The ecommerce platform BigCommerce recently released its 2018 B2B Ecommerce Report. Based on a survey of more than 500 retailers who either do only B2B sales or a combination of B2B and B2C sales, the report concludes that “ecommerce is no longer nebulous for B2B but a driving force. Merchants need to take advantage of that growing opportunity or risk being left behind.”
Despite being slow to adopt ecommerce, B2B brands are increasingly looking to digital means to boost sales. This is driven in part by the shifting demographic of B2B buyers. Millennials, who feel more comfortable with a digital buying journey, make up half of B2B buyers.
Seventy-eight percent of survey respondents that sell online have done so for at least two years. According to the report, 83 percent of B2B merchants that do not yet have an online sales channel expect to add one within the next 24 months.
B2C’s influence
B2B buyers are the same people who make online purchases in their own lives. Many have not only become comfortable with buying online, they prefer it. “As avid online shoppers, consumers have become accustomed to a certain site experience. Those expectations do not disappear when they
put on their B2B buyer’s hat,” the report states. “A successful B2B ecommerce implementation mirrors the experience that a buyer would have in their personal life.”
What’s preventing B2B sellers from transitioning more quickly to an online selling model? For starters, the high level of transparency that online selling requires (namely, pricing) is outside many B2B sellers’ comfort zone.
“B2B is incredibly complex, from high-touch relationships and high-volume orders, to individualized pricing and long-term payment. Often B2B needs an experience tailored to individual accounts,” the report states. Thirty-three percent of the survey respondents have concerns about revealing B2B pricing online.
Curiously, the report states that many respondents expressed concerns that shifting sales to a digital experience would eliminate the need for sales reps. From a company perspective, that seems like a cost-savings measure that would be enticing. It’s the self-checkout stations at the grocery store writ large.
Avoiding a race to the bottom
The report points out that Amazon, Walmart and other online retailers mostly compete on price. That’s something those in the B2B world want to avoid. Fifty-three percent of survey respondents identified their reputation as their top selling point while 47 percent identified price. Customer loyalty (43 percent) and ease of purchase (38 percent) were also cited.
The report states that B2B companies need to emphasize other areas where their business can shine, including product customization, customer service, technical knowledge and personalization. “Take the time to consider how you can provide a personalized experience online. It may
be through payment options, individualized pricing, website and catalog content or custom store accounts.”
Making reputation work online
Word of mouth — aka customer testimonials — are a critical sales tool for many B2B companies. Sixty-three percent of survey respondents listed word-of-mouth recommendations as a primary sales acquisition channel, highlighting the value buyers place on the experience of others. The importance of word of mouth also extends to the digital environment with social media serving as a top new business acquisition channel, according to 41 percent of survey respondents.
The report offers these additional tips for B2B sellers that don’t want to get left behind in the transition to online sales:
- Choice matters – It’s the seller’s responsibility to provide options, whether that’s through myriad sales channels or through specific website elements. Choice begins with purchasing options. An overwhelming majority of merchants give buyers the ability to check out with credit cards (94 percent), on payment terms (53 percent), with a check (51 percent), or through a specific purchase order (50 percent). Less expected, 26 percent of merchants offer mobile wallets, like Amazon Pay or Apple Pay, as a payment option.
- Keep it simple – An easy-to-navigate website was one of the most important selling features for 71 percent of survey respondents. Despite the complexities of B2B sales, a B2B site should help automate the purchase process for a buyer. The availability of in-depth product info, a tool for generating custom quotes, bulk ordering capabilities, and faceted search functionality all contribute to a streamlined ecommerce experience.
Access the full report from BigCommerce at https://bit.ly/2Ior4nu.
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