The production and selling concepts are two of the five main marketing concepts that are followed by businesses. The rest three are – product, marketing, and Societal marketing concept.
Production Concept vs Selling Concept
The main difference between the production concept and selling concept is that the former deals with ensuring the quality and standards of the product are above par, while the latter deals with finding ways to promote the products in the best possible way.
The production concept is one of the oldest concepts of marketing and deals with the product component of the business, particularly product quality (efficiency and costs).
Selling concept deals with persuading a customer to buy the company’s product with the help of promotions and various selling tactics.
Comparison Table Between Production Concept and Selling Concept (in Tabular Form)
| Parameters of Comparison | Production concept | Selling Concept |
|---|---|---|
| Process level | It is the first step taken into consideration when implementing marketing concepts. | The third step in the marketing concept ladder, right after production and product concepts. |
| Purpose | The concept is applied by the company to enhance their product quality and improve it through extensive research. | Here, the company has to find methods to push their improved products to the customers and make a sale. |
| In-dept components | The main focus is on production costs, high efficiency and large volume for production. | The main focus is on advertisement and promotion and showing the high quality of the product. |
| Steps | The steps involved in production concept are – Routing, Scheduling, dispatching, follow-up. | Prospecting, Preparation, Approach, Presentation, Handling objections, Closing, Follow-up. |
| Source | Start with the raw materials involved in the manufacturing of goods. | Starts with the finished products made in the factory, which are rolled out to the customers. |
What is Production Concept?
The production concept was found in the mid 20th century when the industries were taking off, and the manufacturing of goods was the most significant prospect of that time. This is because the demand exceeded the supply, and the volume of manufactured goods was low.
The production concept is the first step followed in the marketing concept process, where the goods are manufactured, checked for quality, and passed onto the company.
Production concept helps a company understand their product’s qualities and features and improve on them. Every company wishes to make its product as eye-catching as possible and help the consumer make their decision quickly.
Many things go into making a product desirable, and thus the business focuses on those points. The points are as stated below –
- Low production cost: purchasing the high-end raw material as lower costs so that more money can be invested in manufacturing.
- Production efficiency: The factory must be able to role out the product on time so that it reaches the consumer as soon as possible for sale.
- The volume of production: The factory should be able to keep up with the demands of the consumer, which increases daily and also keep the quality of the product intact.
Here the price component of the product is a crucial factor. The company has to keep in mind that its prices are reasonable for the consumer to purchase it. The company first compares its costs with its competitors, and accordingly, changes its expenses.
There are four steps followed in the process of production –
- Routing
- Scheduling
- Dispatching
- Follow up
These steps are carried out, and once the product line is approved, the next concept in the marketing rule is followed.
What is Selling Concept?
The selling concept became a significant notion for every company after the 1980s because advertising had come into the picture. Being able to promote your product and show it off to the world had become every company’s priority.
The selling concept was developed because it was believed that a customer would not be inclined to buy a company’s product unless they were persuaded or pushed to make that decision.
So the main emphasis of the business moved towards selling the product regardless of its quality being good or bad. Here, the company assumes that only through aggressive promotion of the product, will there be any sales.
Now the idealogy of using an aggressive sales tactic is only opted by company’s who believe their product is not up to mark with the other significant conglomerates. Major companies don’t need to use these sales tactics because what they lack in advertising, they make up in product quality.
There are a few steps that must be followed when applying a selling concept –
- Prospecting
- Preparation
- Approach
- Presentation
- Handling objections
- Closing
- Follow-up.
The selling concept starts with the factory finalised goods and ends when the product is out on display for sale. The rest is carried out by marketing and societal marketing concepts.
Main Differences Between Production Concept and Selling Concept
- The production concept is the first step in the marketing process. The selling concept is carried out after the production, and product development is finalised.
- Production concept helps improve existing or new products in terms of quality and costs. Selling concept helps customer easily distinguish between the company and the competitor’s product.
- Production concept involves factors such as low costs of manufacturing and an increase in volume. Selling concept includes advertising, displaying products, and promoting it to look good regardless of the quality.
- In the production concept, the steps involved are – Routing, Scheduling, dispatching, follow-up. In selling concept, we follow – Prospecting, Preparation, Approach, Presentation, Handling objections, Closing, Follow-up.
- The starting source of the production concept is the raw materials and its manufacturing. While for selling concept it is the finished goods and its advertising.
Conclusion
The production and selling concepts are one of the two essential steps of marketing. Marketing cannot be done without either of them and yet their focus differs. Production concept focuses on enhancing the products existing features and aspects that make it desirable. Selling concept focuses on the buyer and promotes the product in a way that suits the customer’s needs.
The production concept deals with raw materials and converts it into processed goods, and selling concept takes the finshed products and aggressively promotes it using the right sales tactics. In the end, the company wishes to check what type of product will receive the best response from the customer.
References
- https://www.sciencedirect.com/science/article/pii/0019850173900254
- https://journals.sagepub.com/doi/abs/10.1177/002224298605000207