Basic Terms of B۲B and B۲C Marketing ( Marketing -to-business) (Business-to-consumer)

Basic Terms of B2B and B2C Marketing

(Business-to-business) (Business-to-consumer)

Definition of B2B Marketing

Business-to-Business Selling, or B2B, occurs when a company's sales representatives seek to sell their goods and services to other companies or institutions. In this marketing, products are for other businesses or other organizations to use in the production of goods, as well as for use in the general operations of any business, or for resale to other consumers.

B2C Marketing (Business-to-Consumer Marketing)

B2C sales are sales in which sales representatives intend to sell their products and services directly to customers and consumers. In this marketing, it refers to the tactics and strategies in which a company promotes its products and services to target market individuals, which can include: production, services, advertising and selling products to customers for continuous and increasing use in their daily lives.

Difference between B2B and B2C sales

The main difference between B2B and B2C sales is in the target customers of these two categories. B2B sales enter into transactions with companies and institutions, while B2C sales deals with end consumers. Also, in these two methods, the size of the target market, the method of identifying customer needs, and the costs of sales marketing are also different.

Size of the target market

One of the biggest differences between B2B and B2C sales is the size of their market. It can be said that B2C sales target the individual consumer, its market size is smaller than organizational sales.

Marketing Costs

B2C businesses spend less on marketing than a B2B company and should be able to attract more customers from target markets.

Customer Need Identification Method

Establishing a relationship with the customer in B2B organizational sales is much more formal and dry than in B2C sales. In B2C sales, the conversation is much simpler, more personal and more sincere.

Sales Cycle

In B2B sales, the sales cycle is a long process for the target market and for building trust, establishing a mutual relationship, examining customer needs, convincing the customer of the suitability of the product, negotiating a price, closing a deal and providing ongoing support, while this cycle is much simpler in B2C sales.

Average and Number of Leads

In B2B sales, contracts will be larger and sales cycles will be longer, while in B2C sales, contracts will be relatively smaller and sales cycles will be shorter. For this reason, it can be said that B2C sellers can usually have a higher number of leads in a given period of time than B2B sellers.

Average experience of the sales team

The closing of sales contracts and the length of the sales cycle in organizational sales are usually longer and also require more experienced sellers.

Final words

In this article, we tried to address one of the most important basic marketing terms, the difference between B2B and B2C sales. Among the most important differences between the two, we can mention the size of the target market, marketing costs, the average and number of leads for each model, the average and how experienced the sales team is, and other things.