3 Ways to Make Business Buyers Part of Your Growth Strategy
For retailers, reaching B2B buyers has not always been on their radar or it’s possible B2B has taken a backseat to more consumer-focused strategies. These traditional B2C retailers likely already have B2B buyers within their e-commerce checkouts, quietly using corporate credit cards for all sorts of purchases ranging from office supplies to electronics and conference room snacks. But often retailers are unsure how to reach these valuable corporate buyers, so they remain undervalued and underserved. Passing over profitable B2B buyers will mean missing out on a significant revenue stream and losing ground to competitors.
The good news is commerce paradigms are shifting, making it an opportune time for retailers to expand their share of wallet with business buyers. Projections indicate a substantial surge in B2B e-commerce from $1.7 billion in 2021 to $3 trillion by 2027. The real opportunity comes into focus by understanding the unique payment and invoicing needs of business buyers while providing an outstanding experience closely aligned to the consumer experience. High-performing retailers understand the value corporate buyers bring to their business.
Here are three practical ways to prime retailers to better serve business buyers focusing on payments choice, loyalty-building tools and streamlined automation.
1. Driving Revenue: Offer Payments Choice for B2B Success Business purchases differ significantly from consumer transactions in terms of size, frequency and complexity. With the expectation of higher Average Order Value (AOV) from B2B sales, retailers can unlock substantial revenue by catering to business buyers.
To tap into this revenue stream, retailers must prioritize offering payment choice at checkout. To start, enable B2B buyers to select a payment method that works best for their organizations’ accounting and accounts payable processes. For example, when considering operational factors among suppliers, a TreviPay study unveiled the ability to purchase online (83%), have a variety of pay options (66%) and the ability to pay with trade credit or net terms (68%) as important to global business buyers.
In addition, more than 90% of merchants recognize that improving payment options for B2B buyers enhances customer satisfaction according to Forrester. Business buyers will naturally purchase more, more often when they have access to their preferred payment options. Without payments choice, retailers risk losing a buyer to another vendor who does provide all the payments options business buyers prefer.
2. Building Loyalty: Meet B2B Expectations Head-On Meeting expectations starts with offering a similar experience across all channels and providing business-ready features like invoicing and custom pricing that a frequent business buyer will want. Armed with open accounts and dedicated account representatives who accommodate their preferences, B2B buyers thrive on long-term relationships.
Retailers keen to foster this loyalty will recognize the importance of meeting B2B expectations throughout the payments process. Recent research revealed that 72% of global B2B buyers express loyalty to businesses offering their preferred payment methods, and 78% claimed it is necessary for retailers to offer invoicing. Trade credit – the ability to pay in 30-, 60- or 90-day terms – emerged as the most sought-after payment option for B2B buyers in the same survey.
Ultimately, a B2B retail strategy includes a mix of loyalty-building tools, invoicing capabilities with purchase controls and payments options – both credit cards and trade credit – to fully meet the distinct expectations of the corporate buyer.
3. Getting Paid Faster: Streamline B2B Payments for Efficiency With the current rate environment, access to working capital is important. Retailers who monitor days sales outstanding (DSO), the average number of days it takes a company to receive payment for a sale, will be able to quickly measure success when implementing an integrated B2B payments and invoicing solution.
Automated payments and invoicing systems that work smarter can remove complexity and improve cash flow. By integrating an end-to-end B2B payments solution with existing P2P and ERP platforms, it’s possible to streamline order-to-cash and other cash-related processes.
There are also long-term cost-savings with Accounts Receivable system automation, such as eliminating countless hours spent on manual tasks like creating PDF invoices or bank reconciliations. Plus, harnessing critical customer data flowing through these payment technologies empowers retailers to stay ahead of buyer trends. Proactive credit line expansions, informed by data, creates an outstanding customer experience that goes a long way to cementing a retailer as a partner for life.
To capitalize on the significant opportunity B2B offers retailers, it's important to take the time to really understand and to cater to the purchasing needs of business buyers. These are the buyers who know exactly how they want to pay and are infinitely more loyal to retailers that meet their needs with an optimized payments and invoicing experience. By focusing on payment choice and automation, retailers can make business buyers a key part of both their growth and cash flow strategy.
