How personalization can be effective in B2B eCommerce

Numerous B2B enterprises are concerned that adopting online sales strategies will negatively impact their established customer connections in the traditional sales channel. However, customized marketing techniques in B2B eCommerce can be an excellent approach to sustain these business associations by providing personalized attention to customers online, just as they receive in person.

In B2B online business, whether as a manufacturer or a distributor, personalization plays a crucial role in both the company's internal operations and external customer experience:

• Internal: Personalization proves highly beneficial as it enables teams to provide customers with touchless experiences, leading to efficiencies and enhancing the bottom-line metrics.
• External: Personalization holds significant advantages for purchasers, enhancing the customer experience and overall convenience for the user.

By leveraging personalization tactics in B2B eCommerce, companies can provide tailored experiences that build and strengthen customer relationships, leading to improved business outcomes.

What is personalization?

Personalized marketing involves utilizing customer interests and behavior to tailor the buying journey from beginning to end. Personalization can occur in any customer interaction with a company's brand, products, or services, whether on the company's website, marketplaces, landing pages, online store(s), email campaigns, social media platforms, printed materials, delivery services, and more.

The content provided to the customer is specific to their segment. It varies based on factors such as identity (self-service customer vs. contracted customer vs. guest), workplace, position (approver, researcher, etc.), intentions, and preferences. This effort aims to create a memorable customer experience, improve customer loyalty, and ultimately increase sales.

Businesses can build stronger customer relationships and deliver relevant and engaging experiences by leveraging personalization tactics in all customer interactions. Such efforts can lead to improved customer loyalty, increased sales, and a positive impact on the bottom line.

What makes personalization appealing to users?

Relevance is key to capturing and maintaining people's attention, giving them a sense of control over what they engage in, resulting in a more enjoyable experience. However, personalization entails more than just relevance and control. The crucial aspect is how it affects customers' perception of their shopping experience and influences their purchasing decisions, making it a beneficial strategy for everyone involved.

While this psychological principle applies to all individuals, there are distinct differences between B2C and B2B shopping behaviors that companies must consider when developing personalization strategies.

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Significant differences exist between the buying behavior of B2C and B2B customers.

B2C buyers often make purchasing decisions based on emotions, personal preferences, and subjective viewpoints. In contrast, B2B buyers typically undergo a more intricate and protracted buying process, considering factors such as the value and benefit to their organization. Moreover, the person placing the order may not be the product’s end user.

However, despite these dissimilarities, today's B2B buyers expect a seamless, efficient, and convenient shopping experience that meets their needs and requirements.

Is personalized marketing effective in B2B eCommerce?

According to recent research on B2B buyers, a significant 36% of professional buyers expect a personalized online experience. Despite this, the study found that a staggering 94% of buyers encounter difficulties when attempting to make online purchases, suggesting that their expectations are not being fully met. It's worth exploring their specific pain points during the online buying journey.

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• 29% of buyers cannot access accurate, real-time pricing and stock levels.
• 29% of buyers cannot locate consistent product information across channels.
• 32% of buyers face difficulties locating appropriate products and information.

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The importance of personalization in the B2B industry?

In the B2B setting, it is common to compare online stores to B2C experiences, and it is evident that B2B enterprises could benefit from incorporating Amazon-like features. Faster checkouts, improved navigation, personalized product recommendations, and easy reordering of frequently purchased items are among the many aspects that B2B buyers are looking for.

The advanced personalized experiences provided by companies like Amazon and Netflix are acknowledged by B2B buyers, who appreciate their efficiency and benefits. Therefore, they expect the same level of personalization in their business transactions. By integrating personalization strategies into their websites, B2B enterprises can expect higher conversion rates and improved customer engagement.

Top 3 advantages of a personalized B2B eCommerce

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#1: Boost conversions

Providing personalized content to potential customers can significantly impact converting them into buyers. Implementing eCommerce personalization techniques can help establish customer trust and streamline the purchasing process, ultimately leading to increased sales and more nurtured leads, including sales-qualified leads, simple leads, and user registrations. Businesses can increase customer online orders, average order value (AOV), and profitability by customizing the customer experience and tailoring content to their needs and preferences.

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#2: Maintain loyal customers

In the business world, building customer loyalty is crucial, and one way to achieve this is by demonstrating that you genuinely care about enhancing their experience. In a sense, we are showing empathy with the activity that the B2B user must perform on our site. By doing so, customers feel valued, respected, and more likely to engage with your brand. This, in turn, can lead to repeat sales and content sharing, transforming loyal customers into brand ambassadors who promote your brand and bring in more business. It is essential to handle this process carefully and thoughtfully to build long-lasting customer relationships.

#3: Customize communication with customers

In today's digital age, consumers are constantly bombarded with overwhelming information, making it difficult to cut through the noise. Personalization has become a crucial tool for businesses to address this challenge by providing a tailored experience that filters out irrelevant content and presents only what is useful to the customer.

