Overcome the B-to-B E-Commerce Challenge by Thinking B-to-C

• Segmentation: When designed to complement a company's channel objectives while reflecting meaningful differentiations within the customer base, product segmentation can be a useful tool in maintaining channel harmony, even amid the transparency and information flow made possible by the internet. Are there certain segments of customers, for example, who value customized versions of a software product? Do some value the attention of a dedicated support team? Some customers may want the flexibility of a "no obligation" contract while others are comfortable locking into a five-year agreement in exchange for a lower initial purchase price.
• Meaningful incentive programs: Commissions, bonuses and other performance incentives should be structured to motivate traditional channels without undercutting the direct online channel. Some companies, for example, offer their third-party channel partners attractive commissions for renewals, even if the customer was first acquired through the direct sales avenue. This alleviates the high cost of initial customer acquisition for the channel partner, while benefiting the company through a higher renewal rate than could be achieved through the direct channel alone.
• Education and training: Educating and training distributors, value-added resellers and inside sales groups on how the direct and indirect channels can co-exist can help participants in indirect channels better understand the functions and features of the direct channel and how it can help them in their jobs. In fact, many indirect channel participants come to view the direct channel as an asset in terms of information and research with this approach.
• Stakeholder engagement: Engage the appropriate stakeholders from your organization early and often in conversations about the benefits of channel harmony. This proactive and open approach can make a huge difference in acceptance and evangelism regarding direct channels. Once a sales professional or reseller understands how an e-commerce site can help them close more sales and earn higher commissions, passive resistance can flip to active and enthusiastic support.

There's little doubt that even though B-to-B e-commerce has so far lagged behind the evolution of its B-to-C counterpart, it will inevitably and rapidly penetrate most industries and business models. Faced with internal and external pressures to better serve their customers, control costs and improve margins, companies will look fervently to adapt many of the techniques, technologies and tools that have made purchasing B-to-C products and services online a rich and seamless experience.