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B2B (Business to Business) is the exchange of products, services and information between companies, i.e. not between the consumer and the company which is known as B2C (Business to Consumer).
“…Business-to-business (B2B) is commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer. Contrasting terms are business-to-consumer (B2C) and business-to-government (B2G). B2B branding is a term used in marketing”.
An example of B2B would be business relations between a BPM software manufacturer and its Partners.
In contrast, an example of B2C would be a manufacturer of children’s biscuits which sells the product directly to the final customer, i.e. the children who buy them. In conclusion, the target customer for B2C is more specific whereas B2B have a wider target market.
Although B2B has become complicated in terms of marketing, eCommerce undoubtedly directly benefits B2B. It is much easier to gain customer loyalty online than offline and the rise in mobile devices promotes the growth of the B2B market. Companies need to adapt to the new market demands and currently the biggest change is in the way companies acquire and retain customers by promoting online sales and customer services.
In recent years we have witnessed a substantial growth in eCommerce.
Which is largely thanks to mobility and the fact that B2B companies are discovering its huge potential. Therefore, companies who opt out of eCommerce could end up paying the consequential price of loss of market share, passing up on a very significant opportunity in terms of sales through Internet and mobile devices.
The presence of Online Business (or e-business) is emerging as the business scene with the greatest growth projection and will be of utmost importance for companies over the coming years.