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Business Marketing college 1

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Collegiate dissertation from the Business Marketing subject given in the 2nd year of Commercial Economics (2016/2017) by Hummelink at the Fontys University of Marketing Management location Rachelsmolen in Eindhoven.

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  • June 20, 2017
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  • 2016/2017
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Business Marketing
College 1 Chapter 1 Introduction BTB Marketing Jurne Sleddens

What is BTB marketing:
The marketing of products or services to companies, government bodies, institutions and other
organisations that use them to produce their own products or services, or sell them to other BTB
customers.
Objective: Contributing to the success of your customers <-> You’re operating in a (value) chain.

Conclusions:
BTB customers are not consumers but organizations.
They buy products for their own operations:
 That will be incorporated in their product
 That will be used in their production process but not in their product.
 That will be sold to other BTB customers, products might be
 Identical to consumer products (company car)
 Totally different from consumer products (army tanks)
But still always with different buying criteria.

Customer types: Commercial enterprises:
 Users, Philips buying copying machines
 OEM’s, buy components and incorporate them in their product. Example; Mercedes buying
gear cases for car motors.
 Resellers, minor/ no changes to the products, just add services. Example: Agricultural tractor
dealers.
 Products might be:
 Identical to customer products (Company car)
 Totally different from consumer products (Army tanks)
But still always different buying criteria.

Customer types: Government agencies
 Examples: Municipalities, provinces, ministries, ministerial services like the CBR,
Belastingdienst, Rijkswaterstaat.
 Complex buying processes: Formal rules about procurement, environment, fair trade,
bureaucratic, time-consuming, sometimes inefficient, ineffective (ending up with a non-
suitable product).

Customer types: Institutions
 Examples: Hospitals, schools, labour unions, political parties, the ANWB
 Sometimes less experienced buyers; no centralized buying -> Sometimes not the best
possible deal.

BTB products:
1. Raw materials & processed materials
Examples: Agricultural products (corn, wheat, iron)
 Most important buying departments; purchasing manufacturing.
 Selling; indirect (small quantities) direct (large quantities)
 Marketing; standard products, low prices, customized products, premium price.

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