By leveraging personalized messaging, companies can significantly reduce the time it takes for buyers to consume information and make purchasing decisions. This, in turn, results in a more efficient and effective customer experience that is more likely to drive repeat business.

Ultimately, personalization can help businesses stand out in a crowded marketplace and build strong, long-lasting relationships with their customers.

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What options are available for personalizing your B2B eCommerce site?

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Contract pricing/Custom pricing

In B2B eCommerce, personalization of pricing upon user authentication is becoming increasingly common. Since contracts are customer-specific, the pricing can be customized to meet their unique requirements. This eliminates the need for additional sales assistance and allows customers to view pricing information that is relevant to them directly. This level of personalization is now expected in the B2B eCommerce space and should be considered a foundational element.

Industry-based content

To improve the customer experience, companies can personalize the content viewing experience for customers who are not yet exposed to their online channels. This can be achieved by selecting industry-specific content, which allows customers to see only the relevant items for their field, thereby saving them valuable time in their search. This type of personalization makes customers feel recognized and demonstrates that your company can offer tailored services.

If your company markets to multiple industries, you can adjust the category menu and serve advertisements based on the user's specific industry once it has been identified. For instance, an industry-specific hero image can replace a generic image to enhance the user's experience. This type of personalization not only provides a better customer experience but also has the potential to increase engagement and ultimately drive sales.

Searchandising

In eCommerce, the term "searchandising" refers to the art of strategically blending targeted messages and products into the search experience. This technique involves placing banners or specific products within the search results based on the user's search history, increasing the likelihood of conversion and generating additional revenue for the business.

Boost and Bury

?“Boost and Bury” techniques have become a widely used tool in eCommerce management. Typically, it involves prioritizing or downplaying certain products based on brand or popularity. However, a more personalized approach would encourage boosting highly relevant products to the user's industry. For instance, if the user is an electronic engineer, we would boost pliers suitable for electronics and bury those more suited for electricians. Moreover, we could also prioritize products based on the customer's geography.

Tailored customer testimonials

Prior to a customer making a purchase, it is possible to suggest a quote or testimonial from another customer regarding the same products. By doing so, you demonstrate to the customer that you are attentive to their interests, and the positive opinion of their peers reinforces their decision to purchase from your company.

Customized product catalog

To enhance the B2B eCommerce experience, personalized catalogs are becoming an increasingly popular tool. Businesses can create tailored catalogs that cater to their specific needs by analyzing the customer's previous purchases. These catalogs can showcase the materials they are authorized to order, highlight relevant products, and even include a maximum order size they can approve based on their role in the company. This strategy saves the customer time and provides complete transparency, demonstrating a commitment to their individual needs and preferences.

Role segmentation

To provide a seamless experience for our B2B customers, we can leverage user data to identify the buyers and approvers within their organization and ascertain user rights. This information can then personalize the purchasing experience by displaying or restricting approval actions based on their specific roles. By doing so, we can reduce the likelihood of confusion or errors during the ordering process, leading to increased customer satisfaction and loyalty.

Segmented landing pages

Personalized landing pages can be a valuable tool for enticing customers and can be designed around specific topics, promotions, or repeated visits. Businesses can more effectively engage with them by tailoring landing pages to individual customers. For instance, a banner that links to a landing page showcasing the company's value proposition messages can be displayed to first-time visitors. A banner that links to a landing page highlighting ways to optimize ordering efficiency would be more appropriate for repeat customers.

Order processes

You can enhance the order process by analyzing your customer's order history. Criteria from their previous orders can be used to suggest similar items in the appropriate size and quantity, streamlining the ordering process. When placing an order, you can save the items, quantities, shipping address, and payment methods to an "order template." This feature allows your customers to reuse the order templates and quickly place orders that match past orders with minimal effort. This not only saves your customers time but also enhances their overall experience.

Shopping lists

Incorporating a wish list or favorites list feature can offer your buyers a personalized space to save their project lists or commonly purchased items, enabling you to gain deeper insight into their preferences and ultimately provide an improved shopping experience. Utilizing this data, we can generate pre-populated top-selling shopping lists tailored to their industry or past order history, streamlining the ordering process and increasing their satisfaction.

Alternative channels

Several alternative methods are available to personalize your customer's experience outside of your eCommerce platform. Here are some channels you can utilize:

• Transaction emails: Also known as confirmation emails, these can be personalized with an offer for complimentary products or coupons to enhance your customer's experience.
• Opt-in emails: Develop email campaigns tailored to specific customer segments, utilizing data such as industry, order history, size, or frequency to initiate conversations. Incorporating friendly messages and relevant offers or new products can catch your customer's attention.
• Packaging: Personalize your packaging by adding promotional items or printed material relevant to your customer, or include a personal note. You can also utilize this medium to increase brand recognition.
• Ad networks: Select to display more targeted advertising on ad networks such as Google by utilizing IP address recognition to personalize ads to your customer's location and interests.

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B2B eCommerce Segmentation in Action

Understanding your customer information is a critical first step toward delivering personalized experiences. Categorizing your customers into intelligent segments or personas based on different criteria can help you create tailored experiences when they log in.

