Industrial Marketing Research

Industrial marketing research is subject to a systematic enquiry in terms of :

Content: what the researcher attempts to study and why
Method: Methodology of investigation and how to collect all relevant data
Technique: Procedures or tactics by which strategy is implemented.

Steps in designing an industrial marketing research

1.Clarification of research objectives
2. Assessment of internal data base if any
3.Design of research and research instruments
4.Pre-testing
5.Preliminary discussion with the client's designated representatives
6.Final fixation of research samples and the expected output
7.Full scale information gathering
8.Data processing by the internal team
9.Report writing
10.Audio visual presentation follows after the formal report has been submitted.

Example
An all india level study was organized for an Indian firm-Usha Martin
black,Ranchi-which was planning to invest Rs 15 crore to make and market
digital drives as an additional product line against the already available analog
thyristor drives. At that time, in India, these were produced by Siemens and
other large firms.
The preliminary study was aimed at finding out:
1. whether the digital drives product line would be preferred over analog
thyristor drives?
2.the probable requirement patterns(for the next 3 yrs)
3.more prospective future buyer users and each firm's concerned decision
making unit members.

These data were analyzed and probable need pattern was worked out.Then
only ,based on all this information,the management of this large indian firm
decided to go ahead with a new investment proposal.

Industrial Marketing Pricing:

To promote industrial products and services,pricing plays a key role which
takes into account several exogenous variables:
status of technological readiness of the concerned buyers-users
market's demand and potential at a point of time
cost benefit analysis
Pricing strategies(read from book)
4Ps of B2b Marketing
1.Product
The total offering is created by a partnership between the buying organization
and the marketing organization.
The process creates an augmented product that is specific to the buying units
needs and maximizes the value creation capabilities of the marketer.
Core Product
+ Financing Terms
+ Delivery Options
= Total Offering
2.Price
Price
Price is the measure of value exchanged and is determined by the market (not
by costs).

I.
II.
III.

is the mutually agreed-upon amount that satisfies both sides in an

exchange.
often varies from fixed price, with more special discounts and
allowances (in comparison to consumer markets).
may involve things other than a one-time price payment (such as
commissions).

Place.....
Place is about getting the product to the customer in order to maximize economic
utility.
Form Utility (having the product in the right size package, quantity, etc.)
Time Utility (having product available at useful times)
Place Utility (getting the product to the customer where & when it is expected)
Possession Utility (making it easy to transfer ownership to the buyer)
Promotion
Business-to-business marketing requires a different emphasis on different parts of
the promotional mix.
Consumer marketing
Emphasis is frequently on advertising.
Communication with customers is often a monologue.
Relationship is often brief.
Business-to-business marketing
Emphasis is frequently on personal selling.
Communication with customers should be a dialogue.
Relationship is often long-lasting.

B2b selling process

Selling management:
It is an integral part of industrial marketing process.The following needs to be
considered for effective sales management.
Present customers,semi-developed prospects and dealers
Demand potential which can be classified into :
Category A: small no of buyers who are large value, large volume and major
revenue earners
Category B:larger no of buyers which cumulatively account for a medium level
of market share
Category C:Much larger no of small-buy users who may be widely dispersed
geographically.

Stages of Selling Process

Prospecting and lead generation: