Branding in B2B Markets

4780 WordsFeb 15, 201320 Pages
MANAGEMENT DEVELOPMENT INSTITUTE - GURGAON Post-Graduate Programme in Management (PGPM): 2011-13 (PGPM 2011-2013 Batch) Term: V (Sep 2012 – Dec 2012) Business Marketing Submission Date: th 20 Nov 2012 Term Paper PGPM 2011-13 A Term Paper on “Branding in B2B Markets” Submitted to Prof. Vinod Kalia Submission Date: 20th November 2012 Contents Business to Business (B2B) Branding: An Introduction ........................................................................... 2 Customer Value Proposition in Business Markets .................................................................................. 3 Brand Equity in Business…show more content…
The more they can come up with, the better. Some managers do recognize that the customer has an alternative, but they often make the mistake of assuming that favourable points of difference must be valuable for the customer. Best-practice suppliers base their value proposition on the few elements that matter most to target customers, demonstrate the value of this superior performance, and communicate it in a way that conveys a sophisticated understanding of the customer’s business priorities. A supplier’s offering may have many technical, economic, service, or social benefits that deliver value to customers - but in all probability, so do competitors’ offerings. Thus, the essential question is, “How do these value elements compare with those of the next best alternative?” Every Customer Value Proposition has an assortment of value elements, which can be sorted into 3 types: 4|Page Points of parity are elements with essentially the same performance or functionality as those of the next best alternative. Points of difference are elements that make the supplier’s offering either superior or inferior to the next best alternative. Points of contention are elements about which the supplier and their customers disagree regarding how their performance or functionality compares with those of the next best alternative. Either the supplier regards a value element as a point of difference in their favour, while the
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