process that is essential for every organization to achieve their ultimate goals. The following are some points showing the importance of planning.
1. Planning increases the organization’s ability to adapt the future eventualities. The future is generally unclear and things are changed with time. To overcome the changes with time planning provides us systematic approach to the consideration of such changes.
2. Planning helps in good decisions. Decisions of the managers are related to each other and ultimately towards the final goal or objective of the organization.
3. Planning helps crystallize objectives. The first step in planning is to fix objectives which will give direction to the activities to be performed. This step focuses attention on the results desired.
4. Planning helps the company to remain more competitive in its industry: Planning suggest us the addition of new products, changes in the existing models and a better identification of customer needs and segmentation and timely expansion of production capacity all of which render the company better fitted to meet the coming competition and challenges.
5. Planning reduces unnecessary pressures. If activities are not properly planned in anticipation of what is likely to happen, pressures will be exerted to achieve certain results immediately or a in a hurry. Thus adequate planning avoids unnecessary pressures.
6. Planning reduces mistakes and oversights. Although mistakes cannot be entirely omitted, they can certainly be reduced through proper planning.
7. Planning ensures a more productive use of the organization’s resources. By avoiding wasted effort in terms of men, money and machinery, adequate planning results in greater productivity through a better utilization of available resources.
8. Planning makes control easier. The objectives and goals are simplified and highlight the required controls.
9. Planning increases the HR efficiency. As the goals are clearer, adequate planning would help the management & HR in deciding upon the most appropriate action. One financial year has ended and another started. Usually our response is; “Oh passed a very busy time and looking another busy year”. In fact, a stressful time and more if we leave everything for the last hour. Many business owners hardly bother to review results of past year and planning for coming year. This is not a right approach.
10. Planning enables the organizations to progress in the manner considered most suitable by its management. For example, may be interested stability with moderate profits rather huge profits and risk of instability.
In the next article we will discuss more on marketing and planning with controlling factors and how we increase overall efficiency with the present HR.
-Published on page#18 & 19 in May-2013 edition of MOBILE WORLD Magazine