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The key objectives of using online marketing, like Online media and PPC campaigns for B2B businesses are - to extend their reach, and to reduce the investment on acquiring leads by substituting high-cost sales resources with online media. But, the lack of real time interaction between clients and sales people at the beginning of the process puts an additional responsibility on marketers - to develop an in-depth understanding of customer behavior, and to design the right message to address customer requirements at all stages of the buying process.

Advantages of B2B e commerceIn the B2B universe, whether the client is an early Startup, SMB or a large Corporation, the decision-making process is considerably more methodical than in retail businesses, the impulsive kick has the least contribution. Moreover, in most cases the buying decision involves multiple people in the organization who can be broadly categorized as either the decision makers or influencers. It is crucial that the online presence is designed to address both, the influencers as well as the decision makers through effective messaging.

A B2B initiative needs a large infrastructure and a company would need to restructure its systems and business processes. It involves many participants with complex rules, higher purchasing amounts and complex products. Unlike B2C, greater certainty is required for order fulfillment.

Advantages of B2B e commerce

Business-to-business (B2B) e-commerce is significantly different from business-to-consumer (B2C) e-commerce. While B2C merchants sell on a first-come, first-served basis, most B2B commerce is done through negotiated contracts that allow the seller to anticipate and plan for how much the buyer will purchase. In some cases B2B is not so much a matter of generating revenue as it is a matter of making connections with business partners.

B2B E-commerce helps to remove barriers raised by geographic fragmentation of the market. While buyers get to know about new sellers with better products, suppliers discover new buyers. B2B also helps in eliminating unnecessary inventory build-up for both buyers and sellers. Lack of information about production schedules of the buyers lead to inventory build-up for the sellers. At the same time, the difficulty associated with finding alternative supply sources forces the buyers to build-up inventory. As B2B promotes information flow and enhances transparency, supply-chain management becomes possible. In addition, both the sellers and sellers enjoy reduced order processing costs and lower cost of interacting with each other.

Mere order matching, which earns commission, is just not enough for the third-party exchanges. They will have to strive to retain the buyers and sellers, that is, they have to provide other value-added services (providing specialised information, for instance) that help retain the existing sellers and buyers and attract fresh traders. Buyers and sellers, in turn, benefit through specialised information content. In effect, the market benefits from buyer and seller discovery and price and product transparency.

E-commerce Concepts

Business models of e commerce

  1. E-commerce Concepts
  2. What is e commerce business?
    Electronic commerce or e-commerce refers to a wide range of online business activities for products and services.
  3. Advantage of e-commerce
  4. Explain e-business
    E-business is more than just having a web presence to facilitate buying and selling.
  5. Ecommerce resources
    List of Ecommerce software is for your convenience.
  6. Challenges in e-commerce
    The biggest challenge is not if or when to consider an Internet commerce solution, but rather how to select the best Internet commerce strategies to develop and sustain competitive advantage.
  1. Business models of e commerce
  2. B2B in e commerce
  3. B2C e commerce
  4. B2G e commerce
    Business-to-government e-commerce or B2G is generally defined as commerce between companies and the public sector.
  5. C2C e commerce
  6. Advantages of B2B e commerce
  7. Mobile commerce
    It refers to the use of mobile devices for conducting the transactions.
  8. Sales leads generation
  9. Marketing lead generation
  10. Direct mail campaign
    With all the buzz about online marketing, it’s easy to overlook direct mail.
  11. Qualified sales leads
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