As retailers gear up for a busy 2024, the focus is shifting towards corporate buyers who wield significant purchasing power. In a TotalRetail feature, Brandon Spear, CEO of TreviPay, unveils a winning strategy to increase B2B retail sales by catering to the unique needs of business buyers.
E-commerce is expected to continue its double-digit growth through 2027, making it a key driver for retailers. Business buyers, already accustomed to shopping habits as consumers using corporate cards for business purchases, present an untapped opportunity for retailers to build business loyalty and drive repeat purchases.
The article highlights the importance of choice in building B2B buyer loyalty. While retailers are well-versed in loyalty practices for B2C customers, the needs of business buyers are more technical. Recent research reveals that 72% of global business buyers are more loyal to retailers offering their preferred payment methods, emphasizing the significance of ease in conducting business transactions.
According to a study of 300 global business buyers, 95% use their corporate credit cards monthly, with an average ticket total of $20,800. However, for larger purchases, trade credit is preferred by 59% of business buyers.
Implementing automated trade credit is essential to ease the business buying process. While setting up an internal DIY process may seem tempting, Spear advises against it. The nuanced process involves vetting customers, loan underwriting, invoicing and collections, making it challenging without experience and advanced technology.
Spear emphasizes the importance of automation in offering efficient trade credit. Manual processes are prone to errors, slow and don’t scale quickly. Retailers looking to increase B2B sales should invest in a B2B payments and invoicing platform that can vet customers, extend trade credit offers quickly, and handle invoicing, dunning, and collections seamlessly.