B2B vs B2C commerce: Differences and similarities
Like many other traditional businesses, the line between B2B vs B2C is growing shorter. Learn the differences between B2B vs B2C commerce.
Sometimes, it’s easy to forget that businesses are made up of people. Even if we collectively define the process of businesses selling to each other as inherently different than selling directly to consumers, there are still people involved in those purchasing processes. And people ultimately need to connect to one another to get the information and insights they need to make the right decisions.
If you’ve ever been to a large-scale home improvement store, imagine what it would be like if there were literally no one around in the store – you were the only person there, no sales associates or other customers. You may have a map of the store, and you may know where some of the products are on the shelves, but would you be able to rely entirely on the product descriptions to make your purchasing decisions?
You may finally settle on a product that initially seems like the right one for you, but then again, you may end up making really poor choices. It’s possible you’re completely dissatisfied with your purchase and you need to make returns.
The benefits of online communities for B2B companies
Online communities, where people can ask questions and view relevant content to help them make a purchasing decision, can significantly lower the cost of assisted sales and help customers make the right purchasing decisions. And while it may seem like a solution more suited for businesses that sell directly to consumers, business-to-business (B2B) companies can also reap huge benefits from online communities.
For B2B retailers, there are two important things to remember:
- For many B2B retailers that sell through distributors, their end customers may still end up doing research on their online product Web site to make a purchasing decision.
- Even if you’re only selling directly to businesses, it’s still likely that you’ll need to find a way to reduce the cost of assisted sales and ultimately help people make the right purchasing decisions.
A recent Forrester study found that 75% of customers who used community-based user-generated content had a greater satisfaction when using a product.
The B2B retailers that have discovered the benefits of online communities are putting them to great use today. They use their online storefront experience to provide potential consumers with a chance to look at reviews, ask questions and engage in discussions, and see the latest, up-to-date product news. And they leverage this insight to help inform their distributors about what their consumers are thinking. The most sophisticated B2B companies even use the information they collect to improve future offerings.
Build a better online community by connecting the disconnected
Establishing online communities can be difficult. Many of them are often disconnected from the product catalog, leaving consumers and distributors to talk vaguely about product offerings rather than specific products. Only 28% of companies in a Forrester study felt they were fully harnessing the sales potential of a branded community site
Disconnected product discussions and forums are often seen as a “cost of doing business” more than an opportunity to gain insights. They’re often an afterthought and presented as a support forum to “deflect service requests” rather than to drive sales or gain insights from what customers are saying before making a purchasing decision.
The best way to avoid having an online community experience become a dead end or a cost center with no benefit is to connect them directly with the commerce experience and make the community a relevant part of the customer journey. Companies that look to leverage their existing product catalog and deeply integrate their online community and user-generated content capabilities will experience better adoption and return on their investment as compared to those that leave the community a separate side-car experience.
Lend a helping hand to your customers
Ultimately, what is most important for either customers or businesses to make the most informed decision in a timely fashion boils down to perhaps an obvious insight: They need someone else to help them. Without having the ability to engage in dialog – ask a question, read a shared review, or check up on the latest news to make a purchase.