business to business (B2B) - short for business-to-business, marketing and trading activities of the company, focused on obtaining benefits from the provision of services, selling goods not to private end consumers, but to other companies that consume these goods and services only for their own business.
The b2b model can be called the relationship of companies for the supply of goods and services, when supplied to the buyer:
- Is the main or auxiliary means of production and is subject to depreciation;
- It is consumables and raw materials for production and is consumed without residue;
- Creates, in the process of conducting subsequent business, economic, social and other forms of value;
- These goods and services themselves, in the process of doing business, are subject to:
- or modding;
- radical modernization, as a result of which fundamentally new goods appear;
- (before, re)staffed, (before, re)packed to create a fundamentally different product;
- consumed without a trace;
B2B model examples:
- Business to business manufacturing companies- activities of supplier companies to provide manufacturing companies with services, means of production, as well as goods intended for the production of other goods (consumables, spare parts for machine tools, raw materials and goods for further processing).
- B2B e-commerce(electronic commerce) - the activity of selling goods or services between companies via the Internet, using the online sales method. (e-commerce systems, online management and administration systems, e-commerce systems are understood as B2B tools).
- Business for business of integrator companies- activities related to the supply and purchase from different suppliers of goods and services and the formation of offers to consumers by combining them, for a specific need and in order to create additional value for the end consumer (delivery of any goods and services for companies forming, based on the supplied portfolio solutions, integrated solutions ).
- B2B cleaning– supply of consumables for companies engaged in cleaning services
- B2B catering– supply of alcoholic and other products for companies providing catering and event services.
- Distribution, resale of goods in the consumer market does not apply to the B2B segment (purchase, movement, redistribution and subsequent sale of FMCG goods).
- Supply of goods used by companies for domestic consumption not used in the course of business operations refers to corporate supplies and does not apply to B2B (supplies of toilet paper for public toilets in a machine factory and in a sales office). It is necessary to understand exactly that, for example, the supply of toilet paper for toilets at the factory belongs to corporate sales, but not to the B2B segment, since the supplied products do not participate in the formation of profit, are not part of a business solution, are not used in the company's business processes –consumer and does not generate value added.
Buying goods and services B2B- purchased goods, services received, which, as a result of doing business, are consumed without a trace. As a result of doing business, on their basis, other goods or services are formed that are sold to the final consumer.
Sale of goods and provision of B2B services- this is a trading activity in which not private consumers, but organizations act as buyers. In a general sense, the definition of the sale of goods and the provision of B2B services corresponds to any activity of the company aimed at customers who are legal entities and buy goods and services not for the purpose of resale, but for their own consumption, for the purpose of doing business.
Concepts of B2B and corporate sales are not identical concepts. In the first case, we are talking about participation in the supply of goods in the business of a partner, in the second, we are talking about supplies for any needs of the partner (internal needs of the company and (or) for its business). All sales of goods and services to non-final private consumers are called corporate sales (sales to companies, not private consumers).
B2B marketing- corporate marketing (business, industrial, industrial marketing), focused on the formation of benefits for the business of a corporate consumer. B2B marketing is the marketing of solutions, focused not on the end consumer, but on companies.
Purpose of B2B Marketing- meet the current and future needs of the corporate consumer's business, provide commercial and secondary benefits for the company.
Target Audience B2B- companies responsible for purchasing company employees who buy goods and services for their company's business, for production, for the purpose of processing. This also defines the difference between B2B marketing strategies. For example, in the B2B segment, it is often inefficient to use mass communication channels that are actively used in the private consumer market.
B2B market segment- a market sector focused on organizing interaction between companies in the process of production and sale of goods or (or) services by them. B2B sales are made in bulk at the organization level.
B2B media- Media carriers aimed exclusively at professionals in a particular field or industry. B2b publications include publications devoted to management, logistics, sales, finance, various sectors of the economy, etc. As a rule, these publications are consumed solely for the purpose of obtaining information necessary for work (stock exchanges, company bulletin boards, corporate industry directories, tender sites).
