Which Is The Best Business Model For Your Startup – B2B Or B2C?

Entrepreneurs-Journey.com by Yaro Starak

There are a few reasons as to why entrepreneurs should venture into “B2B” (“Business to Business”) service based companies as opposed to any form of “B2C” (“Business to Consumer”) company, “B2B” product-oriented company or strictly a web-based B2B firm. We are going to leave out companies selling into municipalities or educational institutions due to long sales cycles that are very complex, hard to manage and even harder to profit from. What Is “B2C&# ?

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What Is B2B And Why Choose This Business Model For Your Startup?

Entrepreneurs-Journey.com by Yaro Starak

Last week, in part one of the B2B versus B2C series, I explained there are several reasons as to why entrepreneurs should venture into “B2B” (“Business to Business”) service based companies as opposed to any form of “B2C” (“Business to Consumer”) company, “B2B” product-oriented company or strictly a web-based B2B firm. I outlined the disadvantages and advantages for the first-time entrepreneur in starting up a B2C product-based or service-based company.

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How These Brothers Went from Hip-Hop Duo to Transforming the World of B2B Sales

ReadWriteStart

It’s a shared workspace so buyers and sellers can work together throughout the laborious B2B sales process—making it a lot more collaborative and a lot less painful. . This is the perfect example of how sales aren’t truly focused on the most important person in the sales cycle: the buyer!

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B2B Ecommerce Sites: What Works for B2B Buyers?

ConversionXL

Ecommerce sales are growing for traditional B2B businesses as well as direct-to-consumer brands, which are opening wholesale sides to get a slice of the growing B2B ecommerce pie. But if your B2B ecommerce site differs on any of those elements—high prices, large quantities, or a need to serve B2C and B2B buyers—things change. What works with the average B2C consumer won’t always work with B2B ecommerce buyers. A more complex sales cycle.

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Is Your SaaS Go-to-Market Strategy Tsunami-Proof?

ConversionXL

This isn’t limited to the B2C space. Three out of every four B2B buyers would rather self-educate than learn about a product from a sales representative, according to Forrester. Or would you prefer to go through a lengthy sales process to see if it’s a good fit? Two classic SaaS GtM strategies are at risk of being disrupted: the sales-led and marketing-led GtM strategies. The sales-led GtM strategy. What is a sales-led go-to-market strategy?

Marketing Your Startup: A Billion-Dollar Company’s First Marketer Reflects Back

View from Seed

But even with that webinar’s success, we still had a lot of education to do in order to get people to understand what we did and even how we saw marketing in general, which we needed to do to generate demand and sales. NVV: Lots of marketers are under pressure to come in and generate demand right away, whether because sales is asking for leads or founders are demanding PR or user growth. But marketing should always be ahead of sales to alleviate pressure.

A Quick Primer on B2B Conversion Optimization

ConversionXL

Some of the same underlying principles apply, but because of the inherent differences in buying decisions and sales cycles, pulling B2C optimization practices straight from the book might be a bad idea. There are a few things that make optimizing for B2B a different beast: The sales cycle is usually longer. It’s often a higher purchase price (or at least a more complex sale). When would you ever try to produce less sales in B2C eCommerce?

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Pricing determines your business

A Smart Bear: Startups and Marketing for Geeks

This is often B2C because the value is in quantity of customers, and there’s 100x more consumers than businesses. Marketing and sales spend is nil, so there has to be a reason it spreads by word of mouth, ideally virally as a natural result of using the product itself. ” Big companies can buy it without much consideration, but small companies need to understand the value, so you might need sales material to convince them, and a demo.

Marketing Automation: Solving Problems At The Push Of A Button

YoungUpstarts

Marketers hope to disseminate information and inspire sales. The increased difficulty and added opportunity is ironic and problematic for business-to-business companies as well as B2C (business to consumer) advertisers. Otherwise, a number of internal processes results in lower sales and poorer engagement. Once personas are identified, automated processes guide consumers through sales cycles, accounting for time and preferences.

How to Master PPC Targeting and Choose the Right Ad Platform

ConversionXL

This means you have to generate awareness and demand yourself, before you get that sale. LinkedIn (not great for B2C). The strong keyword intent when someone is searching for what you have to offer is the primary reason why some injury attorneys are willing to pay over $100 per click (that then has to turn into a lead before it turns into a sale). Track Sales Wisely.

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Learning Styles: The Impact on Marketing Messaging

ConversionXL

Client education is central to marketing messaging, too, especially for sellers with long sales cycles. The same is true in marketing, especially for companies with long sales cycles. That’s true even among B2B customers who are supposedly more rational than their B2C counterparts. Their sales page speaks directly to practitioners. The call-to-action to “Talk to Sales” makes sense (the A in VARK).

5 Lead Generation Avenues You May Never Have Thought Of

YoungUpstarts

Vimeo has a more professional reputation; a B2C article nicely articulated, “Vimeo screams professionalism in the same way that LinkedIn does.” Getting that personal connection with an interested customer is key in moving them along in the sales cycle. Professionalisms Frank Paterno Internet lead generation Online marketing sales sales leads by Frank E. Paterno, VP of Marketing at Intelliverse.

