Question

Dеscribe the diffеrences betwеen businеss-to-businеss and consumеr markеting for the following mаrket elements: Pricing channеls, promotion, distribution, customеr relаtionship and decision-mаking.

(250 words minimum) and please avoid using Plagiarism, thank you

Answer 1

Business to Business Marketing refers to the sale of products or services or both by one organization to another organization that further resells the same or utilizes to support their own system.

Consumer marketing on the other hand refers to the transaction of goods and services between an organization and it's potential customers.

With regards to market elements, there are 5 key differences between both marketing strategies. They are

- In B2B distribution channel, movement might happen from the business product manufacturer to the end consumer, or it may happen from a distribution network which is in between. B2C channels on the other hand involve the most wide distribution channel because of the number of players involved. In B2C, it is unlikely that goods will flow from company to end customer directly. Though some companies have started their own E-commerce portals for the movement of goods, many companies still operate through distribution channels to ensure smooth movement of goods and availibility of goods to end customers.

- B2B is a more quantifiable business model to price towards, as business owners largely are drawn to products that can either help them sell more and spend less. Whereas the ticket size per transaction is usually smaller in B2C, but the purchaser usually decides to make the transaction immediately. The stickiness of a B2C customer is lower than a B2B client.

- B2B business focus on building long term personal relationship, while B2C businesses focus more on driving short term value at an efficient rate.

- B2B buyers are logical and planned and have a committee for purchasing decisions. B2C buyers are emotional and make purchasing decisions as per their desires.

- B2B businesses market to a group consisting of many decision makers and managers whereas B2C businesses market directly to end consumer. B2B businesses focus more on lead generation rather than forming a solid brand. On the other hand, B2C businesses look to increase brand recognition to sell more products.