ADM 2320 Lecture Notes - Lecture 5: Request For Proposal, North American Industry Classification System, Marketing Mix
28 Jun 2018
School
Department
Course
Professor
B-2-B marketers
B2b marketing > b2c marketing
Expand market search
1.
Result in lower prices for buyers
2.
Reduce operational costs
3.
Higher potential profit due to reduced costs
4.
Lower inventory requirements
5.
Greater transparency
6.
More efficient planning - info on shortages shared easily & quickly
7.
Reduce bottlenecks
8.
Benefits of b2b electronic exchanges:
Identify decision makers in organization who authorize or influence
purchases
•
Understand the buying process of each potential client
•
Identify factors that influence the buying process of potential
clients
•
Challenges of reaching b2b clients
Characteristics of business Markets: - different for b2b and b2c
Demand for business products is derived
○
Fewer customers, geographically concentrated, larger orders
○
Demand is more inelastic
○
Market Characteristics
•
Products technical in nature, purchased based on specifications
○
Mainly raw and semi-finished goods
○
Heavy emphasis on delivery time, technical assistance after
sale service, financing
○
Product Characteristics
•
Buying decisions more complex
○
Competitive bidding, negotiated pricing, complex financial
Buying process Characteristics
•
Important for the online quiz
5 - Business-to-Business Marketing
Tuesday, 3 October, 2017
2:03 PM
Marketing Page 1
Document Summary
More efficient planning - info on shortages shared easily & quickly. Identify decision makers in organization who authorize or influence purchases. Understand the buying process of each potential client. Identify factors that influence the buying process of potential clients. Characteristics of business markets: - different for b2b and b2c. Products technical in nature, purchased based on specifications. Heavy emphasis on delivery time, technical assistance after sale service, financing. Qualified, professional buyers - more formalized buying process. Price often negotiated, inelastic, affected by trade/quantity discounts. Rfp (request for proposal) - invite suppliers to submit bids buying organizations invite alternative suppliers to bid on supplying their required components. Group of people typically responsible for the buying decisions in large scale. 6 different roles - initiator, buyer, gatekeeper (most powerful), influencer, decider, user. Gatekeeper - can withhold information and can grant. Gatekeeper - can withhold information and can grant access. Corporate culture a. b. c. d. e. f.
