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B2B Or B2C Or C2C? It’s all Human To Human Advertising and marketing

B2B Or B2C Or C2C? It’s all Human To Human Advertising and marketing

It’s a enterprise transaction that occurs between two companies however the remaining consumption is by a client

In the present day, we dwell in an financial system the place there’s a skinny line of distinction between a purchaser and a vendor

A sensible skilled is one who can steadiness the portfolio amongst these channels and create worth for the enterprise’ stakeholders

B2B or B2C? This has been probably the most mentioned matters within the final 5 years of our firm. Lots of people have raised totally different sorts of questions on our tackle B2B and B2C. And, there are just a few different phrases to complicate issues additional. You may need heard of C2C, B2G, and B2B2C. However what about human to human advertising and marketing?

After we began in 2012, we deliberate to construct a B2C-based enterprise. B2C client web companies had been highly regarded throughout that interval and we felt that buyers actually wished the product we had been constructing. We began with the group and social gifting which was a pure-play B2C concept. Nonetheless, inside 4-5 months we realised that the concept wasn’t working the best way we had thought it could. With some recommendation, we began taking ‘bulk’ gifting orders. These bulk orders helped us develop the enterprise, construct momentum, study the nuances of operating an organization, construct a group, construct a crucial client base, provider relations, and rather more.

What Is Human To Human Advertising and marketing?

In administration jargon, this was nothing however a B2B enterprise. Whereas we saved following a B2B mannequin, we saved utilizing the learnings we drew from this journey and fine-tuning our total enterprise mannequin. The money move from B2B and the insights from these transactions helped us slowly construct our B2C enterprise.
In the present day, we now have a wholesome mixture of B2B and B2C. Because the world is transferring in direction of a sharing financial system and the type of business we’re in, it makes a whole lot of sense for us to pursue C2C too. Therefore, we now have been working in direction of constructing a robust C2C mannequin as nicely the place experiences are bought ‘by the people, for the people’. Many experiences and actions we offer are facilitated by the federal government, and therefore some a part of the enterprise is B2G as nicely.

We now have confronted varied questions over the past 5 years round these jargons. I’m certain a lot of you should have confronted the identical. Let me share a few of these questions and incidents. In 2012-13, everybody was insane about client web companies, funded with hundreds of thousands of {dollars}. Throughout these instances, though we had been majorly B2C, our focus was extra in direction of B2B.

Under are a number of the questions we confronted throughout these years:

● Why are you doing B2B and B2C collectively? Are you not shedding focus?
● Why are you losing time on B2B, it’s so sluggish to develop?
● Why are you not constructing a B2C and elevating large rounds?
● Do you assume your B2B mannequin is scalable?
● Have you ever typically seen multi-billion {dollars} exits in B2B companies just lately?

As we at all times loved individuals probing us and asking such questions, all these questions helped us to improvise and fine-tune our enterprise. Generally individuals acquired confused and pissed off us with these questions. We confronted questions from our staff and different stakeholders. However with the assistance of our mentors and our willpower, we saved our momentum excessive and tried to steer clear of such distractions, whereas engaged on any suggestions which had a direct influence on our prospects or enterprise.
We slowly realised that many individuals don’t actually perceive the true essence of B2C or B2B.

They assume these are basic enterprise mannequin definitions whereas really they’re simply channels to succeed in the buyer. To clarify to a few of these individuals, we tried to take a center path by telling them that it’s not simply B2B nevertheless it’s really B2B2C. You could be pondering what is that this new beast ‘B2B2C’?

In easy language, it’s a enterprise transaction that occurs between two companies however the remaining consumption is by a client. Properly, many of the B2B companies are actually B2B2C by way of consumption, however that’s how we MBAs complicate your lives.

A few of the greatest examples which strengthened our beliefs are:

● Fb/Google’s companies are utilized by billions of customers, most of its revenues come from B2B.
● The Cola giants are client manufacturers, however additionally they have giant B2B gross sales in motels, eating places, and extra.
● Many journey manufacturers have a B2C in addition to a B2B channel.
● More often than not, in a B2B transaction, the ultimate consumption is by the tip client (the story behind one other time period B2B2C), e.g. MS Workplace is bought to a enterprise, however the end-user is a client.
● Amazon sells to customers in addition to companies.

