What is the Online Percentages of Overall Sales in Top 10 Industries
- On August 31, 2023
- online sales percentage, online sales share
A client once asked us a very good question: how to balance marketing budget allocation online and offline? The real question hidden behind this sentence is, what percentage of the company’s overall sales revenue should online sales be reasonable? In other words, what ratio should be used to divide the marketing budget between online and offline sales?
This question is very critical for many businesses, because the development of the Internet is subverting the traditional marketing and sales model, and more and more consumers choose to shop online. Different industries may have different answers, but the growing trend of online sales determines that we need to gradually increase investment in online marketing in order to seize the dividends of the Internet.
Perhaps you have also wondered how these key ratios are displayed in your industry? Let’s explore together and awaken your inner insight.
A. The significance of studying the percentage of online sales to overall sales
In today’s digital age, the development of the business field is experiencing unprecedented revolutionary changes. B2B (Business-to-Business) and B2C (Business-to-Consumer) have become the two main categories of commercial exchanges. With the popularity of the Internet, online sales have gradually become an important part of these two business models.
1. Definition of B2B and B2C
B2B, or business-to-business, refers to a business transaction model in which one business sells a product or service to another. B2B transactions often involve large deals such as supply chain collaborations, wholesale and partnerships. B2C, or business-to-consumer, means that companies sell products or services directly to individual consumers, which is one of the most common forms of transactions in our daily lives.
2. B2B and B2C online sales are the same and different
Although B2B and B2C are different in terms of transaction objects, they have many things in common in terms of online sales. Whether it is B2B or B2C, they all rely on online platforms for sales and transactions, so as to achieve a wider market reach. However, B2B online sales usually focus on establishing long-term cooperative relationships, thus emphasizing the accuracy, trust and value of information. In contrast, B2C online sales focus more on personalized shopping experience, brand image and customer emotion.
3. The importance and influence of online sales in the business field
With the rise of digital technology, online sales have gradually become an integral part of the business world. It breaks geographic restrictions and enables businesses to reach global markets. Through online sales, enterprises can achieve more efficient market positioning, accurate target customer marketing, and more flexible supply chain management. In addition, online sales also provide businesses with a wealth of data and analytics that help them better understand market trends and consumer behavior to optimize business decisions.
4. The importance of the seven major economies of China, the United States, the United Kingdom, Germany, France, Japan, and South Korea in the development of the global economy
These seven largest economies represent the key drivers of the global economy. Internet sales play a pivotal role in the economies of these countries and regions. For example, China is one of the largest e-commerce markets in the world, and its huge B2B and B2C online sales scale has a profound impact on the global market. The United States is in a leading position in technological innovation and consumer culture, and its B2C online sales occupy an important position in the world.
In addition to China and the United States, the United Kingdom, with its dual roles as a financial center and an innovation engine, has a profound impact on the global economy. Known for its manufacturing strength and high-quality products, Germany is the manufacturing engine of Europe and the world. France plays an important role in cultural and creative industries and international influence, and is a representative of soft power. Japan has attracted much attention for its technological innovation, high-end manufacturing and global brand influence. With the rise of electronics, automobile and other industries, South Korea has become an important promoter of global technology and innovation.
5. The percentage of online sales provides a basis for the formulation of online marketing strategies
Understanding the percentage of online sales in overall sales is critical to developing an effective online marketing strategy. The sales ratios of different industries and regions vary greatly, so understanding these data can help companies better allocate resources and choose appropriate marketing channels to meet the needs of the target market to the greatest extent. The percentage of online sales can also predict future trends for enterprises, make early adjustments, and maintain a competitive advantage.
B. Percentage of online sales in the B2B industry
In the commercial field, online sales in the B2B industry are gradually becoming an important means of business growth and market expansion. The active exploration and practice of these top ten B2B industries in online sales has not only promoted the digital transformation within the enterprise, but also promoted the integration and cooperation of global businesses. Online sales are becoming one of the key factors for these industries to achieve sustainable growth across geographical and cultural constraints.
1. Top ten B2B industries
- Industrial automation: The field of industrial automation focuses on efficiency and production optimization, and online sales provide enterprises with a quick way to obtain equipment and solutions.
- Machinery and equipment manufacturing: The machinery and equipment manufacturing industry expands market reach through online sales, and at the same time provides customers with customized solutions.
- Medical equipment: The medical equipment industry has strengthened the global distribution of medical devices and equipment with the help of online sales, meeting the needs of medical institutions and professionals.
