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ISBM Pulse: Curated B2B Research

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customer

Multichannel Strategies for Managing the Profitability of Business-to-Business Customers (Lawrence et al. 2019)

Companies selling to B2B customers face two key issues: managing the salesperson channel and managing the customer-specific discounts often utilized to drive sales. Companies must determine if customers using online channels would benefit from also being served using salesperson channels, or if utilizing salespeople in such a way would be a waste of valuable resources. Lawrence et al. (2019) provide compelling evidence that sellers gain approximately twice as much net profit from customers that have greater contact with salespeople. The interpersonal relationships that salespeople forge with buyers in the B2B context may bring forth positive financial outcomes.

social comparison

Social Comparison in Retailer–Supplier Relationships: Referent Discrepancy Effects (Lee and Griffith 2019)

While maintaining relationships between different parties proves imperative across business contexts, the task often becomes challenging in the business-to-business (B2B) domain. Perceptions of fairness in retailer-supplier relationships are a key issue in B2B relationships. Due to multiple suppliers often having active relationships with the same retailer, these perceptions can lead to conflicts. Recent research by Lee and Griffith (2019) studied the social comparisons that occurs, and focus on distributive fairness, reference discrepancies, and tie strength.

innovation

The Relative Effects of B2B (vs. B2C) Service Innovations on Firm Value (Dotzel and Shankar 2019)

As B2B firms increasingly become service-dominant in hopes of building lasting customer relationships, it becomes imperative to determine if the resources and expertise needed to implement B2B service innovations also create increased risk for B2B firms. The differences between customer and business markets find that the impact of service innovations varies across B2B and B2C domains.

Business-to-Business E-Negotiations and Influence Tactics (Singh et al. 2020)

Sales negotiation over email exchanges between sellers and buyers (e-negotiation) is increasingly common in B2B sales. The use of influential tactics as textual cues in emails to manage buyers’ attention significantly affects sales outcomes. To test the effectiveness of influential tactics in e-negotiations, the authors of this study analyze seller-buyer emails over a two-year period part of 40 e-negotiations, along with other data sources and a controlled experiment. In an era where remote working is more prevalent than ever, e-negotiations are more important than ever. It underscores the relevance of this research. 

wooden chair

Should a B2B Firm Have a Customer on the Board of Directors? (Bommaraju et al.)

One way to gain insight into their customers’ needs is to invite customers to have a seat on the board of directors. Based on a sample of 329 B2B firms in S&P 900 firms over nine-year period (2007-2015), Bommaraju et al. (2019) concluded that having a customer on the board of directors enhances customer orientation of firms and provides unique insights, especially when demand uncertainty is high.