There are a lot of acronyms in the marketing world, but believe us when we say they are worth knowing!
To relieve you of the confusion, this blog will break down the terms B2B and B2C. We’ll take a deep dive into what they mean and the best approaches to marketing with each.
You’ve probably heard the term B2B if you have interacted with the marketing world in any capacity.
B2B stands for business-to-business, and this applies to the audience who is purchasing products from the business at hand. With business-to-business, it is the case that businesses are buying products or services from other companies.
There’s no need to overthink it, though; these B2B interactions are very common.
Take a video production company, for example. If a business needs to create a high-quality commercial for television, but they don’t have a video production team, they can hire an outside video production business to create the commercial for them.
More simply, the video production company is creating a product for another business, thus forming a B2B interaction.
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The most important thing to consider when establishing an effective marketing strategy for a business-to-business company is to address the role and audience of the B2B company.
In a B2B setting, the audience for buying a product or service is another business. The goals of these businesses are bound to be different from the average individual consumer.
Think about it; the ultimate goal of a business is to profit, so the products and services they buy into must fit that plan. Your addition to their budget is part of a business plan. Make sure that as a B2B company, you are creating a system that is efficient and an obvious financial benefit to businesses who are interested in your products.
Additionally, as opposed to a business-to-consumer relationship which is, on most occasions, quick and not invested in on-going interaction, business-to-business customers want to build a relationship. It is necessary when providing products and services to other businesses that you gain their trust because these relationships tend to be long-term rather than short-term.
If you have been introduced to B2B before, you have likely heard of B2C along with it.
B2C is also known as business-to-consumer, and this is a business that offers products and services to consumers to purchase.
This business-to-consumer interaction is likely more familiar than business-to-business for the average customer.
Whether it is a small business offering apparel products or it is a large corporation that sells construction and home improvement services to consumers, B2C companies serve consumers in a way that is significantly different from business-to-business companies.
As mentioned above, B2B and B2C interactions serve different audiences and meet distinct needs. Because of this, B2C companies must approach their reach and marketing in ways that are unlike B2B businesses.
Obviously, business-to-consumer companies directly serve consumers, unlike business-to-business companies. By recognizing this, and your personal interactions with businesses as a consumer, it should be clear that the business-to-consumer audience typically wants minimal and quick interactions with the businesses that serve them.
For a business that is serving consumers directly, don’t take this as customers being disinterested in building relationships or positive interactions with your business but instead, use it as a strategy.
Because of their desire for limited commitment to your business, don’t bombard consumers with excessive amounts of marketing emails or social media posts, for example.
Where B2B companies understand their customers to function on financial and rational decision-making, B2C companies know their audience differently.
Because their investment in products does not have a business impact, they tend to purchase with an emotional and unconscious drive. It has been found that 95 percent of purchasing decisions are made subconsciously.
So, as a B2C marketer, tap into the emotions and desires of your customers because it’s exactly what they want!
All this being said, running either a B2B or B2C company requires thoughtfulness and a deep understanding of who you are serving and their needs.
While there are similarities, we also know your business is unique, whether it is focused on B2B or B2C, and that’s why your marketing strategy should be approached from an individual standpoint.
RevLocal is here to meet the individual needs of your business and your customers to improve and cater your marketing to the right people, the right way and at the right time. Click here to request a demo that is suited to your B2B or B2C needs!