The below figure shows that the business buying process has eight stages. All buyers go through this stage. Show  See the figure:- Here, you’ll find eight major steps of the business buying process. Usually, a new buyer goes through these stages. Buyers may make straight, modified, contrast purchasing decisions. Now, we’re going to examine these eight stages. 1. Problem recognition: The buying starts when a person recognizes a problem or need. He wants a product that can meet this need. This is called problem reorganization. This can result from internal or external factors. Internally, a company decides to launch a new product. To do this, a company needs new raw materials, equipment, extra labor and capital, new suppliers, and selects a person as a manager who will look after the whole production. But externally, buyers may have some new experiences after watching TV ads or sales calls, product reviews, or offering a lower price. In showing advertising, marketers want to alert customers about the problem and after then they also show how their products solve the problem. 2. General needs description: After recognizing a need, general needs description is the next step. It describes the characteristics and quality of the items. The expert team tries to improve durability, price, reliability, core value, and other attributes. 3. Product specification: Next the organization develops product specifications with the help of an engineering team. Cost reduction is an important issue in this product specification. That’s why the team carefully redesigned, standardized or adopts less costly methods and decides the best characteristics of the product. 4. Supplier search: In this stage, a buyer wants the best supplier. Buyers can make a short list of qualified suppliers, search on Google, and watch a review on YouTube, by contracting them. Today, Internet technology brings a revolutionary change in finding information. Small suppliers also get facilities having internet. 5. Proposal solicitation: In this stage, the buyer invites qualified suppliers to submit their proposals. Some suppliers offer their sample of the product to the buyer; refer to their websites or promotional materials. If the product is expensive then the suppliers show a presentation of their product. 6. Supplier selection: Here, the buyer reviews the supplier’s proposals and selects the best one among them. In this selection, the members make a list of desired supplier attributes and their importance. These attributes are product quality, images, reputation, delivery systems, ethical corporate behavior, honesty, and competitive prices. Then the buyer rates all suppliers and chooses the best one. 7. Order-routine specification: In this business buying process, the buyer prepares a formal written order for the chosen suppliers. It is known as an order-routine specification. This routine order contains technical specifications, quantity, quality, delivery time, return policies, warranties, maintenance, repair, operation, etc. 8. Performance review: Here, the buyer reviews the supplier’s whole performance. The buyer asks their users about the products and services and requests them to rate their satisfaction. The performance review helps the buyer to take any decision to continue the business or modify or drop. The seller ensures the buyer about the expected satisfaction. In all, this is a simple view of the eight stages of the business buying process. However, the real process is much more complex than this one. Straight re-buy, modified re-buy, new task, in contrast, buying situation has unique requirements. The business buying process is quite different from the consumer buying process. Because in this case the business market is involved in a different set of characteristics and demands. The companies doing business in business markets adopt separate marketing strategies.There are a few basic concepts that should be discussed. Before going into detail about the business buying process. Business MarketAll the businesses that purchase goods or services. Particularly to modify them for the purpose of reselling are collectively called the business market. Business markets have derived demand that basically originates from consumer demand. Buying Situation in Business MarketsThe following are the three types of business buying situations:
In this situation, the previous routine order is made by one business without any modifications.
In this case, a certain business wants to modify its order in respect of specification of the product. Along with its price or terms, etc. Hence this requires more participants in the decision-making process.
When a business buys a specific product or service for the first time. Then this case is called new task buying. Participants of Business Buying ProcessThe following are the five participants that may be involved in the Business Buying Process:
Steps of Business Buying ProcessThe business buying process is split into eight stages. So the new task buying contains all of these steps. Whereas the straight or modified re-buy may skip some of them. These stages are as follows:
Problem RecognitionIn the first stage of the business buying process. A certain problem is recognized by someone in the organization. So that it can be solved through the purchase of any new product or service. Therefore the external or internal stimuli result in the creation of such a recognized problem. In the case of internal stimuli. The management of the organization may determine to manufacture a new product. Nor any production machine becomes damaged that needs certain new parts. Another internal reason may be that the supplier is not providing effective goods at a fair price. On the other hand, the external elements may be in the form of any new idea of a product. Even at a trade show or seeing new advertisements. Nor any favorable offering by a salesperson, etc. Description of General NeedThis stage starts when a clear need has been identified by the organization. In this step description about the general need has been prepared. That shows general characteristics and the quantity of the required product. In the case of simple items, this process is linear. Whereas in the case of complex items in the process involves. A team of buyers, engineers, and other professionals. Basically who work together to agree on the desired product. The significance of reliability, price, durability, and other features are ranked. In fact for the desired product or service by the team. Specification of the ProductIn this stage, the organization that is involved in the business buying process. Actually prepares a detailed list of the technical specifications of the desired product. Through value analysis conducted by the engineering team. In value analysis, careful studies are made to determine the cost reduction production process. Particularly for the redesigning or standardization of the desired product or service. So the professional team covers the best features and characteristics required in purchasing the product. Therefore the selling organizations can also use this step to increase their sales. Search of SupplierIn this step of the business buying process, the buying organization searches the suppliers. In order to make a purchase with the best one. For this purpose, a list of competitive vendors is prepared by the buying organization through the use of supplier directories. Also the aid of a computer (internet), or contacting other organizations for obtaining recommended names. The internet is increasingly becoming a platform for such searching. Nowadays as most of the organizations are entering into this virtual world. In the case of buying new and expensive products. So the more time is consumed in searching for suitable suppliers. That can best meet the specifications of the required product. The suppliers should keep themselves enrolled in the relative directories. Just to make their good reputation in the market. Moreover, the salesperson should also target the supplier searching organizations in the business market. Proposal SolicitationIn this stage, the suppliers are asked to submit their proposals. In some cases, some suppliers send only their salespersons or simple catalogs. However, when the desired product is more expensive and complex. Than proper formal presentations and detailed written proposals are required from the qualified suppliers. So the marketers of business organizations should also be skillful in writing. As well as in presentation of business proposals to the buying organizations. Selection of SupplierAt this stage, the final supplier is selected from the list of potential suppliers. Who have submitted their proposals to the buying organization. So the selection team of the buying organization reviews the proposals of all suppliers. Also lists the offered attributes on the basis of the rank of importance. So following are some of the main attributes that serve as the basis for the selection of potential suppliers.
Order-Routine SpecificationThe order-routine specifications are prepared in this step. Actually which contains the order having a final list of the specifications, the selected supplier. Also delivery time, quantity required, price and repair and maintenance services, etc. Performance ReviewThis is the last stage of the business buying process in which the performance of the supplier is reviewed by the buying organization. For this purpose the buying organization contacts the customers. As well as users of the purchased product and asks them to provide their experience of using that product. Mainly the Consumer Behavior or the satisfaction level of users serves as the basis of the performance reviewing factor. Particularly for the product purchased from business suppliers. So the performance review helps in the future decisions of the business buying process. Specifically in the form of straight re-buy, modified re-buy, or new task buying. Therefore the selling organization also takes into account the same factors. That would affect the performance review by the buying organization.
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