INSIGHTS

Business-to-Business

ODS Consulting Group

05.09.2022

What is Business-to-Business?

In line with today’s increasing needs, trade has become one of the most important business areas of the world. Thanks to the developing technology, even companies in two different continents of the world are able to trade with each other.

This commercial process between companies is called the Business-to-Business model, also referred to as B2B. This business model enables the implementation of marketing and sales processes by communicating and making agreements between different companies on the Internet.

In short, it can be said that it is an important transaction form that allows the purchase or sale of goods and services between companies.

How Does B2B Work?

The implementation process of the B2B model is possible primarily by knowing your target audience. It is important to identify which sectors your products and services are suitable for and explore alternative sectors to recognize your target audience’s profile.

After determining your target audience, you need to establish healthy communication with the sectors in which you plan to sell your products and services. At this stage, you can interestingly make your own promotion by using social media.

Why is B2B Important?

With the e-commerce systems, there has been a great increase in the trade volumes of the companies. This marketing method, which facilitates the trade between buyer and seller companies and makes it much more efficient, has left traditional marketing methods far behind.

It is possible to reach many companies that are not normally reachable in the trade processes carried out over the Internet. You can also promote your products and services to large audiences much more efficiently. In short, you can advertise your company, products, and services much better than traditional methods, or you can easily find the products and services you are looking for according to the criteria you want to reach.

What are the Types of B2B Companies?

There are many types of Business-to-Business companies, but the most important types are as follows:

1. Producers: These companies create, design, and manufacture their products and services by selling them directly to other companies or indirectly to retailers.

2. Retailers and Resellers: These vendors buy products and services from different companies, then sellem to other businesses. They use both online platforms and physical stores to sell the products.

3. Agencies and Consultants: Agencies and consultants give advice to many companies by providing information about the products and services. Thanks to these intermediaries, companies can purchase the products and services they need much more easily.

What are B2B Industries?

We can say that B2B companies have relationships with many industries. For instance, technology, financial services, education, marketing and sales, and insurance are the industries that are related to the business-to-business model.
All of these industries can be marketed by the B2B model.

What are the Benefits of B2B?

Today’s most preferred method is to carry out the buying and selling processes through digital channels.
There are many benefits of the B2B model, which enables businesses to buy and sell by offering digital sales platforms:

1. Establishing commercial relations between different companies located in many parts of the world.

2. Since trades are made through digital channels, they can be active 24/7, and this situation provides significant time savings for companies.

3. Your sales through digital channels will help you to know your target audience more efficiently, make detailed analyzes of your sales, and increase your trade volume much more easily.

What are the Examples of B2B Companies?

Have you thought about which digital sales platforms we hear and frequently use in our daily lives use the B2B model?
Listed below are five companies we are most familiar with:

1. Amazon:
Amazon is one of the most preferred sales platforms worldwide. Amazon, which allows different businesses to sell on Amazon, is an example of the most well-known B2B model.

2. eWorldTrade:
As one of the largest B2B companies worldwide, eWorldTrade has many manufacturers, suppliers, and clients worldwide.

3. Grainger:
Grainger is another important B2B company that attracts great attention around the world in terms of customer satisfaction.

4. Walmart:
Walmart, one of the most well-known companies in the U.S, continues its sales in India as B2B, while it continues its activities in the U.S and England in the form of B2C.

5. Quill:
Quill is one of the world’s most crucial B2B e-commerce companies. This company, which is in high demand with the office supplies, it offers to all small or large-scale companies, has a large customer base around the world.

Where Do B2B Companies Sit in the Supply Chain?

Supply chain management helps to control the movements of the products, services, financial situations, and their transaction periods from the suppliers to the last consumer. Maintenance, procurement, distribution, and inventory are so significant in supply chain management.

 

At this point, the most striking main idea of B2B marketing in the supply chain is to reduce the costs of products and services, strengthen the relations between businesses, and provide these services in the most beneficial way by establishing an efficient logistics network.

Where Do B2B Companies Sit in the Supply Chain?

Supply chain management helps to control the movements of the products, services, financial situations, and their transaction periods from the suppliers to the last consumer. Maintenance, procurement, distribution, and inventory are so significant in supply chain management.

At this point, the most striking main idea of B2B marketing in the supply chain is to reduce the costs of products and services, strengthen the relations between businesses, and provide these services in the most beneficial way by establishing an efficient logistics network.

What are the Differences Between B2B and B2C?

At this point, the first thing to be said is that in the B2B marketing method, the sales are made between the companies, while in the B2C marketing method, the sales are made between the business and the customer.
Other differences between them are listed below:

1. In B2C marketing, sales are based on much less pricing, while in B2B, there is much more profit due to intercompany sales.

2. In the form of B2C marketing, the final decision regarding the purchase is up to the customer. In contrast, in B2B, the purchase is made in accordance with the decision of many workers within the companies.

3. Since the products purchased by the customers are much more subjective, more personal needs are met in the form of B2C sales, but more rational choices are made for the needs of the companies in the form of B2B.


