2. SELLING CONCEPT
VS
MARKETING CONCEPT
SELLING CONCEPT
Inward focus on business.
Define business by goods and
services
For everybody or the average
consumer.
Profitability through sales volume
Less favorable in a competitive
environment.
MARKETING CONCEPT
•Outward focus on customer.
•Define business by benefits for
customer
•To a specific group of customer
•Profitability through customer
satisfaction.
•More favorable in a competitive
environment.
3. HOW THE COMPANIES THINK?
Converting product into
cash.
Emphasis of sale of the
product already used.
Fragmented approach to
selling.
Buyer beware principle
followed.
Cost determine price.
Converting customers
need into product.
Emphasis on product
planning and
development.
Integrated approach to
marketing.
Seller beware principal
followed.
Customer determine price
, price determine cost.
SELLING CONCEPT MARKETING CONCEPT
4. HOW THE COMPANIES ACT
Focus on seller’s needs
Holds customer and
business.
Manufactures the product
first.
Sales volume oriented
Focus on customer needs
Holds customer and
business.
Identifies the customer first.
Customer satisfaction with
profit oriented.
SELLING CONCEPT MARKETING CONCEPT
5. HOW THE COMPANIES PERFORM?
Product supreme.
Profit through sales volume
Planning is short term
oriented
Aims at customer
satisfaction with companies
profit.
Customer supreme.
Profits through customer
satisfaction.
Planning is long term
oriented.
Aims at customers as profit
targets.
SELLING CONCEPT MARKETING CONCEPT
6. EXAMPLES
Insurance, encyclopedia.
Online shopping.
Door-to- Door selling.
Dell computers- provides
platforms on which each
persons customizes the
features he desires.
Automobiles industries.
Designer clothes.
SELLING ORIENTED
COMPANIES
MARKETING ORIENTED
COMPANIES
7. EXAMPLES (CONTD…)
Uses more branded
characters at one time than
probably any other
company in the history of
marketing. Ad starring their
Gecko, Cavemen, or the
googly-eyed pile of Kash.
Presently GEICO has no
fewer than six — count
‘em…SIX! — different ad
campaigns running, each
with their own unique tone,
style, flavor and message.
Co-founded by
entrepreneur Phil Knight
and track & field coach
Bill Bowerman back in
1964 as Blue Ribbon
Sports, Nike boasted
athletic roots right from
the get-go, but the
company didn't make the
big leap until it took
advantage of the jogging
and fitness craze that
swept the country in the
late 1980s.
GIECO NIKE