You already have an online store or different B2C merchant sites and you are wondering if it is a good idea to get into the B2B field in 2020. The answer may well be positive.
First, let’s take a quick overview of B2B digital commerce around the world in this very special year 2020, marked by an exceptional health crisis. Then, we will discuss the global rise of B2B digital commerce “marketplaces” .
The characteristics of B2B e-commerce
Why not take advantage of this year to explore new markets in a sector of digital commerce in which you have not yet taken an interest, B2B? More and more e-businesses are mixed, that is to say they work in B2C, but also in B2B. After all, selling your products to other companies could be a way to diversify your business, reach a new type of Sri Lanka Phone Number List customer, and possibly increase your bottom line. Before that, let’s see what characterizes B2B online commerce.
Basically, having a B2B e-commerce is simple, you have to provide your products or services to customers who are also businesses or organizations. It is not uncommon to observe online businesses on the web that cater to two kinds of customers: individuals and professionals.
So what’s the point for an online seller to tackle this segment?
In theory, once you’ve established a good reputation in e-commerce and your company has a few solid big customers, you don’t have to put a lot of effort into marketing because the corporate customers know you. and are faithful in principle, provided that the correct level of quality is maintained. We are therefore talking about saving money and time.
It happens to sell products several times to the same customer in B2C, but this can be rare. In B2B, on the contrary, it is a peculiarity that allows you to keep business partners unchanged for a long time. In B2B, customers normally prefer to source from the same e-commerce because they know where they are going and most importantly, they don’t have to repeat the long buying process that usually happens with the first order. This is a strong point of B2B: loyalty to the supplier.
Covid 19 crisis and B2B e-commerce trends
According to a recent study, the global market size of this B2B commerce is expected to reach $ 20.9 billion by 2027, with a CAGR (compound annual growth rate) of 17.5% during the period of forecast. At the start of 2020, COVID-19 had a major impacton the e-commerce industry. In particular, it was noticed that customer behavior changed significantly during the containment phase in countries such as the United States, Germany, Italy, Spain, France, India, China and Russia. Online shopping was popular during this health crisis because of the constraints and bans on public gatherings issued by national governments.
Due to the impossibility of living normally from a social point of view, millions of people have logically turned to the internet and we have seen interactions move towards digital and B2B communications and sales have also adapted to the digital. According to experts in the e-commerce industry,
B2B portals play a central role and help SMEs and large companies reach certain remote areas and do business all over the world. These portals facilitate the establishment of new business relationships between companies in addition to supporting existing ones. Additionally, B2B e-commerce platforms enable businesses to reduce marketing spend, better manage supplier and customer relationships, and drive business engagement.