ABM is honored to be the 1st International Franchisee for

Tanishq 

https://www.linkedin.com/posts/jahid-osman-3b572932_abm-
is-honored-to-be-the-1st-international-activity-
6873554513693839360-rPo5

Force: Benz, BMW https://www.youtube.com/watch?v=dmtm5UUYuVY

B2B Marketing
Recommended Books
 Content of the Session
An overview of Industrial Marketing Management

• Concept of B2B or Industrial Marketing

• What is Significance of Industrial Marketing

• Industrial Marketing VS Consumer Markets

• Economics of Industrial Marketing

• Classification of Industrial Customers

 Maruti Suzuki India

Mar-21 70332.5

Mar-20 75611

Mar-19 86020

Mar-18 79763

Mar-17 68035

Mar-16 57538

0 10000 20000 30000 40000 50000 60000 70000 80000 90000

https://www.statista.com/statistics/864193/india-share-of-passenger-vehicles-market-by-carmaker/
 An overview of Industrial Marketing Management
Automated Manual Transmission Fog Light Lamp
MAGNETI MARELLI Rear Lamp Bulb Wiper System Power Window
(FIAT) KKR USA Tail Lamp DENSO
Japan

Transmission Piston Accumulator Shock Absorber Seal

FREUDENBERG
Germany

Accelerator Pedal Sensor Air Temperature Sensors

HELLA
Germany

Shock Absorbers & Struts

TENNECO
USA

Bushings
VIBRACOUSTIC
FREUDENBERG
Germany

Front Lighting
Headlamp
LUMAX
India
Seat Assembly
Door Trim Panel Doors
KRISHNA Groups chassis  TISCO
India
 Fuel System
Floor Console
PLASTIC
MINDA
OMNIUM
India
France

Turbo/ Supercharger
TURBO ENERGY
France
(30,000 parts in a car)
Rain Light Sensor
Fuel Injector VALEO
BOSCH/DENSO France
Germany and
Japan

Exhaust Cold End

FUTABA
Japan
 B2B or Industrial Marketing
“Business Marketing” or “Industrial Marketing” are used
interchangeably
Industrial marketing consists of all activities involved in the
marketing of products and services to organizations that use
(mix)

products and services in the production of consumer or

industrial goods and services, and to facilitate the operation of
the their enterprises. Viewed from the perspective of
marketing, industry marketing is, then, human activity
directed toward satisfying wants and needs of organizations
through the exchange process.
 What is it for me (WIM)……

• 50% of all business school graduates join firms, that directly

compete in the business market

• Because of interest in high-tech markets and the size of

industrial markets, increased attention is being paid to
business marketing management. (AI and ML)
 Gross Domestic Product
• What are the components of GDP

– Manufacturing (31%), Agriculture (16%), Service Sector (53%)

• Contribution of Industrial Marketing to the GDP

In Lakh Crore Percent of
Particulars
Rupees GDP
GDP 148  
     
Service 78.44 53%
Manufacturing 45.88 31%
Agriculture 25.16 17%
     
B2B Market 38.30 24%
 Other Players
• A C Nielsen

• Moody's Investors Service

• McKinsey & Company

• IT Sector

• Metro (Germany), Carrefour (French)

• Walmart

• Logistic Companies (DFL, TCI, VRL)

 Industrial Market vs Consumer Market
Particulars Industrial Market Consumer Market

Market • Geographically Concentrated • Geographically Dispersed

Structure • Relatively few Buyers • Mass Markets
• Oligopolistic Competition • Monopolistic Competition
• Technical Complexity • Standardized
Products • Customized • Hardly Customized
• Service, Delivery and availability • Service, Delivery and availability
very important somewhat important
• Functional Involvement • Family Involvement
Buyer • Rational Motives Predominate • Psychological Motives Predominate
Behavior • Technical Expertise • Less Technical Expertise
• Stable Relationships • Non Personal Relationship
• Reciprocity
Decision
Distinct, Observable Stages Unobservable, Mental Stages
Making
 Industrial Market vs Consumer Market
Channels Shorter, More Direct, Fewer Linkage Indirect, Multiple Linkages
Promotion Emphasis on Personal Selling Emphasis on Advertising
Price Competitive Bidding, Negotiating on List Prices
Complex Purchases
List Prices on Standard Items
 Economics of Industrial Marketing

• Derived Demand

– Dramatic Shift in Demand Curve

– Stimulating Industrial Demand

• Joint Demand

• Cross Elasticity of Demand

 Derived Demand
Batteries

Korea Korea
Japan
Japan
Microchips in Mobile
Glass Screens nxp semiconductors
Netherlands

Analog Devices
USA
Korea
Korea Texas Instruments
USA

https://www.thehindubusinessline.com/ https://brandequity.economictimes.indiatimes.com/news/
economy/agri-business/maggi-fiasco-hits- business-of-brands/maggi-row-suppliers-face-uncertainty-
flour-mills/article7298790.ece after-maggi-goes-off-shelves/47671770
 Stimulating Industrial Demand
Cotton: the Fabric of Our Lives
When synthetic fibers started gaining popularity over cotton, a
group of cotton growers and importers established Cotton
Incorporated. The organization took a small cut of every sale,
and hired a team of ad executives to launch Fabric of Our
Lives campaign:

https://www.youtube.com/watch?v=lHhgn3j4L5U
Joint Demand
 Cross Elasticity of Demand
• Rise in price for one product leads to rise in demand for
alternate product

Cotton

Polyester
Linen
Conclusion
(Any Student)