Source: Annette Dunlap, NCDA&CS Business Development Specialist, 6/14/16

I recently read an article in a farm magazine titled, “Marketing Versus Selling Hay.” Reading the article got me to thinking. Much of that article applies to any business. If I were to change the technical words, I could have titled it, “Marketing Versus Selling at Store Demos.”

Marketing versus selling is a key distinction when you’re trying to build a business. It’s particularly true when trying to build a food business. You have limited encounters with your customer base during which you need to build their loyalty and their trust. Store demos are one of the best places to market your product, but many people see it as a selling opportunity. It’s time to rethink those encounters.

How do you handle your in-store demos? Are you marketing, or are you selling? Do you really know the difference?

Let’s take a look. Here’s the typical approach when selling:
• Make the sale fast
• Have a high customer turnover rate (i.e., you don’t have a lot of repeat customers)
• Are a price taker
• Have to reduce your price in some way (such as bundling) to move your inventory

Here’s the typical approach when marketing:
• Focus on long-term sales (i.e., build customer loyalty)
• Communicate with your customers
• Have some control over setting your price
• Have a relationship with your customers

If you’re selling rather than marketing, what needs to happen to change your focus?
First, get a handle on who your ideal customer is – what is that person looking for in an artisanal product? Why are they generally willing to pay more than they would for a commodity product? How do they shop? (Online? Direct? Through a third party like Amazon? In store?)

Next, build up your communications network. If you haven’t looked at the Food Business Almanac blog post videos yet, take some time to view them. The three together run about 15 minutes. They have tips on how to build a Web presence and make good use of social media. But, beyond the Web presence and social media, you need to get contact info so you can send emails or postcards – and do it with regularity!

Third step – Talk to your customers during demos and through email. Find out what they really want or need. Maybe you need to adjust your container size up or down. Maybe your customers need more recipe ideas, or maybe they have a suggestion for a new flavor for you. Customers can be your best friends, if you encourage that two-way communication.

Finally, provide service. That starts with attitude. If someone contacts you with a problem, respond promptly and figure out the best way to “make it right.” If you’re hiring someone to do your demos – or if you’re sending a family member – you need to check up on them when they don’t know you’re looking. Nobody cares about your business as much as you do. I’ve seen some interesting behaviors at demos that have turned me off of even trying the product.

So, you tell me, you’ve been doing all of this, and you’re not growing the way you would like. There could be a lot of reasons for slow growth – a discussion well beyond a brief email. But here’s the important thing – if you just “sell” to someone, there’s no incentive for them to feel loyal to you. If you “market” to someone they begin to feel a connection. It’s that connection that you want to establish, and it’s one that takes time to build.

Take a look at what you do to determine if you’re more of a seller or more of a marketer. Then start to tweak your approach to customers and to prospective customers so that you’ll consistently be the latter.