AI might get you on the short list, but it still takes people to move forward

Survey of B2B buyers, especially those using gen AI to short list software and tech, suggests that as long as people are buying software, it’s also going to take people to sell it

“B2B buyers are changing how they search, shortlist, and select vendors.” That’s the high-level finding from a survey of 350 of them by Responsive.

A change in buying behavior is the key to watch.

The survey found:

“90% of buyers conduct research before first contact, and almost two-thirds are already using genAI [generative AI] tools as much as – or more than – traditional search.”

Among those buying software, the use of genAI is even more pronounced:

“In the technology and software industry, 80% of buyers now use genAI at least as much as traditional search, compared to 59% of buyers in other industries who say the same.”

Here’s how B2B buyer-respondents say, overall, they discover vendors who make products they are interested in procuring:

33% said web search;
33% said peer recommendations/word of mouth;
32% said generative AI chatbots;
24% said internal referrals;
22% said analyst reports;
21% said consultant/3rd-partyrecommendations;
20% said vendor outreach;
19% said online procurement platforms;
19% said directories or listings;
19% said industry events/trade shows;
19% said previous experience with vendor;
13% said 3rd-party resellers/marketplaces;
13% said social media/online communities; and
13% said business or trade media.

There are two important caveats to this list. First, business and trade media, which are at the bottom of this list, fuel web search, through links and mentions, word-of-mouth (‘hey, did you see this article?!” and studies show it’s a leading influence on generative AI.

How B2B buyers get to a short list

Buyers who use gen AI take their sweet time to research the vendors they find. Three-quarters (75%) of respondents said “discovery and market research” takes the longest.

Evaluation of those vendors trailed next, with 61%, as a time-intensive process. On average, the B2B buyers surveyed said they look at 7.6 vendors and whittle that down to 3.5 who make the short list.

Those 3.5 who make the short list are likely to receive an RFP. In this survey, “buyers say the RFP response is the most critical factor in their final decision.”

And RFP’s are a process that largely requires human intervention.

It takes a human touch to win an RFP

When prospects ask for an RFP, there’s usually a reason. Respondents in this survey said they issue an RFP when they are:

Looking for better pricing (47%);
Making a high-stakes decision (41%); or
Demonstrating objectivity (39%).

Incumbents definitely have an advantage here: Six out of 10 (61%) of “buyers admit they start the process with a preferred vendor, but nearly half say they’re open to switching.”

However, the vast majority remain open to switching, even during the RFP process:

“…a strong performance can shift the outcome. 84% of buyers say the best vendor ultimately wins — even when one enters with an advantage.”

So, what actions can tip the balance during an RFP?

According to this survey:

81% said the RFP response;
78% said vendor presentations and demos;
77% said their own independent research;
75% said proof of concept;
57% said verbal/oral reviews or conversations; and
46% said informal responses from the sales team.

Of the six possible actions on that list, they all involve human engagement. Presentations, demonstrations, and conversations all require human involvement. As long as people are buying software, it’s going to also take people to sell it.

As the report on this survey puts it aptly:

“Even when a vendor enters with an edge, the door isn’t closed. Buyers still respond to what’s in front of them…”

Make sure that what you put in front of them is a human face.