According to a popular joke, there are only two types of days in the pandemic: days when packages arrive, and days when they don’t. The joke underscores the ever increasing percentage of consumer spend migrating to e-commerce, from groceries to clothing and well beyond.
But what about B2B buying? According to conventional wisdom, B2B sales are much more dependent on personal contact and in-person relationships – and therefore more resistant to the lure of online purchasing.
As it turns out, B2B buyers are increasingly willing to take their transactions online. Today we’ll examine this trend and look at how companies are succeeding at making the shift, providing us with some of the best examples of B2B e-commerce.
Find out how B2B industries like manufacturing and high tech transformed amid the pandemic. Manufacturers had an important realization: Your buying experience should be simple, even if your products aren’t. This is a valuable takeaway for every industry.
A recent survey of buyers in the UK found that 46% of B2B purchases are now being completed online. Not only that, but the number of B2B buyers who bought directly from salespeople has declined from 44% to 16%.
It’s a dramatic shift, and one that underscores the need for B2B suppliers to quickly ramp up their e-commerce capabilities.
In fact, the same research revealed that “43% of businesses still find buying online more complicated than buying offline.” Not only that, but the same percentage of respondents said they had switched suppliers because their existing supplier lacked e-commerce capabilities.
Learn all about the benefits of e-commerce and see examples of the best e-commerce sites out there.
Of course, given how new this space is, it may take time to figure out just what the “right” investments are. Depending on what a company sells, this may not be easy. But some companies are making the shift and seeing amazing results.
Some B2B companies are effectively adapting their business models to meet the changing marketplace.
Anixter, a global provider of communications equipment and services, saw the pandemic as a chance to accelerate its transition to a B2B model based on digital commerce.
By giving buyers the freedom to engage via digital channels, Anixter has seen marked improvements in its relationships with its largest global customers, which has led to increased growth. Through digital channels, Anixter can provide an experience that best fits each customer. At the same time, e-commerce frees the sales team from administrative tasks so they can focus on selling and helping customers.
Procter & Gamble is making big investments in e-commerce, which are paying off.
Like other traditionally B2B-focused companies, Procter & Gamble has intensified its direct-to-consumer focus during the pandemic. For example, it rolled out a significant digital campaign for its Native brand of natural deodorant.
What’s particularly impressive is it only took them 30 days to ramp up and launch the new sites. “Over the last few years, PepsiCo has been working to be a faster, stronger, better company, one that is laser focused on meeting consumer needs and winning in the marketplace. Investing in e-commerce and digital capabilities and talent has been – and will continue to be – a big part of that effort,” Gibu Thomas, Senior VP & Head of E-Commerce, said in announcing the launch.
Here are the top B2B e-commerce challenges companies face when transforming their commerce model to meet the needs of today's B2B buyers.
Grainger, a distributor of maintenance, repair, and operating products, is seeing exceptional results with its multi-faceted e-commerce strategy. The company was more than ready for the rapid shift of customers to digital channels last year, with a flagship website designed to make things easy for customers and its Zoro and MonotaRO online operations.
According to AdExchanger, the company helped a chain of convenience stores create e-commerce sites to take orders and set up delivery. AB InBev also said it plans to shift production to accommodate online demand with more large packs of beer.
For B2B companies to succeed in e-commerce requires more than a digital investment. Making the shift requires a different mindset as well as different processes and skill sets. In short, for B2B suppliers there’s now a premium on agility. Those who can move quickly reap the benefits.
