What is Business to Customer (B2C)? - Medallia Glossary (2024)

Business to consumer refers to the business model where products are being sold directly to the customer. All of the middlemen are bypassed, including wholesalers and third-party retailers. In most instances, direct-to-consumer sales usually take place online. The B2C customer experience may also take place within a physical retail space. These spaces serve as a counterpart to the primary e-commerce platform. This business model is known as clicks and mortar.

Business to Customer FAQs

What is B2C Marketing?

This is a term that is used to describe business models wherein the brand or company will market directly to an individual consumer. B2C marketing focuses more on eliciting an emotional response, as opposed to business-to-business marketing which is more focused on the demonstration of value.

What is B2C E-commerce?

This is a business-to-consumer model that involves sales that take place between online businesses and consumers.

What is B2C SaaS?

B2C SaaS refers to software that is used by regular customers. This software is delivered through the use of an app or a web browser. In most instances, the user will be charged for the software with the usage of a subscription model. The term SaaS stands for "software as a service". In other words, this means that you never truly have ownership over the software, you are merely renting it.

What is The Difference Between B2B and B2C?

B2B and B2C commerce differ greatly. While B2B is a term used to describe business-to-business transactions, B2C stands for business-to-consumer. When B2B commerce takes place, online platforms are utilized to sell services and/or products to other business. On the other hand, B2C commerce is directed toward individual consumers.

Can A Business Be Both B2B And B2C?

While it is possible for a business to function in the worlds of B2B and B2C commerce, there are certain pitfalls that must be mentioned. A B2B supplier works in larger quantities, as they are supplying businesses instead of individual consumers. There may be individual consumers that are willing to make bulk purchases but this is not a common instance.

That does not mean that the task is impossible. The business can have two separate websites, one for B2B clients and one for B2C customers. Other businesses may decide to have designated logins for each set of clientele. Some may find that there is an upside to dealing with B2B or B2C clients exclusively, while others may decide that it is in their best interests to cater to both.

What Are Some B2C Examples?

B2C companies can vary when it comes to their goals and objectives. Some use their platforms as a means of marketing and selling their own products. Others connect sellers and buyers. In these instances, content traffic is used to sell advertising space. Other businesses may choose to restrict access to certain areas, in order to sell paid subscriptions. Uber, the New York Times, Amazon, Netflix and eBay are prime examples of B2C companies.

What is Business to Customer (B2C)?  - Medallia Glossary (2024)
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