Features of organizational buying

Features of organizational buying

What is organizational buying/selling?
Companies need different materials, equipments, services or products to maintain their activity. We talk about business to business or industrial marketing when:
-    a manufacturer sells to another manufacturer, for ex. Equipments
-    a manufacturer sells to a trader
-    or a trader (en-gross) sells to a retailer.
Reporting to consumer goods selling this business is usually more quite, almost invisible for large public. Anyway there is about fat cash.
What are the main features?
-    big volume and fat cash
-    industrial equipments, machines or products for reselling
-    low number of buyers, but with great capacity
-    special services
-    intensive relationship between seller and buyer
-    professional procurement
-    large number of factors to influence decisions
-    the importance of sales forces
-    derived demand – it depends on consumer goods demand
-    unstable demand
-    geographical concentration of the buyers

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