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B2B vs. B2C marketing: what’s the real difference? https://ift.tt/oT5XO3j B2B and B2C customers aren’t the same, so tailoring your marketing efforts to each is crucial. To start, you’re either marketing to one consumer or a department at a company — but it goes deeper than that. Even the way these audience groups make decisions is miles apart. B2B buyers make purchasing decisions after doing in-depth research and weighing the advantages and disadvantages of multiple solutions to a problem. Conversely, B2C purchases can be emotionally driven or even spur-of-the-moment, especially when the pricing is right. In fact, an Intelligence Node report found that 37.7% of consumers plan to continue spending in 2023 as they did in 2022, despite economic uncertainty. And 14.1% plan to increase their spending. These key differences in consumer behavior alone call for a custom approach to engaging and getting conversions from each audience. But that’s just one of the many facets you must account for to build effective marketing campaigns for each segment. Here, we do a deep dive into the primary things that set B2B and B2C marketing apart and explore what successful catering to these audiences looks like. But first, let’s dive into the basic differences between these types of marketing. Difference between B2B and B2C marketing Final thoughts: B2B vs. B2C marketing — 5 primary differences explained Comparing B2B vs. B2CB2B marketing explainedB2B (business-to-business) marketing is geared toward a company or business. It targets one or several key decision-makers or departments in an organization. A good example of a B2B business is GetResponse MAX, which sells email and SMS automation and other marketing tools to organizations. Another example is Bluehost, which offers web hosting services to other businesses. B2C marketing explainedIn contrast, B2C (business-to-consumer) marketing refers to strategies a company uses to promote its services and products to individual consumers. Examples of B2C businesses include Starbucks and Spotify. Can B2B and B2C intersect?It’s very common for businesses to cater to both B2B and B2C consumers, so they overlap frequently. For example:
B2B and B2C audiences can also intersect through the B2B2C model. In this model, two businesses collaborate to sell products or services to consumers. For instance, Instacart teams up with grocery stores to offer customers grocery delivery services. It provides an ecommerce website where consumers can shop for groceries from their preferred store. In return, Instacart gains access to a built-in customer base. This partnership also benefits grocery stores by letting them provide delivery services without significant technology and staffing investments. The difference between B2B and B2C marketing
1. Target audienceThere’s one standout distinction between B2B and B2C customers: The former buy products for their company, and the latter buy items for their personal use. In that sense, the person you want to reach with your marketing efforts for each audience is completely different. B2B: Key decision-makers within a companyThe target audience in B2B marketing is a company’s key decision-makers. They include CEOs, product managers, and department leaders. These B2B buyers make purchasing decisions on behalf of their organization. Therefore, they consider the long-term value and impact a purchase will have on the company. B2B customers are savvy and often know exactly what they want. A Bain and Google study shows that 80% to 90% of B2B buyers will create a list of potential companies to purchase from before researching any product. And 90% will eventually select a brand from their initial list. On top of that, these buyers are more skeptical and have higher expectations for solution providers and B2B sales reps. In fact, 36% of B2B customers dropped a software provider that gave them confusing information or had a bad sales presentation.
These stats show the difficulties that come with selling to B2B buyers. You must prove yourself as an authority in your industry and clearly demonstrate the benefits and value of your product or service to gain the trust of these savvy customers. B2C: Direct consumersB2C marketing targets consumers looking to buy personal items. Factors like cost, enjoyment, and convenience typically motivate these customers. According to a WARC report, more than 70% of shoppers like the convenience of buying products instantly from the platform they’re browsing. And Shopify’s Commerce Trends 2023 report found that consumers want a personal and responsive experience — everywhere they shop. They’re also concerned about the value of their purchases. According to Insider Intelligence, 66% of shoppers who switched brands in 2022 were looking for better deals. And 58% were searching for better product quality. As a result, offering consumers a great shopping experience and the best value should be a top priority for B2C marketers. 2. Marketing automationMarketing automation refers to software that automates your marketing campaigns based on predefined rules. It helps you create ongoing conversations with customers and build brand loyalty automatically, thus saving time and resources. B2B: Lead generation and nurturing leadsB2B marketers use marketing automation to:
Marketing automation platforms like GetResponse MAX let you streamline your tasks through advanced automation tools and workflows. They also help you stay efficient and productive while nurturing leads. Some GetResponse MAX features that align with what B2B marketers look for in automation software include:
B2C: Retaining customersMarketing automation for B2C is meant to help you send personalized and highly relevant marketing messages to consumers at various customer journey stages. B2C marketers use marketing automation to:
