The enormous and lucrative Chinese market offers a wide range of opportunities for B2B businesses. Between 2012 and 2018, China’s B2B e-commerce transactions increased dramatically, from 6.25 trillion RMB to 22.5 trillion RMB.
The Chinese market, however, is intricate. Due to enduring cultural differences between East and West, language barriers, various business conventions, and unique digital marketing platforms, it is challenging for foreign enterprises to be successful in the B2B market in China.
How can a B2B marketer succeed in China by honing their B2B marketing strategies? Keep reading this article to assist foreign businesses in navigating these difficulties and easing the path to effective B2B marketing in China.
Understanding China’s B2B Market
As the speed of digitization in all sectors of life quickens, the significance of digital B2B marketing approaches grows. Traditional B2B marketing still accounts for a significant portion of the B2B market in China’s customer acquisition and product sales strategies.
95% of B2B customers now look for suppliers online. The predicted growth in B2B e-commerce income in China from 16 million RMB in 2012 to 60 million RMB in 2018 was a 275% increase.
Furthermore, some important online platforms dominate B2B e-commerce in China. Nearly 70% of the share in the international B2B marketplace is held by the top players.
B2B Characteristics In China
There are five trends in the Chinese B2B market:
- Middle- and small-sized firms are increasingly providing value-added services in B2B e-commerce.
- Digital small-scale foreign commerce has recently become more common in China’s B2B market.
- E-commerce service companies keep getting richer.
- B2B e-commerce made it simpler to switch from creating a data-flow system to a finance flow system.
- The vertical structure of the internet B2B sector offers a considerable opportunity for future business growth.
Identifying B2B Customers In China
Digital platforms are commonly used by domestic suppliers and B2B customers to establish, convert, and uphold connections. Because of conventional B2B marketing strategies, B2B clients in China are becoming increasingly technologically sophisticated. Even without the aid of salesmen, they actively research information and make decisions regarding purchases.
Customers expect online interactions that replicate the ones they have with B2C customers on the Chinese B2B platform, among other things. Customers in the business-to-business sector specifically look for enhanced search engines, the option to read ratings and reviews from competitors, customized products, unique customer experiences, and a uniform consumer experience across both offline and online touchpoints.
Important B2B Marketing Steps In China
China’s B2B industry is getting more digitized, which improves information accessibility and openness. Despite this, B2B clients in China continue to view both negative and positive ties in social networks as essential resources for enterprises.
As a result, B2B clients continue to use conventional commercial methods. Let’s look at some fundamental B2B marketing strategies in China:
Planning And Search
Before international enterprises enter the Chinese B2B market, it is important to do thorough studies about the market’s distinctive and dynamic environment. When conducting investigations, Chinese culture should be taken into account.
Two effective strategies include consulting with experts and working with local marketing consulting teams. A detailed understanding can help firms select the proper market segmentation and targeted clients as well as estimate the risks involved with executing a series of decision-based actions.
China’s Traditional B2B Marketing Techniques
Businesses should continue to focus on and make sufficient investments in competitive offline distribution systems, especially when B2B enterprises target specific regions and compete with local suppliers.
An offline presence demonstrates a company’s major commitment to China and gives B2B customers security. As a result, traditional offline B2B marketing strategies like exhibitions and conferences are preferred by B2B clients in China.
Becoming present at such gatherings is a great way to connect with potential clients. Through this manner, potential social interactions with B2B clients can also advance quickly.
Chinese Digital B2B Marketing Techniques
Every business must understand that e-marketing in China is different from what it is to flourish in the B2B market in China, every company must comprehend how e-marketing differs from what it is in the west. Popular websites such as Facebook, YouTube, Twitter, and others cannot be accessed in China.
Businesses in China should make advantage of popular social media channels to communicate with B2B customers and gain access to the B2B market. A properly constructed and organized official website is necessary.
The official website is more than just an internet store. B2B customers use official websites as reliable sources to learn about B2B companies and the products or services such companies provide.