B2B: Move Over B2C, It’s My Time to Shine

Where size matters, B2B is the clear winner.

Why You Need a B2B E-commerce Platform

B2B e-commerce features prominently in any discussion on the future of B2B commerce. Attend any B2B conference or browse through a B2B commerce blog and you will find discussions on the consumerization of B2B and how millennial B2B buyers are shifting purchases to mobile devices. Is the hype real? Is there a strong business case for B2B e-commerce? We have your answers!

Here is our business case for B2B e-commerce. We have split our findings into two categories: benefits from adoption and market drivers for adoption.

Benefits from Adoption

Revenue: Grainger, a Fortune 500 industrial supply company, has been an early adopter of B2B e-commerce. The company reported an increase in e-commerce sales to $4.76 billion as e-commerce accounted for 47% of total sales.

Costs: Forrester found that B2B companies could decrease sales costs by up to 90% through an online self-service environment. Another survey reported that 52% of B2B e-commerce executives saw a decrease in customer support costs after moving customers online.

Market Drivers for B2B E-commerce Adoption

• Enterprise buyers buy online
  • A Forrester survey revealed that 32% of B2B buyers make half or more of their purchases online.
  • More than 53% expect the majority of their purchases to be online.
  • Key reasons include 24/7 shopping convenience and faster transactions.
• Buyers choose B2C platforms when possible
  • Research shows that 82% of B2B buyers have made purchases on Amazon’s consumer platform rather than Amazon Business.
• Mobile commerce is growing
  • About 52% of B2B buyers already research products on smartphones.
  • Millennials represent a large portion of business buyers and expect mobile purchasing capabilities.

Competitors Are Already Moving Online

• Accenture found that 82% of B2B companies with revenues above $500 million already have a B2B e-commerce portal.

The Growing B2B E-commerce Market

• By 2020, B2B e-commerce was projected to be twice the size of B2C ($6.7 trillion vs $3.2 trillion).
• B2B e-commerce would represent about 12% of total B2B sales in the United States.

Choosing the Right B2B E-commerce Platform

The first step is to choose the right B2B e-commerce platform for your business. Many companies mistakenly select B2C platforms or expensive on-premise systems without evaluating their B2B needs.

Questions You Should Ask Before Selecting a Platform

• What are your company’s objectives for the e-commerce store?
• How many resources can you dedicate to maintaining the site?
• How suitable is the platform for B2B commerce?
• Is the platform customizable?
• How much integration do you need with ERP, CRM, or accounting systems?

Strategy and Best Practices

• Identify your requirements
• Discover possibilities for cost savings and growth
• Define the desired user experience
• Outline integration requirements
• Select the best hosting model
• Build an implementation plan

Evaluation Criteria

• Pricing models
• Total cost of ownership
• Business size compatibility
• Integration capabilities
• Customization options for features and user experience

In-depth Platform Analysis

Responsive Design: Ensure the platform works seamlessly across devices.

Self-Service Capabilities: Buyers expect quick access to product information, shipping details, and quote approvals.

Customer-Specific Pricing: B2B buyers often require personalized pricing based on purchase history.

Flexible Payment Options: High-value orders may require invoice payments, partial payments, or bulk purchase billing.

Platform Type: Hosted vs Cloud vs On-Premise

On-premise platforms require internal IT resources for maintenance, while cloud-based platforms are hosted and maintained by service providers. Cloud solutions reduce operational burden, while on-premise solutions offer higher customization.

Risks of Choosing the Wrong Platform

• Poor integration capabilities
• Limited customization
• Higher support and maintenance costs

Next Steps

Choosing the right platform requires research and planning, but it ensures long-term success. Partnering with experienced vendors can simplify implementation and reduce risk.