Why this is a need of today? Selling Concept :
This is another common business orientation. It holds that consumers and businesses, if left alone, will ordinarily not buy enough of the selling company's products. The organization must, therefore, undertake an aggressive selling and promotion effort. This concept assumes that consumers typically sho9w buyi8ng inertia or resistance and must be coaxed into buying. It also assumes that the company has a whole battery of effective selling and promotional tools to stimulate more buying. Most firms practice the selling concept when they have overcapacity. Their aim is to sellwhat they make rather than make what the market wants.
This business idea also projects the concept that it is essential to sell current resources in order to make room for the next wave of stock. Such an approach helps maintain inventory and keep a positive flow of resources heading out of a corporation. The thinking behind this maneuver is that this allows for new waves of resources to make their way to the retail location and offer something new to attract consumers who are not currently buying. This promotes a proactive approach to customer service and sales.
The whole philosophy of concept selling is to reach a new level of market place whom were unaware of the true benefits of your products, services or solutions, prior to our initial contact with them. There are many benefits associated with our concept selling approach, however, we recognise that they are based around the following principals:-
- Automating, Improving or Streamlining a business process
- Reducing labour and operational costs
- Optimising total efficiency or OEE within a operational business model
- Alleviating process headaches or intricate reporting procedures
- Increasing productivity verses profitability
- Government targets to comply with legislation - environmental or sustainability issues effecting the future of their organisation
- Process or Continuous Improvement - Initiatives for excellence
- Improvements to alleviate cost and pressures put on their operation due to customer demands
- Business Improvement knock-on-effect to increase customer satisfaction and retention
- Competitive & Strategic advantage
- Improving overall operational business efficiency
The five most important points of the selling concept of the marketing are describe hereunder: -
- This concept is typically practiced with unsought goods (those that buyers do not normally think of buying e.g. insurance policies).
- The selling concept takes an "inside-out" perspective (focuses on existing products and uses heavy promotion and selling efforts).
- To be successful with this concept, the organization must be good at tracking down the interested buyer and selling them on product benefits.
- Industries that use this concept usually have overcapacity. Their aim is to sell what they make rather than make what will sell in the market.
- There are not only high risks with this approach but low satisfaction by customers.