Some GetResponse MAX features that check the boxes of what B2C marketers look for in an automation platform include: 3. Buying cycle lengthThe buying cycle (or sales cycle) is the process prospects go through before making a purchase. The time it takes to get them from the first stage (awareness) to when you close the deal determines the length of the sales cycle. B2B: Longer cyclesThe purchasing decision in B2B is meant to achieve long-term goals for the organization, so it involves multiple stakeholders. As a result, the process of evaluating your services or products is much more complex than in B2C. Your marketing campaigns should target key individuals and decision-making committees, which requires more preparation and research. Once you understand your B2B audience, offer them high-quality content that they’ll consider valuable, such as case studies and thought leadership. That way, you can establish your brand as an authority and gain credibility. You’ll also be able to guide them through the customer and may even shorten the sales cycle. For example, the American Express website offers myriad thought-leadership content from industry experts and business owners. The articles cover company culture, marketing and sales, productivity, and cash flow. The insights have established American Express as an authority that offers actionable tips and inspiration to help companies adapt and succeed. As a result, the financial services corporation can leverage its influence and attract potential customers to purchase its services. B2C: Shorter cyclesThe B2C sales cycle is shorter, especially for lower-value items. Customers typically navigate the buyer’s journey on their own, but they may rely on reviews and testimonials. They may also consult with friends, partners, or family when making expensive purchases, like a home or a car. Price heavily influences the purchasing decisions of B2C shoppers. The Intelligence Node report found that almost 40% of buyers consider cost the most important factor when picking between third-party and direct-to-consumer (DTC) marketplaces. After the price, consumers look at the product’s quality, shipping costs, and the platform’s convenience. The same report found that shoppers highly value discounts, especially in the grocery, consumer electronics, and fashion categories. Therefore, closely monitor your competitors’ promotional activity to ensure your pricing, discounts, and product value meet customers’ expectations and outshine your business rivals. 4. Content marketingB2C content targets an individual consumer. But B2B content has to convince a group of people that your product or service is the best option and can address a wide range of pain points. B2B: Content for educationB2B content marketing aims to build trust with customers. It does so by focusing on the pain points of hyper-specific buyer personas and educating them on solving their problems. In fact, 62% of B2B marketers use content marketing to generate sales and revenue. Creating content in a specific niche throughout the entire buyer journey can persuade customers to make more significant purchases. For example, TechSoup Polska Foundation — a technology company for nonprofit organizations — used GetResponse to segment its audience of nongovernmental organizations, libraries, and museums. TechSoup then consistently sent valuable newsletters on training invitations, new offers, and tips to choose the right tools for remote work to its audience. As a result, the company achieved a 1,200% increase in order value from its newsletters within a year. B2C: Content that offers immediate solutionsB2C content marketing persuades customers to buy by appealing to their emotions and helping them solve their problems. That’s why 40% of B2C marketers use content marketing to generate sales and revenue. LandCafe.pl — an online store offering artisanal coffee beans — wanted to increase product awareness, speed up buying decisions, and increase sales. The ecommerce store used GetResponse to create a welcome email series that educated new subscribers about its brand and products. As a result, it shortened the buying process by helping customers purchase the coffee they liked best. With time, the brand saw a 41.3% increase in sales using the welcome email series and a 13.3% boost from the discount coupon email. In a nutshell, create content to educate your B2B audience and build trust, but use it to offer solutions to your B2C audience and shorten the purchasing process. Consumers can become loyal to your brand when they see value in your product or service. 5. Social media marketingSocial media marketing is a powerful way for brands to engage their prospects and customers and increase sales. However, B2B and B2C social media campaigns have significantly different content, strategies, and goals. B2B: Build long-term relationshipsB2B social media marketing aims to promote informative and educational content to your target audience so they get valuable information frequently. That way, you can build relationships with prospects who may eventually become customers. Some of the most useful social media channels for B2B marketers include LinkedIn, Twitter, and Facebook. Of those, LinkedIn stands out as the most effective channel. In fact, 4 out of 5 people on LinkedIn help make business decisions. So, you can leverage the platform to engage your audience and distribute your thought-leadership content. Here’s an example from McKinsey & Company, a global management consulting firm: McKinsey & Company consistently uses LinkedIn to share its thought-leadership posts, adding to its reputation as one of the most credible brands in the world. You can also use LinkedIn to educate your audience about how your newly launched products can improve their business. GetResponse does this well by announcing its new AI email generator on LinkedIn: The post generated a positive reaction from potential customers, who learned how to create engaging emails with a GPT-powered email generator in record time. B2C: Drive traffic and salesBecause the buying cycle is shorter, special offers and direct contact work great for B2C social media marketing. In other words, B2C social media marketing is usually less about educating and more about selling and entertaining. Some effective social media channels for B2C marketers include Instagram, Twitter, Facebook, and YouTube. Instagram stands out with nearly 1.3 billion monthly global users in 2022. The platform focuses on pictures, letting you give a personal face to your brand and attract customers with eye-catching product images. Here’s an example from Starbucks: Starbucks posted a colorful picture of a matcha drink that attracted a lot of positive comments from consumers — with many commenters wanting to know how to order it. The company uses attractive images to create a strong brand identity, connect with its followers, and increase sales. Final thoughts: B2B vs. B2C marketing — 5 primary differences explainedUnderstanding the differences in B2B vs. B2C marketing is crucial to creating successful marketing campaigns that meet your customers’ unique needs. Choosing the right marketing automation platform will help you effortlessly send your campaigns to your clients’ preferred channels. If you’re looking for a customized solution to help you cater to your B2B or B2C audience, GetResponse MAX can help. Printing via GetResponse Blog https://ift.tt/nO2kVrJ April 27, 2023 at 11:05AM
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