29 Mar Jargon Buster – B2B & B2C.
Jargon Buster – B2B & B2C.
From YMG – Digital Marketing Experts in Chelmsford, Essex.
These may sound like the noises that a robot makes in a successful space-opera movie franchise. But, in business, they are very important. The individual terms, I mean. Not the robot noises…
So, without any more delay by way of movie references, let’s get into this latest edition of Jargon Buster. We’re going to be talking about B2B, B2C, and how they differ in marketing.
What Does B2B Mean?
B2B is short for business to business.
This means that the product or service your business provides is targeted and sold to another business. Examples of this can include services such as designing websites or selling items in bulk/wholesale.
These types of businesses don’t have to exclusively sell to other businesses. These products and services are often available to individual customers. But, these items are often priced towards selling to other businesses. That, or in large quantities.
What Does B2C Mean?
Unlike B2B, B2C is business to consumer.
B2C is similar to B2B, hence the similarity in the name. But, B2C is the process in which a business sells its products or provides its services directly to the customer or consumer.
Once again like B2B, B2C isn’t only for direct consumers. Other businesses can buy from B2C businesses. But these types of businesses usually deal in smaller or individual orders or items.
Examples of a B2C business include local supermarkets and many retail stores. A business that sells singular items or services for everyday use is generally considered to be B2C.
What is B2B Marketing?
B2B marketing is the strategy or creating your advertisement campaigns towards other businesses. Rather than aiming your advertisements towards individual consumers.
Due to this, these advertisements are generally straight-forward and informative. The products being advertised are often appealing to the consumer business in an ROI point of view. Because of this, these advertisements often skip the bells and whistles. Favouring a to-the-point, educational approach.
B2B marketing campaigns are generally aimed at decision makers or people with control at a business. Due to the nature of the product or service, the potential customer is likely to research and browse potential solutions to their problem. As these can often be related to large scale problems or large orders, a lot of money is being exchanged. Because of this, ROI and quality are two of the main factors that are put into the potential customer’s mind.
What is B2C Marketing?
B2C marketing campaigns are often varied in their style and approach.
Marketing campaigns for B2C businesses are likely to be tailored to two main points. The specific service or product they’re selling mixed with their target audience. Due to the nature of items or services sold in B2C marketing, the audience will generally not look at these items from an ROI point of view.
Instead, they’re interested in what the product does for them as fast as possible. The audience that B2C marketing targets will quickly change from identifying a problem to wanting buy a solution. B2C marketers must follow market trends as they are also presented with a much smaller window to impress the potential customer. So, the advertisement must be as appealing as possible, as quickly as possible.
How Do I Tell Which of These My Business Is?
Finding out if your business is B2B or B2C is fairly easy.
What exactly does your business sell?
If your business is a small coffee shop or local retail store, you’re most likely B2C. If you sell an item to one person rather than a business, you’re B2C. If your main companies service is renovating hotels or largescale construction, for example, you’re B2B.
It is possible to dabble in both B2B and B2C. A business that sells office supplies may find success in both selling wholesale and to individuals.
A further way of telling is to check your audience persona (if you don’t already have one of these, learn how to create one here).
If the person you’re targeting has a position of power in a business or is indeed the business owner, your product may well be B2B. But you should always check this in conjunction with what your product is, as this will not always be a cut and dried situation.
YMG are a full-service digital marketing agency based in Chelmsford, Essex, and home of the Jargon Buster series, helping business owners to understand the technical terms of digital marketing.