Principles of Marketing

Business Buying Behavior

Tutorial Contents
Business Buying Behavior Who Makes Up the Business Market Supply Chain Market Business User Markets Business vs Consumer Markets Buying Center Decision-Making Buyer Experience, Timing, Order Size Number of Buyers, Promotion Type Types of Business Purchase Decisions How Businesses Buy Purchase Decision Steps 1 and 2 Purchase Decision Steps 3, 4 and 5

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Experienced Purchasers

As noted in the discussion of the Buying Center, organizations often employ purchasing agents or professional buyers whose job is to negotiate the best deals for their company. Unlike consumers, who often lack information when making purchase decisions, professional buyers are generally as knowledgeable about the product and the industry as the marketer who is selling to them.

Decision Making Time

Depending on the product, business purchase decisions can drag on for an extensive period. Unlike consumer markets where impulse purchasing is rampant, the number of people involved in business purchase decisions results in decisions taking weeks, months or even years.

Larger Purchases

For products that are regularly used and frequently purchased, businesses will often buy a larger volume at one time compared to consumer purchases. Because of this business purchasers often demand price breaks (e.g., discounts) for higher order levels.

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