Question

– Business to Business marketing

Objective:                   

To understand the differences between the consumer buying process and the business-to-business buying process.

Assignment:    

Explain the major differences between the consumer buying process discussed in Chapter 6 and the B2B buying process discussed in Chapter 7.

Use the example of a student buying a desktop computer for personal use versus a school buying over 100 desktops computers for faculty offices to illustrate the key points.

Then explain what is similar between the consumer buying process and the business-to-business buying process.

Submit a report no longer than 500 words.

Answer 1

The most basic difference between consumer buying process and the business-to-business buying process is that the former has a market where the customers purchase products for themselves. The latter has a market where customers purchase products for the organization that has hired them. The former has been abbreviated as the "B2C" buying process, whereas the latter has been abbreviated as the "B2B" buying process. In a B2C market, the customer is relatively less rational and more emotional in making a decision. The decision can also be impulsive. So, the consumer buying process can relatively be shorter. In a B2B market, the customer is more rational and less emotional in making a decision. The customer's decision cannot be impulsive or personal. The purchase is based on the grounds of sound training and experience in purchase. In a B2C market, the customer is a layman who gains knowledge regarding the required product through advertisements and packaging details. The customer is focused mainly on meeting the criteria of the best price, trusted brand and customer service levels. In a B2B market, the customer is a professional who receives training from the organization regarding the product. The focus of the professional buyer is attaining profitability and competitive edge for the organization he is working for. The B2B market is small, whereas the B2C market is large and geographically wide.

A student is a B2C customer who wants to buy a desktop computer for personal use. A school is a B2B customer buying over 100 desktops computers for faculty offices. The student is not a professional. His purchase will be guided by personal preferences, emotions, attraction towards a product, and limited knowledge. He may or may not be able to understand the essential features of the product. He may not know which features of the product are extremely essential to maintain prior to the purchase. So, the student may end up making a wrong purchase. On the other hand, the professional in the B2B market exactly knows the features and the pros and cons of the product. He knows the exact requirements of his organization that have to be present in the product. So, the school will train the concerned employee to make relevant purchase. Since the student will buy the desktop computer for personal use, the decision can be guided by an appeal towards the concerned product. The school will ask the professional to make purchases according to the required specifications. So, the personal preference or appeal of the professional takes a backseat in the B2B market.

The similarity between the consumer buying process and the business-to-business buying process is the emotional aspect involved in making purchases. Here, it is important to note that both the professional and non-professional buyers are human beings with emotions, which can overwhelm them over reason. So, the decisions in the consumer buying process and the business-to-business buying process can be influenced by emotions and appeal towards the potential product.