Deciding on an e-commerce model before entering an e-commerce business is a significant and confusing decision for many e-commerce startups. For that, we are introducing a beneficial guide for B2B2C e-commerce.
Simultaneously, as we live with many e-commerce models nowadays, it may be difficult to determine your e-commerce model based on your industry, products, services, and target audience.
Moreover, the two most well-known e-commerce models are B2B (business to business) and B2C (business to consumer).
However, being aware of new e-commerce models like business-to-business-to-consumer (B2B2C) is necessary to keep up with the e-commerce market.
So, if you seek to know more about the B2B2C model and take a look at some marketing tips to follow with inspiring e-commerce brands, then read this article.
What is the meaning of B2B2C e-commerce?
As we told you before, B2B2C e-commerce represents business-to-business-to-consumer e-commerce and combines B2C and B2B e-commerce models.
Moreover, it is considered the newest and high-efficiency e-commerce model in our digital age.
What are B2B and B2C e-commerce business refers to?
B2C e-commerce business refers to the direct relationship between the business owner and consumer where the selling of services or products occurs directly to the end individual in online and direct e-commerce business between business and consumer.
Otherwise, B2B e-commerce refers to products or services sold to another business in direct and online commerce between e-commerce business owners.
Therefore, we can say that B2B2C e-commerce is a model where businesses reach customers through a third coordinator.
How can B2B2C e-commerce model work in a business?
We can consider three coordinators in the B2B2C e-commerce business, including the primary brand, the intermediatory or the middle company, and the end user.
Whereas in the B2B2C, the intermediatory company works on selling services to the primary brand and focuses on selling products to customers.
For instance, Shopify represents the intermediatory company.
How Shopify works as an intermediatory company?
The Shopify website sells services to the primary company, where it offers hosting of the brands and products of the primary company on its e-commerce store.
Then, Shopify delivers the products of the primary company to consumers who shop through its marketplace and represents its role as a third coordinator.
What are the advantages of B2B2C e-commerce?
Increasing a customer base for the primary company, which represents the e-commerce business owner.
If delivery and purchasing occur properly, it will enhance the customer experience.
Moreover, the B2B2C e-commerce model reduces the costs for the primary company, like the logistics costs.
When the business owner works with another business, maximizing strength points and creating new opportunities for both businesses can occur.
Furthermore, the B2B2C business increases the brand’s reliability, credibility, and recognition.
What are the disadvantages of B2B2C e-commerce?
The cons are nothing when we come to the pros of B2B2C, but let us give you all the details to decide:
At first, your engagement with the intermediary company may be time-consuming.
Simultaneously, you will try to satisfy both your business partner and consumers.
As an e-commerce startup or an old business owner who wants to feature his products on the online marketplace, you will suffer low profits at the beginning as the e-commerce brands usually pay a fee per item for retailers.
So, you should ensure that the partner you choose is worth the services cost.
What are the digital marketing tips and tricks for B2B2C e-commerce?
The challenges in the B2B2C model can come with creativity, which is a bonus point for the brand owner.
So, marketers should be picky and smart when choosing strategies to leverage the offers and benefits of this e-commerce model.
Here are the five best marketing strategies to boost your profits in the B2B2C e-commerce model:
Use your marketing strategy along with your partner.
As an e-commerce brand, you certainly have your marketing strategy; however, placing an advertisement on your partner media will bring more audiences to your online store, which leads to a gradual increase in profits.
Moreover, try to gain benefits from your partner's marketing campaigns even if your business has its marketing campaign, as getting advantages from your retail media is considered one of the most potent retail trends in 2023.
Simultaneously, you can participate in marketing campaigns of other e-commerce brands that work with the same retailer.
Determine your target audience and focus on your customers.
It may be tricky to determine your proper customers as you deal with two categories of audiences: your partner companies and your brand consumers.
Otherwise, when it comes to intermediatory companies, there are two kinds of customers: the brands that take space on your online store and the end users buying from the marketplace.
For that, and to dedicate your audience simply, figure out a communication way, to get in touch with both sets of customers.
It is necessary to understand that the marketing strategy which targets businesses differs from the marketing techniques that target users.
So focus on developing different marketing strategies for each set of customers.
Pay attention to feedback and reviews from both business partners and brand consumers.
Be4startup can help you with that through a professional marketing team that can segment your customers easily without wasting time or effort while choosing your appropriate media partner.
Check out Be4Startup to learn more about their high-efficacy marketing strategies and plans.
Focus on getting benefits from data.
You will face a huge amount of customer data with the B2B2C model, so try to use it to increase your business spread and profits.
Make a deal with your intermediary company about their way of collecting data to get the most advantages from it.
Try to collect additional data about customers, like their buying behavior and motivations, to be closer to the end users.
Simultaneously, use this data to improve your e-commerce store and attract more consumers.
Add creative selling techniques.
The B2B2C e-commerce model provides you with creative selling methods to increase your sales, like cross-selling, where you try to convince consumers to buy products that are related to their purchases.
Also, the B2B2C model offers upselling by persuading consumers to buy more expensive products than the ones; they are going to purchase.
The intermediary company is responsible for upselling and cross-selling occur in the marketplace.
Let us clear it up with an example:
If you are a brand owner who offers skincare products and customers make purchases for an oily skin cleanser product.
Then your online retailer suggests that this consumer can buy moisturizing cream or sunscreen beside the cleanser, and cross-selling occurs.
Upselling can occur when your consumer makes an order of a product with (200 ml), then the retailer can suggest the consumer buy this product in 500 ml or buy another expensive product for the same skin type from another line.
What are the examples of B2B2C e-commerce?
There are many inspiring and successful examples of the B2B2C model, and Amazon is one of the most successful B2B2C e-commerce.
Amazon is considered one of the most successful B2B2C e-commerce models.
In this example, amazon represents the intermediatory company and the partner business of the e-commerce brand, where it offers hosting for several e-commerce brands.
Then delivers the products of these brands to the end consumers.
You can say that Amazon has achieved extraordinary success in the B2B2C e-commerce model.
If you want to know more about the B2B2C e-commerce model, check out be4startup to learn about our services.
You should ensure your leverage from the intermediary online marketplace as a channel connected to all other social media platforms.
Also, ensure the partner business transmits your purpose and message to customers to guarantee a successful consumer experience.
Don’t hesitate to contact us to enhance your e-commerce business through our professional marketing team.
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Everything you need for your e-commerce store is present on be4startup. We are always happy to support you.