INDUSTRIAL MARKETING IS generally considered like business to business (B2B) marketing, organizational marketing, or business marketing. The aim of the marketing is to sell products or services to other companies.
Among the organizations that are targeted in this trade include: government undertakings, manufacturing companies, education institutions, private sector organizations, distributors, dealers, and hospitals. Business organizations purchase the goods and services with the intention of satisfying a wide range of needs such as reducing costs, production of services and goods, generating profits, etc. The following are some of the common types of industrial marketing management.
The characteristics of the service or product involved have a major impact on the process of industrial exchange. The convenience and ease of exchange depends on the seller’s capability to establish the needs of the buyer and the potential of the product to satisfy the needs of the customer. The customer determines the suitability of the terms of the exchange through considering things such as quality, price, after-sale services, and quantity. If these terms are attractive, the loyalty of the customer is greatly increased.
The information management is composed of economic, technical and organizational questions. In addition, both pre- and post-sale servicing and maintenance should also be exchanged with the participating business organizations. The services and the products offered should be well planned and tailored to suit the needs of the clients perfectly. In order to attain this goal, the buyer and seller of the service should work together—exchanging specific product information over a long span of time, so that the necessary modifications are done on the product before it is finally made available in the market.
Exchange of finance does occur when you are making payments. You may need to exchange the currencies or even giving credit. Exchange of currency is especially common when you’re dealing with foreign clients.
The societal exchange is essential to lower uncertainties that may arise between the buyer and the seller. The exchange maintains the long-term exchange rapport and avoids the short term difficulties between the buyer and the seller. There are acceptable standards of services expected in the industrial market and are based on mutual trust and arbitration. These contracts are normally not based on any legal or formal criteria until the transaction period expires.
Industrial marketing management is characterized by markets that are geographically concentrated and limited buyers. The number of industrial buyers that need a certain product may be less than twenty in an area, but they consume a large quantity of the product or service. This is as opposed to consumer products that have a large market that require it in small quantities. The manager should establish an edge that will acquire them a fair share of the small market.
The service and the product are supposed to be available at certain time and specific duration. The seller is supposed to ensure that the service is delivered on time to avoid unnecessary inconveniences. The products also tend to be customized and technically complex.