B2C - what is it? What distinguishes courier delivery B2C? Features of B2C business

The Entire sales of all kinds of goods and services are divided into two big parts. The first is B2C, the second B2B. Quite often, faced with these cuts, many wonder: B2C – what is it? Or what is B2B? So, let's see.

Description B2B market

Literally translated transcript, get "business to business", from English to business to business. The term denotes any B2B business focused on the sale of goods or services to other businesses. As example, wholesalers who sell their goods in large quantities, a trade organization representing major producers and speakers only sellers, and so on. B2C market - that is, what is B2B and what are their differences?

Characteristics of the B2B market

Sales in this segment of the market is characterized by several features. Among them are:

• Volume. Focused on B2C sales for the business, thus companies operating in this segment, more interesting wholesale than retail. Low cost of goods (compared to the one offered to the end user), these companies make a lot of turnovers due to the volume of all kinds of products. A vivid example – wholesale markets and the company dealers.
• The limitations of the market. If you compare the number of customers in the retail market with the number of potential consumers in the market-oriented business, it can be concluded that the latter is many times inferior in quantitative terms the first. Naturally, this fact raises the competition in the B2B segment and requires a completely different approach to customers than the B2C market.
• Balanced decision making. unlike a conventional buyer, almost every businessman is suitable for any purchases for your business is very strict. Primarily this is due to the greater risks. For example, you can purchase a batch of new goods, but it will not be popular among the consumers. Or, for example, to purchase a production line and she will issue marriage. In fact, such risks a great many. And the businessman should consider, especially because the financial and time costs for purchase of goods in the retail market vary significantly.

B2C – what it is

With the market-oriented business, more or less sorted out, let's move on to the segment, oriented on the consumer. So, B2C - what is it? English - business to customer, but in our home – "business to buyer". If you compare it with the segment of business focused on the sales for sellers, you can see that these concepts are fundamentally different.

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Main features for the clients

• Range. Usually sellers working in retail, trying to cover as large part of the market. This is done by expanding the range of goods sold and services provided. Perhaps the most striking example of B2C is supermarkets. In these stores, consumers can buy almost everything he needs. Plus get extra services, such as delivery, configuration and installation of household appliances.
• Customer Value. In the retail trade the value of one customer is not very big, since the money supply is done at the expense of sales volumes for different customers. Therefore, the B2C segment is focused on the needs of the market as a whole, and in rare cases takes into account the needs of the individual. As an example, you can take any commodity, like bread. This product has all the features that can attract maximum number of buyers. But if one person wants to buy bread with mint flavor, this is unlikely to be able to do. And no plant will make only one loaf in order to satisfy the need of one customer instead of thousands. And opposite: for example, the owner of the supermarket, for whatever reason, decided that bread with mint flavor will disperse on hurrah. He agrees with the vendors – and they're giving him a trial batch of this bread. Naturally, for such experiments, the volume should be large. The situation is of course quite unnatural, but, nevertheless, it is possible to understand how different methods of promoting goods markets with a focus on business and the consumer.

B2C: Express delivery

As commodity market, the market of services for B2C differs from B2B. This applies to all areas of business. For example, B2C courier service. Focus on the consumer market requires a carrier company to have a very wide warehouse network and transport. This is necessary because the company needs to reach the maximum audience and create the best conditions for the customers.

The Combination of markets

If you look closely to many businesses, especially large ones, we can understand that in a certain place blurred the clear distinction between the two kinds of promotion products. Natural desire of the owner of any business – getting the most profit, and if given the opportunity to get extra customers, no one will refuse. A good illustration will be all sorts of basebuilding materials. Or dealer firms that distribute products at the outlets.

Example of a company working with different markets

Consider this example: there is a small organization dedicated to the production of metal products. In their work, this company uses paint products. The owner acquires it at hardware stores or on building bases, since to buy goods directly from the manufacturer he small amounts. Alternatively, the owner can find a company that has a dealer agreement with the manufacturers and which distributes their products at the most DIY stores. Given that these companies have so-called minimum order, for example 100 dollars, ordinary consumers are automatically eliminated. But for the small business owner, this amount is quite acceptable, given that in the production process it uses these products. Working with dealer company, it receives substantial savings as in this case, the price he pays for goods, almost equal to the purchase price of any store.

In this case, the owner of a small business is as a small consumer, as the volume of its purchases is much less than in stores, and nevertheless, he is able to enjoy the best terms than other consumers.

The Difference in approach

What is the difference In B2B from B2C? Between these two markets there are pretty significant differences, although at first glance they are very similar. These differences are concluded as in the marketing approaches, and in order to consumers.

The Main differences between the market for consumers from the market to sellers:

• Prudence and rationality of decision-making about purchases. In the B2C characteristic emotion, the need to fulfill desires.
• Volume. If the average consumer makes purchases to meet their needs, the businessman buys to ensure your business. Therefore, the volume of purchases can be enormous.
• Product Price. For the average consumer the cost of goods plays a big role, but very often not decisive. But in the case of B2B market, the difference is 1 dollar per unit can result in tens of thousands in the entire party, so the value of the goods is paid great attention.
• Sales. If you sell B2C, great attention is paid to mass advertising, the sales on the B2B market to the fore the personal contacts with the buyers and working with databases.

Thus, we can conclude that corporate sales differ from sales in the B2C market what it is partitioning, which requires different approaches and methods.