- Chemical raw materials: Raw material suppliers in the chemical industry sell through the Internet to connect manufacturers more efficiently and promote the supply chain of chemical products.
- Electronic components: The complexity of the electronic components industry requires efficient supply chain management, and online sales play a key role in this regard.
- Food additives: In the food industry, suppliers of food additives have realized the exploration and expansion of the global market through online sales.
- Pesticides: The pesticide industry has expanded the sales channels in the field of agricultural product protection through online sales, and at the same time provides agricultural solutions.
- Lighting equipment: The lighting equipment industry better meets the needs of commercial and residential areas for lighting solutions through online sales.
- Logistics: Internet sales in the logistics industry play a key role in providing global freight, warehousing and distribution solutions.
- Building materials: The building materials industry showcased various building materials through online sales, which promoted the innovation and development of the construction industry.
2. The main channel of B2B online sales in China and the United States
As the world’s two largest economies, China and the United States play an important role in the field of B2B (business-to-business) online sales.
Main channels of B2B online sales in China:
- E-commerce platforms: China has well-known e-commerce platforms such as Alibaba’s 1688 and AliExpress, which provide suppliers and buyers with a large digital marketplace for communication and transactions.
- Industry-specific platforms: In China, some industry-specific professional platforms are also important B2B sales channels, such as the Chemical Star website in the chemical industry, which provides accurate connections between buyers and sellers in specific fields.
- Social media: WeChat, Weibo and other social media also play an important role in China’s business sector. Companies can display products, build relationships, and even conduct online transactions through these platforms.
Main channels of B2B online sales in the United States:
- B2B e-commerce platforms: There are many B2B e-commerce platforms in the United States, such as Amazon Business and eBay for Business, which provide online sales and procurement platforms for enterprises.
- Industry portals: Many industries in the United States have dedicated portals, such as ThomasNet for the manufacturing industry. These websites provide information on products and suppliers and help companies find partners.
- Social professional online: LinkedIn and other social professional online play an important role in the B2B field in the United States. Enterprises can establish business contacts by establishing professional profiles and joining industry groups.
3. Among the seven largest economies in the world, the percentage of online sales in the top ten B2B industries
Data source: Summary of national industry analysis reports from 2020 to 2022.
4. Important conclusions drawn from the percentage of B2B online sales in seven major economies
- On the whole, the Internet market share in developed countries is significantly higher than that in China. Among them, South Korea has a higher percentage of online channels in most industries than developed countries.
- Within developed countries, there are also certain differences in the utilization rate of Internet channels. Taking the medical equipment industry as an example, the United States has the highest percentage of online channels, reaching 32%, while Japan only has 15%.
- From the perspective of industry structure, the electronic components and logistics industries have the highest utilization rate of online channels, both exceeding 30%. The pesticide and food additive industry is relatively low, at about 10%.
- There is still a certain gap between China’s online channel utilization rate and developed countries. The average percentage of 10 industries is 15%, which is lower than the average level of about 20% in developed countries.
- However, from the trend point of view, the percentage of Internet channels in various industries in China is continuously increasing, and may gradually catch up with the level of developed countries in the future.
The degree of networking in the B2B industry is closely related to the level of development of the country and industry. Developed countries generally have a higher utilization rate of online channels, and China has room for further improvement. Industry differences are also evident. This will help enterprises to more accurately grasp the status quo and development potential of online channels in the B2B field.
C. Percentage of online sales in the B2C industry
In the B2C industry, online sales are rapidly changing the way consumers shop, providing companies with more direct and convenient opportunities to interact with customers. Among these top ten B2C industries, online sales are continuously expanding consumers’ shopping experience, creating greater market and development opportunities for enterprises. With the continuous advancement of technology, B2C online sales will continue to lead the new interaction mode between business and consumers.
1. Top ten B2C industries
- Clothing: Through online sales, clothing brands can reach consumers more widely and provide a fashionable shopping experience, becoming one of the pioneers of B2C online sales.
- Cosmetics: The cosmetics industry uses online sales to deliver beauty products directly to consumers, while providing makeup tips and skin care advice online.
- Maternal and baby products: Internet sales provide a convenient purchase channel for maternal and baby products, meet the daily needs of families, and provide valuable information for parents.
- Furniture: The furniture industry sells through the Internet, showing various home designs, so that consumers can make purchases without going out.
- Food and beverage: Online food and beverage sales provide consumers with a convenient way to purchase ingredients, and at the same time promote cross-regional sales of specialty foods.
