Many different types of organisations use each others business to help establish their business and sell their products to, but the way they are sold is different to they way products are sold to the public consumer.
Businesses sell to businesses more than to the consumer, but the consumer does not realise this. This is done behind the scenes as sometimes businesses do not spend money but products.
By looking at three different companies who have different target audiences, competition and price, allows for a more in depth understanding of why businesses sell to each other. Coca-Cola has approx 50 million potential customers within the UK, Financial services software has 100s and MRI scanner manufacturer has 1 – NHS. Coca-Cola costs between £1-£5, financial services software costs £50,000 and MRI scanner manufacturer costs £825,000. The MRI scanner manufacturer has fewer clients so can not afford to lose any, as does the financial services software, this leads to them having a closer relationships with their client. This would build up trust and due to the amount of money involved they will want to do best for their clients. The best way for them to promote new products is personal selling, going to the client and telling them face to face enabling the client to feel the relationship developing and trusting in the company. Coca-Cola’s relationship with its consumers is a lot more difficult and they have such a large potential audience that speaking to individuals would be a lot of man power. As like consumers talk about new and good products businesses will do the same. In London there are many different businesses and staff will talk to each other, companies like financial services software will want their customers to tell others about the software and think about buying it. The relationship that the company has formed allows for this to take place especially if the client trusts the company enough to recommend it.
Business will always buy for a need and never a want; they will not buy on impulse. They will undertake the whole of Kotler’s Buyer Decision Process, by a group of people rather than one individual.
As my final week I thought I would put in an advert that whenever I watch it I become a kid again and want to be back there. Yes, you guessed it … Disney. I love this advert because it is exactly how I feel when I think about going there and while I’m there. I know my parents get excited about going to so it’s a little reflection of my family. Hope you enjoy it as much as I do! Thanks for reading and I’ll speak over the summer – Year 1 – DONE!!!
Businesses sell to businesses more than to the consumer, but the consumer does not realise this. This is done behind the scenes as sometimes businesses do not spend money but products.
By looking at three different companies who have different target audiences, competition and price, allows for a more in depth understanding of why businesses sell to each other. Coca-Cola has approx 50 million potential customers within the UK, Financial services software has 100s and MRI scanner manufacturer has 1 – NHS. Coca-Cola costs between £1-£5, financial services software costs £50,000 and MRI scanner manufacturer costs £825,000. The MRI scanner manufacturer has fewer clients so can not afford to lose any, as does the financial services software, this leads to them having a closer relationships with their client. This would build up trust and due to the amount of money involved they will want to do best for their clients. The best way for them to promote new products is personal selling, going to the client and telling them face to face enabling the client to feel the relationship developing and trusting in the company. Coca-Cola’s relationship with its consumers is a lot more difficult and they have such a large potential audience that speaking to individuals would be a lot of man power. As like consumers talk about new and good products businesses will do the same. In London there are many different businesses and staff will talk to each other, companies like financial services software will want their customers to tell others about the software and think about buying it. The relationship that the company has formed allows for this to take place especially if the client trusts the company enough to recommend it.
Business will always buy for a need and never a want; they will not buy on impulse. They will undertake the whole of Kotler’s Buyer Decision Process, by a group of people rather than one individual.
As my final week I thought I would put in an advert that whenever I watch it I become a kid again and want to be back there. Yes, you guessed it … Disney. I love this advert because it is exactly how I feel when I think about going there and while I’m there. I know my parents get excited about going to so it’s a little reflection of my family. Hope you enjoy it as much as I do! Thanks for reading and I’ll speak over the summer – Year 1 – DONE!!!
1 comment:
Well done on completing your blog. A huge effort!
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