What is BtoB commerce and how does it differ from BtoC?

In 2019, the BtoB commerce market in France already represented more than €100 billion in sales (according to Fevad figures). It is now more competitive than ever before, which is encouraging companies to focus more on it.

But what exactly is BtoB commerce? How does it differ from BtoC commerce? Definitions, examples and a comparison table are provided in this article to give you a clearer picture.

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What is BtoB commerce?

Definition

BtoB commerce refers to all the commercial activities and relationships of a company aimed at business customers. It comes from the English term " Business to business", which refers to trade between two companies. BtoB covers all the tools used to bring these organisations together and facilitate their commercial exchanges and means of communication.

It can have several names:

• b2b commerce
• Professional market
• Business-to-business trade
• Industrial marketing

👉 Example: a company buying IT products from another company, or a company using the cleaning services of a cleaning company.

BtoB commerce can be applied in :

• Physical commerce
• E-commerce, also known as "BtoB e-commerce".
• Cross-channel commerce, which uses all types of sales channels.

The specifics of BtoB commerce

Because of its professional clientele, BtoB commerce targets a more limited customer base than that of the general public, which encourages companies to offer more personalised products. This can take the form of :

• Setting up partnerships,
• The introduction of certain privileges depending on the 'size' of the business customer ,
• Setting up privileged communication: each customer is monitored by a dedicated account manager, for example.

BtoB commerce has other specific features, such as :

• The end user of the product or service is generally not the final decision-maker. Validation by their line manager is generally required.
• Decisions are more complex because they involve several players.
• Decision-making is more considered.
• Customers are fewer and more demanding.

💡 BtoB sales therefore target a corporate clientele, which forces the players involved to be more rigorous in their work, since these same customers do not need sales representatives since they include in their purchasing process all the commercial stages that precede the final decision.

What are the main differences between BtoB and BtoC sales?

BtoC commerce comes from the English term "Business to consumer", which refers to all commercial relations between a company and the general public.

👉 A comparison table awaits you at the end of the article!

So, beyond the target and the professional clientele, BtoB and BtoC commerce have considerable differences:

A longer sales cycle for BtoB

• The BtoB sales cycle is generally longer, especially if your company deals with major accounts. The prospect who starts the buying process is generally not the final decision-maker. The product/service must therefore be approved by several stakeholders, which considerably lengthens the sales cycle.

• The BtoC sales cycle is shorter, known as the "one shot", since only one person is involved in the purchasing decision. The cycle is more direct and rapid.

Different buying and decision-making processes

B2B buying process

In B2B, buyers do not buy with their own money, but with their company's funds. This is why any purchase must be validated by one or more players, which lengthens the purchasing process and therefore delays the final decision.

👉 For example, the BtoB purchasing process could be as follows:

1. The emergence of the need: The customer becomes aware of his need, which may relate to the purchase of a good or a service.
2. Drawing up a specification: The specification will serve as a guide, incorporating all the relevant information they have found in order to choose the best offer.
3. Sourcing suppliers : Sourcing suppliers and/or service providers is generally done online using comparative blogs and quotations.
4. Negotiation: This stage allows both companies to set a price and prepare for the final purchase.
5. The buying decision: This is the final stage in the buying process, when the customer signs and finally concludes the purchase of the product and/or service.

The B2C buying process

In BtoC, on the other hand, impulse purchases are more frequent. Consumers have no need for validation, and the buying process is fairly quick and traditional. Seeing a product we like in shop can be enough to trigger a purchase... and marketing has understood this!

Different communication channels

BtoB communication channels

In B2B, your customer is a professional and is made up of several entities. So you need to maintain constant, personalised communication. Your professional target audience may also :

• Call in experts
• Calculate their ROI
• Draw up a balance sheet forecast
• Make profitability forecasts

It is therefore essential that your offer and your communication about it are perfectly mastered and thought through. The most effective BtoB communication channels are :

• Blogs
• Social networks
• Emailing

💡 Worth knowing (source: Comexplorer):

• 80% of business decision-makers look for information about a company to fuel their thinking.
• 94% of them say they trust the content published by a company.

💡 Tip: When communicating, emphasise the quantifiable side, i.e. figures, statistics, infographics... This adds expertise to your content and thus lends credibility to your company... which reassures your customers .

BtoC communication channels

In BtoC, communication and promotional channels are more numerous. Retailers have access to several relevant tools:

• Television or radio communication,
• Advertising posters,
• All types of social networks,
• Emailing,
• SMS marketing, etc.

This gives them the opportunity to reach a much larger number of people, but with less interesting targeting.

More detailed content for BtoB

What type of content is best for a BtoB or BtoC target audience?

BtoB and BtoC comparison table

To sum up, here are the main differences between B2B and B2C in a condensed format:

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What is B to B to C?

But there is also BtoBtoC trade. This abbreviation for " Business to business to consumer", refers to the activity of companies that market goods or services to third-party companies, which in turn resell them to the general public.

👉 Let's take an example: a wholesaler selling its products to a clothing shop, which itself resells these products to end consumers.

The BtoBtoC business has the same characteristics as the BtoB business in terms of its initial contact with a professional clientele. The difference between the two is that the company must adapt its products to suit the end consumer and not the company that is going to buy them.

BtoB sales, on the other hand, have to focus solely on the expectations of their main target, i.e. businesses.