The 5 B2B eCommerce Myths that Minimize Your Market Share
A digital marketplace is no longer a luxury, it’s a necessity.
60% of B2B buyers are ready to purchase online — are you ready to meet them there?
We know that at least 35% of you are hesitant to take your brand online, but why?
Personal reasons? We respect that.
Is it because you’ve heard one of these myths?
That’s just wild.
In this article, we’ll reveal:
- 5 misconceptions about business-to-business e-commerce that reduce your profitability.
- How these misconceptions are unreasonable in practice, even if reasonable in theory.
- How to catch up with — and outdistance — your competitors in online sales.
Top 5 B2B eCommerce Myths to Diminish Your Market Share
Misinformation spreads like wildfire, but it shouldn’t cost your brand in lost revenue. Here are 5 misconceptions about e-commerce that minimize your market share:
- B2B Marketplaces are Better
- B2B eCommerce Distracts from Distribution Channels
- You’ll Upset Your B2B Resellers
- B2B Customers Prefer In-Person Contact
- B2B eCommerce is Intended for “Low-Ticket” Transactions
1. B2B Marketplaces are Better
B2B sellers tend to focus on marketplaces like Amazon, Wayfair, and Walmart. And why not? If the audience on those platforms is there to buy, then why should you spend resources on marketing your own e-commerce site?
Put simply, because you’re wasting money. You spend up to 20% of your revenue for the privilege of selling on these B2B platforms.
How much is 20% of your annual revenue? If anyone says it would cost more than that to build out your B2B e-commerce experience, they’re doing it wrong.
2. B2B eCommerce Distracts from Distribution Channels
Too many B2B companies, manufacturers, and distributors prioritize their distribution channels, manufacturing, and R&D at the expense of e-commerce.
Instead, you could create a distribution network online. Then, invite your distributors and resellers to buy from you at different, tiered pricing levels on your own website.
Worried about how you can continue providing personalized attention to customer service? Don't worry, AI empowers you to provide proactive and delightful customer experience.
3. You’ll Upset Your B2B Resellers
B2B business owners are afraid to upset their reseller base. If you sell products or services on your own website, your resellers will be upset and will no longer want to buy from you, right?
This is another wild concept. When you create a bespoke shopping space for your target customers, you’re providing additional value.
A B2B ordering mechanism with custom functionalities ensures that your CX is designed to be appealing to specific consumers. Alternatively, you're increasing your overhead by up to 10% without a ready website from which your resellers can purchase whenever they'd like.
It also impacts your branding.
Prioritizing your resellers over your branding is perilous, because your competitors are always working to attract them away from you. And to whom do you think your resellers are loyal?
But don’t compete with resellers…
Don't sell on your website at the same prices that you sell to your resellers. You don't want to compete with your resellers directly. There's an entire execution plan that you must follow to avoid upsetting your reseller base.
4. B2B Customers Prefer In-Person Contact
At every step in the Buyer’s Journey, 66% of your corporate customers choose digital channels for engagement. In fact, e-commerce has outpaced ‘in-person’ to become the most effective sales channel.
Remember that we mentioned AI? Well, it’s adept at engaging in realistic conversations with customers over online chat — and chat is a feature that over 50% of B2B businesses offer.
Business-to-business e-commerce is effective, effortless to implement, and easy to automate.
5. B2B eCommerce is Intended for “Low-Ticket” Transactions
Perhaps once, but today, 35% of business buyers are willing to complete single B2B transactions over $500,000 online.
Put another way, you have motivated customers who search for your products and services online. Finding a minimal e-commerce presence, they turn to competitors who offer digital purchasing options.
At Optimum7, we can create a custom functionality for you. Periodically, it sends you an email, from your competitors, to thank you for sending them a multi-million-dollar transaction.* That way, you won’t be empty-handed as you hesitate to take your brand online.
Bust B2B eCommerce Myths & Maximize Market Share with Optimum7
*That was a joke — but B2B e-commerce is not. Avoiding it is no longer an option for forward-thinking business leaders.
Some of the world’s largest B2B brands are spending millions of dollars on digital marketing and e-commerce development.
Taking your brand online is the only way to outdistance your competitors in a modern market.
Learn more about why B2B businesses must go online in 2023 at Optimum7.com.
And subscribe to The Optimum7 Letter for more insider insights into the dynamic world of e-commerce development and marketing.
Scott Cercy is a Content Strategist at Optimum7. He writes compelling copy that enables e-commerce brands to form deeper relationships with their target audience. Connect with Scott on LinkedIn and Twitter.