Professional Documents
Culture Documents
Olga Bleykhman
Foreword
The current period is tough, turbulent, close to crisis . . . .
To adjust to the demands of current times, shop and will visit other neighboring malls
the need of the hour is to provide marketing or a street retailer.
advice as there are plenty of consumers Business to Business: In B2B, where
around and there are also innumerable you buy for companies, enterprises, or
business brands. Some real-life case studies other commercial establishments, the deci-
are described below to illustrate how to put sion to buy is made by many people. Any
the two together. purchasing decision is taken only after
some kind of research: what types of goods
Introduction or services are needed, what are the main
The first step is to define the subjects requirements, is there enough delivery
mentioned, which is what we are going to time, is the guarantee period reasonable,
discuss. and so on. Those who are involved in this
B2C, business to consumer and B2B, decision-making are responsible to com-
business to business are both fairly pany owner(s), to shareholders, sometimes
straightforward and easy to understand: to state control organizations, and so on,
Business to consumer deals with goods and they must also ensure that they com-
and services intended for the general ply with laws and restrictions, sometimes
public or for companies while business to even international laws.
business deals with business with other Business suppliers buy products with the
businesses. aim of moving the products down the sup-
The remaining terms are explained in ply chain—adding value—till the products
more detail: reach the general consumers—thus ending
American Association of M
arketing (AMA) close to B2C in the final stages.
in its Marketing Dictionary, describes: Often, business suppliers have to take
Brand: “A brand is a customer experi- into consideration social and ecological
ence represented by a collection of im- rules and laws and restrictions, sometimes
ages and ideas; often, it refers to a symbol international rules too. The process
such as a name, logo, slogan, and design becomes more and more complicated
scheme. Brand recognition and other re- and it takes increasing time and effort
actions are created by the accumulation to come to a final purchasing decision to
of experiences with the specific product get the goods or services that cover all
or service, both directly relating to its use, the business needs. Sometimes it results
and through the influence of advertising, in plenty of problems for the purchasing
design, and media commentary.” center people.
https://www.ama.org/resources/Pages/Dictionary Example: The following is often the
.aspx?dLetter=B
scenario a seller has to face: A company
Personal customers: An individual named Z is planning to buy unspecified
buyer has to limit spending, so price is IT equipment. Installation services will be
most important for his or her purchasing provided by another IT company named
decision. To buy or not to buy depends Z–dealer that consists of several vendors
solely on the individual’s personal deci- and various brand owners. In practice,
sion. It is possible to change the decision what often happens is that people of the
at any moment as there is no necessity for Z purchasing center have different opin-
discussion and advice, except maybe with ions: usually, the CFO is only interested in
family members. Nobody is to blame if the the financial side and his choice usually is
decision to buy something for personal use for the lower priced equipment; the con-
turns out to be a failure. The decision is cern of the IT people is about what hap-
changed immediately: next time the cus- pens when the guarantee period is over so
tomer will never return to this particular they want long guarantee period for the
product. Some others hesitate because of the time a consumer first becomes aware
rumors that the software included has lim- of a brand to when he or she makes a pur-
ited shelf life and what will happen if the chase decision. Marketers were always
usage is stopped, for example, under some aware of how important it was to keep buy-
international restrictions. ers loyal to a brand, especially in the cur-
The purchasing decision in B2B sphere rent era with its easy access to worldwide
is characterized as a more complicated pro- information channels—information about
cess versus the B2C sphere. any brand cannot be hidden by any means.
The B2B market purchase decision AIDA principles have been widely
process: known for a long time (Wikipedia)
Purchasesales funnel, as provided in
■■ Is executed not by one person, but by a Wikipedia, is also based on understanding
specific group of specialists, often called the AIDA principle.
“the purchasing decision center” https://en.wikipedia.org/wiki/Purchase_funnel
■■ Is based not on emotions of people but
mostly on a rational basis
■■ Is less impulsive but much more time
consuming
■■ Depends almost entirely on the supplier
company’s reputation