hat you really need to know about B2B vs. B2C. What are B2B and B2C?
Catherine, the Chief Marketing Officer of a freight forwarding and logistics company logs into the company’s LinkedIn profile and stumbles upon an ad from a SaaS company offering freight forwarding and fleet management software. She seems convinced with the features and what the company promises to offer and decides to contact them and registers her company to a free trial of the software. Later on while at home,she scrolls through the explore page of Instagram and finds a model wearing a beautiful dress from a famous online fashion retailer.
The SaaS Company communicating with Catherine, the CMO is B2B marketing while the online retail company communicating with Catherine as an individual is B2C marketing.
Basically B2B marketing refers to any marketing content that is directed towards an organization or business while B2C refers to the tactics and strategies in which a company promotes its products and services to individual people.
How does B2B and B2C marketing differ?
Business-to-Business (B2B) and Business-to-Consumer (B2C) marketing aim to attract different audiences. The main difference between these two methods of marketing is how they interact with their audience. Check out the points below as we highlight how both methods have distinct goals and how you can tailor your strategy to suite your type of business.
What really motivates your audience to take the desired action you wish them to take? A B2B audience are motivated by features of the service or product, customer support and price.
On the other hand B2C audience are driven by brand appeal and product features. With this in mind you can develop an effective content marketing plan for your target audience.
This basically means how you as a business seek to broadcast your content and advertising materials to your audience.
B2B audience are professions and seek product or services that improves their businesses’ ROI. For this, they would search extensively for the best solution out there for their business.It’s your responsibility as a business to provide the information they need through whitepapers, industry forums, professional networks and research articles.
Contrast to B2B, B2C audience seek entertainment and they can be reached out through broadcast commercials,celebrity endorsement.
In B2B marketing or selling customers make buying decisions based on rational considerations such as how a product or service would improve profit margins, customer experience, ROI etc. When a B2B company successfully shows that its product or service generates far more value than cost of acquisition then the prospective buyer is more inclined to opt in.
On the other hand B2C customers tend to make purchases based on emotional connections. As such B2C messaging is based on personal desires and values of the target audience.
Length of relationship
Long-term products and services required by businesses are more likely to require service back-up from the supplier. A new item of machinery, a SaaS solution or a fleet of vehicles usually require far more extensive after sales service than a house or a pair of shoes purchased by a consumer.
Chain of command
B2B customers need to consult with someone else who approves the purchase before money changes hands. With this in mind, you need to know you are not marketing to one person rather than to everyone who has a say in the buy.
In contrast, B2C customers make their own purchasing decisions with a bit of influence from friends, family and influences.
With all the differences there are a few similarities between the two methods of marketing:
• Contemporary buyers in both markets are more knowledgeable compared to prior generations of managers.
• Authenticity and credibility are key engagement requisites.
• Both entail a consistent and customer-centric sales process.
All done and said, no matter which side of B2B or B2C divide a marketer is on, all marketing is human to human or rather person to person.