1. 11 Business-to-Business Marketing Industrat Results and Summary Haas School of Business UC Berkeley Fall 2008 Week 15 Zsolt Katona

2. Industrat Stock Prices

3. Net Marketing Contribution

4. Prediction Market 1. Rags 27412 2. Ariel 26035 3. Vandita 23329

5. Cost/Sales

6. Buying Process

7. Instrumentation

8. Consumer

9. Korex by End Product

10. Sales Force Allocation on General Manager

11. Korex Market Shares

12. Korex Market Shares - Instrumentation

13. Korex Market Shares - Consumer

14. Product Positioning

15. Korex vs. Lomex

16. Lomex

17. R&D Investments Period 2: Firm 4 invest 4M alone LOMEX Period 3: Firm 5 joins them: go up to 12M total Period 3: Firms 1 and 3 joint investment: 5M in LOMEX Period 4: Firms 4 and 5 get LOMEX (14M total) Period 5: Firms 1 and 3 get LOMEX (14.25M total) Period 6: Firm 3 invest in TECH 4 Period 7: Firm 3 gets TECH 4

18. Lomex Market Share

19. Lomex Buying Behavior

20. Sales Force Allocation on General Manager

21. Conclusion Not only product attributes matter Understand decision makers Investment in people vs. technology R&D alliances are crucial

22. B2B Marketing - Takeaway Differences between B2B and B2C - Fewer, larger customers/transactions - Importance of Process and Relationship Benefits - Customer is an organization (DMP, DMU) - More complex products - Importance of alliances Typical B2B areas - Sales force management - Key account management

23. B2B Marketing - Takeaway Differences between B2B and B2C - Fewer, larger customers/transactions - Importance of Process and Relationship Benefits - Customer is an organization (DMP, DMU) - More complex products - Importance of alliances Typical B2B areas - Sales force management - Key account management

24. Implications Segmentation - Macro-segmentation - Micro-segmentation Pricing - Ideal point pricing (price is a signal) - Price is a contract (MFC, MCC, Take or pay) R&D and new products - Research and Development are separate - Co-development

25. Even More Implications Branding - Brand also includes process and relationship benefits - Pull strategy (Ingredient brands) Two-sided markets - At least one side is typically B2B - Consumer side is usually subsidized B2B and the Internet - Ecommerce is huge - Online advertising

26. Marketing Tools Funnel analysis Perceptual maps Conjoint analysis Response function analysis Delphi procedures Prediction markets