You’ve probably heard of BTB before, also known as B2B, since it’s one of the most commonly used economic terms. The acronym stands for business-to-business and refers to the transactions and connections made between two businesses or companies in order to expand their customer base.
According toBetter Marketing Hub, BTB is often misunderstood. So, in this article, we will break down what exactly BTB means, explain how using its marketing strategies can better business, and give a few examples!
Additional Forms of Business
In addition to BTB, there’s the concept of BTC, otherwise known as business-to-customer. Not to mention, BTG, which refers to business-to-government. Besides the difference in client-base, each one of these businesses utilizes different marketing channels and sales methodologies in order to drive revenue.
How Does BTB Work?
In short, BTB is a business model that focuses on working with other businesses in order to sell to more customers through additional channels. In other words, BTB is a marketing process where the strategy is designed to create more revenue by marketing to and through other businesses.
Such examples of BTB include:
- Business A provides raw materials for Business B to create products. For instance, Business A provides chips for Business B to create laptops.
- Business C hires Business D to help with insider operations. For instance, Business C hires an insurance company to take care of their personal car insurance policies.
- Business E resells goods that have been produced by Business F. For instance, Business E is an outlet store that buys and resells clothes to customers from Business F that failed the quality control inspection.
How to Maximize BTB Marketing Strategies During a Sale
Some companies are able to make extremely high profits by cooperating solely with other businesses, like in examples 1 and 2 above. However, relationships don’t just happen overnight. First, you need to develop a plan that involves how your company is going to gain the trust and interest of another brand.
Only once the relationship is strong enough can you discuss BTB strategies and begin working together.
It’s important to mention that nowadays there are so many ways to sell BTB products. Some companies still use more traditional marking tools, while others sell online through social media platforms, PPC, and search engine optimization. There is not one way to maximize sales. Instead, do your research on each of the different marketing strategies and select the method that most aligns with your business model and plan.
What Does BTB Mean for Your Company?
Of course, the first step is to create a business model for your company. The next step is to think about marketing strategies, which is where BTB comes in.
Using the BTB model can help you expand both your business and client base, which means more revenue and, consequently, more profit for your company!