About the author: Allen Bonde leads TreviPay’s global marketing team and is responsible for the company’s community, content, demand, and product marketing functions. Connect with Allen on LinkedIn here.
The good news is commerce paradigms are shifting, making it an opportune time for retailers to expand their share of wallet with business buyers. Projections indicate a substantial surge in B2B e-commerce from $1.7 billion in 2021 to $3 trillion by 2027. The real opportunity comes into focus by understanding the unique payment and invoicing needs of business buyers while providing an outstanding experience closely aligned to the consumer experience. High-performing retailers understand the value corporate buyers bring to their business.
Here are three practical ways to prime retailers to better serve business buyers focusing on payments choice, loyalty-building tools and streamlined automation.
1. Driving Revenue: Offer Payments Choice for B2B Success Business purchases differ significantly from consumer transactions in terms of size, frequency and complexity. With the expectation of higher Average Order Value (AOV) from B2B sales, retailers can unlock substantial revenue by catering to business buyers.
To tap into this revenue stream, retailers must prioritize offering payment choice at checkout. To start, enable B2B buyers to select a payment method that works best for their organizations’ accounting and accounts payable processes. For example, when considering operational factors among suppliers, a TreviPay study unveiled the ability to purchase online (83%), have a variety of pay options (66%) and the ability to pay with trade credit or net terms (68%) as important to global business buyers.
In addition, more than 90% of merchants recognize that improving payment options for B2B buyers enhances customer satisfaction according to Forrester. Business buyers will naturally purchase more, more often when they have access to their preferred payment options. Without payments choice, retailers risk losing a buyer to another vendor who does provide all the payments options business buyers prefer.
2. Building Loyalty: Meet B2B Expectations Head-On Meeting expectations starts with offering a similar experience across all channels and providing business-ready features like invoicing and custom pricing that a frequent business buyer will want. Armed with open accounts and dedicated account representatives who accommodate their preferences, B2B buyers thrive on long-term relationships.
Retailers keen to foster this loyalty will recognize the importance of meeting B2B expectations throughout the payments process. Recent research revealed that 72% of global B2B buyers express loyalty to businesses offering their preferred payment methods, and 78% claimed it is necessary for retailers to offer invoicing. Trade credit – the ability to pay in 30-, 60- or 90-day terms – emerged as the most sought-after payment option for B2B buyers in the same survey.
Ultimately, a B2B retail strategy includes a mix of loyalty-building tools, invoicing capabilities with purchase controls and payments options – both credit cards and trade credit – to fully meet the distinct expectations of the corporate buyer.
3. Getting Paid Faster: Streamline B2B Payments for Efficiency With the current rate environment, access to working capital is important. Retailers who monitor days sales outstanding (DSO), the average number of days it takes a company to receive payment for a sale, will be able to quickly measure success when implementing an integrated B2B payments and invoicing solution.
Automated payments and invoicing systems that work smarter can remove complexity and improve cash flow. By integrating an end-to-end B2B payments solution with existing P2P and ERP platforms, it’s possible to streamline order-to-cash and other cash-related processes.
There are also long-term cost-savings with Accounts Receivable system automation, such as eliminating countless hours spent on manual tasks like creating PDF invoices or bank reconciliations. Plus, harnessing critical customer data flowing through these payment technologies empowers retailers to stay ahead of buyer trends. Proactive credit line expansions, informed by data, creates an outstanding customer experience that goes a long way to cementing a retailer as a partner for life.
To capitalize on the significant opportunity B2B offers retailers, it's important to take the time to really understand and to cater to the purchasing needs of business buyers. These are the buyers who know exactly how they want to pay and are infinitely more loyal to retailers that meet their needs with an optimized payments and invoicing experience. By focusing on payment choice and automation, retailers can make business buyers a key part of both their growth and cash flow strategy.
About the author: Allen Bonde leads TreviPay’s global marketing team and is responsible for the company’s community, content, demand, and product marketing functions. Connect with Allen on LinkedIn here.
