B2B sales in e-commerce in the US are projected Sell To Businesses Sell To to hit $3.1 billions by 2027.
In comparison, the revenue from B2C e-commerce sales is only estimated to reach $1.7 billion by the same year.
A strong understanding of the differences between B2B and B2C sales is essential for achieving B2B success. Investing in sales tactics that have been proven to work is also essential.
Luckily, we have everything you need to know right here in this one article. Read on to explore the definition of B2B sales, understand the B2B sales process, and uncover the best practices that will help you avoid common B2B challenges.
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What does B2B sales mean?
B2B sales, or business-to-business sales, are when companies sell products or services directly to other businesses. Because businesses tend to buy in bulk and invest heavily in services, these sales often involve large orders.
What does Sell To Businesses B2B sales mean?
Due to this, the typical process of securing a B2B sale is long and complicated, requiring sign-off from numerous decision-makers and/or a long-term trade commitment.
B2B sales vs. B2C sales: What’s the difference?
B2C sales are made directly from a business or salesperson to the Hong Kong Email Data consumer. Unlike B2B sales, they’re usually smaller in scale and involve only the consumer’s decision.
Common business-to-consumer sales examples include:
A sales rep at a car dealership.
An online eCommerce store that sells clothes.
A supermarket selling a variety of consumables.
Compared to B2C, B2B businesses have a bigger pool with larger fish, greater targeted marketing opportunities, and, of course, more expansive budgets.
So, why is there such a drastic difference between B2B and B2C sales?
B2B sales vs. Sell To Businesses B2C sales: What’s the difference?
Higher average transaction value
While the B2B sales pipeline can be small, like an SMB making an order of office supplies, it can often stretch to thousands or millions of dollars and involve a massive supply chain.
Outside of a few specific B2C industries—such as real estate, automotive, and luxury goods—this isn’t the case.
Longer sales cycles
Excluding the three B2C industries mentioned above, B2C consumers base purchasing decisions on emotions and quick, fleeting needs—a phone case, clothes, or edible goods, for example.
B2B buyers, however, are often looking for a concrete ROI, a measurable edge, or a logical solution to a specific problem. The B2B industry uses CRM software just to keep the sales funnel in order.
They must also win the approval of numerous decision-makers.
Multiple stakeholders
In B2B sales, each decision influences the business’s bottom line, and purchase decisions climb a ladder of approval.
Higher average Sell To Businesses transaction value
This means a mutual “yes” from all decision-makers precedes a successful sale. The higher the value of the deal, the greater the number of “yeses” needed.
Educated buyers
B2B buyers exercise extreme selectivity. Not only are they picky about who they do business with, but they’re also developing their own purchase criteria without the aid of salespeople.
This is why content, like case studies, for example, has become such an important part of the B2B sales process—cold outreach just doesn’t do the trick anymore.
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What are the main B2B sales examples?
Depending on the sales model, B2B sales come in three different types:
Type 1: Supply sales
The business owner, or supplier, sells consumables that support another business. This includes office supplies, employee workwear, and equipment.
Longer Sell To Businesses sales cycles
They have a similar process to B2C businesses. The difference, however, lies in quantity and purchase authorization.
Instead of one person buying a single ink cartridge, an employee will buy 50 ink cartridges and need approval from a manager or decision-maker for the purchase.
Lyreco, a large retailer of office and equipment supplies, is an example of a company specializing in B2B transactions of this type.
how to generate b2b sales
Type 2: Wholesale/distribution sales
The wholesaler sells key manufacturing or retail components to other businesses—think raw materials.
JJ Foods is an example of a wholesale food distributor. They sell essential food products to restaurants and fast food outlets that then serve products at a marked-up price to customers.
b2b sales in wholesale
Type 3: Service/Software sales
The service provider sells a service instead of a product, commonly SaaS sales tools.
Multiple Sell To Businesses stakeholders
Using tax accounting as an example, this could be an accountant who consults with a small business or an accountancy firm working with a larger business.
It could also be a service provided via software—like tax accounting software, QuickBooks.
software for b2b sales
What is the B2B sales process?
While the average B2C sale can be achieved with some advertising, a solid brand and/or a low price tag, a B2B sale requires a more complicated and lengthy process.
That might sound intimidating, but the good news is that you don’t need to worry about every part of the process at once.
Take it step by step and you’ll have a much easier time. Just give your current step your full attention, and once you’re happy with it, move on to the next.
Here’s a breakdown of the essential steps in the B2B sales process: