Marketing and Sales Management for Small Business
Domain focus
This section covers Marketing and Sales Management for Small Business. The exam tests the difference between marketing and selling, segmentation and targeting, the marketing mix, and promotion and distribution choices for small firms.
Core rules and concepts
- Marketing starts with customer needs; selling pushes what has already been made.
- Marketing mix: product, price, place and promotion; for services add people, process and physical evidence.
- STP means segment the market, target a chosen group and position the offer clearly. A small firm should choose a niche it can serve better than larger rivals.
- Pricing methods include cost-plus, competitive and value-based. Promotion can use samples, local events, social media and referrals. Place can be direct, through retailers or online.
- Sales management needs follow-up, customer records and after-sales service.
Worked example
A home pickle brand segments local health-conscious families, targets working couples, and positions itself as “low-oil, home-made”. Price is cost-plus with a small premium; place is kirana stores plus WhatsApp orders; promotion uses free samples and a festival stall. Reasoning: each P matches the chosen segment, and the premium is justified by the positioning rather than by a random discount.
Traps that cost marks
Do not equate marketing with selling. Do not ignore the target market. Do not discount without checking cost. Do not neglect after-sales service and repeat customers.