A Comparative Analysis of B2B and B2C Marketing Strategies

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This essay delves into the fundamental differences between business-to-business (B2B) and business-to-consumer (B2C) marketing strategies, highlighting their distinct approaches and implications. The analysis focuses on the motor vehicle industry to illustrate how marketers tailor their strategies to target different audiences effectively. The essay examines key contrasts, including the nature of the audience (individual consumers vs. groups of businesses), the drivers behind purchase decisions (emotions vs. rational needs), the level of detail required (entertaining vs. informative content), and the duration of the buying cycle (short-term vs. long-term). It also explores how factors like customer relationships, purchase motivations, and the complexity of the buying process influence marketing tactics. The essay concludes by emphasizing that while both B2B and B2C marketing share the common goal of promoting products or services, they require different approaches in terms of communication, relationship-building, and the overall marketing process.
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Running head: DIFFERENCES BETWEEN B2B AND B2C MARKETING 1
Differences between B2B and B2C Marketing
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 2
Introduction
Business to consumer and business to business marketers aim at capturing the attention of
different audiences. Although, the two types of marketing have several similarities, they require
different approaches especially when it comes to communication. Business to business marketers
seeks to capture the attention of other businesses who focus on the product, efficiency and
expertise while the audience of business to consumer marketing is individuals who seek deals
and entertainment. This essay carefully analyses the differences between business to consumer
and business to business marketing and the implications of these differences on marketing
strategies with a focus in the motor vehicle industry.
First and foremost, business to business marketers sell to individuals one at a time thus
can only sell one item at a given time. On the other hand business to consumer marketers, can
sell a bunch of goods at once hence they market in bulk (Zenn 2018). For instance an individual
goes to a car dealer with an aim of buying one personal car for individual or family use while
Transport Company may purchase several vehicles for commercial purposes at the same time.
Therefore, marketers have to use a strategy that is individualistic and relates to a single product
when dealing with consumers and use a strategy that relates to a bundle of groups when dealing
with businesses (McKittrick 2010).
Secondly, business to consumer marketers markets directly to the end user while business
to business marketers market to a group of individuals. Consumers buy goods for individual use
hence when making a purchase decision they look at the characteristics and benefits that best suit
their needs (Whalley 2013). In the case of business to business, one individual or a group of
individuals buy or make a purchase decision on behalf of others hence they have to consider their
needs and think about what they would appreciate. For example, a consumer who wants to
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 3
purchase a car is concerned with its features and makes his or her decision based on what he or
she wants to use the car for. On the other hand, business to business marketers in the motor
vehicle industry market to the chief executive officer or a business decision maker in the
company who is not going to use the vehicle but it is going to be used by someone else in
another department. Therefore, Marketers must consider their ultimate audience and consider the
person buying or making the purchase decision.
Another difference lies in what drives the individual or the decision maker make the
purchase decision. An individual’s decision to buy may be driven by one or two factors but in
case of a business the decision is made by a committee where choices are generated by every
member of the committee and these choices finally make up a consensus(Hollensen & Opresnik
2015). In other words, business to business buyers are planned and rationally based on needs
while business to consumer buyers are emotionally based on their desires. For instance, an
individual buys a car which he likes or has been dreaming of while businesses must carefully
analyze the features of various types of vehicles base on their needs. Therefore, marketers must
consider factors that motivate their potential buyers to buy and the stage of the buyers’ journey
that they are in so as to give the audience the appropriate characteristics, benefits and return on
investment.
Business to business audience requires detailed information about the product or service
as well as the technical specifications before they can make a decision. Business to business
marketers therefore, have to link the characteristics and specifications of a product to benefits in
their marketing strategy so that the audience can be convinced to make the purchase decision
eventually (Vize 2008). On the other hand, Consumer seeks entertaining content that is easy to
understand rather than detailed information. They are convinced by useful and shareable content
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 4
hence marketers have to make their message brief, to the point and benefits driven. For example
a consumer requires a good looking car that is within his or her price range, while a business
must consider all the details about the vehicle such as fuel consumption, durability, capacity
among others.
