In order to survive in highly competitive environments, business-to-business (B2B) companies are devoting more time and money on research and development. With change as a constant in the marketplace, companies need to adapt in order to stay ahead. How can B2B companies differentiate themselves and stay relevant to their customers? Here is where brands come in. Building a strong brand is especially important in B2B markets.
At the heart of it all
Many B2B companies are starting to realise that B2B buying is a psychological process, and not simply driven by facts. Research by Google revealed that more B2B customers are emotionally attached to the brands they purchase. For example, if there is a high brand connection between your company and a B2B customer, the customer is five times more likely to consider buying from you, 13 times more likely to purchase and 30 times more likely to pay premium. To develop that high brand connection, you need to create an emotional connection with your customers. Communicating your business value proposition alone will no longer differentiate you from the rest.
The age of the customer
With greater innovation and the development of new technologies, a new age that redefines business has emerged. Today, the multiplication of channels and the availability of information to the customer – access to abundant information that is not controlled or censored by the company – create a universe where the customer is in control. Increasingly, customers are driving the brand experience or their interactions with companies. They expect companies to connect with them on their terms. It is only when companies successfully transit to the age of the customer, by creating a B2B brand that is relevant to their customers, that a sustained competitive advantage can be created.
By Alicia Ng