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How Do You Choose the Right B2B Ecommerce Pricing Strategy for Dynamics 365?

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Laptop displaying a B2B ecommerce pricing dashboard for Dynamics 365 in a warehouse office, with shipping boxes, a discount tag, calculator, and charts representing customer-specific pricing, tiered pricing, and order management.

B2B ecommerce pricing works best when it balances profitability with the way business customers actually evaluate, negotiate, and purchase products or services. For companies using Microsoft Dynamics 365, that also means making sure online pricing reflects the customer-specific terms, discounts, quantities, and other pricing rules that support the broader sales process.

Rather than relying on a single formula, many businesses combine approaches such as tiered pricing, customer-specific pricing, volume discounts, dynamic pricing, and value-based pricing. The goal is to create a pricing structure that makes sense to buyers while remaining practical for the business to manage.

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Key Highlights

  • Pricing is an important part of the B2B research process, with 79% of B2B buyers looking for pricing information during purchase evaluation.
  • Common B2B ecommerce pricing strategies include competitive, dynamic, number-based, customer-based, packaged, tiered, and penetration pricing.
  • The right pricing model depends on your customers, product usage, internal resources, competitive environment, and the value your offering provides.
  • Flexible approaches such as customer-specific pricing, negotiated pricing, volume pricing, and quantity discounts can support the complex buying relationships common in Dynamics 365 environments.
  • An ERP-integrated ecommerce platform can help keep online pricing, catalogs, and customer terms aligned with the pricing structure used throughout the business.

Why Is Pricing Strategy Important in B2B Ecommerce?

Pricing plays an important role in whether a B2B buyer considers your company at all. Unlike many consumer purchases, B2B purchases are generally researched over an extended period, with more than 30% of B2B buyers experiencing an average sales cycle of one to three months.

During that research, buyers want to determine quickly whether a product fits their budget. In fact, 79% of B2B buyers specifically look for pricing as a top piece of information when evaluating a purchase.

A well-planned pricing strategy therefore does more than protect margins. It helps your business make it through the buyer’s initial research process and move qualified prospects further into the sales cycle.

For companies using Dynamics 365, ecommerce pricing may also need to reflect customer relationships already managed elsewhere in the business, including negotiated pricing, volume discounts, or account-specific terms. That makes pricing part of the overall customer experience rather than simply a finance exercise.

What Are the Most Common B2B Ecommerce Pricing Strategies?

There is no single pricing model that works for every B2B company. Many businesses combine several strategies so they can support standard purchases while also accommodating large accounts, negotiated agreements, repeat customers, or unusual order volumes.

The right combination depends on your products, customers, market position, and ability to manage pricing complexity.

Competitive Pricing

Competitive pricing sets prices partly by analyzing what other companies charge for comparable products or services. Businesses often try to remain near the market average or undercut competitors when price strongly influences buying decisions.

This approach can help a product pass a buyer’s initial pricing filter. Cost has a considerable impact on the final decision for 40% of B2B buyers, so competitive pricing can be an effective way to attract price-conscious prospects.

Advantages include:

  • It is relatively straightforward to research and implement.
  • Competitive prices can attract buyers who place significant weight on cost.
  • It can be useful in markets where customers can easily compare similar offerings.

Potential disadvantages include:

  • Price becomes your primary point of differentiation.
  • Competitors can respond with lower prices or discounts.
  • Lower pricing can reduce margins and may create losses if product costs are underestimated.
  • Competing mainly on price can weaken premium or value-based positioning.

Cost plus pricing can provide a safer baseline because it accounts for costs and desired margins. From there, companies can adjust pricing based on competitors, market conditions, and customer value.

For businesses with meaningful differentiation, value-based pricing may provide a stronger long-term strategy because price reflects the value delivered rather than simply matching competitors.

Dynamic Pricing

Dynamic pricing allows prices to change according to factors such as the customer’s industry, company size, requirements, or budget. Instead of displaying one fixed price publicly, the seller gathers information and then provides a customized quote.

