How Manufacturers are Transitioning from B2B to B2C.

B2B_B2C

In a bid to keep up with the modern digital commerce consumer, brands often find themselves needing to re-focus their approach and transition from B2B to B2C which is by no means an easy feat. In this piece, I’ll be exploring the elements of change brand’s experience and how best to implement this across your business.

The current global business model sees manufacturers, wholesalers and retailers all squeezing for profits and with consumers demanding better pricing; manufacturers are going out on their own in a bid to improve margins, enhance the customer experience and reduce their dependency on resellers.

Businesses that choose to transition from a B2B to a B2C model can expect to benefit from:

  • Instant feedback
  • Higher profit margins
  • The ability to control the way their product interacts with their audience
  • The ability to offer their full range to customers and not just products cherry-picked by retailers

With these benefits in mind, it’s important to consider the business impact of this transition and which areas will be most affected and how best to implement these changes.

Changes in the Approach to Marketing

B2B businesses are not typically well versed with B2C marketing strategies, as previously, these have been up to the resellers, but brands looking to make this shift will now need to consider eCommerce, PPC, SEO, automation, engagement plans and more.

Marketing will also encompass a lot more ‘sales’ work than seen previously; with marketers being responsible for retargeting abandoned checkouts, sending email follow-ups and interacting with customers at every stage of the purchase journey. This is very different from B2B where sales would usually take over leads and nurture them through to fruition.

The most important thing to consider here is data. Marketing needs to own all customer and prospect data so that they can harness this and deliver successful data-driven marketing campaigns; having a very clear marketing strategy for every stage of the consumer journey would also be highly beneficial.

Changes to the Sales Cycle

In B2B the sales cycle is more predictable with set stages… However, in B2C this is very different. There’s no real way of knowing how long a sales cycle might last; it could be a quick 30-second, impulse buy or it could be something that takes a week, month or year with several interactions with your brand across multiple channels. With this in mind, it’s really important to have clear, concise user journeys where the path to conversion is friction-free!

Customer Retention / Loyalty

In the world of B2C, it’s likely that brands will experience a pretty large target audience in comparison to B2B.

It’s important, therefore, to remember that whilst audiences might be much larger and marketing campaigns might be talking to millions of users, you’re only likely to convert a small percentage of the target audience to customers. This makes it increasingly important for your brand to be delivering personalised experiences where possible with 56% of B2C customers reporting that a tailored experience based on past interactions is critical to winning their business.

It’s also crucial for B2C brands to focus on repeat customers as they tend to spend up to three times as much as someone making a one-off purchase and it costs five times more to attract a new customer than it does to drive repeat purchasing. Here are a few key ways to incentivise this:

  • Start a loyalty scheme
  • Offer discounts to customers that spend over a certain amount or offer them exclusive discounts and early access to sales
  • Recommend other products at checkout or ‘other users also purchased’ items
  • Send out replenishment emails
  • Provide smart product recommendations and send these out in your email blasts
  • Ensure check-outs are friction-free
  • Send checkout abandonment emails

Customer Service

There are multiple touch-points to consider when working in B2C all of which come before consumers even make a purchase, these might include a phone call, live chat, social media posts, emails, website browsing, form completions and so on. One of the biggest things to consider as you transition into a B2C offering is ensuring that your brand is able to cope with the volume of interactions and that they are able to manage them and deliver an exceptional customer experience that positively represents your brand from one touchpoint to the next.

Would you like to learn more about how Sagittarius can support your eCommerce digital aspirations? Get in touch with one of our experts on 0208 070 7820 or email us at hello@sagittarius.agency

Today award-winning digital experience agency Sagittarius is proud to have been certified to ISO 27001 Information Security Management systems standard by business improvement company, BSI.

Leading brands demand first-class information security from their agency partners and the only real proof of this is achieving the ISO / IEC 27001 Certification. If you’re in sectors such as Financial Services, Healthcare, or even working with Government and Third Sector you’ll know that regulation and compliance are essential throughout your supply chain and that the top priority is guarding information and data.

Nick Towers, Co-Founder and Chief Executive Officer at Sagittarius said “We wanted to ensure that brands can come to us in the knowledge that we take data security, data protection and privacy very seriously. Our mantra is ‘remarkable’ and this applies to not just what we do but how we do it and ISO 27001 is an internationally recognised best practice framework for this. To achieve this in six months’ pay testimony to the hard work and commitment to security and privacy that prevails at Sagittarius and I’m very proud of the whole team who have made it their mission to exceed the high standards needed.”

Sagittarius wanted to meet the very highest standard and so decided to work with BSI whose mission is to ‘share knowledge, innovation and best practice to help people and organizations make excellence a habit’. 
Achieving ISO 27001 certification clearly demonstrates that the Information Security Management System at Sagittarius meets international best practice and demonstrates to our customers and partners that we handle information securely throughout the business. 

The agency accepted that by embracing the implementation process they were actively encouraging their team to delve into internal processes and rather than accepting these as ‘the norm’, firstly making sure they were all documented sufficiently. Then as part of that process, they challenged and questioned each process to pressure test validity and innovate and improve where necessary.  BSI then rigorously audited Sagittarius’ policies, processes, and approach to data security. Through the audit stages, BSI shared opportunities for improvement and have helped refine the Sagittarius InfoSec roadmap. 

Data is the most valuable asset any business can have and to achieve peak performance through a truly connected strategy and digital experience it’s imperative that data and information is shared with the agency partner. Trust plays a pivotal role and assurances of confidentiality can only be achieved through an ISO 27001 accredited organisation.
Initiatives like the GDPR have raised the bar on compliance and the associated fines for having gaps in governance leading to breaches are significant. At Sagittarius we operate a single source of truth using tools and systems such as Confluence and Jira to provide documentation quickly and accurately and this was complimented by the auditors. 

Nick goes on to say “We are delighted to create even more value for our clients and prioritise the things that matter to them and their customers. This ISO 27001 certification bolsters our class leading NPS score of 85 adding deeper quality to our services. It sets us apart from other agencies when brands are looking for a partner with deeper credentials. We wanted to take the next step and ensure that Information Security became baked into everyday processes and the way we function as a business. We set an ambitious timeline of achieving the ISO 27001 certification and to meet the highest possible standards through independent auditing and we’ve nailed it. We pride ourselves on ensuring the data of our clients, team and partners are handled in the most responsible manner.”

Gigi Robinson, Regional Product Manager – Information Security & Business Continuity, said: "Protecting information is becoming increasingly difficult for organizations. Achieving ISO 27001 demonstrates Sagittarius' commitment and proactive approach in ensuring their information management processes are robust, secure and resilient for the future. We are thrilled to have supported Sagittarius in achieving this certification which demonstrates to customers and suppliers an ability to handle information securely."

Additional Notes
ISO 27001 is an internationally recognized best practice framework for an information security management system (ISMS). Sagittarius has designed a set of adequate and proportionate security controls within the ISMS to help protect our internal and our clients’ information against cyber-attacks. We have used the EU General Data Protection Regulation (GDPR) and the NIS Regulation as part of our framework.  

 

 
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Naomi Harper
Head of Marketing & Communications
Naomi is the agency's Head of Marketing & Communications with a strong background in Public Relations, events, Marketing and Brand campaigns.

Naomi joined Sagittarius in January 2021 to deliver exceptional external brand experiences, engaging internal communications and to assist with the driving of sales and the developing of relationships with key strategic suppliers.
 

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Naomi Harper

30 Jul 2019 - 7 minute read
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