Marketing to organizations Expect Fewer buyers Larger buyers

Marketing to organizations? Expect: • • Fewer buyers Larger buyers Geographically concentrated buyers Closer relationships with customers But remember --- those buyers are people. That’s why chapter 5 matters for all marketing organizations. 5 -1

• In an experiment, Reeves and Nass had a computer give self-avowed techies who claimed they had no emotional feelings about computers instructions for carrying out a task. They then had the computer ask the techies how well it had done in giving instructions. Answers were complimentary. 5 -2

But then…… In a second stage of the experiment, another group of techies carried out instructions given by one computer and then were moved to second computer that asked how well the first computer had done in giving instructions. These subjects were less complimentary in describing the job the first computer had done. 5 -3

Good terms to understand: • • Fluctuating demand Inelastic demand Leasing Professional purchasing • Direct purchasing • Multiple buying influences • Multiple sales calls • Derived demand • Reciprocity 5 -4

Think about multi-person buying centers, and the motives that dominate for each • • Initiators Users Influencers Deciders • What motivates each of these folks? • Approvers • Buyers • Gatekeepers • What motivates each of these folks? 5 -5

Solution Selling: Useful for your proposal • Solutions to enhance customer revenues • Solutions to decrease customer risks • Solutions to reduce customer costs • These are benefits. Make sure the client knows not only which you plan to provide, but how 5 -6

Stages in the buying process prompt the usual question: Where should your company allocate resources? • • Problem recognition General need description Product specification Supplier search Proposal solicitation Supplier selection Order-routine specification Performance review 5 -7