- Digital electronic products: The rapid update of digital products and consumers’ pursuit of technology make online sales one of the main sales channels for digital electronic products.
- Medicines and health products: online sales provide consumers with a convenient way to purchase medicines and health products, and at the same time enhance consumers’ access to product information.
- Automobile: The automobile industry provides consumers with more comprehensive car purchase information through online display of models, configurations and prices, thereby influencing car purchase decisions.
- Books and audiovisuals: Internet sales have promoted the digital sales of media products such as books, music and movies, enabling consumers to easily access content.
- Hotel travel: Online booking platforms make it easier to compare and obtain services in the hotel and travel industries, providing consumers with personalized travel experiences.
2. Main channels of B2C online sales
China and the United States are one of the largest economies in the world, and B2C (business-to-consumer) online sales play an important role in it.
Main channels of B2C online sales in China:
- E-commerce platforms: China has well-known e-commerce platforms such as Taobao, JD.com, and Tmall. These platforms provide consumers with a large number of commodities and convenient shopping experience.
- Social media live broadcast: In China, social media live broadcast has become a popular way of shopping. Internet celebrity anchors show products to audiences and guide purchases through live broadcasts.
- Mobile applications: Mobile applications play an important role in China’s B2C sales. Consumers use mobile apps to conduct shopping and payment operations.
Main channels of US B2C online sales:
- E-commerce platform: There are many well-known e-commerce platforms in the United States, such as Amazon, eBay, and Wal-Mart. These platforms provide consumers with convenient and fast online shopping.
- Brand official websites: Many American brands sell products directly through their official websites, establishing a close relationship with consumers.
- Social media advertising: In B2C marketing in the United States, social media advertising is an important channel, and precise advertising is carried out through platforms such as Facebook and Instagram.
3. Among the seven largest economies in the world, the percentage of online sales in the top ten B2C industries
Data source: Summary of national industry analysis reports from 2020 to 2022.
4. Important conclusions drawn from the percentage of B2C online sales in seven major economies
- Similar to B2B, the usage rate of B2C industry online channels in developed countries is also significantly higher than that in China.
- South Korea has the highest degree of networking in the B2C field, with an average share of 34% in 10 industries, significantly ahead of other countries.
- Among developed countries, the utilization rate of online channels in the United States is relatively high, and the average percentage of 10 industries is about 30%.
- In terms of industry, China’s book audio-visual and hotel tourism industry accounted for the largest percentage of online channels, reaching 40% and 65% respectively.
- The percentage of Internet channels in the food and beverage industry is the lowest, only 5% in China, and about 10% in developed countries.
- The average percentage of Internet channels in China’s overall B2C industry is about 22%, which is still far behind the level of 25%-30% in developed countries.
There is also a clear correlation between the degree of networking in the B2C field and the level of development of the country and industry. The digital transformation of China’s B2C industry is still accelerating, and the percentage of online channels has a large room for improvement. Different industries can learn from the successful experience of developed countries.
D. Future Prospects of Internet Marketing in B2B and B2C Industries
In the ever-evolving digital age, online marketing is becoming a key factor for companies to succeed in the B2B and B2C fields.
1. The relationship between online marketing and online sales
Online marketing and online sales complement each other and are closely linked to jointly build the digital business ecology of the enterprise. Internet marketing uses various digital channels such as social media, content marketing, search engine optimization, etc. to attract potential customers, build brand recognition and trust, and create good pre-conditions for online sales. Online sales is the ultimate goal of online marketing, leading potential customers to actual transactions and realizing commercial value.
2. The similarities and differences between B2B online marketing and B2C online marketing
Although both B2B and B2C internet marketing focus on customer interaction, they differ in strategy and focus. B2B Internet marketing typically focuses on building long-term relationships and delivering professional content to meet the needs of business clients. In contrast, B2C online marketing puts more emphasis on personalization and emotion, and promotes purchase behavior by attracting consumers’ emotional resonance.
3. Top 10 B2B and B2C industry online sales success stories and their online marketing strategies
B2B success stories
- Industrial automation – Siemens (Siemens): Siemens uses content marketing strategies in the B2B field to enhance its professional image in the field of industrial automation and digital transformation through the release of technical white papers, research reports and social media sharing. This builds trust for the business in the B2B market, attracting many potential customers and partners (Source: How is industrial digitalization leading the future?).
