Why B2B E-Commerce Is Booming
The commercial niche of B2B eCommerce is a force to reckon with going forward. The segment has experienced staggering growth in recent times and with the market dynamics of B2B commerce evolving, there are certain trends and stats to keep in mind for 2023.
The niche was thrust through SaaS and catapulted by the pandemic. Let us confirm that statement through some numbers.
- In 2022, the market of B2B eCommerce stands large at $8 Trillion.
- By 2026, the market will reach a value of $18.57 Trillion after experiencing a CAGR of 18.7% through the forecast period.
- 96% of organizations are integrating their go-to-market strategies with a lubricated B2B eCommerce mechanism, foreseeing this rapid growth.
The focus is to adopt the minimally frictioned and maximum personalized experience of its B2C counterpart. A self-directed omnichannel future of B2B eCommerce is what shows promise. And accordingly, 55% of B2B marketing budgets is now being focused on digital activities.
Here, we will discuss the major transformations happening to this niche insofar as trends are concerned. These trends are propelled by the emerging disruptions happening at the supply chain front along with the global paradigm shift of business necessities. Delay in shipping and
shortage of able workers have further accelerated this step up.
Success of any such implementations rely heavily on fulfilling the following parameters:
- Doing away with legacy systems
- Disrupting supply chain management and implementation
- Upping the ante on inventory management
- An omnichannel presence
- Personalizing the experience
- Faster order delivery
- Being headless
It should be noted that a simple shift to better B2B eCommerce will not do the trick of fulfilling each of these parameters. It is efficient to take a strategic approach. Understand the audience you are catering to. Dig through the data to understand what the conversions are demanding.
And finally, indulge in absolute customer delight. Statista estimates that over 17% of all B2B sales will be sourced through online channels while McKinsey has found out that 65% of B2B service providers have positioned themselves online, exclusively.
With that promise in mind, let us look at the major trends ruling the B2B eCommerce spectrum today.
3 Trends To Watch Out For
US based global delivery service UPS (United Parcel Services) had an average delivery time of 2.96 days. This transit time shot up to 4.96 in 2020. But now, with the evolving market culture, the time stands at 2.
One way to catch up to this competition is to use the 3PL approach. 3PL refers to third-party fulfillment. Not only will this cut down your transit time, it can positively impact your storage and inventory management activities as well.
With the United Nations’ SDGs driving business decisions and enhancing long term business visions across industries and verticals, including this in your business conduct can add great value. One way to do this is to use sustainable packaging. Another impactful method is to actively reduce supply-side carbon emissions.
Conversion rates can shoot up by 20% (according to Net0) and brand loyalty by 4.3X by positioning your B2B initiatives in sync with the sustainability narrative.
According to BCG, 40% of B2B revenue is generated through mobile devices in 2022. A hike of 70% has been observed in B2B searches (according to Google). Adding to the delight, ElasticPath has reported that over 90% of B2B purchasers have stuck to partners who offer a better and seamless mobile experience.
An increasing number of individuals from the “digital-first” generation are assuming leadership roles. Hence, adopting and leveraging online strategies will culminate in an ecosystem of sustenance for your business.
To conclude, let us look at one overarching and evidently important strategy to leverage; Personalization. Personalization boosts performance. It delivers delight. And establishes an eminent enhancement factor for your business. Let us look at the “how” of personalizing B2B eCommerce.
Boosting Sales Through Personalization – 2 Steps to Implement NOW!
Corporate accounts can render the B2B sales process less complicated. Establish roles of multiple users and enable seamless functionalities on your online B2B front to delight your clients.
Recommend in a Personalized Manner
Take LinkedIn for example. After being acquired by Microsoft, LinkedIn realized in 2016 that over 40 million of their user base relied on the platform to deliver B2B content. They also realized that this base largely consisted of senior level decision makers. They started delivering pop up recommendations based on data-driven personalization enablement. Through functionalities such as collaborative filtering, they were able to deliver more than what was expected by their clients. For sales, this recommendation could be a product of strategic email marketing. Whatever the route, recommendations result in revenue.
Being where the customers are is important. And infinitely more important is to be at the space in the best possible manner. This is where an eCommerce development partner like Orion eSolutions can help. Get in touch today to establish your B2B eCommerce presence in the most stellar manner possible.
Question 1: Should B2B eCommerce be integrated to other systems?
Answer: Yes. Providing an omnichannel experience is required for B2B eCommerce to provide the value intended. Integrating it with other systems ensures a smoother user journey, skyrocketing engagement, performance, and in turn revenue.
Question 2: What are the factors to consider while choosing the right B2B eCommerce platform?
Answer: Customer engagement, growth objectives, customer requirements and running costs.