Lecture Notes on Needs, Influences, and B2B Marketing
Physiological Needs
- Basic requirements such as eating.
Social Needs
- Humans are social beings and desire connection and acceptance.
- The need to feel connected to others.
Desire for Respect and Status
- Motivations behind actions, such as purchasing items to gain respect.
- Wanting people to care and respect you.
- Using status symbols (e.g., titles, possessions) to feel important.
- Example: Mentioning a PhD or job title (director of the company) to establish importance.
- Example: Buying expensive items (e.g. a Ferrari) to feel superior.
Making a Difference and Spiritual Needs
- The desire to help others or have a spiritual life.
- Wanting to feel that you make a difference.
- Examples include donating time or money to causes, like helping children in a hospital.
- Becoming a monk.
Understanding Needs
- It can be challenging to pinpoint which need is being fulfilled.
Influences - Safety
- Safety net of family, friends, colleagues, instructors and employers impact decisions.
Influences - People You Don't Know
- Celebrities and influencers can impact decisions.
- Social media amplifies the influence of strangers.
Strength of Influence
- Family has a stronger influence compared to colleagues.
Financial Impact
- More money may lead to spending on more expensive items.
- Limited funds lead to more budget-conscious decisions.
Parental Influence
- Parents paying bills influence financial decisions.
- Needing permission for large purchases when using parents' money.
Life Stage
- Lifestyle differs whether you are single or married.
B2B vs. B2C Markets
- B2C: Business to consumer.
- B2B: Business to business.
Wholesalers
- Wholesalers do not sell to consumers; instead, they sell to retailers.
B2B Examples
- Selling tables to a college or hospital is B2B.
Volume of Purchases
- Companies buy products in higher volumes compared to consumers.
Length of Sales Process
- Selling to companies involves a longer decision-making process compared to consumers.
Expenditure
- Companies generally spend more money than individual consumers.
Decision Making in B2C
- In B2C, one person (the consumer) usually makes the decision, perhaps with spousal input.
Decision Making in B2B
- Multiple people are involved in B2B buying decisions.
- Need input from people supposedly in the know about technology.
- Finance Department: Approval required for budget.
- Need input form Administrative people in the college.
- input form teachers and parents.
- Librarians have impact when when college buys new laptops.
- Members of DSU have impact. In some cases even students that attend Douglas College impact college decisions.
Decision Makers
- Those who can sign contracts and approve payments.
- They authorize purchases.
- They handle paperwork, invoices, payments, and wire transfers.
- They may need lawyers to analyze a contract.
Advisors
- Provide information but do not have decision-making power; considered influencers.
Gatekeepers
- Control access to decision-makers and the flow of information.
- They can block competitors.
- Example of HR screening resumes; they aren't the deciders.
Hiring Manager
- The person who makes the hiring decision, often a marketing manager or director.
Networking
- To improve your chance of getting hired, find out who is the hiring manager and try to contact them on LinkedIn.
- Even if you still need to go through the regular process, it helps if the hiring manager knows who you are.
Short Story
- Applied to a Marketing position and bypassed HR.
Application
- If you want to get a job, you are in the b two b market because you want to sell your skills, your service to a company, b two b. So you need to know how b to b works because this is how you're gonna get a job.
Being Proactive
- Showing up in person and demonstrating interest can lead to quick interviews.
Providing Feedback
- Raise your voice if you like it or or if you don't, whatever we are buying.
- Complain if you don't like the laptop you are given to use.
Professionalism
- Humble, but you don't beg.
- Show you are a professional, that you want to grow, that you want to learn.