Marketing 301 -Chapter 7

B2B Marketing
the process of buying and selling goods or services to be used in the production of other goods and services, for consumption by the buying organization, or for resale by wholesalers and retailers
derived demand
the linkage between consumers demand for a company output and its purchase of necessary inputs to manufacture or assemble that particular output
resellers
marketing intermediaries that resell manufactured products without significantly altering their form
wholesalers
those firms engaged in buying, taking time to, often storing and physically handling goods in large quantities, then reselling the goods to retailers or industrial or business users
distributors
a type of reseller or marketing intermediary that resells manufactured products without significantly altering their form. They often buy from manufacturers and sell to other businesses like retailers in a B2B transaction
request for proposals (RFP)
a process through which buying organizations invite alternative suppliers to bid on supplying their required components
web portal
an internet site whose purpose is to be a major starting point for users when they connect to the web
buying center
the group of people typically responsible for the buying decisions in large organizations
initiator
the buying center participant who first suggests buying the particular product or service
influencer
the buying center participant whose views influence other members of the buying center in making the final decision
decider
the buying center participant who ultimately determines any part of or the entire buying decision- whether to buy, what to buy, how to buy, or where to buy
buyer
the buying center participant who handles the paperwork of the actual purchase
user
the person who consumes or uses the product or service purchased by the buying center
gatekeeper
the buying center participant who controls information or access to decision makers and influencers
organizational culture
reflects the set of values, traditions, and customs that guide an employees behavior.
autocratic buying center
a buying center in which one person makes the decision alone, though there may be multiple participants
democratic buying center
a buying center in which the majority rules in making decision
consultative buying centers
a buying center in which one person makes the decision but he or she solicits input from others before doing so
consensus buying center
a buying center in which all members of the team must reach a collective agreement that they can support a particular purchase
new buy
in a B2B setting, a purchase of a good or service for the first time; the buying decision is likely to be quite involved because the buyer or the buying organization does not have any experience with the item
modified rebuy
refers to when the buyer has a purchased a similar product in the past but has decided to change some specifications, such as the desired price, quality level, customer service level, options, or so forth
straight rebuys
refers to when the buyer or buying organization simply buys additional units of products that have previously been purchased