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INSIGHTS

Business-to-Business

ODS Consulting Group

05.09.2022

What is Business-to-Business?

In line with today’s increasing needs, trade has become one of the most important business areas of the world. Thanks to the developing technology, even companies in two different continents of the world are able to trade with each other.

This commercial process between companies is called the Business-to-Business model, also referred to as B2B. This business model enables the implementation of marketing and sales processes by communicating and making agreements between different companies on the Internet.

In short, it can be said that it is an important transaction form that allows the purchase or sale of goods and services between companies.

How Does B2B Work?

The implementation process of the B2B model is possible primarily by knowing your target audience. It is important to identify which sectors your products and services are suitable for and explore alternative sectors to recognize your target audience’s profile.

After determining your target audience, you need to establish healthy communication with the sectors in which you plan to sell your products and services. At this stage, you can interestingly make your own promotion by using social media.

Why is B2B Important?

With the e-commerce systems, there has been a great increase in the trade volumes of the companies. This marketing method, which facilitates the trade between buyer and seller companies and makes it much more efficient, has left traditional marketing methods far behind.

It is possible to reach many companies that are not normally reachable in the trade processes carried out over the Internet. You can also promote your products and services to large audiences much more efficiently. In short, you can advertise your company, products, and services much better than traditional methods, or you can easily find the products and services you are looking for according to the criteria you want to reach.

What are the Types of B2B Companies?

There are many types of Business-to-Business companies, but the most important types are as follows:

1. Producers: These companies create, design, and manufacture their products and services by selling them directly to other companies or indirectly to retailers.

2. Retailers and Resellers: These vendors buy products and services from different companies, then sellem to other businesses. They use both online platforms and physical stores to sell the products.

3. Agencies and Consultants: Agencies and consultants give advice to many companies by providing information about the products and services. Thanks to these intermediaries, companies can purchase the products and services they need much more easily.

What are B2B Industries?

We can say that B2B companies have relationships with many industries. For instance, technology, financial services, education, marketing and sales, and insurance are the industries that are related to the business-to-business model.
All of these industries can be marketed by the B2B model.

What are the Benefits of B2B?

Today’s most preferred method is to carry out the buying and selling processes through digital channels.
There are many benefits of the B2B model, which enables businesses to buy and sell by offering digital sales platforms:

1. Establishing commercial relations between different companies located in many parts of the world.

2. Since trades are made through digital channels, they can be active 24/7, and this situation provides significant time savings for companies.

3. Your sales through digital channels will help you to know your target audience more efficiently, make detailed analyzes of your sales, and increase your trade volume much more easily.

What are the Examples of B2B Companies?

Have you thought about which digital sales platforms we hear and frequently use in our daily lives use the B2B model?
Listed below are five companies we are most familiar with:

1. Amazon:
Amazon is one of the most preferred sales platforms worldwide. Amazon, which allows different businesses to sell on Amazon, is an example of the most well-known B2B model.

2. eWorldTrade:
As one of the largest B2B companies worldwide, eWorldTrade has many manufacturers, suppliers, and clients worldwide.

3. Grainger:
Grainger is another important B2B company that attracts great attention around the world in terms of customer satisfaction.

4. Walmart:
Walmart, one of the most well-known companies in the U.S, continues its sales in India as B2B, while it continues its activities in the U.S and England in the form of B2C.

5. Quill:
Quill is one of the world’s most crucial B2B e-commerce companies. This company, which is in high demand with the office supplies, it offers to all small or large-scale companies, has a large customer base around the world.

Where Do B2B Companies Sit in the Supply Chain?

Supply chain management helps to control the movements of the products, services, financial situations, and their transaction periods from the suppliers to the last consumer. Maintenance, procurement, distribution, and inventory are so significant in supply chain management.

 

At this point, the most striking main idea of B2B marketing in the supply chain is to reduce the costs of products and services, strengthen the relations between businesses, and provide these services in the most beneficial way by establishing an efficient logistics network.

Where Do B2B Companies Sit in the Supply Chain?

Supply chain management helps to control the movements of the products, services, financial situations, and their transaction periods from the suppliers to the last consumer. Maintenance, procurement, distribution, and inventory are so significant in supply chain management.

At this point, the most striking main idea of B2B marketing in the supply chain is to reduce the costs of products and services, strengthen the relations between businesses, and provide these services in the most beneficial way by establishing an efficient logistics network.

What are the Differences Between B2B and B2C?

At this point, the first thing to be said is that in the B2B marketing method, the sales are made between the companies, while in the B2C marketing method, the sales are made between the business and the customer.
Other differences between them are listed below:

1. In B2C marketing, sales are based on much less pricing, while in B2B, there is much more profit due to intercompany sales.

2. In the form of B2C marketing, the final decision regarding the purchase is up to the customer. In contrast, in B2B, the purchase is made in accordance with the decision of many workers within the companies.

3. Since the products purchased by the customers are much more subjective, more personal needs are met in the form of B2C sales, but more rational choices are made for the needs of the companies in the form of B2B.