Before we get into a Quotation system, let’s take a look into pricing.
Pricing is the most important aspect when you are selling online. It is the price that compels the customer to buy online. Managing prices is the art of business.
Price can be managed using Customer group pricing, customer-specific pricing, Tier pricing (quantity based ), and Dynamic pricing.
Dynamic pricing is a pricing strategy in which the price of a product or service depends on various factors and conditions in real time i.e location of the delivery like special economic zone, change in shipping, product nature, product quantity ordered etc. In Tier pricing, quantity is the variable for calculating the price. You can define different slabs of quantities and give it a predefined price. If you want more of a dynamic approach then a quotation system is the best suitable for you.
In many businesses, CALL FOR PRICE is common. You can hide your price to stay on the edge with the competition. When your customer raises an enquiry for the price for multiple products, you should be able to provide a competitive quote, which can be negotiated until the agreement which is beneficial to both the parties
The system should allow negotiation for product cost & for shipping cost or alternative product idea. But this process should not be time-consuming & a quick turnaround is needed.
So a versatile Enquiry, Quote & Negotiation quote to order system should be in place.
The system should be able to handle per customer credit and the credit limits. If this can be implemented wisely then it will be very beneficial for your business.
In B2B, shipping options and pricing and management of both is very crucial. Your shipping management should be such that it provides optimized shipping cost considering various scenarios. As per some reports, improper shipping methods or high shipping cost can result in above 20% abandoned carts. The shipping matrix that is formed is much complex than that of B2C.
The matrix formed should be such that it is profitable to both buyer and seller. Many a time POA (Price on Application) is needed for shipping. The seller might give quotation for shipping while quoting for products. This proposition of dynamic shipping can result in greater profitability for both parties.
4) ERP Integration :
The concept of integrating ERP with the Magento B2B portal has turned out to be quite beneficial for business owners. The benefits of Integrating ERP is innumerable. For starters, it makes the business process optimized and efficient thus saving your lots and lots of time and energy.
With help of cloud-based solutions, Integrated ERP can reduce the physical distance between your business locations to zero.
The purpose of ERP integration is to make the data flow from one system to another within a business. The data structure varies system to system and it is then challenging to integrate two or more system. It makes integration more crucial and needs to handle integration more properly while mapping Magento’s attributes with attributes of the ERP module.
5) Customer (Wholesaler) Registration :
Registering a customer in a B2B is a whole lot different process than that in B2C. It requires much more details and attachments to cover due diligence. The verification process should be in place so that only the right people have access to your prices and products.
6) Permission for CMS at the customer group level :
A scenario might come where you have few customer groups (eg. Retailer, wholesaler etc.) and there are certain CMS pages that are group specific. The permissions on these pages need to be set according to the customer group. This helps in segregation of information that you want to let out.
Another factor that decreases the conversion rates is ‘not able to find the right product’. If you are able to land your customer on the right product page with fewer efforts then the chances of converting your customer’s visit into a purchase become high. A Good navigation system also benefits your business by being able to view other related products. The web usability concept in design and development always help the customer to easily navigate throughout the website and find the desired product. This also increases the flawless trading on the website.
This case will specially be helpful in B2B.
8) Tax Configuration and Tax compliance :
The taxation rules are always simpler when selling to end customer as they are the ultimate taxpayers. But in the case of B2B, the policy changes. For a business owner who is selling to a retailer or wholesaler or any other kind of reseller need to produce different documents for Tax compliance.
9) MultiWare house :
A business with multiware house always faces below problems while they sell products online and they do not have a proper multiware house management system. B2B business web store owners with multiware houses are always surrounded with below questions:
- How to distribute inventory among different warehouses?
- How to assign warehouses to store views and customer groups?
- How to make a warehouse selection based on the shipping location of the customer?
- How to set custom shipping methods and rates?
- How to Separate orders from different warehouses?
There are various solutions available for managing multiwarehouse that can make your management hassle free.
10) Integration with Marketplace :
One another take on the B2B model is Marketplace wherein Multiple sellers can sell their items on one website and transactions are processed by the marketplace operator. There are many extensions available in Magento Marketplace which help Magento 2 store owners to have their own Marketplace website. We can always have a few customizations to meet a very specific business need.
11) Customer sub-user account – Roles and Permissions:
The customer of your web-store is a single person or two in case of B2C. But when we are dealing with B2B, the customer is usually a company or a firm with the number of employees.
The same rules can be applied to the customer as it is applied to Store owner of a website.
The head of the firm (customer) would also like to distribute all permissions that they have as a customer within the firm.
12) Customer Account Information :
In B2B, the frequency at which a particular customer buys is very high when compared to a B2C customer.
The use of payment terms as advance and credit is highly probable which is not the case in B2C. Therefore the need to manage such accounting information arises.
13) Product Types :
There can be different product types a B2B business may have. Those can be :
This different product type gives you the power of variation and ease of manageability.
14) Other business strategies :
A few logical concepts that can boost your B2B business can be summarized as follows:
- Call to action: It is one of the concepts that is mostly neglected but when used in the right way can give a lift to your conversion rate. It should be to the point and interactive.
B2B client needs many more details compared to B2C as there per order values is much higher. Provisions & availability of images, videos & pdf will help the client take a more informative decision.
- Speed optimization is a critical need for time. Whether its B2B or B2C, if its loading time is not less enough, you might end up losing your customer before actually showing what you got.
- Request a call back is always a good strategy as it let you interact with your customer directly.
This represents the brief introduction to the B2B solution. Features can be carefully selected and customized to meet the unique requirement of each business.