In 2016, when many of those inflated client web enterprise fashions began failing, we confronted a unique set of questions like:

● Why are you doing B2C? Why don’t you simply concentrate on B2B?
● Isn’t B2C blowing up your cash?
● We now have seen the B2C massacre earlier than, we’re seeing it now. Why don’t you simply develop your B2B?
● There has hardly been any B2C exit in a decade. Why do you wish to do one?
● Isn’t B2B extra worthwhile and sustainable than B2C?

A few of our learnings in B2B and B2C over these years helped us discover solutions to a few of these questions. None of those channels are higher or worse than the opposite, none is less complicated or harder than the opposite. It’s about the way you preserve a steadiness between these channels as per your assets and exterior elements.

My understanding of B2B and B2C is as under:


● It doesn’t require heavy advertising and marketing to start.
● It helps to get speedy suggestions and iterations.
● Monetary planning is straightforward. You understand the income pipeline and might plan your bills accordingly.
● You get a extra managed setting.
● Attain and scale could also be restricted
● Entry limitations could also be excessive resulting from enterprise relationships vis-a-vis competitors.
● It helps to construct early income and money flows.
● Gross sales may be individuals dependent.
● The brief head shopper enterprise possesses dangers of failure.
● Resolution making could also be advanced resulting from a number of stakeholders.
● Typically excessive ticket offers.
● Normally long run.
● Prolonged gross sales cycles.
● Excessive influence.
● Relationships are crucial.


● We would want a heavy advertising and marketing focus.
● Client suggestions could take time.
● Iterations may be expensive.
● It’s powerful to gauge income pipeline and therefore bills can overshoot.
● The setting is much less managed.
● In case your product works nicely, the ROI could be very excessive.
● Attain and scale may be enormous.
● Entry limitations could also be low to amass prospects vis-a-vis competitors.
● It helps to construct early model consciousness.
● Gross sales are typically by way of a model pull.
● Excessive buyer acquisition prices possess dangers of failure.
● The choice-maker is generally a person.

The segmentation by way of enterprise (B2B) and client (B2C) behaviour is a deceptive dichotomy, to start with. In the present day, we dwell in an financial system the place there’s a skinny line of distinction between a purchaser and a vendor. The prices of beginning companies are small, individuals wish to devour somewhat than construct belongings, individuals wish to earn whereas they share.

Therefore anybody generally is a vendor or purchaser. Companies are going democratic and variations between B2B and B2C are getting blurred each minute.

A lot of the companies around the globe have an excellent mixture of B2B or B2C or B2G or C2C. The best way many profitable companies have a look at these fashions is simply ‘channels’. Channels change with client preferences, macro and microeconomic elements, an organization’s long run and brief time period plans, an organization’s financials, and extra.

Whereas B2B, B2C, and B2G are conventional and established routes which corporations have been taking for a few years, enterprise dynamics preserve altering and therefore newer routes like C2C will preserve coming by. C2C is extra frequent right now than earlier than. B2B and B2C could be too short-sighted a view of defining client conduct in these instances. The advertising and marketing traits are additionally going in direction of one-to-one communications.

It’s All Human To Human Advertising and marketing

Let’s not take into account B2B/B2C/B2G/C2C as enterprise fashions and deal with them as if they’re mutually unique and work in silos. As a substitute, let’s deal with them as mere channels to succeed in out to the buyer. All or just a few of those channels can co-exist. Entrepreneurs and professionals ought to come out of those partitions of B2B, B2C, and many others. A number of of those can co-exist in the identical enterprise. As a substitute, what one ought to focus is on the larger image of the enterprise to human advertising and marketing.

A sensible skilled is one who can steadiness the portfolio amongst these channels and create worth for the enterprise’ stakeholders.

So, let’s not confuse ourselves and others with these classifications. Let’s preserve it easy. It’s all Human to Human Advertising and marketing or H2H Advertising and marketing. It’s for the individuals and by the individuals.



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