Business to business audience does not need to have a close relationship with the brand in
order to make the purchase. They just search for information on the brand, share content and
make a purchase once in a while. Business to business audience however, tend to maintain a
close relationship with the brand because they have to make repeated purchases now and then
(Solomon, Marshall & Stuart 2008). For instance, a consumer may purchase one or two cars in
his or her lifetime hence he or she has to research about the brand each time of making a
purchase whereas a business purchases several vehicles in the course of its existence hence has
to maintain loyalty with a particular brand. Therefore, business to business marketers has to
cultivate a relationship with multiple buyers or decision makers by reinforcing trust through the
provision of value and keeping in touch while a business to consumer market needs to develop a
strategy that will capture the consumer's attention at the particular time of purchase.
Individuals make purchase decisions based on status and recognition. They buy products
that will help them make a social statement or elevate their status. Business to business audience
however, make decisions based on its benefit to the organization and how it will help improve
the organization’s efficiency (Wong 2018). For example, an individual wants to buy the latest
model of a car so as to be recognized as a person of high class among the community whereas an
agricultural farm will buy transport trucks and Lorries that are effective in transporting farm
produce. Therefore, business to consumer marketers must incorporate the aspect of social
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 5
influence in their strategy while business to business marketers must focus on efficiency of the
product and benefits to the potential buyer.
Business to consumer buyers purchase products that will cater to their immediate needs.
They make their decision within a short period of time, purchase a product that will solve their
problem and move on. For example an individual who wants to travel with his family over a long
distance tomorrow may make a purchase decision today and buy a car within the same day. On
the other hand, business to business purchases has longer purchase cycles as companies have to
consider the impact of the decision in the long run and the long-term effect of the product in the
company(Ennew, C., Waite, Waite, & ProQuest 2018). For instance, before purchasing a car, the
decision maker has to look at the present value of the expected cash flows from the vehicle and
compare this with its effective cost. Therefore, business to consumer marketers has to emphasize
convenience, ease of use and instant gratification while business to business marketers focus on
the product's impact in the long run.
Consumers are often unwilling to spend a lot of time, attention and resources on content
and details when shopping. They just look for a product that has a particular feature that they are
looking for, make a purchase and be on their way. Business to business buyers on the other hand,
spend a lot of time in going through and understanding the details of the product or service
(Fahey 2009). For instance an individual who wants to purchase a car may just be concerned
with its fuel consumption while a company that wishes to buy a transportation vehicle may take a
day or two trying to understand all the necessary features. Therefore, business to consumer
marketers must focus on capturing the attention of the potential buyer and prompting him to
make a quick purchase decision in designing their market message. Business to business
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 6
marketers however, need to design their strategy in such a way that the audience’s attention will
be retained through relevant content that is informative and helpful in decision making.
Business to business marketers put a lot of resources on customer satisfaction and
retention because each customer represents a significant amount of revenue in the long run. Each
customer has to be satisfied for them to make repeated purchases and increase their purchase
volumes (Chaston 2016). Business to consumer marketers however, prioritize on creating brand
awareness since consumers make limited purchases and may make the decision depending on
how well they know the brand. For example, a car dealer has to satisfy its business customers
since they buy repeatedly in bulk and make its brand known for individual consumers to be
attracted. Therefore business to business marketers has to develop a strategy that will make the
buyer come back to make a purchase while business to consumer marketers develop a strategy
based on the one-time attraction of the potential buyer.
Business to consumer buyers seeks simplicity and ease of use. They often back away
from complicated user experiences hence a negative impact on conversion. Business to business
customers on the other hand, are often willing to go through a long and complicated process in a
bid to develop an account with different users so as to take advantage of personalization based on
budgets and each employee's responsibility. They also want several options for processing
payment which requires a lengthy process to set up. Therefore, business to consumer marketers
needs to simplify their strategy to fit the potential buyer while business to business marketers
must develop a strategy that provides options and may be complex to the buyer (Srinivasan
2012).
Business to consumer marketing involves targeting of several broad and large segments
based on lifestyle such as the millennial or baby boomers. The market can easily be separated
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 7
into broad segments based on a common characteristic. For instance a marketer may target a
farming community thus provide spacious light trucks that are able to carry farm produce.
