Business-to-business (B2B) refers to transactions between businesses, such as those between a manufacturer and wholesaler or a wholesaler and retailer, rather than between a company and individual consumer. B2B companies represent a significant part of the economy, particularly in firms with 500 or more employees, where it is estimated that as many as 72% primarily serve other businesses. The overall volume of B2B transactions is much higher than that of business-to-consumer (B2C) transactions.
One of the main differences between B2B and B2C transactions lies in the nature of the parties involved. B2B transactions occur between businesses, such as a manufacturer and wholesaler, or a wholesaler and a retailer. In contrast, B2C transactions involve a company selling products or services directly to individual consumers.
Another distinction can be found in the decision-making process. B2B transactions often involve a buying committee responsible for product selection and decision-making, which may include business and technical decision-makers, as well as influencers. Large purchases might require a request for proposal (RFP), where prospective vendors submit detailed proposals outlining their products, contractual terms, and pricing. On the other hand, B2C transactions typically involve individual consumers making decisions based on personal preferences and needs.
To create effective B2B marketing strategies, businesses should focus on a combination of tactics.
Lead qualification is the process of determining which prospects are most likely to become paying customers based on predefined criteria.
Customer retention refers to the strategies and activities a company uses to prevent customer churn and encourage them to continue buying.
Programmatic display campaigns use automation to buy and sell digital ad space in real-time, targeting specific audiences across the web.
Learn about buyer, including identifying your ideal buyer, understanding buyer's journey, & evaluating buyer decision processes.
Email personalization uses subscriber data—like their name, interests, or past behavior—to create highly relevant and targeted email campaigns.
Website visitor tracking collects and analyzes data on user behavior to understand their journey and improve the overall user experience.
A Point of Contact (POC) is the designated individual or department that serves as the main hub for information and communication on a matter.
A sales demo is a presentation where a sales rep shows a prospect how a product or service works and solves their specific problems.
Dynamic pricing is a strategy where businesses set flexible prices for products or services based on current market demands and other factors.
Ramp-up time is the period a new hire takes to get fully up to speed and become a productive member of your go-to-market team.
Outbound sales is when reps proactively contact potential customers through cold calls or emails to generate leads and build a sales pipeline.
Affiliate marketing is a performance-based model where affiliates earn a commission for promoting another company’s products or services.
A System of Record (SoR) is the authoritative data source for a specific type of data. It acts as the single source of truth for an organization.
No Cold Calls is a sales strategy that replaces unsolicited calls with warm outreach to prospects who have already demonstrated interest.
Customer centricity is a business approach that puts the customer at the heart of every decision, aiming to build loyalty and long-term value.
Learn about B2B intent data providers, including evaluating intent data quality, leveraging intent data for growth, & B2B intent data: key providers comparison.
Product-Led Growth (PLG) is a business strategy where the product itself drives user acquisition, conversion, and expansion.
X-Sell, or cross-selling, is a sales strategy of selling additional, related products or services to an existing customer base.
Application Performance Management (APM) monitors and manages an application's performance, availability, and the experience of its end-users.
Sales acceleration refers to strategies and technologies designed to speed up the sales cycle, enabling reps to close more deals, faster.
A performance plan is a formal document outlining an employee's goals, expectations, and metrics for success over a specific period.
A Customer Relationship Management (CRM) system is a tool that centralizes customer data to help manage interactions and nurture relationships.
Employee engagement is the emotional commitment an employee has to their organization, motivating them to contribute to the company's success.
Retargeting marketing is a digital advertising strategy that targets users who have previously interacted with your website or brand online.
A RESTful API is a web service interface that uses HTTP requests to access and use data, adhering to the constraints of REST architecture.
A product champion is an internal evangelist who drives a product's adoption and success by ensuring it solves real problems for their team.
Sales intelligence is technology that gathers and analyzes data to help salespeople find and understand prospects and existing clients.
Mid-market companies are businesses larger than small businesses but smaller than large enterprises, often defined by revenue or employee size.
Inside sales is a remote sales process where reps sell products or services via phone, email, and other digital tools instead of in person.
Sales development is the process of identifying and qualifying potential customers to create a pipeline of sales-ready leads for closers.
Mobile compatibility ensures your site or app works flawlessly on mobile devices, like smartphones and tablets, for a seamless user experience.
Gamification applies game mechanics like points, badges, and leaderboards to non-game activities to boost engagement and motivate users.
A talk track is a script that guides sales reps during calls. It ensures they cover key points and maintain a consistent message with prospects.
A sales lead is a potential customer—an individual or organization that has shown interest in your company's products or services.
A sales call is a real-time conversation between a salesperson and a prospect, aiming to persuade them to purchase a product or service.
Sales metrics are quantifiable data points that track and measure a sales team's performance against specific goals and objectives.
An Operational CRM is a system that automates and improves customer-facing business processes like sales, marketing, and customer service.
CRM integration connects your CRM software with other tools, creating a unified system for all your customer data and business processes.
Precision targeting is a marketing strategy that uses data to identify and reach a highly specific audience most likely to convert.
A Customer Data Platform (CDP) centralizes customer data from all sources to create a complete, unified profile for each individual customer.
The Dark Funnel describes customer buying activities that are untrackable by companies, such as private chats and word-of-mouth referrals.
Psychographics categorizes people by their attitudes, interests, and lifestyles, revealing the 'why' behind their purchasing decisions.
CRM enrichment is the process of adding third-party data to your existing customer profiles to make them more complete and accurate.
Hadoop is an open-source framework designed for the distributed storage and processing of extremely large data sets across clusters of computers.
The FAB technique is a sales framework connecting product features to advantages and then to the specific benefits for the customer.
Cross-selling is a sales tactic of encouraging customers to purchase products or services that are related to what they're already buying.
