18. b2b marketing & buying behavior

8/9/2019 18. B2B Marketing & Buying Behavior

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Business to Business (B2B)

Marketing & Buying

Behaviour

Presented By

Dr. Kevin Lance Jones


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B2B Defined

The management process responsible for

the facilitation of exchange betweenproducers of goods and services and their

organisational customers.

B2B marketing and purchasing is acomplex and risky business involving a

number of different parties.


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Flowswithin a B2B market


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Differences between B2B andconsumer marketing (1 of3)


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Differences between B2B andconsumer marketing (2 of3)


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Differences between B2B andconsumer marketing (3of3)


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B2B customers

Commercial enterprises - profit making

organisations that produce and/or resell goods

and services for a profit. Can be subdivided intousers, original equipment manufacturers

(OEMs), resellers.

Government bodies.

Institutions - largely non-profit making

organisations, e.g. universities, churches, etc.


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Characteristicsof B2B markets

Nature of demand - derived, joint,

inelastic.

Structure of demand - industrial and

geographic concentration.

Buying process complexity.

Buyer-seller relationships.


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Influenceson a B2B purchasing chain


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Sourcing strategies - advantagesand disadvantages (1 of 2)

Source: Adapted from Treleven (1987).


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Sourcing strategies - advantagesand disadvantages (2 of 2)

Source: Adapted from Hahn (1986) and Ramsey and Wilson (1990). Reprinted by permission of MCB University Press Ltd.


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Modelsoforganisationalbuying decision making


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Decision problems in B2B purchasingdecision making process (1 of 2)


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Decision problems in B2B purchasingdecision making process (2 of 2)


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Roles in the buying process

Purchasing - handle relationships with suppliers.

Production/operations - meeting targets for the

end product in both quantity and quality terms. Engineering - the specification and design.

R&D.

Finance - devolve budgets to appropriatemanagers.

Marketing - outputs of the production process.


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Unit production modelof

buyer-seller contact in B2B markets

Source: Adapted from Johanson (1982), copyright 1982 John Wiley & Sons Limited. Reporoduced with permission.


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Mass production modelofbuyer-seller contact in B2B markets

Source: Adapted from Johanson (1982), copyright 1982 John Wiley & Sons Limited. Reproduced with permission.


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Buying centres - comparison betweenconsumer and B2B markets (1 of 2)


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Buying centres - comparison between

consumer and B2B markets (2 of 2)

18. b2b marketing & buying behavior

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