This approach is useful when deal sizes and requirements vary substantially. It can also support negotiated pricing when service levels, payment terms, or other account conditions differ.

Advantages include:

  • Pricing can reflect each customer’s specific requirements.
  • Businesses can accommodate customers of very different sizes and budgets.
  • It can support customer-specific pricing when ecommerce prices need to reflect pricing rules maintained elsewhere in the business.

Potential disadvantages include:

One compromise is to provide an online price calculator or estimated pricing range. This gives buyers enough information for initial research without requiring the business to commit to a single fixed price.

Number-Based Pricing

Number-based pricing ties cost to a measurable quantity such as the number of users, employees, accounts, or client profiles using the product.

For example, a company could offer one price for organizations with 2 to 10 users, another for 10 to 50 users, and another for companies with up to 100 users. Larger organizations could then request custom pricing.

This approach can overlap with volume pricing or quantity discount pricing as usage increases.

Advantages include:

  • It can accommodate businesses ranging from very small companies to large enterprises.
  • Customers pay according to a predictable level of usage.
  • Bulk discounts can encourage larger customer commitments.

Potential disadvantages include:

  • Smaller businesses may consider the product expensive if pricing primarily rewards larger user counts.
  • Small customers may be paying for capabilities designed for much larger organizations.

Entry-level pricing should therefore remain accessible enough for smaller customers without weakening the long-term value of the product.

Customer-Based Pricing

Customer-based pricing assigns different prices to different customer segments based on factors such as purchasing volume, account value, ordering frequency, or other buying behavior.

A high-volume customer, for example, could receive a bulk discount. A buyer who orders every quarter could receive an incentive based on repeat purchases. These incentives can also be structured as volume pricing based on annual spend or purchasing cadence.

Customer groups do not have to contain multiple organizations. Customer-specific pricing can be applied to an individual buyer or to users belonging to the same company.

Advantages include:

The primary challenge is data. Businesses need accurate customer and purchasing information to segment accounts correctly and ensure the appropriate price is displayed.

For companies using Dynamics 365, this is especially relevant when customer terms, order history, discounts, and other account information influence the price a buyer should see online. An ERP-integrated ecommerce platform can help carry those pricing rules into the digital buying experience without requiring teams to recreate them manually.

Packaged Pricing

Packaged pricing combines complementary products or services into a bundle and gives the package a single price, often at a discount compared with purchasing everything separately.

For example, a customer purchasing ecommerce website design tools might also need web hosting and website security. Those products and services could be grouped into a single package.

Advantages include:

  • Bundles can introduce buyers to additional products or services.
  • Customers may see greater overall value in a combined package.
  • Packaging can address several related business needs through one purchase.

Businesses should still consider offering components separately. Requiring every customer to purchase the complete bundle can drive away buyers who only need part of the offering or prefer to work with several vendors.

Tiered Pricing

Tiered pricing provides several pricing levels for the same product, with each level offering different usage limits, features, or benefits.

Lower-cost tiers generally provide fewer features, while higher-priced tiers offer additional capabilities. Some companies also use a free introductory tier that gives customers an opportunity to try the product before upgrading.

Advantages include:

  • Multiple tiers can serve businesses with different requirements and budgets.
  • Buyers can choose based on both price and needed functionality.
  • Smaller companies do not have to pay for capabilities they will not use.

Potential disadvantages include:

  • Each tier needs to provide benefits that justify its price.
  • Lower-tier customers may switch to competitors if they find a more attractive combination of price and features.
  • Freemium models do not guarantee upgrades.

According to FirstPageSage, freemium conversion rates range from only 2.6% to 5.8% across industries.

Competitive pricing therefore still matters even when the overall B2B pricing strategy is built around tiers.

Penetration Pricing

Penetration pricing uses substantial introductory discounts to attract customers to a new company or newly launched product.

