The future of B2B commerce is online
« If your business is not on the Internet, then your business will be out of business » – Bill Gates.
Online B2B commerce has grown rapidly in recent years, with COVID-19 significantly accelerating the expansion of this phenomenon since 2020. However, this is not a fleeting trend. The new, younger, and more tech-savvy employees are the main drivers of this development.
DHL(1) estimates that the global B2B E-Commerce market size will increase by more than 70% to reach $20.9 trillion by 2027. DHL also predicts that by 2025, “80% of all B2B sales interactions between suppliers and professional buyers will take place in digital channels.”
Although the majority of B2B companies are gradually adapting to the purchasing habits and new expectations of online users, the number of suppliers taking advantage of this opportunity is still limited. As proof, 85% of B2B companies see E-Commerce as a significant revenue opportunity that they are not yet fully utilizing.
If you don't yet believe in this trend, discover the reasons why we believe you are making a mistake.
1. B2B buying habits have changed
B2B sales used to be much easier. A person who needed a product or solution would contact a potential supplier and deal directly with a salesperson who would present them with the best options to choose from. If they were satisfied with what they heard, they would make a purchase.
Compare that to the buying process a B2B buyer goes through today:
- a person identifies a problem
- they search for a solution online
- they discover various potential solutions that they examine in depth
- she discusses it with her peers and collaborators to get opinions and recommendations
- she verifies the credibility of companies by looking at reviews and the reputation of their clients
- finally, based on all this information, she makes a purchasing decision and buys the product directly online or by contacting the company.
Practices and mindsets have changed. Modern buyers are very skeptical of the sales and marketing messages they encounter. According to a Forrester report, “59% of buyers prefer to do research online rather than interact with a sales representative because the latter promotes their products rather than helping to solve a problem” (2). They have changed the way they gather information and now complete up to 60-70% of their decision-making process without ever having to speak to a salesperson (3).
Knowing this, every effort must be made to guide and support visitors in their decision-making processes through your site (see our point 3).
In addition to the information gathering phase, buyers now expect to be able to order online. Nowadays, online shopping is part of everyday life, and consumers can order anything they want quickly and easily. These people then go to work as professional buyers and expect to have the same experience when processing their company's orders.
It is also surprising to note that approximately half of companies make online purchases, but only 22% of them offer an online purchasing option (4).
For you, this represents a fantastic opportunity. Customers want to, if not order online, at least get information on your website, and if you offer them the opportunity when your competitors don't, you have a serious chance of getting ahead of them. Conversely, if you don't, be sure that a bolder competitor will take advantage of it to seize this market and capture your prospects and customers.
Just look at the evolution of the printing industry, which has completely changed with the advent of Web-to-Print. While very few people believed in it some twenty years ago, Web-to-Print has now become an integral part of the industry, and its growth continues.
2. Proof of your existence
A website, coupled with a good acquisition strategy, will allow you to easily reach a wider audience. It also helps to strengthen your credibility with your prospects and customers.
The first thing a person will do when hearing about your company is visit your website to see what you have to offer and whether they can trust you. If they can't find you, your company won't seem serious to them. A study by Weebly shows that “56% of consumers say they don't trust a business without a website (5)”.
Without a website, you have different possibilities:
- public relations are a good way to get noticed
- advertising allows prospects and customers to remember you
- email allows you to keep in regular contact with your customers
- social networks bring you visibility
However, all these methods are limited if they do not point to one and the same place: your website.
In addition, having a site means having total control over your communication. You can use it to show your strengths, your particularities, and accentuate your differentiation from other players in the market.
3. A silent salesperson
Your site is an active salesperson 24 hours a day, 365 days a year, who can provide information, guide, recommend, and collect data, even while you sleep.
As we have seen, most purchasing decisions begin with an online search. Having a website not only helps prospects find you, but also plays a key role in encouraging them to engage with you.
Prospects can visit your website outside of business hours to get support or information about your products and services, at a time that is most convenient for them. In addition, they retrieve the information that interests them in a less restrictive way. They are not constrained by office hours; your website offers prospects a way to « get in touch » without having to do so.
Moreover, 90% of B2B decision-makers say that when they are ready to buy, « they will find you » (6). Your potential customers are already comparing your brand to that of your competitors. Having an online presence is essential because it allows your potential customers to interact with your website, this silent salesperson, long before speaking to a member of your team.
A website also improves long-term customer relationships. Since many B2B customers buy the same items multiple times, online access to past orders and quick order forms facilitates repeat purchases. In addition, there is the possibility of creating standing orders and automatically sending reminders when it is time to place a new order. The customer can then simply click and buy. The simpler you make the purchasing process, the more your customers will reward you with their loyalty.
Again, we can take the example of the printing industry. One of the key factors driving printers to adopt Web-to-Print was their frustration with the many payment defaults from their customers. They had the vision and seized the opportunity that the Web offered them to implement an e-commerce platform requiring payment in advance or on delivery.
Selling online offered them various benefits:
– Ease of purchase for the customer
– A customer base without geographical boundaries
– Instant payment allowing them to simplify their treasury and invest more and more in their technologies
– Automated production processes that allow a reduction in costs, therefore an increase in margins
All these advantages have enabled them to sell large volumes, automate their production, achieve economies of scale and thus be able to offer advantageous prices to their customers, creating a virtuous circle.
Conclusion
All studies present online sales as the future of sales between professionals. B2B transactions are evolving to look more and more like B2C transactions every day. If you – manufacturers and processors of flat or corrugated cardboard – are still relying solely on a traditional sales funnel, you risk experiencing a decline in your commercial performance in the years to come (if this is not already the case).
At Packitoo, we support packaging manufacturers in their digital transformation reflection of their sales process. We are at your disposal to advise you and carry out all the necessary training actions to successfully launch your Web-to-Pack e-commerce site.
- The ultimate b2b e-commerce guide. Tradition is out. Digital is in. – DHL
- Death Of A (B2B) Salesman – Forrester
- Study: Half of B2B Buyers Make Up Their Minds Before Talking to Sales Reps – Miller Heiman Group
- UK B2B E-Commerce Market Report 2021 – Mintel
- An Easy Way for Small Businesses to Make More Money – Weebly
- New B2B Buying Journey & its Implication for Sales – Gartner