Phil Morettini from PJM Consulting has a written a fantastic post which explains key differences b/w sales, marketing & business development. For more information on PJM Consulting please visit www.pjmconsult.com
Can best be understood by the “4Ps of Marketing” as a framework:
Product–all the things that make the product what it is–features, interface, positioning, etc.
Promotion–how you get the word out about your product–advertising, direct mail, press relations, etc
Price–self explanatory, but along with the base price includes discount schedules and channel pricing, etc
Place–How you distribute the product, direct over the Internet, direct sales force, 1 step distribution, 2 step distribution, internationally or just domestically, etc.
Marketing has both a strategic component and tactical component.
This is probably the most easily understood, but it varies greatly by company. Simply, once a prospect has been identified by marketing, it is all that is involved in the process of getting the deal and converting them from a prospect to a customer. This can be quite separate from the marketing process in some high priced products, but can almost appear to be the “backend” of the marketing process for lower priced products sold directly–for example by download on the Internet.
This is the least well defined of the three terms that you use, as it means different things to different people. Some people use this term interchangably with sales, or for “high end” or big account sales. But the classical definition of Business Development includes strategic partnering, licensing (in and out), M&A if there isn’t a separate corporate development function, OEM relationships, and sometimes channel development if there isn’t a dedicated channel team.
There is of course gray areas and different interpretations for all three, but I hope that this is helpful to you as a baseline
Credits : PJM Consulting