SaaS

What Is a B2B Startup?

B2B startups focus specifically on developing solutions that address the needs and challenges of other companies. Everything from B2B product design to B2B startup marketing strategy is based around businesses as a target audience.

A B2B startup’s target market might include everything from small businesses to large enterprises, or even government agencies. Types of products and areas of focus can vary widely based on industry. Common types of B2B startups include:

• B2B fintech startups
• B2B ecommerce startups
• B2B SaaS startups
• B2B food startups
• B2B lending startups
• B2B logistic startups
• B2B healthcare startups
• B2B marketplace startups

What Is a B2C vs. B2B Startup?

The main difference between B2C and B2B startups is the type of customer they target. B2C startups focus on serving individual consumers, whereas B2B startups target other enterprises.

Additionally, B2C startups usually offer less customization in favor of a convenient product that’s ready to use straight off the shelf. This presents B2C customers with a relatively quick and straightforward choice: either purchase the product as-is or search for an alternative solution.

In contrast, B2B sales processes are usually much more complex because the product represents a significant investment for the client. For example, B2B software startups and other B2B tech startups often design comprehensive software platforms that serve critical, integrated functions for very large enterprises. It’s typical for the decision process to include multiple stakeholders and possibly involve numerous customizations, resulting in a longer sales cycle. 

• An example of a B2C startup is Eight Sleep, which promotes healthier sleep through its line of consumer-focused products designed to automatically regulate sleeping temperature throughout the night.
• An example of a B2B startup is Brex, which creates corporate payment cards and other financial tools to help companies manage expense tracking, bill payments, compliance reporting, and more.

How Do I Get My First B2B Clients?

Attracting your first few B2B clients is one of the most crucial hurdles of early B2B startup growth. Here are a few ways that fast growing B2B startups stimulate early adoption:

1. Know Your Ideal Client

Just like any kind of startup, B2B startup founders need to identify their ideal customer profiles as early as possible. Understanding the common characteristics and pain points of the key decision makers at your B2B startup’s target organizations is vital for gaining early traction.

2. Leverage Your Personal Network

Your personal network can be an excellent starting point for acquiring early B2B clients. Even if your first client isn’t among your current network, the person who can introduce you to your first client might be.

3. Create Content

Content marketing is one of the most reliable strategies for attracting B2B clients. By creating valuable and informative content like blog posts, case studies, or tutorial videos, your B2B startup can demonstrate thought leadership and establish credibility.

4. Optimize Your Website for Search Engines

Effective search engine optimization (SEO) ensures that potential clients are able to find your content when they search for relevant information online. You can improve your web pages’ search engine rankings with SEO tactics like keyword research, meta tags, and smart link-building.

5. Connect on Social Media

Social media is one of the best places for B2B startups to connect with potential clients. By sharing content on the social media channels preferred by your ideal clients, you can attract more engagement from B2B prospects in your target market.

6. Make the Most of Your First 50 Sales

Your first few sales are critical, not only because they represent your startup’s first bit of real traction, but also because your earliest sales provide invaluable information that will help you optimize your product and sales process. It’s generally best practice to make your first 50 sales manually so you can take full advantage of the opportunity for direct feedback from customers regarding their pain points and reasons for purchasing.

What Can a B2B Startup Mentor Do for You?

A mentor with B2B experience is one of your most valuable resources as you build your own B2B startup. A mentor can offer guidance that’s based on firsthand industry knowledge and use the insights they’ve gained throughout their own careers to steer your B2B enterprise in the right direction. They can also help you sidestep the common pitfalls that have caused many inexperienced founders to stumble. 

• Feedback and validation: A mentor can provide objective feedback to help you validate your B2B startup ideas. They can use their experience in B2B markets to guide you as you learn how to start a B2B startup and navigate your competitive position.
• Goal setting and strategic planning: A B2B mentor may also have experience developing B2B sales strategies for startups like yours — they can use this experience to provide expert advice as you hone your own strategy for marketing and selling your B2B products.
• Motivation and emotional support: Entrepreneurship can be emotionally challenging, and having an empathetic mentor who understands the journey makes all the difference. The best mentors can offer encouragement during these difficult moments by sharing advice based on their own experiences dealing with stress and setbacks.

Mentorcam’s B2B startup mentors come from a wide variety of backgrounds — you’ll find successful B2B entrepreneurs as well as seasoned B2B investors who are ready to share their insights with you to help your B2B startup flourish.

Related areas of interest: Product Development, Fundraising