SALES DRIVEN OR PURPOSE DRIVEN – WHAT KIND BUSINESSMAN ARE YOU?

n the automotive industry, the challenges and marketing hurdles are mainly concentrated in identifying whether the operation should focus in making exemplary sales or in designing excellent customer service processes that will generate more clients to the firm. The problem, is combining both in the operation seems to sacrifice one.

According to automotive experts, most of the firms in this segment are more sales driven than a purpose-driven organizations. In 2005, a decline of 11.7% in automotive advertising had been noted. This shows that concentrating in one strategy is posting a significant disadvantage in the overall performance of an organization.

There is an immense difference between a sales driven organization and the purpose driven firm when it comes to timelines and primary goals. Each company type has its own way of defining success in accordance with the business goals and the strategies that are being implemented to achieve these goals. Primarily, a sales-driven organization thinks of strategies that are short-term in nature especially in setting-up the objectives. Meanwhile, a purpose-driven automotive dealership organization sets long-term goals and benchmarks.

Which is better for your organization?

Sales-Driven Businessman

A sales driven businessman’s primary goal is to grab maximum return on his investment, for the firms, shareholders, and the rest of profit stakeholders in an organization who has infused a capital to the company. In the concept of pragmatic marketing, that focuses mainly on marketing training and product management. A sales driven business structure is designed so that its business department and leadership provide maximum support to its sales team. This leads to the creation of promotional campaigns that intend to stimulate consumer interest in the product and service offering. This way, the company is able to achieve the highest possible profit within a short period of time. This kind of leader is not focused on the long-term sustainability of its service and product offerings.

The fact is market research and customer feedback are very important aspects in a sales-driven company. The feedbacks are important to gauge on the needs of customers within a given market. This way, the sales driven businessman will be able to develop products and services that its customers will be purchasing. Moreso, market research helps every business organization determine the attractive price level and on how automotive parts, vehicles, and customer services shall be priced and marketed according to the income of its consumers within a target area.

In addition, the sales driven businessman devotes a significant portion of the company’s operational budget to promotional events and advertising. However, risks should be considered as achieving long-term success is difficult in this kind of organization. The heavy focus on profit generation and pricing strategy makes it difficult for the operation to sustain longevity which will separate the organization apart from its competitors.

Purpose Drive Businessman

Meanwhile, a purpose-driven businessman develops activities, business strategies, and product offerings according to the wants and needs of its customers within a target area. Definitely, this kind of businessman intends in making a profit, but efforts are not mainly focused on allocating resources on short-term goals and making profits as much as possible. Instead, the leader seeks to develop product lines and services which will be of interest to its clients in a long-term basis. Thus, business strategies of the company are filtered through the consumer’s interest and opinions.

In this kind of business organization, a careful methodology, especially in the implementation of strategies, is very important. The company should employ a clear and rigid communication hierarchy structure so that the development of the products and services are controlled.

This kind of leader does not rush to market with an objective of making a quick profit. Practically, the purpose driven businessman is focused in developing a tailored made operation that will meet the needs and wants of its customers. This strategy, according to a number of automotive dealers, leads to the generation of higher revenue and growth potential which will ultimately result to becoming the market leader.

 

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