Number of impressions: 146042
B2B- an abbreviation for the English "Business to Business", which in translation into Russian sounds like "business for business". In other words, the B2B business model provides for the sale of goods and services not to an ordinary user, but to legal entities, that is, companies, enterprises.
In its turn entity, we will consider it inanimate, it has a lot of parameters: different structure, very different activities(even within the same business area), different turnover and internal resources...
All these points can serve well when working with a client. B2B sales are a separate direction of the art of profitable trading.
B2B - segment of professionals. The customer clearly represents the desired product, knows its qualities and properties. That is why it plays a huge role company reputation-supplier. Reputation is largely based on the opinions and reviews of other customers.
Also in creating image a professional and a reliable partner, publications in the press, disclosure of information about your company, with underlining strengths. The combination of all image factors leads to success while the absence of one of them can lead to failure.
For example: one customer, of the good old school, ala I believe only my eyes and experience, who was very satisfied with the cooperation, recommends the supplier to the partner. The partner, a man of more modern tailoring, decides for himself to supplement the information received using the Internet. Once on the site, "made on the knee" with the news of two years ago, closes the page and ... at best, forgets. At worst, over a glass of beer, he explains his point of view to a friend - a recommender.
Who is hiding under the second "B" and why do we need detailed information about the client
By limiting advertising of our product to the standard concepts of "cheap" and "quality", we automatically put ourselves in a faceless row of such sellers. And this row may be far in the gallery. These qualities are important, but for most people, the presentation of benefits using only such terms is associated with "another consumer goods steamer."
To get into the first row of excellent students, we must study our client well - so that we have a key to each of them. A universal master key will not help here!
However, down with the allegory.
- What can be offered to the client besides the above-mentioned cheapness and quality?
- A number of additional benefits. Make yourself the most convenient supplier using customer information!
client in B2B can be either a retailer or a large corporation and/or manufacturer. We need to know everything there is to know.
The number of employees, information about the presence or absence of additional non-core departments at the client will make it possible to offer him services that otherwise promise additional costs.
Having identified problems and difficulties with the buyer, and on their basis, by offering him an additional service, we are working not only for today's sale, but also for further cooperation and, most importantly, for our reputation.
An example of such a proposal: organize the delivery of products to the place and the signing of all documents, and the actual settlement at the client's office. If the client does not have technical means, V this example: cars and movers, he would have to resort to third-party paid services.
This means that our price for the goods, even if slightly higher than that of a competitor, will no longer become an obstacle to concluding a deal, since as a result our offer becomes more profitable. For us, in the presence of an established delivery service, this service will not become burdensome.
Large corporate clients often submit tenders. A thorough study of the characteristics of the business of a potential client will help to make such a tender offer that will not only show the product in person, but also expose the supplier in the most positive light.
Even in Goa, where the Russian language was not popular until recently, today you can hear: “cheap, beautiful, harasho”. Having escaped from the bored words of annoying traders, the tourist enters a shop, where, with pleasure, haggling under the jets of air from the ceiling fan, he receives his souvenir, albeit a little more expensive, but with a sense of satisfaction from the acquisition. The example is not "Business to Business", but it is clear.
Based on the definition of the client as legal entity and related issues, B2B sales have a number of distinctive features.
Some features of working in B2In sales.
Emotional component.
This element, which is very significant when selling goods to the final consumer, plays a special role when working with organizations.
On the one hand, we can say that the emotions of the end consumer do not play a role, since B2B sales are not instantaneous, and transaction decisions are made not by one person, but by a group of people representing the buyer.
On the other hand, it is all the more difficult to arouse the affection of several people at once, each of which has its own character and mood. Seriousness and professionalism in this segment play a greater role than the ability to be the soul of the company.
Eg. The initiator of the purchase, or the employee responsible for finding a number of suppliers for further discussion, reads information about the production equipment on the site. Filled with seriousness from the proposal, supported by professional arguments, he reads to the end of the page, preparing to add it to his “favorites”, and the next line he sees the link: “pizza with sausage”. The page is slammed, the supplier did not even get into the candidates.
Purchasing center.
