What are the 4 types of B2B?

To help you get a better idea of the different types of business customers in B2B markets, Below are four basic categories: producers, resellers, governments and institutions.

infographicworld.com - What Are The Four Types Of B2B Markets? - Infographic World

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What Are The Four Types Of B2B Markets?

Business buyers can be either non-profit or non-profit companies. To help you get a better idea of the different types of business customers in B2B markets, Below are four basic categories: producers, resellers, governments and institutions.

Producers:

Producers are companies that purchase goods and services that are transformed into other products. They include both producers and service providers. Examples include Procter & Gamble, General Motors, McDonald’s, Dell and Delta Airlines. So are the restaurants around your campus, your dentist, your doctor, and your local tattoo parlor. All these companies must purchase certain products in order to produce the goods and services they create. General Motors needs steel and hundreds of thousands of other products for the production of cars. McDonalds needs beef and potatoes. Delta Airlines is in need of fuel and aircraft. Your dentist needs drugs like Novocain, oral tools, and x-ray machines.

Resellers:

Resellers are companies that sell goods and services produced by other companies without any material change. These include wholesalers, brokers and retailers. Walmart and Target are two big retailers you ‘re familiar with. Large wholesalers, brokers and retailers have a lot of market power. If you can get them to buy your products, your sales may increase exponentially.

Government:

Can you imagine the biggest purchaser of goods and services in the world? It’s the government of the United States. It buys everything you can imagine, from paper and fax machines to tanks and weapons, buildings, NASA (National Aeronautics and Space Administration) toilets, highway construction services and medical and security services. Governments and local governments are also buying huge quantities of products. They contract with companies that provide all kinds of services to citizens, from transport to garbage collection. (Foreign governments, provinces, and localities, of course.)Business-to – Government (B2 G) markets, or when companies sell to local, state , and federal governments, represent a major selling opportunity, even for smaller retailers. In fact, many government entities state that their agencies must award a certain amount of business to small businesses, minority and women-owned enterprises, and businesses owned by disabled veterans.

Institutions:

Institutional markets include non-profit organizations such as the American Red Cross, churches, hospitals, charities, private colleges, civic clubs, and so on. Like government and non-profit organizations, they buy a huge quantity of products and services. Keeping costs down is particularly important to them. The lower their costs, the more people they can provide their services.

Who Makes the Purchasing Decisions in Business Markets?

Identifying who exactly in the B2B markets is responsible for what is purchased and when there is often a need for some detective work for marketing professionals and salespeople with whom they work. Think of the college textbooks you ‘re buying. Who decides which ones are ultimately bought by your school students? Do publishers send you emails about the books they want you to buy? Do you see ads for different kinds of chemistry or marketing books in your school newspaper or on TV? Generally speaking, you don’t.The reason is that even though you buy books, publishers know that professors will ultimately decide which textbooks will be used in the classroom. As a result, B2B vendors largely concentrate their efforts on these people.

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What to say when asking for sponsors?

Mention Common Goals As you ask for corporate sponsorship, be sure to highlight how support of your efforts intersects with the business' larger philanthropic goals. Show that you both want to help your community and that everyone wins with their sponsorship of your organization, the community included.

blog.fundly.com - Sponsorship Letters: Write Great Proposals with 12 Templates

[Your Nonprofit’s Letterhead]

Date

Your Name

Your Organization’s Name

Street

City, State ZIP

Dear [Donor’s Name],

Our annual/biannual/monthly event, [name of event] will take place on [date] at [location]. Our theme this year is [insert theme], and we’re looking to raise [insert fundraising goal].

We can’t meet our goal without the help of people/companies like you/yours.

That’s why I’m writing to you. Would you consider making a donation of [amount] to help sponsor our event? By giving to [name of event], you’ll be able to help us [accomplish goal, assist members of our community, save lives, etc. Be as specific as possible here]. In appreciation of your anticipated donation, we would like to offer you [incentive. Again, be as specific as possible here]. We hope that we can count on your help to make this year’s event one of our best yet! Please include your donation in the self-addressed and stamped envelope included in this letter or come by our offices at [address] to make a contribution. Thank you in advance for your sponsorship! We hope to see you at [name of event]!

Sincerely,

[Signature of organizational leader]

[Typed name of organizational leader]

P.S. [End with an update about an upcoming event, volunteer opportunity, or other information]

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