B2B

What is B2B Marketing?

Have you ever thought how a company manages to provide its employees with computers and other equipment at the office? Do they order an office manager to log onto Amazon or Best Buy and place such a large order? These transactions are crucial and important for the success of a business so they are placed with other reputable and well-known companies. B2B marketing, also known as business-to-business marketing involves the sale of the product or service of one company to another. This means that the consumer in these transactions is just another business. Thus, the marketing efforts of one company is directed to other businesses.

Techniques that are implemented in B2B marketing follow the same basic principles as outlined by consumer marketing, but their approach is a whole lot different. Rather than opting for paid advertising or direct marketing, these companies focus more on networking because that’s what drives their sales. These companies operate on a more even playing field because consumers typically choose products based on status, popularity, price and other emotional triggers, B2B buyers make their decision based on the profit potential and price alone. At its core, this form of marketing is dependent on development of valuable relationships, which can provide them lasting customers. 

This is a very vital goal for any company, whether it is a small family-owned business or a large retail corporation. As compared to the consumer market, the B2B market is larger and is worth a lot more in terms of dollars. This form of marketing is typically employed by those companies, which specialize in manufacturing products that aren’t of any use to consumers. Steel is a perfect example of such a product. However, it is also possible for businesses to use B2B marketing, even when they are selling products and services to consumers because they may be catering to both markets. 

There are four categories that are the primary focus of companies using B2B marketing and they are:

· Companies utilizing their products such as construction companies that purchase sheets of steel for making buildings. 

· Government agencies, which are the single largest consumer and target of B2B marketing. 

· Institutions such as schools and hospitals. 

· Wholesalers and brokers and other companies that turn around and resell the same products to consumers. 

As long as a B2B marketer understands the needs of their consumer and position their product in an exciting manner, it is possible for them to place their products or services in the right hand effectively. Any advertising or marketing tactic cannot be implemented by them until they have clearly understood the needs of their clients. In the case of consumer marketing, a business can simply blast an effective advertisement over several channels and they will be able to lure in customers. However, B2B marketing is a bit more complex. 

As it is more specialized, marketers have to pay special attention to the needs of the consumers and tailor their products accordingly or they will risk alienating them. As long as it’s done right, B2B marketing can provide great returns to businesses selling to other businesses.