This document discusses organizational buyer behavior and is presented by Dr. Brian Monger through MAANZ International. It outlines that organizational buyers differ from consumers in that they are influenced by their organization's demands. Organizational purchases involve multiple roles in a buying center and a more formalized process. Key factors that distinguish organizational from consumer buying include specialized roles, formal processes, increased accountability, and consideration of budgets and long-term impacts on the organization. Decision criteria for organizational purchases include performance, economic, integrative, adaptive, and legal factors. Emotional factors like habit and fear also influence organizational decisions.

1. Organisational (B2B) Buyer Behaviour
Dr Brian Monger
Copyright April 2013.
This Power Point program and the associated documents remain the intellectual property and the
copyright of the author and of The Marketing Association of Australia and New Zealand Inc. These
notes may be used only for personal study Persons and/or corporations wishing to use these notes for any
other purpose should contact MAANZ for written permission.
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2. MAANZ International
• MAANZ International, is a Not for Profit, internet based
professional and educational institute which has operated for
over 25 years.
• MAANZ International offers Professional Memberships;
• Marketing Courses (Formal and Short)
• And Marketing Publications
• www.marketing.org.au
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3. Dr. Brian Monger
• Brian Monger is the CEO of MAANZ International and a Professional marketer
and consultant with over 40 years experience.
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4. Organisational Buyer Behaviour
Many marketers who work in the organisational area will
testify that dealing with organisational buyers is quite unlike
dealing with the end‐user of the product.
• The organisational buyer is often seen as being more
rational and dispassionate; more professional and business‐
like than consumers.
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5. Organisational Buyer Behaviour
• Business and organisational customers are any buyers who
purchase :
• for resale
• or
• to produce goods or services
• Business and organisational customers purchase products for
their own consumption ‐ like any individual consumer
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6. Organisational Buyer Behaviour
• Organisations make purchases to satisfy needs
• Business buying motives are presumed to be rational
• Their buying goal is to achieve the optimal combination of
value, price, quality and service
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7. Organisational Buyers
• Organisational buyer behaviour differs from consumer buyer
behaviour.
• The primary difference is that the business buyer is
significantly influenced by the demands of the organisation.
• Organisational buyers are human and therefore will exhibit
similar behaviours to consumers when purchasing.
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8. Characteristics that differentiate business
and consumer buyers include:
• Role Specialisation • Tasks
• Formulised Process • New Purchase
• Increased Decision • Modified Rebuy
Accountability
• Straight Rebuy
• Complexity Of
Requirements
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9. Organisational Buying Centre Roles
• Initiators
• Users and Maintainers
• Gatekeepers
• Influencers
• Deciders
• Buyers
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10. Elements Distinguishing Business and Non‐
Business Buying Contexts
• Generally, the organisational context is far more rational,
formal and inflexible than the consumer – non‐business
context.
• Unlike ordinary consumers, organisational buyers must
consider offers and make purchases inside fairly rigid
organisational rules and structures.
• The formal constraints of commercial interviews gives them
a sharper focus than those involving non‐business prospects.
The commercial form of the meeting is fairly clear‐cut.
Many organisations issue strict guidelines concerning the
form and content of sales presentations.
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11. Elements Distinguishing Business and Non‐
Business Buying Contexts
• Due largely to the sharper focus and organisational
structures, time is more critical in organisational
presentations than in supplier‐ consumer transactions.
• They tend to take a longer term and wider view than
personal buyer/users
• Traders accept or reject, largely on the basis of their
assessments of how their customers will respond to their
resultant value offers.
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12. Elements Distinguishing Business and Non‐
Business Buying Contexts
• Merchants must estimate the resaleability and profitability
of consumption goods in terms of their cost to them and
their final users. Organisational buyers must also account for
the profitability of inputs, their capacity to lower costs,
generate sales, and so forth.
• Organisational purchases are made within (or in close
relation to) definite, clearly comprehended, budgetary
limits.
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13. Basic Buying Decision Criteria
1. Performance Criteria
2. Economic Criteria
3. Integrative Criteria
4. Adaptive Criteria
5. Legalistic Criteria
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14. Organisational Buying Motives
• Seven emotional factors which are highly important in
preparing organisation to organisation marketing.
• 1. Habit, complacency, inertia.
• 2. Fear of decision.
• 3. Security
• 4. Laziness.
• 5. The gambling instinct
• 6. Fear of being left behind.
• 7. Status.
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15. Organisational Buyer Behaviour
• Decision making may be likened to that of limited problem
solving of the consumer and the "shopping" product
category and similarly the organisational buyer may take a
modest amount of time, rely on some existing information
and experience with some further search undertaken.
Specification may be redesigned and reference checking and
performance review may be utilised.
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16. • For more information about MAANZ International and articles about Marketing,
visit:
• www.marketing.org.au
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• Link to this site ‐ ‐ http://www.slideshare.net/bmonger for further presentations
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