This is the name of a group of buyer representatives who decide on the need to purchase and select a supplier. In building relationships, you need to find out the degree and area of \u200b\u200binfluence of each participant in the buying center in order to most accurately present the benefits of their offer. The procurement process consists of the functionality of each member of the group and is lengthy.
Volumes.
In the B2B segment, transaction volumes are usually large!
Because:
- the purchase of goods for the purpose of resale is carried out in bulk;
- the acquisition of equipment to enhance production capacity cannot be of small volume by definition;
- purchase of parts for manufactured equipment, units is carried out in large quantities;
- software may be purchased from a large number licenses. In addition, this entails the sale of services for updating, maintenance, and consulting.
And again to the issue of image and work with the client. In a cheerful voice, the sales officer promises: the program has an intuitive interface, the setup is easy, all whims are solved in a couple of mouse clicks.
A short time after the purchase, the client is surprised to learn that the setup is not so simple, that certain conditions must be met for updates, and employees still need to be trained to work with the program, and most importantly, you have to pay for everything. He will eventually pay, but to another service provider.
Hence another feature:
Long terms.
Both the sale itself and customer relations. From the moment the negotiations begin to the fact of the sale, sometimes it takes a very long time. The customer can look for a supplier with an eye on the future development of production.
Agreement process takes a long time period. After the transaction, the supplier provides setup and maintenance services, becoming to some extent directly production participant customer.
B2B sales– a long period of communication with the client, a direct impact on his business.
That's disclosed a small fraction of the part of the iceberg that is visible above the water. Iceberg - B2B sales. You can climb it quickly owning relevant tools, knowledge, and applying constants efforts.
And without all this - you can roll off it even faster. And plunge into the water. And this will not lead to a review of the underwater part.It is voluminous, it is interesting and will submit only to eager professionals.
We wish you, dear sellers, ascents, conquests and just good beautiful sales!
We are used to thinking in terms of seller-buyer. Of course, this is a universal formula, but it has many solutions. Let's deal with the new term, which is increasingly flashing in business conversations, but few people still understand what it is all about. So what is B2B?
business to business
Indeed, this term literally translated from English means “business for business”. That is, our end consumer is not a specific person, but a certain company. One legal entity sells its goods or services to another. For example, we have some information products that help optimize accounting in the company. We contact the director of the company "M" and offer him our product, as well as related services. That's what B2B is.
Simply put, this is trade between representatives of the business audience. This may include the provision of production needs, the sale of equipment, software development, services for the development and promotion of sites, automation and optimization of work processes. Everything, up to the supply of company offices with office equipment, paper or cleaning services.
What is B2B and B2C
And what then is meant by another formula - B2C? The main difference is in the end customer. In this case, your buyer is an individual. Yes, you also offer equipment, goods, services, but not to companies or enterprises, but to an ordinary consumer. The difference is that you have to build relationships differently. If in the case of corporate clients it is important to build long-term partnerships, then in the B2C sector everything is based on personal relationships. It is important to attract the attention of a mass audience, take into account the buyer's love for discounts and bonuses, and also skillfully play on spontaneous desires.
And what are the challenges to face here? First of all, your tasks include not just a successful sale once, the main goal is to build reliable partnerships. It is necessary to achieve the establishment of long-term trusting relationships with the first persons of companies, those who directly make decisions.
And here, unlike the B2C market, you do not wait for the moment when the buyer pays attention to you. You must actively offer yourself. Traditional flyers, press or TV ads, and banners do not work here. Corporate sales are active sales.
Finding your client
Entrepreneurs are what the B2B market segment is all about. At the level of a particular organization, these are directors or individual entrepreneurs when it comes to IP.
When working with corporate clients, you must clearly understand your target audience. At the same time, when forming an offer, you must proceed from the main task of your partner - to make your own business more profitable. It is important for him how much your product or service will be beneficial to him, what profit it will bring.
When launching your business, carefully analyze the existing market, consider in which particular sector your business is concentrated. Learn as much as possible about their needs and expectations.
Study the competitive environment. There are very few unique products on the market right now. Your goal is to make your offer more worthy in the eyes of the buyer.
