It is a fact that services dominate the global economy, with business-to-business markets accounting for the lion’s share. For example, in the Russian telecommunication’s market the B2B segment showed 5 times more revenue than the entire market.
B2B companies, generally seek to create and maintain a long-term business relationship with the organization from which they acquired the product or services (Leighton and Schaper, 2003). What is more, a growing number of B2B firms are becoming service-dominant because services enable them to build lasting relationships with their direct customers and their customers’ customers.
What is customer relationship management in B2B? It is managing customer lifecycle throw different tools, which help to analyze customers and offer them best solution, with the goal of improving the company business results. The most obvious feature of B2B companies is that they help other companies to achieve their business goals. Respectively the approach to selling their products is completely different.
In view of the growth in the number of small and medium-sized enterprises, it is necessary to understand the features of interaction with them. These differences are noticeable if we compare the B2B and B2C segment:
|Focus||Building personalized relationships with those responsible for decision-making in the consumer company.||Building dialogue with different customer groups depending on the nature of the transaction.|
|Sale Cycle||Complex and multi-step procedure of deal accomplishment that depends on the number of decision makers.||Consumers may decide within minutes whether to make a purchase or not.|
|Purchases||Needs a rational analysis, longer time consideration.||Usually less rational and more based on impulse.|
|Deal size||Large volume and high price with small repeat rate.||Small price with high repeat rate.|
|Number of contacts||Several individuals from the same company who make a decision to purchase.||Many single contacts with many customers.|
Based on the differences considered, it becomes clear that B2B companies need to have a deeper understanding of their customers’ problems, wants and needs. Via using various CRM tools based on customer’s life cycle analyzes (level of customer retention and loss) and their behavioral characteristics, companies need to take into account all factors in order properly distribute resources.
B2B — the locomotive of the mobile market, 2019 [Electronic resource] // http://www.comnews.ru/content/118487/2019-03-15/b2b-lokomotiv-rynka-mobilnoy-svyazi
Key Differences Between B2B and B2C CRM Systems,2018 [Electronic resource] // https://www.ergonized.com/blog/blogkey-differences-b2b-vs-b2c-crm-systemsstems