Business Markets and Business Buyer Behavior.ppt

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1、Business Markets and Business Buyer Behavior,Chapter 6,6 - 1,Learning Goals,Define the business market and how it differs from consumer markets Identify the major factors that influence business buyer behavior List and define the steps in the business buying decision process Compare the institutiona

2、l and government markets and explain how they make their buying decisions,6 - 2,Case Study UPS,Customer NeedsConsumers need fast, friendly, low-cost package delivery Business needs are more complex Shipping part of complex logistics process including purchasing, inventory, order status, invoices, pa

3、yments, returns,ServicesIts 360,000 people and 88,000 vehicles offer ground, air, freight worldwide Helps customer navigate the complexities of international shipping Offers a wide range of financial services Provides consulting services to improve logistics operations,6 - 3,Definition,Business Buye

4、r Behavior: The buying behavior of organizations that buy goods and services for use in the production of other products and services that are sold, rented, or supplied to others. Also included are retailing and wholesaling firms that acquire goods for the purpose of reselling or renting them to oth

5、ers at a profit.,Goal 1: Define the business market,6 - 4,Sales in the business market far exceed sales in consumer markets. Business markets differ from consumer markets in many ways. Marketing structure and demand Nature of the buying unit Types of decisions and the decision process,Characteristic

6、s of Business Markets,Goal 1: Define the business market,6 - 5,Business Markets,Compared to consumer markets: Business markets have fewer but larger customers Business customers are more geographically concentrated Demand is different Demand is derived Demand is price inelastic Demand fluctuates mor

7、e,Characteristics,Goal 1: Define the business market,Marketing Structure and Demand Nature of the Buying Unit Types of Decisions and the Decision Process,6 - 6,Business Markets,Marketing Structure and Demand Nature of the Buying Unit Types of Decisions and the Decision Process,Compared to consumer p

8、urchases: Involve more buyers in the decision process More professional purchasing effortIntel Lilly IBM Boeing,Characteristics,Goal 1: Define the business market,6 - 7,Business Markets,Marketing Structure and Demand Nature of the Buying Unit Types of Decisions and the Decision Process,Compared to c

9、onsumer purchases More complex buying decisions The buying process is more formalized Buyers and sellers work more closely together and build long-term relationships,Goal 1: Define the business market,Characteristics,6 - 8,Major Types of Buying Situations Straight rebuyReordering without modificatio

10、n Modified rebuyRequires modification to prior purchase New taskFirst-time purchase,Business Buyer Behavior,Goal 1: Define the business market,6 - 9,Business Buyer Behavior,Systems Selling Buying a packaged solution to a problem from a single seller. Often a key marketing strategy for businesses see

11、king to win and hold accounts.,Goal 1: Define the business market,6 - 10,Business Buyer Behavior,Buying Center The decision-making unit of a buying organization Includes all individuals and units that participate in the decision making,Goal 1: Define the business market,6 - 11,Members of the Buying

12、Center,Business Buyer Behavior,Users Buyers,Influencers Deciders,Gatekeepers,Goal 1: Define the business market,6 - 12,Major Influences on Business Buyers,EnvironmentalOrganizationalInterpersonalIndividual,Economic trends Supply conditions Technological, political and competitive changes Culture and

13、 customs,Key Factors,Goal 2: Identify the major factors that influence business buyer behavior,6 - 13,Major Influences on Business Buyers,EnvironmentalOrganizationalInterpersonalIndividual,Objectives Policies Procedures Organizational structure Systems,Key Factors,Goal 2: Identify the major factors

14、that influence business buyer behavior,6 - 14,Major Influences on Business Buyers,Influence of members in the buying center Authority Status Empathy Persuasiveness,Key Factors,Goal 2: Identify the major factors that influence business buyer behavior,EnvironmentalOrganizationalInterpersonalIndividual

15、,6 - 15,Major Influences on Business Buyers,Personal characteristics of members in the buying center Age and income Education Job position Personality Risk attitudes Buying styles,Key Factors,Goal 2: Identify the major factors that influence business buyer behavior,EnvironmentalOrganizationalInterpe

16、rsonalIndividual,6 - 16,Stages in the Business Buying Process,Stage 1: Problem Recognition Stage 2: General Need Description Stage 3: Product Specification Value analysis helps to reduce costs Stage 4: Supplier SearchSupplier development,Goal 3: List and define the steps in the business buying decis

17、ion process,6 - 17,Stage 5: Proposal Solicitation Stage 6: Supplier Selection Stage 7: Order-Routine Specification Blanket contracts are often used for maintenance, repair and operating items. Stage 8: Performance Review,Stages in the Business Buying Process,Goal 3: List and define the steps in the

18、business buying decision process,6 - 18,E-procurement is growing rapidly Online auctions and online trading exchanges (e-marketplaces) account for much of the online purchasing activity E-procurement offers many benefits:Access to new suppliersLower purchasing costsQuicker order processing and deliv

19、ery,Business Buying on the Internet,Goal 3: List and define the steps in the business buying decision process,6 - 19,Institutional Markets Consist of churches, schools, prisons, hospitals, nursing homes and other institutions that provide goods and services to people in their care.,Institutional and

20、 Government Markets,Goal 4: Compare the institutional and government markets,6 - 20,Institutional Markets Often characterized by low budgets and captive patrons. Marketers may develop separate divisions and marketing mixes to service institutional markets.,Institutional and Government Markets,Goal 4: Compare the institutional and government markets,6 - 21,Government Markets,More than 82,000 buying units in the U.S. Require suppliers to submit bids and often give job to lowest bidder Favor domestic suppliers Much “red tape” can exist,Goal 4: Compare the institutional and government markets,