Short guide to sales and marketing for start-ups [Guest Post]

VC Cafe

You have to invest time and money into building a sales and marketing team to acquire customers beyond early adopters. To begin with, let’s illustrate the sales process with a simple graphic of the funnel that comes from an excellent post on Stratechery about marketing channels. At the end of the post, we’ll have a look at sales within the broader context of customer acquisition and customer success. Equally as important is the understanding that sales take time.

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LinkedIn Video Ads: Relevance, Specs, and Use Cases

ConversionXL

Nielsen data on a B2C campaign found that native ads are more effective in driving “brand consideration”: ( Image source ). Compared to the B2C world, B2B attribution faces two challenges: Sales often take place offline. The sales cycle may last for months, or more than a year. You’ll almost certainly endure gaps between LinkedIn behavior and the close of sales. On YouTube, a keyword-targeted pre-roll ad might show the same video to a CEO and an intern.

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The ROI of Lead Scoring

Duct Tape Marketing

But the unintended consequence of our collective lead generation obsession is that the task of actually determining which of the leads generated are sales-ready is relegated to the back-burner. That ultimately results in sales teams being sent troves of contacts who are either unable or not ready to buy. How Lead Scoring Increases Marketing ROI & Sales Productivity. focusing your sales team’s time and effort on those leads that are qualified.

Looking for your summer internship? Look no further.

Austin Startup

Internship Title: Business Development Intern Compensation: Paid — $10/hr Description: The Business Development Intern will assist the Sales Team in Prospecting, Outreach and Qualifying leads, and work directly with the Business Development Manager. This position will provide sales, negotiation, CRM and inbound/outbound outreach experience. We need candidates who are driven, take initiative, have proficient organizational skills, and previous sales/business development background.

Email Subject Lines: 8 Principles for Improved Open Rates

ConversionXL

Try something like: ‘Our annual apparel sale starts now.’ If it reads like an unsolicited sales pitch, it’s probably being reported as spam before it gets deleted. For instance, what if I sent out a weekly campaign with the subject line “Christmas sale on processed meat logs full of fat and salt” and didn’t get any opens, so I changed it to “Sale on summer sausage.” Segment based on stage of the sales cycle.

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Is Emotion Necessary To Make More Sales?

ConversionXL

So the question is, does emotion play a role in making more sales online? Before we look how emotion affects sales, we have to ask if emotion plays a role further up the marketing funnel – specifically for driving awareness and getting more reach. It means that if emotion plays a role in sharing at the top of the funnel, it definitely plays a role at the point of sale further down the road. Emotional Design Influences Sales.

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CXL Live 2017 Recap: Optimization & Growth Insights from 20+ Experts

ConversionXL

Long copy” doesn’t mean “long form sales page”. There’s a time and place for long form sales pages. Test ideas came from HiPPOs, tests were often broken, development cycle was 6 weeks, only one analyst. Bill Leake: Optimizing for the “Considered Purchase”: What Changes if You’re B2B or Expensive / Long Sales Cycle B2C? Longer decision cycle. Marketing/Sales optimization funnel.

Startup Killer: the Cost of Customer Acquisition | For Entrepreneurs

www.forentrepreneurs.com

To compute the cost to acquire a customer, CAC, you would take your entire cost of sales and marketing over a given period, including salaries and other headcount related expenses, and divide it by the number of customers that you acquired in that period. (In A quick look around all the B2C startups shows that, although viral growth is often hoped for, in reality it is extremely rare. This number is heavily dependant on the productivity of your sales teams.

Why You Should Start Marketing the Day You Start Coding

Software By Rob

You have some sales waiting for you once you push the bits to your server. This first group of prospects is a critical source of early sales. You email everyone you know, flex your networking muscles, issue a press release, and end the day with three sales at $20 each. Sometimes you can create a nice sales website and get real people to click “buy now&# and collect their email address. But I didn’t limit that comment to B2C software.

Marketing Metrics 101 for B2B Startups

www.rocketwatcher.com

I’ve seen online B2C startups use Dave McClure’s Startup Metrics for Pirates as a starting point for measuring what marketing is doing. For those of us selling to businesses however, particularly where there is a sales team involved and a pipeline to track, the world is quite different and Dave’s metrics don’t cover everything you need to track. For long sales cycles, it is important to measure this to estimate marketing ROI for tactics in the short term.

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Cracking The Code: The Bessemer 10 laws of SaaS - Fall 2008.

Cracking the Code

Here is theFall 2008 version: Your key monthly business metrics are: CMRR (Committed Monthly Recurring Revenue), Churn, and Cash flow - “Bookings” is for suckers Customer Acquisition Cost (CAC) and Customer LifeTime Value (CLTV) are the best indicators of long term value creation Tune before you scale: the Sales Learning Curve is even more critical for SaaS and it takes at least $300k MRR to climb it. Labels: SaaS , sales and marketing , software. sales and marketing. (10).