Each industrial supply company -vendor- usually supplies specific products for special requirements or challenges. The industrial sales operation is all about this, to have the technical expertise and business knowledge in the related industry. There is also a significant disadvantage to specialize in a particular area; narrow customer base.
The challenge of industrial supply: High competition
Let me explain this with an example. A Laptop bag is a general consumer product. The target market is all laptop owners suitable for the producer’s quality range. In contrast, a diesel engine is an industrial supply product in B2B markets. The target market is industrial facilities that use an engine as a part of the machines they manufacture. Now please think; How many laptop users live in your city? Well, how many machine manufacturers are there? I know that I have given an extreme example to explain the point, but that is the case.
Industrial markets are narrow-scoped structures, and you can only operate within a limited frame. Your products and business perspective do not appeal to the general consumer segment. Your customers are specific, just like your products. This specificity means a narrow customer base, which causes high competition in your target markets. You must differentiate from your competitors in the products and solutions offered to succeed. This is the only way to accomplish customer acquisition.
Customer service is the key of supply business
Industrial supply companies have a broad range of competitors, ranging from tiny enterprises with in-depth knowledge of their local market to major national corporations with considerable financial power. Given that each of these businesses sells the similar products, difference in the customer experience and service is critical to their survival.
No place for emotions in industrial supply
No company purchases products with emotional decisions like consumers. As an industrial sales expert, carefully analyze what is truly important to the procurement team and their organization. If you can’t differentiate your products, create a distinction with the excellent customer satisfaction you offer.
Customers need to have confidence in your company and your products to place an order. They need to believe with no doubt that you will provide the product they need in the best way possible. To sustain this belief and trust, you must convince the profitable customers that your corporation will provide the proper solutions they require.
The challenge of industrial supply: Complicated products
The purchasing process’s complexity is due to products sold in industrial B2B markets are complex. That’s why industrial supply companies -aka vendors- should be competent about the features of their products; to match them with customer requirements precisely.
Some industrial products —goods or services— may be modified according to customer requirements. The reason for modification requirements is that purchased products are often integrated into more comprehensive and unique systems. As an industrial B2B sales expert, perform detailed analyses with your technical team and suggest some modifications if necessary. Customer’s purchasing decision sometimes depends on your modification skills.
Differentiating in the industrial supply business
Industrial supply businesses can differentiate themselves through several factors. Three of the most significant points are as follows:
1. Having a stock of diverse scope and variety of products
This is not simple, as there are probably thousands of specific industrial products. Moreover, many of these products demand a significant investment in inventory and distribution centers to house this huge product stock.
2. Knowledge of customers’ industrial applications on a specialized level
It is one thing to supply a product; it is quite another to know how clients develop their finished products or materials to provide them with an informed product recommendation.
3. Ensuring customer satisfaction
Industrial customers have numerous options. Was the customer service representative pleasant? Did they transcribe all of the necessary information over the phone? Were all of the products requested in a single box and delivered to the specified location on time? A few responses can simplify the decision-making process of industrial purchasing.