The Difference Between Business to Business and Business to Consumer

In Brief

APG Digital
The job of any salesperson is to move product or services to paying clients. It is the sole job to generate sales for the business to earn revenue to not only stay in business but also to pay salaries. If the salespeople fall, the business goes out of business. It is really that simple. However, who the salespeople sell to is quite different; Business to Business (B2B) or Business to Consumer (B2C) is two direct types of business tractions. However, the question is; which would I rather sell to?

B2B transactions mostly deal with high volumes of merchandise with lower costs. Say we sale yagoobers for $10/each to a consumer, however a business may wish to purchase 10,000 yagoobers. To make the sale we have to lower the individual cost of the yagoobers to $6/each. We are losing profit from the individual price; however we also hold a contract for a guaranteed purchase of 10,000 yagoobers. B2B transactions are about creating a satisfying solution between businesses. These dealings are more commonly formal, can be held in office or over lunch/dinner. There may be little to no personal connection between the two representatives of the B2B. By the same token, the client may return for another large order of yagoobers.

B2C transactions deal with the end consumer. We sell directly to those who will be using the product/services we offer. These consumers vary themselves for what they are looking for, and how many they want. They also will only purchase very small quantities; 1-2 of any given item. However, with the end consumer there is opportunity for more personal interaction and ability to promote healthy business awareness. It is more likely for a consumer of B2C to give 'word of mouth' advertising. The end consumer also has tendency to find fault after purchases; and returns product/service for refunds or other 'pay-back' deals.

Asking me who I would rather sell to is quite simple for me to answer but before I do let me talk a bit more about each one. The salesperson for either type of transaction needs to be an extrovert. The salesperson can not be shy or bashful when talking to people; they need to be well spoken and articulate. They also need to have extensive product knowledge. This is where the similarities separate; B2B needs to have strong negotiating skills whereas B2C needs to have the strong ability to read people. B2B salespeople are all business and formal. They know they need to make the sell and will do just about anything to get the sell. B2C salespeople are friendly and take more time to learn about the unmet needs of the end consumer and tend to me more light hearted. For me, I would rather sell B2C with no question in my mind. I enjoy helping people and watching them leave satisfied with a smile on their face. To me, that is a good day at work.

Published by APG Digital

Educational Background; BSBA - Business Management MBA - Marketing MBA - Human Resource Management Doctor of Management Student, Organizational Development & Change U.S. Army Veteran - American Legion...  View profile

  • If the salespeople fall, the business goes out of business.
  • B2B needs to have strong negotiating skills
  • B2C needs to have the strong ability to read people.
B2B transactions mostly deal with high volumes of merchandise with lower costs.

B2C transactions deal with the end consumer.

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