The purpose is to reduce the financial barrier to trying the product, particularly in a crowded market. However, these discounts are generally intended to be temporary. Once the business has gained customers, testimonials, or word-of-mouth momentum, it needs to transition to a pricing structure that supports profitability.

Advantages include:

  • Lower introductory pricing can attract attention in a saturated market.
  • Customers who have a positive initial experience may remain after prices increase.
  • Limited incentives, such as lifetime access to a resource library, can encourage early adoption.

The primary risk is attracting customers who are interested only because of the discount. Those buyers may leave when normal pricing takes effect.

How Do You Choose the Best B2B Ecommerce Pricing Strategy?

The best B2B pricing strategy reflects your customers, product, revenue goals, market conditions, and internal capabilities. It should be flexible enough to accommodate changing demand, supply constraints, competitive pricing, and different customer profiles without becoming difficult to manage.

Finding the right model is one of the common challenges in B2B ecommerce. According to Wynter’s B2B SaaS Buyer Journey research, 78% of B2B buyers watch demos from only three vendors. Getting pricing right early in the buying process can therefore influence whether your company reaches the next stage of consideration.

Several factors should guide your decision.

What Can Your Company Realistically Support?

A pricing strategy has to work operationally as well as financially. Offering complex custom pricing may sound attractive, but it can become difficult to maintain if your team does not have the resources to manage quotes, approvals, and updates.

Consider questions such as:

  • Do you have enough staff to support custom pricing?
  • Can your margins support matching competitor prices?
  • Is the product complex enough to justify tiered pricing?
  • Do customers require negotiated or customer-specific pricing tied to existing business terms?

For a Dynamics 365 organization, another practical consideration is whether ecommerce pricing can stay aligned with the customer and transaction data used by the rest of the business. The right pricing structure should fit both your market strategy and your ability to manage it consistently.

Who Is Your Ideal Customer?

Your ideal client profile helps determine how much your target buyers can reasonably spend and how they prefer to purchase.

For example, if your primary customer is a small business buying ecommerce software for the first time, premium pricing that exceeds the typical budget of that audience could remove your product from consideration.

Pricing should therefore reflect both the customer’s budget and the requirements the product is designed to address.

What Are Competitors Charging?

Competitor pricing provides useful market context, but it should not determine your entire pricing strategy.

Research can help you understand how customers perceive current market prices and whether they are satisfied with existing pricing structures. That information can then be used alongside your own positioning, costs, and value proposition.

How Do Customers Use the Product?

Some pricing models work best when they align directly with how customers consume the product.

If multiple people within a company use the product, number-based pricing may be appropriate. If customers routinely purchase several related products or services, packaged pricing may make more sense. Frequent bulk purchasing may justify volume or quantity discount pricing.

Pricing becomes easier for buyers to understand when the pricing unit reflects actual purchasing or usage behavior.

What Value Does the Product Provide?

Price needs to make sense in relation to the business value a customer expects to receive.

Research found that 92% of B2B buyers had become more focused on cost-effective purchases because of economic uncertainty. Buyers may therefore place greater emphasis on products that demonstrate strong ROI or meaningful productivity improvements.

Value-based pricing can help connect the amount a customer pays with the business outcome they expect to receive. For companies that want to avoid competing primarily on price, this can also provide a more durable strategic pricing approach.

What B2B Ecommerce Pricing Mistakes Should Dynamics 365 Businesses Avoid?

A pricing strategy affects both profitability and customer experience. It also works alongside broader B2B ecommerce marketing strategies, because pricing can influence whether buyers engage with sales, request a demo, or move on to another vendor.

Three mistakes can make an otherwise reasonable pricing strategy less effective.

Relying Too Heavily on Competitor Pricing

The lowest price is not necessarily the best price for either the customer or your business. Setting prices almost entirely around competitors can reduce margins and weaken your positioning.

If your product provides capabilities competitors do not offer, for example, premium or value-based pricing may better reflect that difference.

