What Is B2B Sales? Real Examples and Strategies
As a B2B business, you must understand that your sales approach will differ from that of a typical B2C business.
If you own a B2B business and are looking for effective sales approaches and processes, this article is for you.
What Is B2B Sales?
B2B sales, also known as business-to-business sales, is a sales model in which products or services are sold to other businesses rather than individual consumers.
These interactions can take the form of sales, services provided, or simply exchanging information or ideas that benefit both parties.
B2B vs. B2C Sales
B2C, or business-to-consumer, sales are quite different from B2B sales.
In a B2C setting, the primary focus is to generate revenue by selling goods and services directly to end consumers.
This means that the customers you target have an immediate need for what you're offering and are willing to pay for it.
On the other hand, in a B2B setting, the main focus is to build relationships with other businesses and nurture them over time.
This means that you need to identify potential opportunities for your business and then work hard to ensure that those opportunities are converted into sales.
Because of this, the B2B customer pool is smaller, which can make competition quite stiff.
The B2B sales process also differs in that it often involves more people during the sales process.
With a standard B2C sales process, the only person involved in the transaction is the customer.
In a B2B setting, there may be many different stakeholders involved in the process, such as decision-makers, influencers, and even government entities.
The actual sale is also a key distinguishing feature of B2B and B2C sales processes.
The B2C sales process is generally quite straightforward, as customers simply choose what they want from the business's selection of products, and the entire transaction can be completed within minutes.
B2B, on the other hand, is a more lengthy process, spanning months in some cases.
Not only are the transactions typically of a much larger scale, but they also exhibit more flexibility compared to the fixed nature of B2C transactions, often involving negotiations at various stages.
6 Examples of B2B Sales
Here are six examples of some of the most common types of B2B sales:
1. Wholesale Distribution
Wholesale distributors act as the middleman between manufacturers and retailers.
The wholesale distribution sector covers a wide range of industries, from home improvement to electronics.
Common examples of wholesale distributors include companies like Amazon Business and Alibaba.
2. Supply Sales
Supply sales can look quite similar to wholesale distribution, but with a few key differences.
In this type of B2B sale, businesses focus on providing other businesses with the supplies they need to manufacture or package their products.
This means that these business-to-business interactions are more specialized than those in wholesale distribution and often involve companies developing exclusive relationships.
Examples of supply sales include companies like Grainger, which specializes in industrial supplies, and Staples, which offers office supplies.
3. Business Consultations
Business consultations involve business-to-business interactions in which a consultant provides advice and guidance to another business on how they can improve their operations and grow.
These services can include digital marketing, financial services, IT support, and more.
Common examples of business consulting companies include Accenture, Deloitte, and McKinsey.
4. Professional Services
Professional services refer to services that are provided by an individual or company in exchange for payment.
These services encompass a wide range of industries, including marketing, accounting, legal affairs, IT support, and more.
Examples of professional service providers include companies like Marketo and Microsoft Consulting Services.
5. Software Solutions
Software solutions involve businesses offering software applications to other businesses for the purpose of improving their operations.
These services can range from providing customer relationship management tools and invoicing software to payroll systems and analytics platforms.
Common examples of software solution providers include Oracle, Microsoft Dynamics, and Salesforce.
6. Manufacturing
Manufacturing sales involve businesses selling goods directly to other businesses for the purpose of reselling or using them as components in their own products or services.
They usually operate on a contract basis and may even be responsible for designing the product as per the requirements of the business they are working with.
This type of B2B sale is often conducted through brokerages or distributorships that specialize in particular types of manufacturing materials or products.
Common examples of this type of sale are aircraft parts suppliers and metal fabricators.
B2B Sales Strategies That Work
Having gained a deeper comprehension of the various B2B sales types, let's delve into a range of strategies and techniques designed to optimize your deal-closing prowess.
1. Account-Based Sales
Account-based sales is a targeted approach to selling in which the sales team focuses on a specific list of accounts that have been pre-vetted for their potential to purchase.
This allows the sales team to focus their energy and resources on these select few instead of wasting time on leads that are unlikely to convert.
The key to success with this type of strategy is identifying qualified prospects and then creating personalized experiences for them throughout the customer journey.
2. The Sandler Selling System
The Sandler Selling System is a technique used to identify key aspects of the customer's needs and then match them with your solutions.
This method involves breaking down the customer's buying process into stages, from initial contact to post-sale follow-up.
This can be a highly effective strategy, boasting a 10-30% difference in the conversion rates returned by nurtured leads compared to non-nurtured ones.
At each stage, you can assess what the customer needs and how you can best provide it.
By taking this approach, you are better able to connect with the customer and turn them into a long-term repeat buyer.
3. Value Selling
Value selling is a technique that focuses on highlighting the value of your product or service to potential customers.
This involves getting to know the customer's needs and then finding concrete, measurable ways to demonstrate how your product or service can meet their requirements.
This can involve focusing on things like cost savings, increased efficiency, better performance, and improved customer satisfaction.
By doing this, you are more likely to convince prospects that your solution is worth investing in.
4. Solution Selling
Solution selling involves taking the time to understand a customer's needs and tailoring your sales pitch accordingly, rather than relying on a standard sales pitch.
Personalization will continue to be a key strategy in the B2B sales cycle, with 35% of marketers turning to enhanced personalization to help them land sales.
This type of strategy focuses on getting a deep understanding of the customer's problem and then presenting them with solutions that are specifically designed to address those issues.
This strategy is particularly effective in B2B sales because it allows you to show customers how they can benefit from your solution instead of just pushing features or prices.
5. The Challenger Sale
The Challenger Sale is a sales technique that focuses on challenging customers to think differently about their current solutions and how your solution could be better.
This involves helping clients identify and address areas for improvement, uncovering new opportunities to increase their bottom line, and demonstrating the value of investing in your solution over competitors.
Using this method, you can develop a more consultative relationship with prospects, which will lead to more successful sales outcomes.
B2B Sales: A Closer Look
To run a successful B2B business, it's important to understand the B2B sales process. In this article, we've covered the following topics:
What a B2B sale is
How a B2B sale differs from a B2C sale
Examples of B2B sales
Popular B2B sales strategies
By grasping B2B sales fundamentals and mastering effective strategies, you can boost deal-closing capabilities for your business.
