Skip to main content

Electronic Marketing in B2B E-Commerce

Some of the issues related with B2B electronic marketing are: 
 
1) Direct Marketing: In business organisations, the buying decisions are generally made by groups of individuals. As a result, direct marketers need to extend the reach of their programs to different functional areas and perhaps even different levels within a functional area.
 
There are multiple buyers and influencers in any organisation who play a role in the buying decision. One may know with reasonable certainty who one's primary target is, but secondary targets can be just as important to reach. One may have to reach business buyers and influencers in three basic management (functional management, financial management and general areas management) and do it at middle to upper managerial, as well as technical, levels. To do it companies need accurate e-mail lists, which they can develop by viewing companies' websites and reviewing annual reports and other public documents.

2) Relationship Marketing: In businesses, due to many factors such as company's budgeting process, the need for additional approvals, long purchasing procedures, etc., it may not be possible to match the timings of the buying organisation's decision to buy and the selling organisation's desire or ability to sell. Thus there always exists an uncertainty for the B2B marketer as to when the buyer may buy.
 
To make-up for this the B2B marketer makes use of a continuity program wherein it maintains regular, ongoing communications with the buyer. This may be achieved through e-mail or by placing the information on the website and may include information on new products, product upgradations, discounts and schemes, newly established associations of the seller with other partners, and so on. This helps in building a long-term impact of the selling organisation on the buying organisation.

3) Audience Strategy and Mailing Lists: Audience strategy drives the process of evaluating and selecting mailing lists. There are three basic kinds of lists:
 
i) House List: The house list is typically made up of customer and prospect names (with appropriate segmentation) collected by a variety of methods:
 
a) Input from the sales force,  
b) Trade shows,  
c) Leads from various media, and so on.
 
ii) Response List: These are lists with names of individuals who responded to you by e-mail, filling out Web questionnaires, and so forth. Typical response lists include subscribers, buyers, and member lists.
 
iii) Compiled List: These lists are compiled from a variety of sources, including t iephone directories.
 
4) Electronic/Interactive Media: Business organisations depend mainly on three basic media for B2B marketing - e-mail, web, and the CD-ROMS. E-mail and the web are internet-based media. CD-ROMS are used to execute full-fledged multi-media promotions with text, sound, animation, and full-motion video.

5) Internet Marketing Strategies: Several potential marketing strategies can be used in B2B. Silverstein (1999) classifies them into the following five categories:
 
i) Generating and qualifying leads with the Internet.  
ii) Using Internet events to promote products and services.  
iii) Executing instant fulfillment on the Internet.  
iv) Generating orders through the Internet.  
v) Enhancing customer relationships with the Internet.

Previous Next

 

Comments

Popular Post

What is COVID-19 ?

COVID-19 is a disease caused due to the infection of novel coronavirus. The first case of COVID-19 disease was founded at Wuhan, China in December 2019. It also named as severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). COVID-19 is the most widely spread disease ever in the world. In most cases it infects the respiratory system that causes fever, dry cough, and shortness of breath. Previous : What is the difference between coronavirus and COVID-19 ?

EDI and Business

Organisation that Uses EDI     1) Wal-Mart : An EDI link between Wal-Mart and one of its suppliers, Seminole Manufacturing Co. cut the delivery time of Seminole slacks by 50%. This resulted in a 31% sales increase of these slacks in the first 9 months after the link was established.   2) General Motors : General Motors have integrated EDI Electronic funds transfer at 30% of its assembly plants. Shipping receipts are sent electronically from the GM plant to an Electronic Data System (EDS is subsidiary of GM) computer center where they are matched against electronic invoices and purchase orders.   Suppliers group the shipping receipts, and one payment is made. This single payment may represent dozens of different shipments to different plants. These payments are also performed electronically via Electronic Funds Transfers.   3) J C Penney : Sales of Stafford suits jumped 59% after JC Penney linked up with their supplier Lanier Clothes. EDI allowed Penney to quickl...

EDI Maturity Model

The development of EDI within an organisation or a trade sector goes through a number of stages. Saxena and Wagenaar suggest a three stage EDI maturity model as a part of a three-way analysis of EDI development in organisations, trade sectors and nations.  Figure 2.20 shows the concept of EDI maturity with a six-stage maturity model, and links it to the opportunities for competitive advantage. The stages of EDI development as represented in the model are:  Stage 1:Discovery : The first stage in EDI development is the discovery stage. Discovery can be by an organisation choosing to adopt EDI to gain competitive advantage or to solve an administrative problem.  Stage 2: Introductory : This stage requires investment hardware and software but, atleast significant, will be the time commitment in establishing the parameters of the electronic trading relationship. This stage, on its own, does not result in any cost saving or efficiency gain. there are direct costs in computer ...