Sales enablement technology refers to software and tools that equip sales teams with the resources they need to close more deals efficiently.
Learn about behavioral analytics, including implementing behavioral analytics successfully, & key metrics in behavioral analytics.
A go-to-market (GTM) strategy is an action plan that outlines how a company will reach target customers and achieve a competitive advantage.
A headless CMS is a back-end content repository that delivers content via API to any front-end, decoupling the content from its presentation layer.
Learn about B2B data enrichment, including benefits of B2B data enrichment, implementing B2B data enrichment strategies, B2B data enrichment vs. data cleaning.
Net Revenue Retention (NRR) is the percentage of recurring revenue kept from existing customers, including upsells, downgrades, and churn.
Total Addressable Market (TAM) represents the maximum revenue a company can earn by selling its product or service in a specific market.
Learn about big data, including understanding big data characteristics, benefits of leveraging big data, & challenges in managing big data.
Cross-Site Scripting (XSS) is a web security vulnerability that allows attackers to inject malicious scripts into trusted websites.
Cold emailing is sending unsolicited emails to potential customers you haven't contacted before, aiming to start a business conversation.
Workflow automation uses rule-based logic to run a sequence of tasks that would otherwise require manual human effort to complete.
Technographics is data that outlines a company’s technology stack, helping B2B teams identify prospects based on the software and hardware they use.
A marketing automation platform is software that automates marketing actions. It helps manage tasks like email campaigns and lead nurturing.
A knowledge base is a self-serve online library of information about a product, service, department, or topic.
Revenue intelligence is the process of collecting and analyzing customer data to provide insights that help sales teams make smarter decisions.
Logo retention is a key B2B metric that measures a company's ability to retain its customers, or 'logos,' over a specific period.
Sales objections are reasons or concerns raised by a potential customer as to why they are hesitant or unwilling to make a purchase.
"Smile and dial" is a high-volume sales tactic where reps make numerous cold calls from a list, often with little to no prior research.
Warm outreach is contacting prospects with whom you have a pre-existing connection, like a mutual contact, making your message more personal and effective.
Rollback procedures are a set of steps to restore a system to a previous, stable version after a failed update, ensuring minimal disruption.
End of Day (EOD) refers to the close of business hours. It's a common deadline for tasks and reports to be completed before the workday ends.
Lookalike audiences are groups of potential customers who share similar characteristics and behaviors with your existing, high-value customers.
Account-Based Selling is a B2B strategy where sales and marketing treat high-value accounts as markets of one, using personalized outreach.
Channel partners are third-party firms that help market and sell a company's products or services, acting as an indirect sales force.
Programmatic advertising uses AI and real-time bidding to automate the buying and selling of digital ad space, targeting specific audiences.
Sales Engineers blend deep technical knowledge with sales acumen, demonstrating a product's value and solving customer problems to drive revenue.
An elevator pitch is a short, memorable summary of what you do, designed to be delivered in the time it takes to ride an elevator.
Generic keywords are broad search terms that lack specific details like brand or location. They attract a wide audience with less specific intent.
Sales partnerships are strategic alliances where two companies co-sell products to expand their reach, generate new leads, and increase revenue.
Sales enablement content refers to the materials and tools that empower your sales team to engage prospects and close deals more efficiently.
Docker is a tool that packages applications and their dependencies into isolated environments called containers for easy deployment and scaling.
Data appending is the process of adding new data fields to your existing database records to enrich and complete your information.
Closed opportunities are potential deals that have concluded. They are categorized as either 'closed-won' (a sale was made) or 'closed-lost'.
Digital advertising is the practice of delivering promotional content to users through various online and digital channels like social media or search engines.
Account-Based Marketing (ABM) is a focused B2B strategy where marketing and sales collaborate to target and convert high-value accounts.
A commission is a service charge paid to an agent for a transaction. It's typically a percentage of the sale, rewarding performance directly.
Firmographics are descriptive attributes of organizations, used to segment companies by characteristics like industry, size, and location.
Copyright compliance is adhering to laws that protect creative works. It involves legally using content by obtaining permission or licenses.
HubSpot is a customer relationship management (CRM) platform with tools for marketing, sales, and service, all aimed at helping businesses grow.
Intent data tracks a user's online behavior—like searches and site visits—to identify signals that they are ready to make a purchase.
A cold email is an initial outreach sent to a potential customer with whom you've had no prior contact, aiming to introduce your business.
A Single Page Application (SPA) is a web app that interacts with the user by dynamically rewriting the current page rather than loading new pages.
A sales funnel is a model illustrating the customer's journey from initial awareness to the final purchase, narrowing down leads at each stage.
Outbound lead generation means proactively reaching out to potential customers who haven't yet expressed interest to introduce them to your brand.
Revenue forecasting is the process of estimating a company's future revenue, using historical data and market trends to guide strategic planning.
Accounts Payable (AP) is the money a company owes its suppliers for goods or services bought on credit. It's listed as a current liability.
Site retargeting is a marketing strategy that shows ads to people who have previously visited your website but left without converting.
Expansion revenue is the extra money a business makes from its current customers via upgrades, new products, or additional services.
Lead generation is the process of identifying and cultivating potential customers for a business's products or services.
An Ideal Customer Profile (ICP) is a detailed description of the perfect, hypothetical company that would get the most value from your product.
Data enrichment is the process of enhancing raw data by adding missing information from other sources, making it more complete and actionable.
Customer relationship marketing is a strategy for building lasting connections with customers to foster long-term loyalty and engagement.
Email verification is the process of confirming that an email address is valid and deliverable, which helps improve campaign performance.
Sales workflows are a set of automated actions that streamline the sales process, helping teams engage leads consistently and close deals faster.