"The Navigator" News Blog

How is the “Amazon Effect” Impacting B2B Selling?

You’ve probably heard of the “Amazon effect.”  In fact, you’ve probably read my articles that mention it.  Essentially, the “Amazon effect” refers to the way that Amazon’s business model, supply chain, and shipping capabilities have changed retail shopping at both online and brick-and-mortar levels.  It’s definitely a real thing; in 2023, Amazon’s sales were close to $600 Billion.  That’s “Billion” with a “B.”

There are numerous articles on the Web about how Amazon has revolutionized retail.  What I haven’t found are articles on how Amazon has changed the way B2B buyers behave – but I think that’s nearly as significant on our economy as the retail effect, and for most of you, it hits a lot closer to home.  You see, the Amazon effect isn’t just about changing marketplaces and buying venues, it’s actually impacting buyer behavior, which carries over into our world.  Let’s take a look at a scenario.

Picture this: A 35-year-old procurement manager sits down at her desk, orders office supplies from Amazon Business in three clicks, then immediately jumps on a call with a traditional “Good Time Charlie” salesperson who wants to spend 20 minutes talking about last weekend’s football game. The cognitive dissonance is jarring – and it’s probably going to mean that, instead of getting 20 minutes to talk about football and then another 20 to talk business, ol’ Charlie is going to get about five minutes, and from that point forward, she won’t be taking his calls.

The “Amazon Effect” isn’t just about consumer shopping habits anymore. Research from McKinsey shows that 75% of B2B buyers now prefer digital self-serve and remote human engagement over traditional face-to-face sales interactions. This seismic shift isn’t surprising when you consider that Millennials, who grew up with Amazon’s seamless, and let’s be honest, painless, purchasing experience, now make up the largest segment of B2B buyers – 73%, to be exact.  That said, I see and hear salespeople, managers, and business owners being surprised and shocked when “We’re still doing what we used to, and doing it well, but our results are dropping.”

Let’s break down what the Amazon experience has taught buyers to expect: immediate access to detailed product information, transparent pricing, efficient purchasing processes, and zero pressure to engage in small talk. According to Gartner, B2B buyers now spend only 17% of their time meeting with potential suppliers when considering a purchase. That’s a sharp decline from just a few years ago, and it tells us something crucial – buyers’ patience for traditional sales approaches is wearing thin.

The implications for salespeople are profound. Those old-school rapport-building techniques – commenting on office decorations, asking about family photos, or leading with “How about those Chiefs?” – aren’t just ineffective anymore. They’re actively harmful to the sales process. A recent Accenture study found that 70% of Millennial B2B buyers prefer to receive initial product information through digital channels rather than from a sales representative.

But here’s what’s fascinating: these buyers aren’t anti-relationship. They’re just redefining what a valuable business relationship looks like. The same way Amazon builds trust through consistency, transparency, and value delivery, B2B buyers want salespeople who can cut through the fluff and deliver genuine business value. They’re looking for trusted advisors who can solve problems, not drinking buddies.  In fact, if you CAN solve problems, you could actually become their drinking buddy – later in the relationship.

If you want to succeed, you’d better figure out how to adapt.  Here are some important ways:

Digital-First Engagement: Just as Amazon provides comprehensive product information upfront, successful B2B salespeople are now ensuring buyers have access to detailed information before the first conversation. Forrester reports that 68% of B2B buyers prefer to research independently online before engaging with sales representatives.

Multiple Communication Platforms: A majority of younger buyers prefer to initiate their Buyer’s Journey through communication methods such as text, email, and IM.  Seldom do I have a speaking engagement where someone doesn’t whine about buyers who “only want to text.”  Well, get good at texting.  The ability to send a persuasive text message isn’t a trait – it’s a learned skill.  Learn it.  While you’re at it, you should be competent in the major video tech, such as Zoom and Teams, and be able to hop on a video call at a moment’s notice. Some buyers prefer to speak by video, even when you’re only a ten minute drive away. Versatility is key.

Value-Based Interactions: When buyers do engage with salespeople, they expect every interaction to add value. The old “checking in” calls are dead, and so are the “donut calls.” Instead, buyers want insights, market intelligence, and solutions to specific business challenges.  Use your buyer’s time wisely.  Want to know the cool part of this?  You’re also using YOUR time wisely.

Transparent Pricing: The days of “let me talk to my manager about pricing” are numbered. According to a Salesforce study, 82% of business buyers want the same experience as when they’re buying for themselves – including clear, upfront pricing.  Want a real home truth?  Negotiation is a pain in the ass for your buyer.  It’s probably a pain in the ass for you, too.  So why put your buyer through this?  Notice that “transparent pricing” doesn’t mean “the cheapest price possible.”  If you don’t believe that the Amazon Effect allows companies to sell items – even the same ones – at a higher price, search whatever you want on Amazon.  Then look at the review counts for even the highest priced items.  People make a decision to pay more on Amazon every day.

Here’s what’s particularly interesting: this Amazon-influenced buying behavior is spreading beyond its generational origins. Even older buyers, seasoned veterans of traditional sales processes, are beginning to prefer this more efficient, value-focused approach. It’s not just about age anymore – it’s about evolving expectations.

For us, this means updating your techniques and playbook. Success now depends on leading with business value, respecting buyers’ time, and building trust through expertise rather than personal connection. The good news? When done right, this approach typically results in shorter sales cycles and more meaningful business relationships.

I get it.  There’s a comfort level in doing what you’ve always done, and there’s a big fear factor in trying new techniques.  I’ll even tell you this.  I’m taking a risk writing about this issue, because I’m well aware that this content turns some people, who want very badly to stick to the “tried and true,” off.  I get their emails.  But the “tried and true” was based on a set of foundational assumptions about buyer behavior that really don’t exist anymore.

And sure, there are still a lot of buyers out there who buy in the old way.  They want to talk football, have a beer together, and learn about your kids (and you about theirs) before they’ll sign a purchase order with your name on it.  That’s okay.  Being mentally agile and versatile is not a bad thing.  However, you should be aware that this cohort of buyers is moving inexorably toward a well-deserved retirement – and then what are we going to do?  If you prefer to focus on this segment of buyers, your customer base will shrink more every day.

The bottom line? The Amazon Effect has permanently altered the B2B buying world. Salespeople who recognize and adapt to these new expectations will thrive. Those who cling to outdated relationship-building techniques may find themselves as relevant as a door-to-door encyclopedia salesman in the age of Wikipedia.