Any company, whether a start-up or an established one, puts maximum efforts into expanding sales volume. This is because continued growth in sales is the only key to survival in the market. An organisation resorts to many means of accomplishing this end. These are, for example, introducing new products, promoting them through attractive marketing campaigns as well as schemes, in addition to offering discounts and easier payment options. However, there are many other factors which affect the sales of the products of a company.
Sales and marketing activities of the business are affected by a number of internal and external factors. While some of these elements are under the control of the business, most of these are not. As a result, the business has to adapt itself in order to avoid being affected by changes. These external and internal factors are grouped together to form a marketing environment in which the business operates.
If a business would like to be a success in the marketplace, it is necessary for them to fully understand what factors impact the development of their organisation. Once they have a good knowledge about both positive and negative effects within – as well as outside – the company, they are able to produce suitable strategies in order to handle any anticipated situation. This means that examining internal and external factors is considered to be the most important task for an enterprise before launching any strategic marketing and sales plan.
The internal factors are anything within the organisation and under the control of the company, no matter if they are tangible or, alternatively, intangible. These factors are grouped into the strengths as well as weaknesses of the company:
- If one element is responsible for bringing positive effects to company, it is considered to be a strength.
- On the other hand, if a factor inhibits the development of the company, it is considered to be a weakness.
Within the specific organisation, there are numerous criteria which need to be taken into consideration.
External elements are those factors outside, and under no control of, the company. Considering the outside environment allows organisations to make suitable adjustments to their marketing plan to make it more adaptable to the external environment.
There are numerous criteria which are considered to be external elements. Among them are some of the most important factors, which need to be listed, are:
- Current economic situation,
- Surrounding infrastructure, and
- Customer demands.
External and internal influences may affect your sales in your company. The economic cycle, bespoke markets, laws and regulations, as well as market positions of your competitors are considered to be the external factors which may impact your business. Also, the internal factors – such as your resources, product, marketing strategies, or anything that emanates from your organisation – can affect your sales. By being cognisant of these factors, you’ll be able to think of ways that you can monitor them as well as take actionable steps in order to ensure that your sales rise instead of declining.
There are tonnes of factors which can influence the way in which you do your business. You need to build this into your marketing strategy so that your business can weather any storms that may come your way.
Check out our Marketing Strategy Course to find out how you can develop the best possible strategy for your organisation.
You might also like
- Your Complete Guide to PPC Marketing Basics. Find out more.
- Would you make a great marketing manager?
- Will digital marketing now replace traditional marketing?
- Will Digital Marketing Kill Traditional Marketing?
- Why Your Online Branding Is Key To Your Business
- Why Your Mobile Marketing Has To Go Global? Learn more.