Sales Vs. Marketing

By
Education & Training with Hoover Elementary
https://activerain.com/droplet/tKd

As members of the real estate industry, most of us recognize we're in a sales-based profession.  We're all selling- whether it's the sale of a commercial building or a residential home, convincing someone to enter into a lease, convincing someone to apply for a particular loan product or, in my case, convincing people to use Stewart Title instead of one of my competitors.

But my eyes were opened a bit when I attended a conference recently and heard speaker Kevin Miller, from the Georgia-based company SalesFUSION, talk about the difference between sales and marketing.  In effect, Mr. Miller said, "The purpose of a marketing department is to generate leads for the sales department.  The purpose of a sales department is to close the leads supplied by the marketing department."

To the extent we generate revenue through our own efforts, we're all one-person sales departments, even if we're part of a team.  But what about marketing?  Stewart has a wonderful marketing department, but it is more of a resource to assist with generating campaigns and providing materials- it does not supply me with a list of potential customers to call on.  Rather, I generate my own leads and so, per Kevin Miller's definition, I am also a one-man marketing department.

Miller's statements really got me thinking because I realized I had lumped pretty much everything in my job description under the umbrella of "sales"- when that's really not the case.  When I attend a networking event, for example, I am usually looking to meet people with whom I can set appointments- I'm not expecting to actually get a title insurance order on the spot.  So networking is marketing, not sales.  Increasing my visibility and reputation as an expert through online articles such as this is also marketing, not sales.

What I realized is that, while my job description is "sales," I spend a large amount of time on "marketing."  Not to downplay marketing- It's exceedingly important!  Without leads to call on, there are no leads to close.  But a balance has to be struck between the two in order to keep up the bottom line.  I have to have leads, but if I don't set aside proper time to close them, they're meaningless.

So, going forward, I can take a look at my calendar and map out which activities are marketing and which are sales, and I can adjust my focus accordingly.  Categorizing the two may seem like a fine distinction but, as I know from reviewing property records, details often make all the difference!

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Rainmaker
2,082,111
Ronald DiLalla
Century 21 Discovery DRE 01813824 - Anaheim, CA
No. Orange Cty Real Estate

H Andrew, I have been in Sales & Marketing my entire career.....not all in REal Estate.  and as you found out there is a major difference between the two.  thanks for sharing with us.

Feb 23, 2012 04:13 AM #1
Rainer
359,577
Andrew Capelli
Hoover Elementary - Hazel Park, MI

Ronald: You are very welcome- Thanks for the feedback!

Feb 23, 2012 04:25 AM #2
Rainmaker
958,104
Ann Hayden 636-399-7544
Berkshire Hathaway HomeServices Select Properties-St. Louis Missouri - Chesterfield, MO
SelectAnn.com

Andrew,

Yes, we are all into marketing......

Ann Hayden in Wildwood, MO

Feb 24, 2012 09:28 AM #3
Rainer
64,045
Eric Salonga
The Salonga Brothers at Reed Realty - Ceres, CA
Your Key to the Central Valley

Andrew, great point.  We as real estate professionals must have a balance between marketing and sales.  Marketing leads to sales and sales lead to a huge smile on my face.

Cheers,

Mar 05, 2012 10:21 AM #4
Rainmaker
124,537
Harley Wilcox
West Group Real Estate - Victor, ID
Harley Wilcox

When asked how I like being in the sales business: "I am in the people networking and information business". I do not SELL to anyone. I help them make good desisions based on good information. Marketing is my strong point while closing the deal is easy when the property matches the Buyer.

Apr 20, 2012 11:53 PM #5
Rainer
359,577
Andrew Capelli
Hoover Elementary - Hazel Park, MI

Harley: Selling doesn't have to have a negative connotation.  That is, it doesn't have to mean getting people to buy a product or service they don't need or that may even be detrimental to them.  I believe that for people like you, who are ethical and care about their clients' interests, it's acceptable whether you call it convincing , decision-helping, option-providing or just plain old "selling."  You're right that pre-qualification through good marketing does help make closing a deal much smoother!

Apr 21, 2012 04:08 AM #6
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Rainer
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Andrew Capelli

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