B2C vs. B2B Marketing

It cannot be denied that the upsurge of the dot-com era has been ushered in by the intense usability and accessibility brought about by the Internet. Many businesses shaped up to suit to the rushing trend of electronic commerce (e-commerce), where firms now have an avenue to easily reach their customers as easy as a click of the mouse button. Indeed, the dramatic growth of the Internet during the late 1990s became phenomenal because multitudes of businesses and households connected, while many websites sprouted like mushrooms that led to the ballooning of the amount of business conducted over the Internet.

Many businesses earned a lot in their “virtual” income that also complemented their profits in the “real” world. In this case, marketing through business-to-consumer (B2C) and business-to-business (B2B) avenues became an important focus at present. In this case, we need to answer: what is the difference of the B2C and B2B marketing? McLeod (2007) made the explanation simple by saying that “B2C means Business to Customer or Consumer as in the end user, or the car showrooms who sell complete Ford motors”, while “B2B means Business to Business as in the suppliers of parts for cars to Ford to make the complete cars”.

Both are business models used in e-commerce and it is crucial for marketers to understand the manner in which they can use these special capabilities to create value for customers and other stakeholders. To make a clear distinction between the two, we should give examples of companies that employ both e-commerce strategies. For B2C, we can say that Wal-Mart has their website in the B2C category because they are offering finished products to their customers. In the case of the B2B, we could clearly exemplify what Cisco is doing because they are selling parts of computers and machines to companies that need them.

We can say also that some companies can work both ways. For marketers, it is vital to understand in which environment their organization operates—either in B2B or in B2C (or perhaps a combination of the two), as there are significant differences. Businesses in one area or the other employ different tactics, electronically speaking. For example, businesses participating in B2B e-commerce are taking advantage of electronic marketplaces, or e-marketplaces. B2B e-marketplaces are virtual marketplaces in which businesses buy and sell products, share information, and perform other important activities.

B2B e-marketplaces include many variations such as vertical e-marketplaces, horizontal e-marketplaces, value-added network providers, and many others (Haag et al. 2005). Haag et al. (2005) also informed that B2B e-commerce is where all the money is right now, accounting for approximately 97 percent of all e-commerce revenues. Business organizations have realized that there are tremendous efficiencies and potential savings from innovations in doing business electronically.

Businesses can shorten cycle times and reduce costs in the supply chain. They can more effectively reach a wider audience of potential customers (other businesses, in this case). Thus, in marketing for B2B, we must concentrate more on how much efficient for companies to buy from us and the savings they will get when they do business with us. In B2B e-commerce, marketing mixes do not usually include broad and generic strategies that reach all potential businesses. Instead, marketing often occurs within the context of an e-marketplace.

Once a contact has been made between businesses, the development of the relationship is still formal and often includes negotiations for pricing, quality, specifications, and delivery timing. On the contrary, consumers in the B2C e-commerce business model tend to deal directly with a chosen business on the Internet. That is, consumers usually surf the Web evaluating products and services at numerous separate e-commerce websites until they eventually choose one distinct site from which to make a purchase. That is not to say that consumers don’ have access to or use e-marketplaces.

eBay is a good example of an e-marketplace for consumers, where you can buy and sell just about anything you want. As an e-marketplace, eBay brings together many buyers and sellers, offering chat rooms, discussion boards, and a variety of other consumer-centric services. In marketing for B2C, we must target a particular group who will benefit more with our products. In B2C e-commerce, Haag et al. (2005) suggested marketing strategies that will be effective: 1. Registering your site with a search engine.

2. Online ads (small advertisements that appear on other sites), including pop-up ads (small Web pages containing an advertisement that appear on your screen outside the current Web site loaded into your browser) and pop-under ads (a form of a pop-up ad that you do not see until you close your current browser session).

3. Viral marketing —encourages users of a product or service supplied by a B2C e-commerce business to encourage friends to join in as well.

4. Affiliate program —arrangement made between two e-commerce sites that directs viewers from one site to the other.

No doubt, investors around the world bought the hype surrounding the Internet and e-business models that appeared to have no hope of a profitable future. The market capitalizations of many Internet firms soared until they greatly exceeded that of successful and profitable businesses in the physical world. Janal (1998) presented numerous benefits that e-commerce can instigate towards consumers:

  • Convenience. Consumers can order goods 24 hours a day without wasting valuable time traveling to and from retail outlets.
  • Information. Consumers can access a great deal of information about companies, products, competitors, and prices without leaving home.
  • Fewer hassles. Consumers do not have to deal with difficult salespeople, open themselves to persuasive and emotional factors, or wait in long lines. Along with these benefits, we can even add additional benefits like customers can be presented with a wider array of product selection and they have the power to choose products with lower prices, without much hassle.

For marketers to be successful in their venture in e-commerce, they must be able to define exactly the products and services you provide, who the target customers are, and how your customers perceive the use of these products and services within their business activities (for the B2B model) or in their personal lives (for the B2C model). In order to create strategies that will help us gain a competitive advantage, we must clearly articulate the nature of our products and services, customers, and the value that our customers place on the products and services that we are selling.

References

Haag, S. , Cummings, M. , McCubbrey, D. J. (2005). Management Information Systems for the Information Age, 5th ed. NY: The McGraw-Hill Companies. Janal, D. S. (1998).

Online Marketing Handbook 1998 Edition: How to Promote, Advertise and Sell Products and Services on the Internet, New York: John Wiley. McLeod, R. (2007).

What is the difference between B2C and B2B? Retrieved June 23, 2008, from http://www. theallineed. com/business/07062081. htm.

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with MyStudyWriters
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Human Resources Management (HRM)
excellent job
Customer 452773, July 17th, 2023
BUSINESS LAW
excellent job made a 93
Customer 452773, March 22nd, 2023
Business and administrative studies
Thank you for your hard work
Customer 452773, October 19th, 2023
Business and administrative studies
Excellent job
Customer 452773, March 9th, 2023
Human Resources Management (HRM)
excellent
Customer 452773, July 11th, 2023
ACC/543: Managerial Accounting & Legal Aspects Of Business
EXCELLENT JOB
Customer 452773, January 10th, 2024
Business and administrative studies
Excellent work ,always done early
Customer 452773, February 21st, 2023
Business and administrative studies
excellent work
Customer 452773, March 12th, 2023
Business and administrative studies
looks good thank you
Customer 452773, March 3rd, 2023
10th grade English
very good
Customer 452773, March 26th, 2023
Business and administrative studies
Thanks
Customer 452773, March 3rd, 2023
Criminal Justice
This has been the greatest help while I am recovering from an illness. Thank your team so much.
Customer 452671, May 2nd, 2021
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat
Close

Sometimes it is hard to do all the work on your own

Let us help you get a good grade on your paper. Get professional help and free up your time for more important courses. Let us handle your;

  • Dissertations and Thesis
  • Essays
  • All Assignments

  • Research papers
  • Terms Papers
  • Online Classes
Live ChatWhatsApp