XIME / PGDM–RS–0105-January-2010 Welcome to B2B Marketing PGDM Class of 2008-10 PGDM–RS–01 Amarnath Krishnaswamy

XIME / PGDM–RS–0105-January-2010

Welcome toB2B Marketing

PGDM Class of 2008-10PGDM–RS–01

Amarnath Krishnaswamy


Plan for this Session

• About Your Instructor

• About this Course

• B2B – an overview


Amarnath Krishnaswamy

• Visiting Professor, XIME & IIMB

• B.Tech (Chemical) : IIT Madras, 1971

• PGDM : IIM Calcutta, 1974

• Experience – • More than 30 years

• Marketing of industrial and consumer goods

• Greenfield projects

• Business Head


Contact Me

• Location

• Telephone – XIME: Extn.– Res: 2221-8796, 4112-0783– Mobile: 98454-25727

• E-mail:– [email protected]

For submissions and queries


Course Schedule

• Regular Sessions– Tuesdays 1510 – 1655 hrs – Thursdays 1510 – 1655 hrs

• Session details in Course Description Document


Course Administration

• Course Administrator: Dean’s Office

Functions: (Information relating to)

Submissions, handouts, schedules


Course Material

• Reading Material and Handouts

– Will be given to you as the course progresses

• Text Books/ Recommended Reading

– Business Marketing Management: B2B. Michael D. Hunt & Thomas

W. Speh

• Cases for discussion:

– Will be intimated at appropriate times.

• Slide ware

– You will receive softcopies of the slides used by mail after every

session


Grading & Evaluation … (1)

• Grading Scheme– As per the “Course Description” document

• Submissions and Assignments– Schedule as per “Course Description”

– Hardcopy to be submitted to the Office

– E-mail address for soft copy submission: [email protected]


Grading & Evaluation … (2)

• Submissions and Assignments (Continued)– Give Roll No-Name-Assignment No in the Subject

Line of the E-Mail message

e.g. xxx-Vinay Kumar-Assignment 1

– Late Submissions will be penalized

• Ethical Practices– Will be dealt with sternly

– If in doubt, ask!

– The intention is for you to learn, not to lean..


Student Representatives

• Volunteer: ? Roll # : Mob:

• Team Reps: One for each team

• Volunteers ?Team 1: Roll # : Mob:

Team 2: Roll # : Mob:

Team 3: Roll # : Mob:


What is B2B Marketing?


B2B …

• Market – Buyers & Sellers

– Exchanging goods, services, money

• Market system has 3 elements– Participants

– Channels

– Relationships

• B2B marketing– Customers restricted to organizations

• Businesses• Governments• Institutions


B2B – In this session we’ll look at

• Business Marketing Management

• Factors that influence the demand for business goods & services

• Types of customers

• Types of goods

• Buying processes

• Basic characteristics of the products and services


B2B - Marketing Management

… analysis, planning, implementation and control ...

of the B2B marketing system

Philip Kotler


B2B – ‘Demand’ … (1)

What is the single characteristic that defines the demand for ‘business’ goods & services?

It is ‘derived’!



• Consequently it’s important to monitor final consumption

• Important to understand ‘derived’ demand to– Forecast– Stimulate

• Price sensitivity



• Final consumption influenced by these factors:

– Competitive : Domestic and global– Economic – Political– Legal


Discussion!

B2b vs. Consumer Marketing

1. Type of selling Business - Personal Consumer - Advertising

2. Service Business - ‘Service’: large

proportion Consumer - ‘Service’: relatively small

3. Focus Old - Transactional New - Relationship


B2B – Types of Customers

• Broadly 4 categories– Users– Original Equipment Manufacturers (OEM)– Distributors / Dealers – Others

• Government• Institutions

• Categories can overlap

• Categories determine motivation for buying


B2B – Types of Goods

Broadly, 3 categories

1. Entering goods– Raw materials– Components

2. Foundation goods– Buildings & Installations– Accessories

3. Facilitating goods– Supplies, including maintenance & repair– Services


B2B – Buying processes

Characteristics of the good determines the ‘buying’ process

What would you use for XIME ‘selling’ seats in the college to you, and why?

– Personalized vs. mass media– Own organization vs. contracted– Any other?


Moving Forward

Next Class PGDM-RS-02: Thursday, Jan 07, 2010

Read: – Business Marketing Management: Hunt &

Speh• Chapter 2: The Business Market • Chapter 3: Building Relationships• Chapter 4: Organizational Buying Behavior


Finally … on a lighter note!

Hanlon’s Law

Never attribute to malice that which can be adequately explained by stupidity.

Sturgeon’s Second Law

Ninety percent of everything is crud!!!!


Documents

XIME / PGDM–RS–0105-January-2010 Welcome to B2B Marketing PGDM Class of 2008-10 PGDM–RS–01 Amarnath Krishnaswamy