It is necessary to take into account the fact that, in turn, your buyer is a businessman. That is, he, for his part, will also carefully analyze the market for the most profitable deal.
Sales technologies
What is a B2B market is already generally clear. But what sales techniques are typical for him?
This is where the big share is Of course, face-to-face talks with key people are very important. But before the meeting takes place, it is necessary to correctly build a system of cold calls. It is by phone that you have the opportunity to hook the client, to form a steady incoming stream.
It is important not just to “stupidly” call everyone who comes to hand. Your telemarketing service should work on the segment that is really interested in your offer. Analyze in advance possible options visits, work out probable failures, think over what kind of benefit you can bring to your potential partners.
In addition to telephone sales, direct mailings with offers also work well. But in this situation, you should be aware that some of your emails may end up in spam. This means that your efforts will be in vain.
And, of course, once you have a client, you should begin to systematically build friendships with him. You must tie it to yourself. And at this stage it is very important to competently motivate managers involved in maintaining business relations with clients.
Marketing
What is B2B? This is an effective system for finding new corporate clients and reliable retention of partnerships. You can't do without marketing activities. It's not just about advertising. You Need to Plan Actions to Reduce Your Costs It's no secret that only a small fraction of phone calls are productive. All the rest end up in nothing.
Your goal is to find out why this is happening, identify weaknesses and work through objections. Why is it better for a marketer to do this, and not a “salesman”? It's just that marketing research methods make it easier to identify the failures of the accepted ways of offering goods or services. Yes, and a competent marketer can easily help compose a selling text.
Now that you know what B2B is and what its “zest” is, it will be easier for you to promote your business and find reliable partners.
B2c and b2b are two big separate worlds in sales. Very often entrepreneurs fail because they don't understand that the rules of the game b2b and b2c are completely different. And in this article we will analyze plain language- how exactly they differ, and how we can play in these markets in order to win.
What is b2b and b2c in simple terms?
The term "b2c" comes from the English "business to consumer" (literally - "business for the consumer"). The two in the abbreviation "b2c" is inserted for brevity, because the English "two" (two) and "to" (for) sound the same. They also like, for example, to write "2U" ("for you").
This term means the sale of goods and services individuals. That is, the client buys something for himself, for his personal use.
It's the same with b2b. This already stands for "business to business" ("business for business"). And this concept means the sale of goods and services for the needs of companies. That is, people do not buy in order to use themselves, but because they need it to run their own business.
And for starters - here are a couple of examples for clarity.
For example, I have a business - a translation agency. We are engaged in translations of various documents and certificates into foreign languages. What do you think - is it b2b or b2c? And you can't say that directly. Because everything depends on the situation.
If a person comes to us who needs to translate a birth certificate in order to go abroad and receive a residence permit there, we work b2c. Because the client orders the translation for himself and for his own needs.
And if a representative of a plant that bought a new Italian machine contacts us, and now they need to translate all the instructions so that the workers can work on it, this is already b2b. The representative of the plant will not personally enjoy reading the translation of our instructions in the evenings on the balcony. The transfer is carried out so that their business (factory) can continue to work.
By the way, pay attention - in both cases, customers are forced to order our services. If it were not for the circumstances, it would never have occurred to anyone to order translations of documents. This is me to the fact that it would be wrong to think that b2c is when a person buys something for his own pleasure.
Thus, we have conclusion No. 1 - the same company can simultaneously work in the b2b market and in the b2c market. The only question is who will pay for the work - the person himself or his company.
Think you already figured out what is what? Let's check.
An example of b2b that are NOT b2b
Here's a trick question for you. Delivery of sushi or pizza - is it b2c or b2b?
At first glance, this is pure b2c. After all, people order food with home delivery for themselves. What if it's a corporate event? Colleagues gather for the upcoming New Year in one of the conference rooms of their company, and there they cheerfully eat the ordered pizza and sushi, interspersing this with dancing and love adventures.
