Business to Consumer Marketing Essay Example for Free

Business to Consumer Marketing Essay Increase in the use of Internet use means that marketing on the internet has also gained popularity. People turn towards the Internet to search for basic information on any items they are interested in, whether for personal use or for business, and to a lesser extent they may want to purchase it from the convenience of their home or office. From the business point of view, this means the companies need to pay special attention to their website, as it represents the company in cyber space. Not only the extent of information available on their site, but the user-friendliness of the website, search ability of the site, how fast the website loads, are also important factors. All these factors are also dependent on the target market of the company, whether they are engaged in B2B (business-to-business) or B2C (business-to-consumer) marketing. For instance, B2B customers are more concerned with technical aspect of the product, the warranty provided and the customer services. For B2C customers, the design and over all look of the product may be equally important as the functionalities. This article discusses the differences and similarities between B2C and B2B marketing that should be there in an ideal or a well-planned website. Features of Online Marketing Before being specific about what B2B and B2C marketing should ideally target, I’ll be discussing the common features any marketing site should have. It is also important knowing that a company is represented by one site, and this should give all the relevant information to all its stakeholders, in a manner which is easily accessible and gives only relevant information. The postings on an e-information typically fall into these five categories, according to Etzel, Walker and Stanton (2004): Company Background and General Information: This category covers the history of the company, its mission and vision, corporate philosophy and general orientation. It may also include financial performance of the company and other investor related information, the structure of the company, its operations and global/local divisions and branches, and profile of the management team. This portion is usually accessible to everyone and needs to be presented clearly to both categories of customers – individuals and business consumers. Current Business Operations: This category caters to the company’s customers. This is where division of any kind may come in. For customers this section provides product descriptions, dealer contact information and payment terms and structure. For the business partners, this may consider more technical details, how to contact the relevant business personnel, the different packages available etc. Because the company needs to know about its potential customers, and some of the information in this section may be confidential, access may be restricted by requiring the users to register and give their email address, which allows them to be kept updated with new company’s happenings if they choose to keep updated. This is a place where there is a two-way communication open, minimal though it may be, and companies should focus on those aspects which are valued by their target market. Links:Â  This category has connections to other related sites. This is important for B2B customers who may wish to contact a dealer near their place of business, or to get more information. Attraction and Entertainment Features: This is more important for B2C customers and includes those features and tools which make the site more interesting and unique for customers. For B2B sites, it is more important to be uncluttered, present the information in a style that is easy-to-read and understand, and the site itself should be easy to navigate. Contact Point:Â  This provides usually an email address for visitors, to make a comment or for queries and should also provide a phone number. This is an opportunity to interact directly with the company and is a major advantage of internet over traditional media. However, this should be paid attention to, as unanswered queries and negatively affect the company’s business. B2B Online Marketing: B2B sites specifically cater to corporate clients. This implies that the decision making process is longer for the customers and the company should cater to that. Also, services usually provided are in-house services or regarding maintenance software or similar services to increase the productivity and profitability of the company. The characteristics of B2B sites include an attempt to automate trading process on the website. This is more convenient, saves time as well as money. This is important as even though B2C sites are generally more popular, however, the amount of money in transactions is greater for B2B sites. This means that security is also important for any company, including keeping the information provided by the corporate client. Also, the company should try to differentiate itself from the competition by using and promoting its USP (unique selling proposition). This can be done both online as well as offline using traditional methods of advertising, tradeshows, field sales etc. By automating the processes and as much of their supply chain as possible, the company is saving costs in the long run, thus allowing it to compete on price basis as well. Ideally, B2B sites should also have a registration option for business customers who may wish to learn more. By registering themselves on the site, it allows for more human intervention and a two-way communication. This can make an online business transactions more long lasting which is important in businesses. B2C Online Marketing: Sites which specifically cater to a target group to promote goods and services fall into this category. The more popular sites include Amazon. com and eBay. com. B2C sites are more transaction-oriented in general. Though both sites allow transactions, consumers are usually online and in a position to transact and purchase immediately, as they take less time than businesses for decision making. This is because B2B consumers are more investigative and seek more information from different channels and sources. B2C sites also try to create relationships with customers to enhance the brand loyalty of consumers and ensure that their queries are answered. Though, this is more difficult and companies need to ensure that this process does not adversely harm the operations of the company. B2C sites simultaneously also use offline methods along with online advertising. Online tools can include interactive websites, online communities and discussion forums, email marketing, pop-ups, cost per click advertising such as Google AdWords etc. However, the challenge for any company lies in finding the right mix of advertising and promotion which maximizes profits and minimizes costs. However, good B2C sites allows the consumers to shop faster and in a more convenient manner, offerings and prices obtained are in real-time and can be changed as required and call centres are usually integrated along with the websites allowing interaction between the companies and the end-users. Conclusion: Research shows that more than actual purchase, consumers are using the internet more for research about the product and to make a more informed purchase decision, which is truer for the business consumers. Thus, the company should realize that not all visitors may purchase from their site; however most of them will be researching the company’s products and the information available will be a significant factor in the final decision. This is true to a lesser extent for consumers, because individuals tend to display customer loyalty, thus they may research more to confirm their original decision rather than look at competition’s information. Also, in B2C more emphasis is on price comparisons as customers usually go online shopping to obtain the best price possible. This is also lower than the price in offline stores in some cases as it saves the cost of the intermediary or any dealer involved. In B2B, competition on a global basis ensures that the companies no longer can ignore online marketing and it is necessary to keep up with the competition. Initiatives such as Electronic Data Interchange (EDI) and just in time inventory are changing the way business is being done. This combined with Customer Relationship Management (CRM) ensures that the way companies do business with other businesses has changed and they need to use innovative ways to make their presence felt online. (Furlong, 2001)