- Machinery and equipment manufacturing – Caterpillar: Taking its agricultural and construction machinery as an example, Caterpillar has strengthened the interaction with dealers and customers by displaying information such as product performance and maintenance services online, providing B2B market with Easier purchasing and support channels (Source: Connecting with Customers: How Caterpillar Uses Social Media to Sell Big Iron).
- Medical Devices – Beckman Coulter: Becker Dickinson, a medical device manufacturer, provides continuing education and knowledge sharing for medical professionals through content such as online training, seminars and professional forums. platform. This content-driven online marketing strategy helps establish an authoritative image of the company in the medical industry and attracts more medical professionals (source: Educational Resources for Clinical Diagnostics).
- Electronic Components – Texas Instruments (Texas Instruments): Texas Instruments has established a strong connection with the target audience by sharing technical solutions, case studies and product applications on social media, interacting with engineers and designers. They emphasize professionalism and technological innovation in the B2B market, thus attracting a wide range of customer groups (source: Connecting with Texas Instruments).
B2C success stories:
- Cosmetics – Shiseido (Shiseido): Shiseido uses social media such as Instagram to share makeup tips, beauty advice and product usage with consumers, making the cosmetics buying experience more intimate and interesting, and has established a strong social brand image ( Source: Shiseido taps into Gen Z desire for authenticity with art-meets-science make-up campaign).
- Food and Beverage – Coca-Cola (Coca-Cola): Coca-Cola uses its strategies such as personalized bottle body and digital marketing activities to establish interaction with consumers and stimulate emotional resonance. For example, launching a personalized bottle with your name printed on it has sparked buzz and sharing on social media (Source: Share a Coke: How the Groundbreaking Campaign Got Its Start ‘Down Under’).
- Cosmetics: The key to skin uses social media such as Weibo and Xiaohongshu to share skin care skills with consumers, creating a brand image that is popular among young women (source: How does the key to skin brand perform in Xiaohongshu? ?).
- Maternal and baby products – Lego (LEGO): Lego is not only famous for its classic toys, but also launches activities such as virtual modeling and creative competitions through online platforms in the B2C market, attracting families and children to participate. This creative online marketing strategy enhances the interaction with consumers and injects more emotional elements into the brand (Source: Play LEGO Games Online).
- Digital Electronics – Apple (Apple): Apple uses its website and social media to regularly publish new product launches, tutorials and user stories. This online marketing method that emphasizes innovation, user experience and emotional resonance helps maintain brand loyalty in the B2C market (source: Apple Newsroom).
These success stories highlight the pivotal role of online marketing in the B2B and B2C industries. Through clever strategies, businesses can build brand recognition, attract potential customers, and drive actual transactions in a competitive marketplace.
4. Future Trends and Suggestions of Internet Marketing
Future online marketing will pay more attention to the following trends:
- Personalized marketing: With the help of artificial intelligence and big data analysis, enterprises will be able to achieve more personalized marketing to meet the needs of different customers.
- Virtual and Augmented Reality: Using VR and AR technologies, companies can create richer shopping experiences for consumers and enhance interactivity.
- Sustainable development: More and more consumers pay attention to sustainability, and enterprises need to integrate sustainable development into online marketing and establish a green brand image.
Facing the future, enterprises can consider the following suggestions:
- Invest in digitalization: Increase investment in digital marketing tools and technologies to improve marketing efficiency and effectiveness.
- Understand the audience: In-depth understanding of the target audience to formulate more accurate online marketing strategies.
- Innovative practice: Actively explore new online marketing methods to keep pace with the times to meet consumer needs.
Through continuous exploration and innovation of online marketing, enterprises will be able to stand out in the highly competitive market and achieve sustainable growth and development.
V. Conclusion
In the B2B and B2C fields, changes in the percentage of online sales will directly affect the company’s profitability and market share. With the rapid development of digital technology, consumers tend to shop online, and B2B customers are more willing to purchase online. Therefore, enterprises need to continue to pay attention to these changes and adjust sales strategies to ensure consistency with market demand.
The data of the percentage of online sales to the overall sales provides an important scientific basis for the formulation of the company’s online marketing strategy. Whether it is B2B or B2C, knowing which channels consumers and customers purchase on, as well as their attitudes towards online shopping, will help companies pinpoint target audiences, optimize advertising and content marketing, and thus improve sales.
In short, Internet marketing has become an indispensable part of B2B and B2C industries, and it will continue to affect the growth and competitiveness of enterprises. As technology advances and the market changes, we can expect Internet marketing to continue to create new opportunities and challenges in the future, bringing greater success to businesses.