Business to business (B2B)
Business to business (B2B) refers to transactions between businesses, rather than between a business and individual consumers. In B2B transactions, one business sells products or services to another business for use in their own operations or for resale.
One example of a B2B transaction is a company that manufactures office furniture selling their products to a company that is furnishing a new office space. Another example is a software company selling their product to a marketing agency to use in their client campaigns.
In B2B transactions, the sales process is often more complex than in business to consumer (B2C) transactions, as there are typically more decision-makers involved and a longer sales cycle. B2B companies often use sales representatives, marketing materials, and demonstrations to win over potential clients.
- Key characteristics of B2B transactions:
- Higher transaction values
- Longer sales cycles
- Relationship-driven sales
- Customized products or services
Overall, B2B transactions play a crucial role in the global economy, as businesses rely on each other for the products and services they need to operate and grow.
For more information on Business to Business transactions, you can visit Wikipedia.