Who makes the purchase decision depends, in part, on the situation. Common types of buying situations include direct repurchase, modified repurchase, and new task. Next, let's look at the stages of the B2B buying process. They are similar to the stages of the consumer buying process.
Users and influencers come into play here. In the case of our e-book, the professor teaching the online course, his teaching assistants and the information technology staff at the university would try to describe the type of book best suited for the course. Should the book be published on the Web as is? Should it be downloadable? Maybe it should be compatible with the Amazon Kindle. Figure 4.6 “An example of product specifications developed for a B2B purchase” shows the specifications developed for a cleaning service purchase by the State of Kentucky.
Figure 4.6 An example of product specifications developed for a B2B purchase A scorecard approach can help a company qualify requests for proposals. Figure 4.7 “A scorecard used to evaluate requests for proposals” is a simple example of a scorecard completed by a member of a purchasing team. Scorecards completed by all purchasing team members can be tabulated to help determine the vendor with the highest rating. Figure 4.7 A scorecard used to evaluate RFPs Keep in mind that a vendor with a history of poor performance may not be the only culprit.
The buying company could also play a role. The Postal Service has a contract with FedEx to help deliver your Christmas packages on time, but a large number of packages are delivered late, FedEx may or may not be the culprit. Perhaps a large number of charges from the U, S. Postal Service Delivered to FedEx Delayed, Weather Influenced, or Shipping Volumes Were Unusually High.
Companies need to collaborate with their suppliers to find ways to improve their joint performance. Some companies hold annual symposiums with their suppliers to facilitate cooperation between them and honor their best suppliers (Copacino, 200. University of Minnesota Principles of Marketing is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted. In simple terms, a B2B buyer implies a situation in which there is a business-to-business (B2B) business transaction between two or more companies.
For example, a tire manufacturer may sell merchandise to a car manufacturer. Another example would be wholesalers who sell their products to retailers, who then turn around and sell them to consumers; the important part of that transaction was the B2B transaction between the buyer and the seller. B2B buyers typically ask prospective suppliers to submit formal proposals about their product and how those products can help the buyer's business. B2B buyers can be for-profit or non-profit; to keep the process as simple as possible, we decided to include all the different types of buyers in B2B in 4 main categories.
B2B producers are usually B2B manufacturers who purchase goods and services from B2B vendors and suppliers and transform them into other products. B2B manufacturers occupy a unique position in the market, as they are an integral part of the growth of the economy in most cases. B2B producers buy, create, design and produce the products we all use today. You can also simplify the process by using BizVibe's B2B Buyer Directory to identify the first segment of B2B producers you can sell to.
B2B resellers are wholesalers, retailers and brokers who sell goods and services manufactured by other companies without making changes to the product. These are B2B buyers who will buy your product in bulk and sell it to the consumers they are targeting, and they are often very popular buyers for B2B companies, as they can simplify the entire logistics process to just a few people. Resellers can be easily found online, as manufacturers often look for opportunities to sell their products away from the world's Amazon and Wal-Marts. Resellers often look for buyers who move their products without having to worry about the hassle of discounts demanded by large companies.
Governments buy everything from airplanes to paper clips, from training services to scientific research. For example, shoppers looking for services such as transportation or garbage collection at the state level for their citizens. Institutional Markets Involve Selling Nonprofits. Think of it like selling products to institutions such as schools, hospitals, nursing homes, corporations like the American Red Cross.
This usually involves massive supply issues, such as how many rolls of toilet paper a school needs each month, etc. It applies to anything an institution may need: paper clips, food supplies, etc. A good example is coffee shops in U.S. and local government buildings, schools and universities, prisons, hospitals, or similar organizations.
These B2B shoppers are interested in buying local food and other products, creating lucrative marketing and sales opportunities for medium and large businesses. To sell to institutional markets, you can, for example, have already identified the 4 main categories of b2b marketplaces, now is the time to further segment your audience and focus on the specific type of B2B audiences you are likely to encounter in your sales initiatives. After all, according to CSO Insights, “65% of B2B buyers said they found value in discussing their situations with sellers. Expect these types of B2B buyers to buy larger volumes of products with a lower process per unit, making it a very lucrative market with constant demand.
Who are B2B researchers? Typically, these are employees whose boss has asked them to research a specific product or service. Although these people don't usually have purchasing power, they have a lot of influence. Get in touch with everyone and talk to everyone because, in B2B, the buying process is long and can involve researchers. Keep it relevant to your business objectives.
Show executives proof that your product will generate a higher return on investment and business results for your company. When approaching these types of buyers in B2B, the focus should be on the key business challenges your customers face and how only your product can help solve them. You want to have white papers, case studies, real-world examples of your earnings to convince executives to choose your company to deal with. To reach the 5 types of buyers in B2B, you need to create buyer personas for all of them.
BizVibe has redefined the concept of B2B networks by helping buyers select the right supplier. Our platform is designed to help companies generate leads, shortlist suppliers, request proposals and identify global companies. The Different Types of B2B Purchasing. Closing deals is an epic struggle faced by entrepreneurs.
According to the TAS group, half of sellers only close 40 percent of potential deals. Business-to-business sellers fall short of closing deals and meeting their quotas because they don't know or understand the type of buyer they are targeting or the personality of that buyer. The Economic Buyer's biggest concern is to boost return on investment and stay within or under budget. This type of buyer considers examples of work done for past and current customers, and seeks case studies that demonstrate the ROI of a solution.
He or she needs to know anything and everything that could affect their bottom line. The economic buyer needs to be in control throughout the buying process. This type of buyer expects that costs, breakdowns, and indisputable proof statements provide justification for spending. The buyer user is primarily concerned with the overall customer experience and the impact of the transaction.
When looking to buy, this personality type bases their purchasing decisions on their shopping experience and ease of purchase. If you shop online, this shopper likes to evaluate everything your website has to offer to expedite purchases (i.e. The features and functions of the payment process). They are influenced by how easy it is to navigate and get information from their website.
The Buyer User seeks to see how practical their website is during the purchase process. Win This B2B Buyer by Optimizing Your Service Offerings to Deliver an Extraordinary Experience. This is exactly what it looks like. The technical buyer wants to get into the feasibility essentials and specific security settings of their solutions.
The technical buyer is interested to know how easily their solution can initiate changes. They are characterized by being skeptical, critical and indecisive in the face of change. This buyer relies heavily on measurable and quantifiable data before making a purchase, and wants proof that their product or service works as directed. When you're creating your marketing strategy, or perhaps just readjusting yourself, make sure to consider these four types of B2B buyers and their personalities.
Take a step back from the traditional selling process and really focus on each individual buyer. The more you understand the buyer, the easier it will be for you to get him to the closing table. B2B purchasing decisions include levels of complexity that are unique to the organizations and environments in which they operate. Identify who exactly in the b2b marketplaces is responsible for what is purchased and when some detective work is often needed for the marketers and salespeople they work with.
You've already identified the top 4 categories of b2b marketplaces, now is the time to further segment your audience and focus on the specific type of B2B audiences you're likely to encounter in your sales initiatives. Unlike the consumer buying process, several people are often involved in B2B purchasing decision making. Second, many marketing functions focus on B2B marketing rather than B2C marketing, or they can be a combination of the two. These types of producers mostly trade locally, so start by visiting local trade shows, visiting events hosted by your buyer's potential audience, sending sales teams to offices, cold calling and cold emails.
At the same time, B2B purchasing decisions are influenced by a variety of factors that are unique to organizations, the people they employ, and the broader business environment. B2B suppliers increasingly believe that their customers are highly trained and need salespeople only at the end of the buying process. . .