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Industrial Marketing V/S Consumer Marketing

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Industrial Marketing V/S Consumer Marketing
Promotion: In the case of mass distributed consumer goods, advertising performs a large apart of the sales job. But in the case of industrial goods it is the personal selling that carries the main burden of persuading customers to buy. The reasons for this may be mainly due to the following factors :

a) Need for providing technical information about the product.
b) Customers to be contracted are fewer in number.
c) The channels of distribution involved are shorter.
d) Necessity for a direct contract between producer and user especially for rendering 'pre-sales' and 'after-sales' services.
Personal Salesmanship is,therefore, highly needed in the industrial goods market. Whether it is the selling of raw materials or supplies or selling the capital equipments, the services of an efficient an trained salesman are inevitable. He must have technical knowledge of his customer's production processes. He should also have the ability to convince the customers of the savings resulting form the purchase of the equipment he wants to sell. It is also his duty to install the machinery and prove its worth through 'trial running'. The nature of the salesman's job is dependent on the buying situation.

1. Whether the customer is buying the product for the first time,
2. Whether the customer is changing to a new source of supply (Here, the customer is in a position to weigh the merits and demerits of the new machines against the previous one which he was using), and
3. Whether the customer is merely placing a repeat order with same supplier.
Pricing:Generally price levels of industrial goods are more stable than those of consumer goods. However, it may also very depending on the types of industrial goods. For example, price of raw materials may vary due to changes in demand and supply. According to economic theory, the

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