Posted in Marketing and Strategy Terms, Total Reads: 8268
Definition: Sales Orientation
Sales Orientation is a business approach of making profits by focusing on persuasion of people to buy the products instead of understanding the customer needs. Emphasis is put on advertising and improving the abilities of the sales force. The product and the production capacity precede the customer. In order to reach out to many buyers, overcoming competition, advertising campaigns are used which suggests the Sales Orientation. This orientation does not pay too much attention to the needs of the customer. It simply tries to push the product already produced via advertising or sales force.
The characteristics of a sales-oriented business are:
More reliance on promotional activity to sell the products/services the company has already produced.
Aggressive selling tactics
More share of the original budget is given to the Promotion of the products/services
It focusses mostly on short term planning.
Example of a sales-oriented approach can be of “one plus one free” offers given to the customers. This approach doesn’t try to understand the needs of the customer like increase in the quality of the product, better design, low price, etc., instead tries to push the sales of the product by providing exciting offers to the customers.
Though sales orientation help in the short run, they fail to sustain in the long run as the customers become more and more knowledgeable and demand more variety and better quality. In highly competitive environments, sales-oriented businesses usually fail and market orientation succeeds.