Business to business marketing however, involves constructing highly detailed profiles of the
customer that aid in the provision of specialized offers for each customer. Each customer has
specific and detailed features that they are looking for in a product. For example a manufacturing
company requires specific trucks that are suitable for transporting raw materials and others for
finished products. Therefore business to business marketers needs to develop strategies that are
hyper-personalized while business to consumer markets need to segment the market broadly.
Business to business purchases is often based on contract terms unlike consumer
purchases that are one time (Lake 2018). The relationship between a business to business seller
and a buyer is likely to last for several years hence the impact of a purchase decision is more
significant (Cespedes 2009). For example a transport company may sign a contract with a car
dealer for delivery of busses a certain number of times annually. Therefore, business to business
marketers needs to spend more resources in finding new distribution channels and markets while
business to business marketers need to focus on building lasting relationships with existing
customers in order to lead to the renewal of contracts.
Conclusion
The differences between business to consumer and business to business marketing are
evident in what the purchase decision is based on, the relationship between the marketer and the
buyer and the speed of the process of marketing (Staff 2017). The differences can also be on the
basis of the targeted consumer base and its size and the means of communication to the target
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 8
market. Eventually, it is important to acknowledge that business to business and business to
consumer marketers share the same objective of marketing the product or service to the
consumer base. However, the strategy used to convince the potential buyers and make them
aware of the product be very different. The key is for the marketers to understand their target
market, reach the potential buyers and retain the existing customers then continue to support
their market. Gaining this knowledge and understanding and use of the appropriate strategy will
allow both business to consumer and business to business marketers meet the needs of each
customer.
References
Chaston, I. (2016). B2B Marketing. Entrepreneurial Marketing, 276-292. Doi: 10.1007/978-1-
137-50092-2_15
Srinivasan, R. (2012). Marketing Metrics in B2B Firms. Handbook of Business-to-Business
Marketing. doi:10.4337/9781781002445.00051
Cespedes, F. (2009). Coordinating Marketing and Sales in B2B Organizations. Handbook of Business-to-
Business Marketing. doi:10.4337/9781781002445.00016
Fahey, L. (2009). Competitor Intelligence: Enabling B2B Marketing Strategy. Handbook of
Business-to-Business Marketing. doi:10.4337/9781781002445.00017
Lake, L. (2018). Learn The Difference Between B2B and B2C Marketing. Retrieved from
https://www.thebalancesmb.com/b2b-vs-b2c-marketing-2295828
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DIFFERENCES BETWEEN B2B AND B2C MARKETING 9
Whalley, A. J. (2013). B2B, B2C. Encyclopedia of Sports Management and Marketing.
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Zenn, J. (2018). 10 Key Differences in B2B vs. B2C Marketing. Retrieved from
https://blog.hubspot.com/agency/differences-b2c-b2b-marketing
McKittrick, S. (2010). The New B2B Marketing in Practice. Doi: 10.1571/cs11-18-10cc
Hollensen, S., & Opresnik, M. O. (2015). 2.4 Analyzing Buying Behavior in the B2C Market.
Marketing, 120-125. Doi: 10.15358/9783800649297-120
Staff, A. (2017). What’s the Difference between B2B vs. B2C Marketing? Retrieved from
https://www.act-on.com/blog/b2b-vs-b2c-marketing/
Solomon, M. R., Marshall, G. W., & Stuart, E. W. (2008). Marketing: Real people, real choices.
Upper Saddle River, NJ: Pearson Prentice Hall.
Ennew, C., Waite, N., Waite, R., & ProQuest. (2018). Financial services marketing: An
international guide to principles and practice.
Wong, L. (2018). 15 Major Differences between B2C vs B2B Marketing. Retrieved from
https://blog.apruve.com/15-major-differences-between-b2c-vs-b2b-marketing
Vize, R. (2008). Social media marketing for B2B. Contemporary Issues in Social Media
Marketing, 46-59. Doi: 10.4324/9781315563312-4
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