B2B, which refers to a type of commerce in the business world, is the abbreviation of the term “Business-to-Business”. It refers to businesses selling or exchanging their products and services to other businesses. To summarize generally, in the B2B business model, businesses offer these items to another business instead of selling their products or services directly to the consumer.
In the B2B business model, sellers and buyers are usually larger businesses, corporations and corporate customers. In this trade, businesses generally work on large volumes of products and services. They tend to form long-term relationships based on specific requirements or contracts.
A restaurant chain’s agreement with a manufacturing company for food supply or a software company’s provision of special software package services according to the needs of businesses are examples of B2B businesses.
B2B business type can cover all kinds of needs of businesses and can be included in various categories such as products, services and employees.
B2B Business Models
B2B business type refers to the supply of products or services by a business to other businesses with different strategies. In this section of our article, we will explain what B2B business models are.
Bulk Supply
Bulk supply, in other words wholesale sales, is when businesses supply products in large quantities. Here, they supply products to businesses either for their own needs or for smaller businesses. With this type of B2B business model, businesses have the opportunity to obtain products or materials at lower unit costs. With bulk procurement, businesses can provide opportunities for efficiency and cost savings.
Supply Chain Management
Supply chain management refers to the optimization of the flow of a product from raw material supply to production, from the logistics process to final customer delivery. The B2B business model is at the heart of supply chain management and helps businesses manage the entire chain more efficiently and competitively.
Consultancy Service
B2B business model is not just about product supply. Companies that provide professional services such as law, accounting, and marketing also use a type of B2B business model by offering these services to other businesses.
Subscription Based Services
Instead of providing many services in-house, businesses can provide them from other businesses to make it both easier and more economical. In this type of B2B business model, software, cloud system or security services can be provided from one business to another business against a certain subscription. Subscription-based services create a competitive advantage by providing businesses with flexibility and ongoing support and are widely used in many industries.
Production and Customization
Manufacturers use this type of B2B business model by mass producing and customizing products that other businesses need. With this model, businesses can request products at less cost. As PrinWork, we bring manufacturers and sellers together at a single point by facilitating this business model in order to increase the e-export potential of our country. Thus, while manufacturers can offer their products to global sellers, they can request product supply through a reliable manufacturer network.
E-commerce Infrastructure
They make digital transactions easier and faster by providing e-commerce platforms, payment processing solutions and logistics services to facilitate businesses’ online sales. In this model of the B2B business type, businesses gain the ability to offer products and services to their customers online. With these infrastructures, growth in the e-commerce world can occur faster.
B2B Expansion
B2B, which is the abbreviation of the “Business-to-Business” group of words, is a commercial business model that refers to the exchange of products or services between businesses. B2B trade business model expresses many strategic approaches of businesses such as increasing efficiency, saving costs and expanding the market. This forms the basis of the B2C business model.
What are B2B Examples?
Alibaba
The world-famous shopping platform is a platform that most clearly demonstrates the B2B business model in e-commerce. Here, businesses can supply products and materials by purchasing wholesale from manufacturers. Thus, sellers can save time and receive price quotes from more than one manufacturer globally as they do their wholesale shopping online.
Linkedln, which is one of the first platforms that job seekers and businesses in need of employees look at, provides services based on the B2B business model. Because here, the necessary services are offered to businesses via Linkedln.
Amazon Web Services (AWS)
It is the service network established by Amazon to provide cloud services and offer various information resources to businesses. With its B2B business model, Amazon Web Services provides businesses with many services such as providing cloud computing infrastructure and meeting technological needs. With this service, AWS facilitates access to scalable and reliable computing resources.
Procter & Gamble (P&G)
PG; It focuses its B2B (business-to-business) business model on wholesale sales of products such as cleaning products, personal care products, and household products. It supplies these products in bulk to other businesses and distributes them to retailers and other businesses.
If you want to see more content about e-export, marketplaces and e-commerce, follow PrinWork!