What is B2C?



B2C (abbreviation for business-to-consumer) is a term that denotes a commercial relationship between an organization (Business) and a private person (Consumer). 

The consumer buys a product in order to meet individual needs. The object of interaction is a product or service, and the subjects are a company selling a product (providing a service), on the one hand, and a private buyer, on the other hand.

For example,  all kinds of consumer goods available online like clothes, household items, subscription services, and electronics are sold directly from a business to a customer.

B2C allows direct sales with a minimum number of intermediaries. The elimination of intermediaries makes it possible to establish competitive prices locally and even increase them, excluding the number of intermediaries, which naturally leads to an increase in trade margins.

There are two distinctive features of the B2C market. 

  1. A retail business is always interested in expanding the range of services and goods. This way they extend their influence to all market segments. This process is the easiest to track down in supermarkets, where the consumer can buy literally whatever he or she wants. And they can be offered related services such as delivery, installation, and home repair. 
  2. The second feature of B2C is the role of an individual client. In this segment of business, the role of the buyer is insignificant since the merchant makes a profit from large sales volumes, which are provided by different consumers. In other words, the merchant is more concerned with the needs of the market than with the needs of a specific client.

In the B2C field, it is better to sell something inexpensive and in high demand. For promotion, you need to use the usual mass advertising. There are different channels in B2C, the most popular are: email marketing, mobile marketing, web push marketing, social media marketing, SEO, paid search advertising.

Examples of B2C companies:

Netflix, McDonald’s, Coca Cola, Amazon, Spotify, Nike, Apple, Nivea, Volkswagen, Salomon


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