Offering Too Little Pricing Flexibility

B2B customers rarely have identical purchasing requirements. One buyer may need bulk discounts, another may have negotiated terms, while another may expect incentives for prompt payment.

Customer-specific pricing, negotiated pricing, volume pricing, and quantity discounts give businesses ways to accommodate those differences. A rigid structure can unnecessarily exclude otherwise suitable customers.

For Dynamics 365 businesses, flexibility also needs to be manageable. Pricing becomes more difficult when online terms and the pricing used elsewhere in the organization no longer match.

Failing to Adjust to Market Changes

A pricing strategy that works today may become less effective as competitors, supply conditions, customer demand, or market expectations change.

Keeping the same prices indefinitely can leave a company charging too little and reducing margins, or charging too much as lower-cost competitors enter the market. Reviewing current B2B ecommerce trends can help provide context for those changes.

Regularly reviewing pricing helps businesses respond to market conditions while balancing profitability with customer expectations. Dynamic pricing can also become a repeatable strategy rather than a series of one-off pricing decisions.

How Can k-ecommerce Simplify B2B Pricing for Dynamics 365?

k-ecommerce helps businesses translate complex B2B pricing requirements into a more personalized ecommerce experience while reducing the need to recreate pricing manually for individual customers.

k-ecommerce allows businesses to create customizable B2B ecommerce stores that display appropriate pricing for different customer segments. Companies can also configure customized catalogs and payment options, helping personalize more than just the price shown to a buyer.

That becomes particularly important in an ERP-integrated environment, where tiered pricing, customer-specific pricing, volume pricing, and other pricing structures need to remain consistent with the rules used elsewhere in the business.

For Dynamics 365 organizations, the objective is straightforward: customers should see the pricing, products, and purchasing options appropriate to their account without forcing internal teams to maintain disconnected ecommerce pricing processes.

Frequently Asked Questions About B2B Ecommerce Pricing

Q: What is a B2B ecommerce pricing strategy?

A: A B2B ecommerce pricing strategy defines how a business sets and presents prices to business customers. It may include fixed prices, tiers, customer-specific pricing, volume discounts, negotiated prices, bundles, or other models based on how customers buy.

Q: What is the best pricing strategy for B2B ecommerce?

A: There is no single best strategy. The right approach depends on your target customer, product usage, company resources, competitors, revenue goals, and the value customers receive. Many B2B companies combine several pricing models.

Q: What is customer-specific pricing in B2B ecommerce?

A: Customer-specific pricing gives individual customers or customer groups different prices based on factors such as purchase volume, account value, buying frequency, or negotiated terms. This can be especially useful when ecommerce needs to reflect account-specific pricing already used within Dynamics 365.

Q: Should B2B ecommerce websites display pricing?

A: Pricing visibility can help buyers during initial research. 79% of B2B buyers look for pricing during purchase evaluation, while 51% of B2B enterprise buyers want transparent pricing.

Q: How can k-ecommerce help Dynamics 365 businesses manage B2B pricing?

A: k-ecommerce can display pricing for different customer segments while also supporting customized catalogs and payment options. This helps businesses bring their ERP pricing structure into the ecommerce experience without manually creating separate pricing for every customer.

Create a More Consistent B2B Pricing Experience with Dynamics 365

The strongest B2B ecommerce pricing strategy is not necessarily the simplest or the lowest-priced. It is one that reflects how your customers buy, makes the value of your offering clear, protects profitability, and provides enough flexibility to support different customer relationships without creating unnecessary administrative work.

For Dynamics 365 organizations, that also means thinking about how ecommerce pricing fits into the systems and processes already used to manage customers, products, and transactions. When online pricing becomes disconnected from those rules, personalization becomes harder to maintain and mistakes become easier to make.

Explore the k-ecommerce ERP-integrated B2B ecommerce platform to see how a more connected approach can simplify pricing for both customers and internal teams.

 

By k-ecommerce | k-ecommerce.com

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