Description
Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer. Contrasting terms are business-to-consumer (B2C) and business-to-government (B2G). B2B branding is a term used in marketing.
Business to Business (B2B) Marketing & Buying Behaviour
1
B2B Defined
• The management process responsible for the facilitation of exchange between producers of goods and services and their organisational customers.
• B2B marketing and purchasing is a complex and risky business involving a number of different parties.
2
Flows within a B2B market
3
Differences between B2B and consumer marketing (1 of 3)
4
Differences between B2B and consumer marketing (2 of 3)
5
Differences between B2B and consumer marketing (3 of 3)
6
B2B customers
• Commercial enterprises - profit making organisations that produce and/or resell goods and services for a profit. Can be subdivided into users, original equipment manufacturers (OEMs), resellers. • Government bodies. • Institutions - largely non-profit making organisations, e.g. universities, churches, etc.
7
Characteristics of B2B markets
• Nature of demand - derived, joint, inelastic. • Structure of demand - industrial and geographic concentration. • Buying process complexity. • Buyer-seller relationships.
8
Influences on a B2B purchasing chain
9
Sourcing strategies - advantages and disadvantages (1 of 2)
Source: Adapted from Treleven (1987).
10
Sourcing strategies - advantages and disadvantages (2 of 2)
11
Models of organisational buying decision making
12
Decision problems in B2B purchasing decision making process (1 of 2)
13
Decision problems in B2B purchasing decision making process (2 of 2)
14
Roles in the buying process
• Purchasing - handle relationships with suppliers. • Production/operations - meeting targets for the end product in both quantity and quality terms. • Engineering - the specification and design. • R&D. • Finance - devolve budgets to appropriate managers. • Marketing - outputs of the production process.
15
Unit production model of buyer-seller contact in B2B markets
16
Mass production model of buyer-seller contact in B2B markets
17
Buying centres - comparison between consumer and B2B markets (1 of 2)
18
Buying centres - comparison between consumer and B2B markets (2 of 2)
19
doc_212255207.ppt
Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer. Contrasting terms are business-to-consumer (B2C) and business-to-government (B2G). B2B branding is a term used in marketing.
Business to Business (B2B) Marketing & Buying Behaviour
1
B2B Defined
• The management process responsible for the facilitation of exchange between producers of goods and services and their organisational customers.
• B2B marketing and purchasing is a complex and risky business involving a number of different parties.
2
Flows within a B2B market
3
Differences between B2B and consumer marketing (1 of 3)
4
Differences between B2B and consumer marketing (2 of 3)
5
Differences between B2B and consumer marketing (3 of 3)
6
B2B customers
• Commercial enterprises - profit making organisations that produce and/or resell goods and services for a profit. Can be subdivided into users, original equipment manufacturers (OEMs), resellers. • Government bodies. • Institutions - largely non-profit making organisations, e.g. universities, churches, etc.
7
Characteristics of B2B markets
• Nature of demand - derived, joint, inelastic. • Structure of demand - industrial and geographic concentration. • Buying process complexity. • Buyer-seller relationships.
8
Influences on a B2B purchasing chain
9
Sourcing strategies - advantages and disadvantages (1 of 2)
Source: Adapted from Treleven (1987).
10
Sourcing strategies - advantages and disadvantages (2 of 2)
11
Models of organisational buying decision making
12
Decision problems in B2B purchasing decision making process (1 of 2)
13
Decision problems in B2B purchasing decision making process (2 of 2)
14
Roles in the buying process
• Purchasing - handle relationships with suppliers. • Production/operations - meeting targets for the end product in both quantity and quality terms. • Engineering - the specification and design. • R&D. • Finance - devolve budgets to appropriate managers. • Marketing - outputs of the production process.
15
Unit production model of buyer-seller contact in B2B markets
16
Mass production model of buyer-seller contact in B2B markets
17
Buying centres - comparison between consumer and B2B markets (1 of 2)
18
Buying centres - comparison between consumer and B2B markets (2 of 2)
19
doc_212255207.ppt