Tighter budgets are extending the B2B purchase cycle

B2B Budgeting, , , ,

B2B buyers are sticking with the vendors they have and are more open to up-sell for the features they want, according to a new survey.


on August 7, 2023 

Tighter budgets are extending the B2B purchase cycle with buyers doing more research and looking for more ROI data, according to a new survey.


B2B buyers are contending with many new purchase processes, according to DemandGen’s 2023 B2B Buyer’s Survey. The top five new ones are:



  • Conducting a more detailed ROI analysis (38%)
  • Spending more time researching purchase decisions (31%) 
  • Altering decision timelines based on changing business needs/priorities (24%)
  • Spending more time using social media to research vendors and solutions (24%)
  • Relying more on peer recommendations/review sites (23%)

Why we care. It’s essential to understand all the parts of the buyer’s journey, especially when new parts are added. Buyers are also facing two conflicting imperatives as 31% say they’ve had to delay potential purchases due to budget freezes, but 29% have had to escalate some purchases due to changing business needs.


 


The good news. Customers want to do business with people they already know. The survey found a notable trend toward retention and cross-sell/up-sell plays, as prior experience with the vendor jumped from 25% in 2022 to 40% in 2023. This shows buyers are sticking with tried-and-true solutions to get deal with uncertainty and tighter budgets.


Methodology. The survey gathered insights from nearly 300 B2B buyers, who hold roles in marketing, IT, operations, sales, finance and more. In terms of revenue, 60% generated less than $ 100 million, 30% brought in between $ 100 million and $ 1 billion and 10% brought in more than $ 1 billion. 


The post Tighter budgets are extending the B2B purchase cycle appeared first on MarTech.

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About the author











Constantine von Hoffman is managing editor of MarTech. A veteran journalist, Con has covered business, finance, marketing and tech for CBSNews.com, Brandweek, CMO, and Inc. He has been city editor of the Boston Herald, news producer at NPR, and has written for Harvard Business Review, Boston Magazine, Sierra, and many other publications. He has also been a professional stand-up comedian, given talks at anime and gaming conventions on everything from My Neighbor Totoro to the history of dice and boardgames, and is author of the magical realist novel John Henry the Revelator. He lives in Boston with his wife, Jennifer, and either too many or too few dogs.

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