B2B Commerce Will Hit $1.3 Trillion by 2023 — Consider a Marketplace Model

B2B
eCommerce
is growing and attracting new players making it ripe
for transformation. Global accessibility to the internet and the
dominance of mobile are challenging decades-old norms. Moreover,
B2C’s success is inadvertently helping set new expectation for
B2B commerce.

As a result, we’re starting to see more emphasis applied on
values such as customer experience, quality of service and
competitive pricing in the B2B sector. More B2B businesses are
adapting to these challenges. A major part of that adaptation is
embracing the online marketplace model. Here’s how:

1. B2B Commerce Growth Is Gaining Attention

A 2019
Forrester’s report
estimates that B2B eCommerce transactions
will hit $1.3 trillion by the year 2023. For anyone who has an
interest in the B2B sector (or contemplating a future in it), this
is the ideal time to take massive action.

There are tremendous opportunities in the manufactured goods,
aerospace industry, professional electronics, and office supplies
and equipment markets. B2B eCommerce is poised for rapid growth and
marketers have to be ready in order to growth with the changes in
buying habits (or be left behind).

As more players enter the B2B space, quality standards to go up
which will further increase acceptance and adoption. All these
trends point increasingly towards the rise of an online marketplace
model in the B2B industry.

2. Changing Buyer’s Habits

Digitalization is definitely playing its part in transforming
the B2B commerce. More and more B2B buyers are turning to the
internet for research and online purchases. Businesses with an
online marketplace are speculating that within the next couple of
years nearly half of their clients will move to purchase
online.

With this changing buyer behavior, B2B businesses will
increasingly look to an online marketplace model for convenience.
Buyers look for a wide range of options, competitive prices and
easy delivery to simplify their buying process.

YoKart, mutli-vendor
marketplace platform
has provided a number of options that will
help new entrants get started. Several businesses that started with
this platform found it easy to tackle the disruption that the
online marketplace model caused all over the world — namey in an
effort to compete with Amazon.

3. The Amazon-Effect on B2B Commerce

Amazon has given a new definition to the customer experience.
Even before the buyer has made contact with the seller to make a
purchase, the seller should have some basic knowledge about the
needs and habits of their buyer. This is best illustrated through
the ‘customers who bought this item also bought’ section on
Amazon’s website. Now the same kind of reception is expected by
today’s B2B buyers.

This is easier said than done. At the outset, there is a need to
expand the suite of products/services offered as well as
maintaining quality. When done right, this is an effective strategy
for customer acquisition and retention — as is competitive
pricing. A marketplace model carries all three attributes.

4. More Value to the Customers

The whole online
marketplace model
is geared towards offering more value to the
customer, which is the basis of marketing in modern e-commerce.
With the changing buyer’s habits, B2B businesses will now have
adequate reason to consider the online marketplace model.

The advantage that B2B enjoys here is that nothing is new and
uncertain for them. The model has been sufficiently practiced in
other B2B to forecast all the possible outcomes. All B2B players to
do is identify practices that work well and are applicable in their
business model.

In fact, some of it is already happening. Many B2B merchants
have launched their m-commerce or e-commerce websites with features
and functionalities that are known to remove obstacles from the
shopping experience. Social Media’ role in bringing new customers
to the B2B distributors is also signaling a shift towards a much
familiar online marketplace model.

5. Safer Way to Product Assortment
Expansion

Sellers today don’t like to have their hands tied. Here again
the marketplace model delivers. It enables a risk-free product
assortment expansion by bringing a whole community of sellers
together that imparts flexibility and agility to the e-commerce
process.

Another advantage that marketplace model has to offer is for
small businesses. With the marketplace model, they’re suddenly
looking at a huge throng of buyers interested in purchasing their
products/services. And it works out quite well for the buyers as
well. They have in front of them several supplier catalogs and
lists of available products, which is something that’s usually
expected in B2C e-commerce platforms.

Conclusion

Lack of choice and convenience is something that’s frustrated
modern B2B buyers and it has been one of B2B e-commerce’s
shortcomings. Spurred by the success of the B2C marketplace model,
B2B merchants are beginning to deliver more digital commerce
options and deliver a more convenient shopping experience. This is
further growing customer acquisition and retention. Sellers are
mindful of their target audience’s needs and working diligently
to deliver on these new expectations. Today’s B2C models shows
exactly how this will be done for B2B commerce as it continues to
grow and prosper in the years to come.

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B2B Commerce Will Hit $1.3 Trillion by 2023 — Consider a
Marketplace Model
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B2B Commerce Will Hit .3 Trillion by 2023 — Consider a Marketplace Model