B2B Marketing Paper

1266 WordsMay 8, 20136 Pages
What do you see as the major differences between business marketing and consumer marketing? Which of these differences do you believe are the most important? Support your position with reference to an example of a company chosen from one of the following industries: Although business markets and consumer markets share common values and theories, they differ in the way that they function in their respective markets. Organisations need to ensure they understand what makes up a consumer and business market as well as the reasoning behind the purchases of goods and services. Your typical business market sees transactions completed amongst different businesses, i.e. a wholesaler to a retailer, whereas, in a consumer market, a good or…show more content…
In consumer markets the customer is influenced emotionally when making a purchase decision hence why a business must ensure its product or service has superior benefits to its competitors (Anderson et al, 2004). Consumer marketing is product driven; a need to maximize the value of the transaction; serves a large target market; single step buying process, shorter sales cycle; brand identity created through repetition and imagery; and emotions affect the buying decision based on status, desire, or price. Whereas, Business marketing is relationship driven; its aim is to maximize the value of the relationship; generally serves a small, focused target market; multi-step buying process, longer sales cycle; brand identity is created on personal relationship; and a rational buying decision is based on business value. From the evidence above all the differences listed between business and consumer marketing are deemed important. Customer relationship management I feel is a key factor that needs to be acknowledged. Business-to-business companies are relationship driven, whereby a business will offer another organisation their product or service – in order for repeat business to occur relationship management is vital, hence the need for
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