Marketing: B2B vs. B2C
EBUS 400
FAC: John Harrison
September 18, 2006
Marketing: B2B vs. B2C
Introduction
Regardless if the sale is offline or online, any business that sells primarily to another business is considered business to business (B2B), and any business who sells primarily to the end customer is considered business to consumer (B2C). Marketing techniques differ between B2B and B2C. There are differences if a person is purchasing something for themselves or purchasing for a company. The emotional experience is different. B2B will depend on relationship building marketing efforts. Even though the marketing programs can remain the same (direct marketing, events, internet marketing, public relations, advertising, recommendations (word of mouth), other areas are different such as execution.
The initial marketing strategy is similar for B2B and B2C which is to identify the customer or target market?who is the customer and why do they need to hear the message. The strategy after this first step changes between the two.
The following table is a summary of the differences between B2B and B2C marketing.
B2B
? Relationship driven
? Value of the relationship is maximized
? Small target market
? More steps in buying process ? longer sales cycle
? Personal relationship creates brand identify
? Educational and knowledge building activities
? Subjective/rational buying decision based on business value
B2C
? Product driven
? Value of transaction is maximized
? Large target market
? Single step purchase process, short sales cycle
? Imagery and repetition create brand identify
? Merchandising and point of purchase activities
? Emotional buying decision based on desire, cost ...