Business to business (B2B) marketing is a key driver of strong customer relationship marketing. How well do you connect with your clients, and do you know what influences and impacts their decisions to work with you. Download this Prana developed resource to help you...

1. build your brand
grow your sales
strategy execution results

2. Business to Business
Marketing 101
Jainita Khatri
jkhatri@pranabusinessconsulting.com
083 414 9796
@PranaBusCons

3. Prana Business Consulting
A customer relationship
management and
marketing organization.
Good marketing brings your
customers to you. It
creates demand and
awareness for your product
or service.
Building a strategic
partnership with customers
is all about aligning and
understanding goals, to
ensure a win-win scenario.
Translating ideas into
action. Driving consumer
delight through lively and
engaging media.

4. Why are we in business?

5. Core to all successful business is
Sales Profit Mastering the relationship
Market Share Innovation Competitive Advantage

6. B2B Marketing Defined
• Is the marketing of products to businesses or
other organisations
– for use in production of goods,
– for use in general business operations
• (e.g. office supplies)
– for resale to other consumers
• (e.g. wholesaler selling to retailer)

7. B2B vs. B2C Marketing
Seller
Buyer
Seller
Supply
Chain
Buyer
Eg.
•Eskom and City of Johannesburg
•Google and “Joe’s B&B”
•Coca-Cola and Pick n Pay
Eg.
•Eskom,City of Johannesburg and Joe Public
•Intel and Microsoft and you
•Coca-Cola and Pick n Pay and you

8. B2B vs. B2C
B2B B2C
Market Characteristics Geographically Concentrated
Relatively few buyers
Geographically Dispersed
Mass market
Product Characteristics Technically complex
Customized
Standard
Service characteristics Service focus
Timely Availability
Quick response
Less important but this is changing
Buying Behaviour Involvement from various functional
areas
Purchase decisions are performance
based and rational
Stable interpersonal relationships
Involvement of family members
(personal)
Purchase decisions are based on
physiological /social/psychological
needs
Non personal relationship (but
emotional connection)

9. B2B vs. B2C
B2B B2C
Channel Characteristics More direct
Fewer intermediaries
Indirect
Multiple layers
Promotional Characteristics Personal selling Mass media
Price characteristics Competitive bidding
Negotiated prices
List prices or RSP

10. B2B Strategies
• Differ based on the industry
• Are usually unique to the buyer and seller
concerned
• Are complex in nature
• In larger companies are influenced by the
principles of Customer Relationship
Management

11. B2B Markets
B2B
Markets
Resellers
Institutions
Government
Manufacturers

12. Characteristics of Business Markets
• Fewer, larger buyers
• Close supplier-customer
relationships
• Professional purchasing
• Many buying
influencers
• Multiple sales calls
• Derived demand
• Inelastic demand
• Fluctuating demand
• Geographically
concentrated buyers
• Direct purchasing

13. B2B Markets
B2B
Markets
Resellers
Institutions
Government
Manufacturers

14. Key Account Management
• Using B2B marketing and CRM techniques to
manage customer needs, develop long term
mutually beneficial solutions using a
combination of hard and soft skills

15. Top Business Marketing Challenges
• Expand understanding of customer needs
• Competing globally as China and India reshape
markets
• Mastering analytical tools and improve quantitative
skills
• Reinstating innovation as an engine of growth
• Creating new organizational models and linkages
• Managing B2B in an increasingly technologically
driven world

16. Skillset in B2B Marketing
Hard Skills
• Technical knowledge
• Business knowledge
• Decision making ability
• Clear Communication
• Presentation skills
• Negotiation
Soft Skills
• Likeability
• Persuasion
• Ability to build trust
• Conflict resolution
• Tolerance for
aggressive behaviour
and other buyer tactics

17. What is Organizational Buying?
• Refers to the decision-making process by which
formal organizations establish the need for
purchased products and services, and identify,
evaluate, and choose among alternative brands
and suppliers.

18. Factors affecting the buying process
Buying
Process
Organisational
Culture
Buying CentreBuying Situation

19. Organisational Culture
• Straight
• Owner dominant
• Progressive
• Collaborative
• Budget driven
• Innovative culture

20. Buying Situations
Buying
Situations
New Buy
Modified BuyStraight buy

21. The Buying Center
Initiators
Users
Influencers
Deciders
Approvers
Buyers
Gatekeepers

22. Sales Strategies
Small Sellers
Large Sellers
Key Buying
Influencers
Multilevel
In-depth
Selling

23. Establishing Corporate Trust
and Credibility
Expertise
LikeabilityTrustworthiness

24. Trust Dimensions
Transparent
Product/Service
Quality
Incentives
Partnering
Cooperating
Design
Product
Comparison
Supply Chain
Pervasive Advocacy

25. Factors Affecting
Buyer-Supplier Relationships
Availability of
alternatives
Supply market
dynamism
Complexity of
supply
Importance of
supply

26. B2B framework for FMCG brands
Product Price Consumer
Demand
CRM
Customer
Support
Customer
Service
Personal
Selling
Company
Policies
Feedback
Loop
Company
Culture
Relationship
TrustNon subjective
Tangible
Elements
Subjective
Tangible
Elements
Intangible
Elements
Communi
cation
Evaluative
Criteria

27. B2B framework for FMCG brands
Product Price
Consumer
Demand
CRM
Customer
Support
Customer
Service
Personal
Selling
Company
Policies
Feedback
Loop
Company
Culture
Communi
cation
Evaluative
Criteria
Owned by
seller
Owned by
end
consumer
Owned by
buyer

28. Two routes to the B2B marriage

29. Two Key Components
Communication
Trust

30. Happy relationship

31. Business is about action
Framework and
ideology
Market
Readiness
Resource
Sales
Targets

32. “There is only one profit centre, and
that is the customer” – Peter Drucker
Jainita Khatri
Mobile: +27 (0) 83 414 9796
Email: jkhatri@pranabusinessconsulting.com
www.pranabusinessconsulting.com
Twitter ID @PranaBusCons