Business-to-Business
B2B (Business-to-Business) refers to commercial transactions where one business sells products or services to another business, rather than to individual consumers (B2C). B2B transactions typically involve:
- Larger order volumes
- Longer sales cycles
- Contract-based relationships
- Negotiated pricing & bulk discounts
Types of B2B Businesses in Canada
1. Wholesale & Distribution
- Businesses sell products in bulk to retailers or other businesses.
- Examples:
- Food & beverage distributors (e.g., Sysco Canada)
- Industrial equipment suppliers (e.g., Grainger Canada)
- Electronics wholesalers
2. Manufacturing & Supply Chain
- Companies supply raw materials, components, or finished goods to other manufacturers.
- Examples:
- Auto parts suppliers (e.g., Magna International)
- Chemical & material suppliers (e.g., BASF Canada)
3. Software & Technology (B2B SaaS)
- Businesses sell software, cloud services, or IT solutions to other companies.
- Examples:
- Shopify (e-commerce platform for businesses)
- OpenText (enterprise information management)
- FreshBooks (accounting software for SMBs)
4. Professional & Financial Services
- Companies offer specialized services to other businesses.
- Examples:
- Accounting & legal firms (e.g., Deloitte Canada)
- Business consulting (e.g., McKinsey Canada)
- Payment processors (e.g., Moneris)
5. Marketing & Advertising Services
- Agencies provide digital marketing, branding, or ad services to businesses.
- Examples:
- Cossette (advertising agency)
- Hootsuite (social media management for businesses)
6. Logistics & Transportation
- Businesses provide shipping, warehousing, or freight services.
- Examples:
- Purolator (courier services)
- C.H. Robinson (supply chain & logistics)
7. HR & Staffing Solutions
- Companies offer recruitment, payroll, or outsourcing services.
- Examples:
- Randstad Canada (staffing agency)
- ADP Canada (payroll & HR services)
8. Industrial & Maintenance Services
- Businesses provide equipment servicing, facility management, or industrial supplies.
- Examples:
- Wajax (industrial equipment services)
- Reliance Home Comfort (HVAC for businesses)
Key B2B Sales Models in Canada
- Direct Sales (e.g., Salesforce teams, enterprise contracts)
- E-Commerce B2B (e.g., Amazon Business, Alibaba B2B)
- Subscription-Based (e.g., SaaS like Slack, Zoom)
- Marketplace Platforms (e.g., Faire for wholesale, ThomasNet for industrial supplies)
Why B2B is Big in Canada?
- Strong manufacturing, tech, and finance sectors.
- Government support for SMBs & startups.
- Growing demand for cloud computing, AI, and automation solutions.