Selling to businesses is different from selling to customers. Business-to-business (B2B) deals involve term contracts for services, products, and logistics solutions. Meanwhile, business-to-customer (B2C) transactions are more straightforward purchases. It may take days for businesses to approve B2B partnerships, thanks to committee and personnel consulting. B2B credit card processing is also different from B2C payment mechanisms, and they usually require more complex commerce options.
When selling your products and services to another business, you have to be mindful of the following:
Businesses Take Their Time
Buying for enterprises can take a long time. Committees are formed, consultants are hired, and decisions are pored over to maximize profitability and value of transactions. Here’s a perfect example of this: it is common practice for businesses to invite bidders from eager suppliers or service providers who want to get an exclusive contract with your company. It’s a lengthy process, but it allows your management to consider all options and find the most cost-effective one.
The Internet Is Your Friend
Transacting over the Internet is one way to expedite business transactions, especially auctions. The Internet has played a huge role in decreasing transaction costs and expanding the reach of auction sales. By conducting their auctions online, businesses do not need to spend as much on marketing and logistics costs. Many vendors have already seen the opportunity in online auctions, and they’ve created a market for B2B auction software and websites.
How can online auctions help you? As a vendor, you can take this route to entice businesses to buy from you (auctions attract buyers because they anticipate buying at low prices). More importantly, auction items that will be so irresistible, professional buyers will consider them as their first options.
Commerce Options are Complex
After landing a customer, it’s time to get your paycheck. If you’re selling low-value items, the transaction will be as simple as in B2C sales. Higher value items and bulk orders, on the other hand, will have a more complex purchasing process.
You’ll need to have a system capable of taking orders through an e-cart or purchase form. Integrating central features, like displaying customizing product lists to match a buyer’s industry profile and digital invoicing, will simplify B2B purchasing for you and your clients.
Company Values Drive Buying Decisions
Compliance with industry regulations, specifications, and ethical standards while keeping products and services within acceptable prices is the foundation of the B2B values pyramid. As a seller, reducing costs, producing high-quality, scalable, and innovative products is essential because these are the economic and performance requirements of most companies. Securing these can help ensure you have a steady stream of clients. It’s a strategy that would make your business irreplaceable. Providing ease-of-doing-business—access, operational, productivity, relationship, and strategic values—and individualized perks will make your business stand out from the rest.
Adding purpose to any undertakings with your company will appeal to businesses with strong corporate identities as well. Charity and social responsibility may not directly add to your downline, but attaching these values to your company can help make your business sustainable.
Keep these facts in mind when initiating B2B transactions. Understand how your clients think and make decisions so that you’ll know how to position your company in the most favorable light.