B2B companies can create effective segments by considering four essential characteristics:

• Business size
• Location
• Position/Role
• Industry/Sector

Business Size

User segmentation by the customer's business size is an effective way to tailor ecommerce strategies and drive growth. Two tangible strategies businesses can implement are customizing product offerings and providing personalized customer support. For example, ecommerce companies can create specialized product bundles that cater to different business sizes' unique needs and budget constraints. This can include offering discounted rates on bulk orders for larger enterprises or providing more affordable, entry-level packages for smaller businesses. Additionally, companies can enhance customer support by providing personalized assistance and guidance tailored to the specific needs of each segment.

A great example is the promotion of PunchOut or EDI to enterprise-level customers while promoting order-approval capabilities for customers that don't maintain an internal order-approval system. This can include providing dedicated account managers for larger enterprises or offering more hands-on support and training for smaller businesses. By implementing these strategies and leveraging data-driven insights to refine their approach, ecommerce companies can create a more effective and personalized customer experience that drives higher engagement, loyalty, and revenue.

Location

User segmentation by the customer's location is a powerful approach for ecommerce businesses seeking to optimize their marketing and sales strategies. Two tangible strategies that companies can implement are geotargeted advertising and localized product offerings. For example, ecommerce companies can use advanced analytics to identify which geographic regions have the highest concentration of potential customers and tailor their advertising campaigns to reach those audiences specifically. Additionally, businesses can offer localized product offerings tailored to specific regions' unique needs and preferences. This can include providing region-specific products or offering customized pricing and promotions for customers in certain areas. By implementing these strategies and leveraging data-driven insights to refine their approach, ecommerce companies can create a more effective and personalized customer experience that drives higher engagement, loyalty, and revenue.

Position/Role

User segmentation by the customer's job role is valuable for ecommerce businesses seeking to optimize their marketing and sales strategies. Two tangible strategies companies can implement are targeted messaging and personalized account dashboards. For customers authorized to purchase products, businesses can provide targeted messaging emphasizing the benefits and features of specific products or services and offer customized pricing and promotions for customers in particular roles. In contrast, for customers conducting research on the ecommerce site, businesses can provide educational content and resources that help inform their purchasing decisions, such as whitepapers, case studies, or expert opinions. Additionally, companies can personalize account dashboards based on a customer's job role, providing them access to specific data or insights relevant to their work. For example, a procurement manager may benefit from a dashboard that offers insights into 'spend management.' At the same time, an engineer may prefer a dashboard that highlights service call trends or product performance metrics.

Industry/Sector

As a B2B eCommerce business, it is essential to understand and cater to the needs of our customers. One effective way to do this is by implementing user segmentation based on the customer's industry. Three potential strategies can be implemented to achieve this goal. The category hierarchy of the site can be manipulated to suit the customer's industry better. This involves organizing products that make sense to the customer and helps them quickly find what they seek. Secondly, personalizing product and service banners specific to the customer's sector can be triggered. Lastly, manipulating the search results so industry-related products are made more relevant and thus boosted in the search results. This strategy involves optimizing our search algorithm to display products and services most relevant to the customer's industry, increasing the chances of them finding what they need and making a purchase.

Once you've categorized your customers based on these demographics, you can personalize your campaigns with excellent content that resonates with them. Your customers will enjoy a customized shopping experience by engaging directly with your selected content.

Even if the customer hasn't signed in, you can still personalize their experience. Providing messages across your site reinforces your value-add proposition for first-time visitors to make them feel welcome and engaged.

Recruit the customer to help improve their profile

Allowing B2B customers the ability to confirm their user segment or persona and self-identify their demographics is crucial for businesses to provide customized and targeted solutions to their customers. It allows businesses to understand their customers' specific needs and preferences and helps them tailor their eCommerce marketing strategies to reach their target audience effectively. By allowing customers to self-identify and ‘fix’ their data, businesses can gain valuable insights into their customers' backgrounds, such as their company role, company size, department name, title, and more.

The worst experiences I encounter in personalization are from companies that insist they know me better than me. For example, my name is Latino sounding. However, I am from Brazil and speak Portuguese. Countless companies have wrongly segmented me as a Spanish speaker. And thus, when listening to some streaming radio channels, I am bombarded by Spanish advertisements. Imagine the shock those advertisers would receive if they knew they were paying for ignored targeted ads.

It goes without saying, of course, that if you are not 100% confident in your user data, you should limit or avoid personalization. A case in point is receiving recommended dresses after business, a business dress shirt in a follow-up email from an online retailer.

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In conclusion, it's essential to make the customer journey meaningful.

In the B2B world, providing high-quality content alone may not be sufficient to captivate your customers. However, pairing it with well-defined customer segments allows you to create a personalized experience that adds value and excitement to their purchasing journey. Targeted content has the potential to transform a simple product into a meaningful shopping experience, building trust and fostering loyalty in the process. Therefore, segmenting your customers and tailoring content to their interests and preferences can lead to a more engaging and profitable relationship with your customers.