When companies are pursuing growth options, there are many paths to consider including product/service improvements, channel development, and target market expansion — to name a few. Companies that sell directly to consumers (otherwise known as business-to-consumer, or “B2C”) often consider the option of expanding their markets into the business-to-business (B2B) space and selling their product or service directly to other businesses.
5280 Accelerator specializes in working with B2B companies; we’ve also worked with B2C companies that want to sell to other businesses. A shift from B2C to B2B requires a different approach for everything from the target market to the messaging and channels. Here are a few points we evaluate to guide the transition:
- The Marketing Strategy: Growing a business into the B2B space requires a new marketing strategy. Even if the products or services are essentially the same, consumer and business audiences are attracted via different channels, require distinctive messaging, and respond uniquely. A strategic marketing plan details who the business buyers are, their pain points and desires, and the tactics that will most effectively reach them.
- The Target Audience: A consumer buyer is vastly different from a business buyer since the consumer is generally the sole participant in a purchase decision. Quite the opposite, the business buyer typically relies on teams to make uniquely motivated buying decisions and follows a prescribed (often slower) purchasing process. These factors create the unique characteristics that define the purchasing personality, referred to as the target buyer’s “persona.” While B2C markets to an individual purchaser, in B2B, we amalgamate a “person” for whom appropriate messaging is crafted.
- The Messaging: With the consumer acting as a sole decision maker, messaging can be tailored to their buying process – which in some cases may be more impulsive and emotional. Messaging and visuals may strive to capture their attention and create emotional connections for memorability and brand loyalty. When marketing to a business buyer, companies must speak a business buyer’s language and be an authority on their product or service. Additionally, B2B marketing must establish a relationship of trust between professionals, focused on building long-term, personal relationships with the businesses they sell to, and forging connections by communicating value that differentiates them from competitors.
- CRM & Sales Process Alignment: Since trust is an element in decision-making, B2B prospects must be nurtured for the duration of their longer sales cycle. However, once the relationship is established, sales revenues tend to be larger with customer loyalty yielding repeat business and often, referrals to others. To achieve this end result requires a CRM (customer relationship management) system to manage, nurture, and grow prospects’ interest by identifying and acting on their buying signals. It also provides a more streamlined and automated approach to help create personal connections needed to grow relationships and build trust.
- Website Design and Messaging: In both B2C and B2B marketing the goal of a website is to motivate the visitor to purchase. The difference is that B2C websites are often more transactional while B2B sites are informational and relationship driven. B2C strategy aims for a quick sale that results directly from the website interaction. The B2B approach builds the story, provides value, and creates trust. Depending on the target audience, B2B buyers may be hesitant to provide contact information on a website form or exchange their email address for a white paper. Careful consideration must be given to the journey a company wants their business buyers to take on their website, knowing that often, the business buyer is conducting research and may not be ready to make a purchase until a trusting relationship is established.
- Social Media and Email Marketing: Finally, the context in which to find prospects varies in B2C versus B2B strategies. Both B2B and B2C marketing seek to establish value and prove expertise. Depending on the product/service and audience demographic, B2C marketing can sometimes successfully invest in ads with graphic appeal, catchy slogans, and basic content which may result in purchases driven by emotion or impulse. B2B marketing is built on an effective content management strategy, most often in the form of LinkedIn posts (the social media platform of choice for business professionals) and email marketing. By creating and delivering content that demonstrates a company’s thought leadership as it relates to their product or service – in a consistent, well-thought-out manner – B2B companies establish their expertise and their place in the market. When the business buyer is ready to purchase, the company that has consistently built the relationship over time is the first to come to mind.
Results
In terms of more “bang for the buck” per client, B2B can yield a higher return on investment, yet it takes a thoughtful strategy to make the pivot from reaching consumers to reaching business buyers. In order to be in the game, B2B companies must thoroughly understand their target audience’s persona, how they make decisions, and where they get their information. A comprehensive strategy and internal processes geared to building relationships that last over time is key. When these are implemented successfully, new sources of business seem to come naturally from existing clients and connections with others in their spheres of influence. Because trust and relationships are the core of B2B, relationships beget relationships and businesses grow. We’d welcome the opportunity to help you chart your own path to B2B success.