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1. • Submitted by:
Kriti Doneria 16125022
BUILDING LOYALTY IN BUSINESS MARKETS
BY:Das Narayandas

2. SELLING TO CONSUMERS
• Large number of buyers with similar
wants.
• Transactions usually small in value.
• Products can be mass produced.
• Customers perception determines
product value.
SELLING TO BUSINESSES
• Fewer customers.
• Transactions tend to be larger.
• Customized product or service.
• Usage of the product or service
determines its value.
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Still, companies tend to apply consumer marketing solutions to business markets willy-nilly, with poor results.

3. A TYPOLOGY OF BENEFITS
Tangible financial benefits
•5.50-inch 1080x1920 screen ,3GB of RAM & 12-
mpx rear camera.
Tangible nonfinancial benefits
•“If you don’t have an Iphone, you don’t have an
Iphone.”
Nontangible financial benefits
•Screen uses DCI P3, a range of colors used by
movie makers with larger spectrum
Nontangible nonfinancial benefits
•Available in Rose Gold color.
•Delivered in holidays as well.
IPHONE 7
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Acquire customers
TYPICAL CUSTOMER BENEFITS
OFFERED
Highly Competitive
Price & Quality
E-order, tracking and
billing system
JIT delivery
SELLER
TYPICAL PURCHASE TEAM
MEMBERS
CFO
COO
CEO
SELLER
BENEFIT STACK TO DECISION MAKING STACK MAPPING LEAST IMPORTANT
MOST IMPORTANT
WHO WANTS
WHAT,AND WHAT
APPEALS TO WHOM??

4. CUSTOMER LOYALTY L ADDER MAPPING CUSTOMERS BASED UPON
POSITION IN THE L ADDER
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In most business markets, customers don’t show up in the shape desired by vendors. Companies can
develop profitable relationships by investing time and money to migrate customers from one category to
The Climb is Hard, but the view is great !

5. IMPACT ON STPD
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PURCHASE DECISION PROCESS and BUYER SELLER RELATIONSHIPS are the distinguishing features of B2B STPD
SEGMENTATION
Based upon customer centric criteria like
Transactional volume/revenue,
customization desired and nature of usage
of offering
TARGETING
Look for position on the loyalty ladder &
consequently, type of customer. Also check
mapping of benefit stack to the decision
making stack
POSITIONING
Provide Tangible and non-tangible
financial benefits to establish POP.
Supplement value creation with value
communication constantly and link benefits
to decision makers.
DIFFERENTIATION
Provide Nontangible financial and
nonfinancial benefits to establish POD in
industrial buying. Invest in relationship
building to retain loyal customers.

6. MARKETING MIX EVOLUTION IN B2B
E D UA R D O C O N R A D O, C H I E F M A R K E T I N G O F F I C E R
W I T H M OTO R O L A S O LU T I O N S , S AYS 4 P S H A S
B E E N R E CO N F I G U R E D TO S AV E :
• From Product to Product + Solution. It is no longer just
about a product but how it can solve a customer need.
• From Place to Access. If you aren’t delivering what they
need when and where they need it, you are at risk of
losing business.
• From Price to Value. If you adopt the Product + Solution
model, it is a natural progression that solution has to
demonstrate a tangible value.
• From Promotion to Education. Longer sales cycles
requires an ongoing conversation with the customer.
Content is continually evolving to meet the needs of the
customer throughout that buying cycle. Educational
content that your sales channel needs is different than the
content your distribution channel (and, ultimately, your
customer) needs.
BUILDING LOYALTY IN BUSINESS
MARKETS:4P
Product
Should be useful and
hold verifiable value.
Place
Shorter supply chains
in B2B compress
revenue. JIT models
serve as POD.
Price
Usage determines
Value. Focus on CLT
and opportunity cost.
Promotion
Should have a
feedback loop. Aimed
at fostering
relationships.
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As a customer moves up the ladder, price sensitivity is reduced and product, Promotion and place tend to hold more
value as customers’ customer drive production process, nature and frequency thereon.

7. CONCLUSION
One size does not fit all, but a B2B marketer cannot go on making customized shoes for every customer
too. Hence, clustering is the key.
Value creation and problem solving is important, but so is value communication at different points in the
sales pipelines and to different stakeholders including the purchase team.
This article has assumed that a consumer (business) that is ranked higher on the loyalty ladder is always
more profitable than the counterparts on lower levels. However, In a globalized world, this may not hold
true. Businesses that rank higher generally start to expect preferential treatment and that their
expectations will be exceeded every time, which is a self-failing prophecy!. Th cost of catering to the
consumers on the top levels is significantly more than catering to the ones on middle and lower levels.
The bottom of the ladder (customers with whom relationships are still being nurtured) is often the most
profitable one from the provider’s point of view. Hence, it becomes increasingly important for businesses
to take care of each level of the ladder differently, and to customize value creation and communication
through integrated marketing communications to maximize customer lifetime value.
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8. THANK YOUMBA637A||NOVEMBER 2017