Nov 24, 2017 02:16

What is B2C Ecommerce?

By Anders Andersson

B2C ecommerce (Business-to-Consumer) ecommerce is the exchange of products or services over the internet between businesses and individual consumers. Companies sell online goods directly to consumers (the end users of their products or services).

b2c ecommerce

Although the term B2C implies that the buyer is the consumer, that does not necessarily have to be the case. The buyer does not have to consume the product. B2C merely suggests that; it is a transaction between a business and an individual person. e.g. a mother buys clothing for her children. Whereas the children are the end consumers of the product.

Every product and service belong to a value chain. A value chain is a chain of transactions and B2C is the last one of those transactions. e.g. a manufacturer of a specific type of screw sells their goods to another company that manufactures furniture (a B2B transaction), that company sells their goods to a furniture reseller (a B2B transaction), which sells the furniture to the end consumer (a B2C transaction).

Most Internet users are familiar with B2C ecommerce. B2C ecommerce is often focused on high volumes of traffic and transactions. That calls for a large amount of automation and as little manual work as possible. Best practices for B2C depends on what type of products or services the etailer is selling.

Most B2C industries experience tough competition. Ecommerce have increased the competition further making the market global. It does not matter where in the world the company is located, it can still sell to anyone, anywhere. The competition drives B2C companies to offer new services to their customers to get ahead of their competitors.

Prizing, convenience, support, loyalty programs and automated personalization are some of the factors that B2C retailers use to differentiate themselves.

Many B2C companies have both physical stores and ecommerce (multi channel retailers). Multi channel means that the company has two or more sales channels. Retailers can bring further value to their customers by integrating their physical and digital channels through system integrations. That is usually called cross channel and omnichannel.

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