B2B E-commerce

Business-to-business (B2B), also called B-to-B, is a form of transaction between

businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and a
retailer. It is the sale of goods or services between businesses via an online sales portal.
In general, it is used to improve the efficiency and effectiveness of a company's sales
efforts.

B2B transactions are much more complex. In contrast, B2B transactions prices are highly
variable, relying on a number of pricing variables throughout. In addition, B2B E
Commerce markets generally have to deal with much more complex tax and regulatory
impediments. The complexity of the B2B E-Commerce market makes the solution
requirements and implementation processes very demanding.

B2B Model
A B2B Model involves trading of goods and services between two corporate entities. It
enables a business to interact and trade with other organization

Categories of B2B E-Commerce

1. Volume Products: focus on making the ordering process easier.
2. Subscription Products: more and more products are offered as a service.
3. Configuration Products: dependent on offers

B2B E-Commerce Trends

 1. B2B E-Commerce Twice that of B2C market: This just comes down to the projections.
2. Integration with Configure Price Quote tools: to dynamically calculate and deliver product pricing.
3. Cart-to-Cash: to automate their Quote-to-Cash process
4. Conversational Commerce: to order products through voice command
5. Consumer-like Expectations growing: expecting the same service as B2C companies from B2B
companies.
6. Smart Personalization: products and solutions

Characteristics of B2B E-Commerce

1. Multiple decision makers: In B2B, there are often four or more decision makers involved in the
purchase process.
2. Longer decision cycle: The B2B buying cycle is much longer than for B2C.
3. Customer specific discounts. In B2B, the variations in price lists, discounts, and even available products
are generally more complex than for B2C.
4. Conflict with direct sales channels
5. International markets. B2B eCommerce is often used as a way of reaching international markets.

Benefits of B2B Ecommerce

1. Tap More Business Opportunities
2. Improve B2B E-Commerce Sales
3. Lower Costs
4. Get Customer Feedback
5. Reach New Markets

Dis-Advantages of B2B Ecommerce

1. Longer buying cycle
2. More people involved in a purchase decision
3. More expensive price tag - capital expense vs pocket money