Having a Compound Annual Growth Rate of 16.5%, the eCommerce industry has now reached 10 trillion dollars. It started years back when people were unaware of what the eCommerce world can provide them. Amazon was the first-ever brand that surfaced in the industry. It provided an avenue that gathered many sellers and potential buyers.
Moreover, in the e-commerce industry. There are two segments B2B and B2C. Both of these vary concerning the business model. B2B eCommerce is based on business-to-business dealings. The direct audience is only business. So, the orders created on the platform are in bulk quantity.
On the contrary, B2C e-commerce is based on business-to-customer dealings. The main target audience is consumers individually. Anybody can place an order whether it consists of a single item. So, Amazon is a leading B2C e-commerce industry similarly, when it comes to B2B, eWorldTrade has now turned out to be a massive brand.
Main Key Elements Of B2B and B2C Ecommerce
The scope of B2B and B2C eCommerce is not merely restricted to the division of the target audience. It’s vast. So, here are certain elements that can rightly describe the true difference between these two business models. Read on.
Buyer intent is the key element that varies between the two business models. In B2C eCommerce, consumers mostly get into impulse buying. You must have noticed that in a super-mart, many buyers keep on picking one item and then the other. They hardly pay attention to searching for the cheaper option. Their shopping behavior depends on two things, appeal and need. Sometimes, they get such items that they never thought of using but the offer amuses them.
However, in the B2B e-commerce things are pretty different. The buyers look for a reliable and cheap option. They never haste or hassle. They stay focused on their needs and look for options that best suit them. As their order is in bulk amount and intended to satisfy their target audience, they want it to be great and under budget.
Volume and Size of Transactions
The Average Order Value plays the role to define the difference in market value. The global B2B marketplace worth around 1.5 to 1.7 the total value of the B2B eCommerce industry. The most important aspect that can help you understand the revenue peaks is that in a B2C the revenue rate tops up only when an innovative luxury car for any such product surfaces in the market.
However, in the B2B market at any time you can expect a million-dollar sale. The cycle revolves around the demand and supply of the market.
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The customer lifecycle of the B2B and B2C business is more or less the same. The journey starts from spreading awareness and then creating a need. However, the approach can vary. When you address an individual customer you educate them how the product is useful in their daily life. On the contrary, when it’s about B2b you have to tell the consumer how important the product can be for their business to generating revenues and you have to keep the demand rates in front to convince the customer.
When it comes to B2C, the first thing is to search for information and then learn about products. You have to read the reviews and make sure everything is in a positive light. The next thing is to make your customers aware of your product and help them reach out to the cart. The sales transactions and lead generation then come as an important marketing aspect to pay attention to.
On the other side, in the B2B business, you have to carry out a competitive analysis and note the sales report. You have to find out the right budget and come up with the right value for your goods. You have to research potential buyers and businesses and pitch them. You can even provide product demos to convince your customers. In this model as well, you have to pay attention to revenue generation and lead acquisition.
The UI/UX Of The Store
The next important aspect to ponder is the UI/UX of the store. When you are preparing a store for individual customers in the B2C e-commerce industry, you have to make sure that the store is appealing. You have to spend time enhancing the design and making sure that everything is accordingly. You need to create a customer-centric approach to your store that can help you lead your visitors to the checkout terminal.
However, in the B2B store, you have to pay attention to product classification, description, and data entry. You have to make sure that your customers get the right idea of your product may be through the picture, text, or video.