What pays for all this dumping of the accumulated negative is the company where the employees work. So this is already getting b2b? And here it is not. More precisely, it is not necessarily b2b. It depends on whether the head of the company is present at the corporate party. If he is not there (and he formally allocates the money), then the delivery of sushi and pizza becomes b2b.
But if he is there, and he personally deigns to eat the brought fast food, then this is already pure b2c. By the way, even the companies that will be contacted for delivery in the first and second cases are likely to be different.
Do you know why? Because b2b and b2c buy differently.
How "businesses" buy and how "consumers" buy
Imagine such a situation. You have decided to buy a new laptop. By all rights, you are entering the b2c sphere because you are going to buy a product for yourself and for your personal use.
Do you buy the most expensive laptop or the cheapest? Neither one nor the other. You will buy the most expensive laptop you can afford.
That is, if you have 50 thousand rubles, then you can buy a laptop for exactly 49.990 rubles, and don’t even look at laptops for 15 thousand. Do you know why? Because you want the best quality for yourself.
Yes, of course, high price does not always mean high quality. Therefore, you will spend not only money. You will also spend a lot of time trying to choose the highest quality out of all laptops in the “about fifty dollars” price category - maximum RAM, a more powerful card, nicer materials, and so on.
And you know what's the funniest thing? 95% of the time on this laptop you will only surf the Internet and watch TV shows. That is, these are the tasks that a laptop for 15 thousand rubles could easily cope with. But human psychology does not allow you to act intelligently. And you buy the highest quality of what you have enough money for.
But b2b sales work in a completely different way.
How to buy "businesses"
Now imagine the same situation, but from the point of view of the head of the company. Here you need to purchase a batch of computers for your new management department.
Do you buy the most expensive computers? Or will you buy the cheapest computers? And again, nothing. neither. You buy the cheapest computers that will allow you to complete your tasks.
That is, if there is a computer for 20 thousand, on which you can edit documents and send them by mail, and there is the same one for 15 thousand, then you can be sure that the manager will order exactly those for 15.
And let the employees grumble with displeasure that their boss is a miser, and he could have “spoiled himself” on a computer with a more comfortable keyboard. None of this matters in b2b. The main thing is that the task for which the product or service is purchased is being fulfilled.
Let's go back to our pizza and corporate party example. If the head of the company is not present at the party, he will order cheaper pizza (just so that people have something to eat). And then it will be b2b.
But if "the chef himself will be there" - then he will make sure that the pizza was both tasty and warm, and with pineapples, as he likes. And then the pizza delivery man, without noticing it, will jump into the b2c sphere.
Due to this difference in the psychology of consumption, various funny situations often arise. Let me briefly tell you one such from my experience.
Why performers are offended by "bad" customers
As I wrote above, I have my own translation agency. And I myself am also a translator. And before, I had quite close contact with my own kind (other translators) on various forums and in VKontakte groups.
And do you know what was one of the most favorite topics for discussion? It was a thread about rogue customers who "do not understand" that translation is one of the most difficult and dangerous professions in the world and do not want to pay us the money we really deserve.
And in each such discussion, an argument was necessarily given why these customers of ours were not just scoundrels, but also fools. Like, we always choose the highest quality. Here I am (translator Vasya Pupkin) is always ready to overpay for sausage in the store. But I will get QUALITY!
After reading this article, such statements will probably seem ridiculous to you. I tried several times to explain there that in most cases the plant orders the translation of documents, because it is required by law. They need to be translated, shown to the inspector, and then put away forever in some dusty closet.
That is, formally, the task of translation is simply “to be” (so that some letters are written on the sheets), because no one will read and check it later anyway. Accordingly, what is the point of hiring an expensive professional for this? A student will cope with this at a price of 50 rubles. per page.
Therefore, it is very important to understand what your customer wants and why he needs it. And then you will be able to sell your goods and services much more efficiently, at least b2c, at least b2b. By the way, what is the best way to sell them?
How best to conduct b2b and b2c sales
There are several fundamental differences between “businesses” and “consumers”. Based on these differences, you need to build your marketing.
Difference #1- Businesses are bought mainly when it's already "hot", and you can't do without spending money. Mere mortals (like you and me) buy when they really want something.
