By Mike Meldrum
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Industrial suppliers are thus faced with a situation of derived demand for their goods and services. The way they perceive their market and the way in which opportunities are identified and defined can therefore become a very complicated process. Industrial marketing requires involvement across the management functions Paradoxically, these factors combine to make market research in industrial markets sometimes more problematic, and sometimes easier, than consumer market research. Because of their low numbers, potential customers are likely to be difficult to find, extract information from, and generalise about.
As the significance of intermediary customers has increased, this traditional and largely tactical application of trade marketing has given way to a more strategic view of how manufacturers and retailers can develop a longer-term relationship to their mutual benefit. In addition, the introduction of 'category management' as a retail concept recognises the need for a longerterm view of the way that narrow groups of products are managed. 1 The trend towards supplier-retailer convergence Trade Marketing 55 chain wastage.
Customers, of course, remain the prime focus. The success of an organisation in its customer markets, however, can be affected to quite a high degree by these 'other' markets and an organisation's strength within them. 2 The relationship marketing six markets model Source: Adapted from M. Christopher, A. Payne and D. Ballantine, Relationship Marketing (Butterworth-Heinemann, 1993), reproduced with kind permission. Relationship Marketing 25 Influencer markets are important because customers are affected as much by independent third parties as they are by the direct activities of supplier organisations.