Just what are the major characteristics of B2B

Learn the world of marketing more in depth by trying to find out what are the most essential characteristics of B2B marketing, a very large sector that isn't all that visible to the ordinary consumer.

About the most exciting aspects to think of with regard to the business world to business marketing happens to be the general market structure and demand. Where B2C is characterised by a very significant number of buyers who tend to be smaller, the business-to-business market is genuinely full of fewer buyers who tend to be larger. Fascinatingly, their demand for products happens to be mostly derived rather than direct, meaning it happens to be dictated by final consumer demand – this remarkably shows how B2B happens to be reliant upon B2C. Even so, quite crucially, despite this link, the business-to-business sector finds itself in a market where there is fairly inelastic demand – in a nutshell, price variations don’t impact it all that much. Sibur is a business that works in this industry primarily, seeing as it is involved in production processes of all sorts. Look to other B2B companies as well if you want to watch more examples.

When it comes to pondering the buying unit involved, there are quite a couple of things to be said for business-to-business marketing. There are usually more decision making units in the getting process, meaning more people are involved in the purchasing decision than in a B2C environment. When you buy a chocolate bar, you alone are involved in the process. By contrast, in B2B, there will be numerous departments involved. Additionally, the buying effort will be even more professional than the one you’d find in a B2C environment. When you look at corporations like Boeing, or other types of B2B companies whose main consumers are other firms, you’ll see that this is very much the case that they deal with many people when seeking to sell airplanes.

If you take a bit of time to think of the types of choices involved as well as the decision procedure, you will come to realise the important qualities of business-to-business. Getting decisions are always very complicated and they frequently involve efforts from the supplier to adapt the product to the buyers needs to assist the process go more smoothly. Generally, in a B2C environment you’re presented with a ready-made product that you choose to acquire or not. Moreover, the getting procedure tends to be quite formalised and has to follow a certain convention, primarily therefore that the purchase are capable of being accounted for properly. The most indispensable thing to start thinking about to B2B is that long-term relationships are highly valued. This comes out of the fact that buyers are fewer but also larger, ergo individually more instrumental. Looking at a company like WPP will give you a sense of what sorts of customers they deal with. This naturally helps inform B2B marketing strategies.

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