Difference #2 There are far fewer businesses than individuals.
Difference #3“Businesses have a lot more money than simple “consumers”.
Given all of the above, we can conclude that in the b2b sphere it is better to sell something quite large and expensive, making only a few sales per month (or even per year). And in the field of b2c, it is better to engage in mass low-cost sales.
At the same time, your product for the b2b market should be their vital necessity. Something without which they simply cannot work normally. Then they will come to you for your goods. But for individuals, your product may not have any special practical value.
The main thing in working with "live" buyers is to make them want what we offer. At what it is possible to create such a desire from scratch. That is, even if five minutes ago they did not know anything about us or our product, we can quickly “warm up” them to a state of readiness for purchase.
True, the purchase amount will still be small. the whole and other selling techniques, such as for example, are built on this.
Accordingly, the main way to promote b2c goods and services is the usual mass advertising. And the main way to promote b2b is personal meetings and protracted negotiations. You can read about how such sales are built in the article.
Of course, there are exceptions to any rule. And there are successful b2b companies that sell inexpensively and in bulk (stationery). There are also b2c companies that sell expensive and low prices (yachts, planes). But exceptions, as always, only prove the rule.
Summary
It only remains for us to summarize all of the above for better assimilation.
- B2b is business to business. Companies that sell goods and services to other companies. B2c is "business to consumer". When goods and services are sold to specific individuals for personal use.
- The same company can work in both b2b and b2c. It all depends on who exactly and why places an order with them.
- Individuals buy the most expensive thing they can afford.
- Businesses buy the cheapest of what will perform the task.
- In the b2b sphere, it is better to sell something quite large and expensive, making only a few transactions per month or per year. And for promotion it is better to use personal meetings and negotiations.
- In the b2c sphere, it is better to sell something inexpensive and in high demand. And for promotion, you need to use the usual mass advertising.
I hope I have explained clearly enough what b2b and b2c are, and now you will be able to work more effectively in these areas. Add the article to "favorites" and share it with your friends using the buttons below.
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Surely some of you have heard such a thing as B2B. IN Lately it has become fashionable to introduce into our speech various foreign words and expressions. And this case is no exception. What is b2b, what do they mean when they say this phrase?
Definition of the term
B2B literally translates as "business to business". This concept means that someone is the source of business, and someone is the addressee of some information, as well as goods or services. Usually this refers to business interaction. How is this different from the main business? And the fact that the client or consumer here is not an ordinary consumer, but another businessman.
In addition, B2B also implies an e-commerce or e-commerce system. These are rather complex hardware and software systems, they can also be called tools for carrying out trade and procurement activities on the Internet. Today, any kind of trading procedures can be carried out on the global web, from the simplest requests for quotes to complex contests.
If we talk about the West, then there such a phenomenon as B2B is perceived as providing any manufacturing firms with accompanying services, additional equipment and many others. But even here we are talking about the fact that this activity is aimed at a business audience. The most important thing that defines this system is the difference in marketing strategies. That is, it is not typical for B2B to use such mass communication channels as television, radio or newspapers.
B2B tasks
So, we figured out b2b. We also understood that this is business for business. What are the challenges of this system? The most important goal is to increase the efficiency of organizations in this market by reducing the cost of preparing trade procedures, as well as expanding the geography of business to the scale of the whole world.
Also, the tasks of these systems include:
- promptly organize interaction between the two enterprises;
- build secure and reliable channels through which information will be exchanged between firms;
- to coordinate the actions of enterprises and their joint development on the basis of information exchange.
B2B market
Now let's talk about this - b2b sales, what is it and what is their peculiarity?
Now Russian market B2B is characterized by intensified competition. Under these conditions, the requirements for products have increased - they must not only be of high quality, but also satisfy the needs of a particular market, which is confirmed by existing marketing theories. B2B market: what is it? This means that in order to fulfill the marketing objectives, the following requirements must be met as a result of the purchase:
- the product or service meets the characteristics declared by the client;
- the supplier pays for the goods or services on the terms specified in the agreement with the client.
