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Personal Selling As An Effective Promotional Tool In Marketing Of Industrial Goods
[A CASE STUDY OF NNPC, ILORIN]
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2.1.3 DISTINCTION BETWEEN INDUSTRIAL AND CONSUMER GOODS
The main difference between industrial and consumer and goods does not rest an difference in the product or services themselves.
Industrial
goods for example, raw materials, component, suppliers e.g. coal,
carbar paper, services and capital equipment e.g. welding machines are
bought by firm, including middlemen such as retailers, in the conduct of
their business operations. They are not bought to resell to final no
sue holder or individual buyers.
Industrial goods are also bough by government department, local authorities and public bodies.
Consumer
goods are goods which are used by ultimate consumer as house holds, in
this case they are those goods which are not use for further processing.
Example of these foods are bear, soap bread etc. Since these goods are
consumed fast and purchased frequently, the appropriate strategy is to
make them available in many locations, change only a small mark up and
advertise heavily to industrial and build preference.
From the above explanation, what distinguishes the industrial goods from consumer products are:
(a) Difference in the buyer and
(b) Difference in the uses to which products and services are put.
2.2 IMPORTANCE OF PERSONAL SELLING TO INDUSTRIAL MARKETING
Personal
selling is the oral presentation in a conversation with one or more
prospective purchaser for the purpose of making sales.
Personal
selling is also the most effective tool at certain stages of the
negotiation and sales closing stages. It is important that the company
carefully consider when and how to use sales preventatives to
facilitates the marketing task. Conversely, personal selling can made a
strong contribution in industrial goods marketing. From all the
discussion so far, it is easily seen that personal selling is much more
than any other promotional tools and is the most relevant and
appropriate to industrial product marketing than it is to consumer
goods. The major factorS that contribute to the importance of industrial
goods are as follows:
(1) There is the need for practical
demonstration because of the highly technical and complex nature of
before and after sales services that can be performed by the sales
person.
(2) It is common practice to find sales persons visiting
and inspecting the plant and equipment of the industries user. These
visit sometimes leads identification of more economical and modern way
of producing products.
(3) Due to the high unit cost of industrial
products, the buyers are usually more prove as sensitive to potential
risks both economic and emotional and assurance may be needed before the
purchase could be made.
(4) The sales person act as a trouble
shooter for each target individual buyer called upon rather than a mere
disseminator of information.
(5) Also, due to the high level of
specialization and differentiation that are usually involved in the
characteristics of individual products, the service and opinions of the
sales persons are some times necessary in order to develop these special
feature.
(6) There is usually exists for less number of customers
constitute the total market, therefore, personal selling contact with
them because less of a case with consumer products.
2.3 CLASSIFICATION OF INDUSTRIAL PRODUCTS
A useful industrial goods classification would suggest appropriate
marketing strategies in the industrial market. Industrial goods can be
classified in term of how they enter the production process and their
relative.
Attempt to classify this broad arraying will be
complete because of the difficulty of establishing mutual exclusive
categories. But it is still useful to identify different product
categories because it gives an insight into the main influences
affecting buying decisions and choice of vendor. Also the way in which
buyers themselves classify product will give due to the market about his
selling promotional and channel decision.
Therefore, the following are the main classes in which industrial product can be classified.
(1) Major equipment
(2) Raw and processed materials
(3) Components part and sub-assemblies
(4) Operating supplies.
MAJOR EQUIPMENT
In this type of category, it includes industrial equipment and
machines such as boilers, furnaces, cranes, lather, printing presses and
sawmills.
Some of these items are highly specialized and are
build in order to meet the need of buyers, other are more or mess
standardized and the used by a number of equipment buyers will consider
such properties as productivity, veracity durability, economy of
operations and maintenance and time and labour saving features.
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ABSRACT - [ Total Page(s): 1 ]ABSTRACTThe project aim at knowing personal selling as a promotional tools in marketing of industrial goods, which provide for detail information about all activities that is going in industrial goods/ products, and also touch the parts of promotional activities like sales promotion, public relation, advertising and publicity which is useful to solve marketing problems. This project explains all process involve in oil companies in order to make successful selling activities. However, it also hig ... Continue reading---
TABLE OF CONTENTS - [ Total Page(s): 1 ]TABLE OF CONTENTTitle Page Certification Dedication Acknowledgement Abstract Table of contents CHAPTER ONE1.0 Background of the study 1.1 Introduction 1.2 Statement of problems of study 1.3 Aims and objective of study 1.4 Significance of the study 1.5 Scope of the study 1.6 Limitation and constraints of the study CHAPTER TWO2.0 Marketing definition and Explanation 2.1 Definition of Industrial Ma ... Continue reading---
CHAPTER ONE - [ Total Page(s): 3 ]CHAPTER ONE1.0 BACKGROUND OF THE STUDY1.1 INTRODUCTION Selling is one of the oldest professions in the world. The people who do the selling go by many names. Sales people, sales representatives, account s executives, sales consultants, sales engineers, agents district managers, marketing representatives, and account development reps, to name just a few. The term salesperson covers a wide range of positions form the clerk selling in a retail store to the engineering sales ... Continue reading---
CHAPTER THREE - [ Total Page(s): 3 ]CHAPTER THREE3.0 RESEARCH METHODOLOGY3.1 RESEARCH DESIGN The research design used in the study is the combination of personal interview includes NNPC and customer services department while the questionnaire were administered of NNPC numerous customers.3.2 POPULATION OF THE STUDY Ordinarily, population refers to all people in a given geographical region. In research, the meaning of population goes beyond human beings alone. Ary and Jacob’s (1976) define ... Continue reading---
CHAPTER FOUR - [ Total Page(s): 13 ]CHAPTER FOUR4.1 HISTORICAL BACKGROUND OF NNPC NIGERIAN NATIONAL PETROLEUM CORPORATION The Nigerian National petroleum corporation (NNPC) is the state oil corporation through which the federal government of Nigerian regulates and participates in the country’s petroleum industry NNPC was established on April 1,1977 as a merger of the Nigerian National oil corporation and the federal ministry of Mines and steel. NNPC by law manages the joint ventures between the Nigerian fe ... Continue reading---
CHAPTER FIVE - [ Total Page(s): 1 ]CHAPTER FIVE5.0 SUMMARY, CONCLUSION AND RECOMMENDATION5.1 SUMMARY OF FINDINGS The study is fashioned to determined the effectiveness of personal selling as a promotional tool in marketing of industrial goods (a case study of NNPC). It is based on solutions to the identified problems to improved the performance of the sales person in the oil company in order to capture large share of the fuel markets. The research finding shows that oil companies are expanding intens ... Continue reading---
REFRENCES - [ Total Page(s): 1 ]REFERENCEAfolayan, J.A (2000): Promotional Management and Communication 1st Edition Nigeria; Published by Adewumi Press, Ilorin.David A.A Aaker (1989): Advertising Management 3rd Edition India, Published by private Limited in Prentice Hill.Michael Baker J. (1979): Marketing; N Introductory Text, 3rd Edition Hong Kong; Published by Macmillan Press Ltd.Philip Kotler (1982): Marketing Management Analysis 6th Edition London, Published by Macmillan Press Ltd.Schewe CD (1987): Marketing Principle and ... Continue reading---
