B2B (Business to business) and B2C (Business to consumer) have
similar marketing efforts by organizations. However, the purchase
process is completely different for the different segments B2B and
B2C.
- Decision-making process- For B2C, the decisions are made by the
consumer or end-user or sometimes they consult their family
members, friends, social network etc. However, for B2B the purchase
is based on the approval of the stakeholders.
- Speed of a sale- The sale is either instantaneous or faster in
a B2C purchase process. However, the sale for a B2B would take
months. Though it is time-consuming the value of the sale is
huge.
- Relationships with clients- The customer groups are small in
B2B segment. The B2C customer group is huge and the prospective
customers are millions. Hence, it is pertinent that businesses
maintain a long-standing deep business relationship in a B2B
segment whereas B2C segment customers are often times allowed to
switch to competitive brands due to the existence of millions of
customers.
- Product price- B2C products offer lower prices in the
competitive market however they dominate the market. B2B products
are very high in price. The long-term contracts might lead to
millions of dollars for B2B products.
- Purchase of technology- Organizations buy technology as it
advances to increase revenue, decrease the cost price and deliver
products of good quality to the customers. However, for B2B
products new technology is not bought. The transaction is a
long-term profit oriented process. The purchase is considered as an
investment for B2B purchase.