What’s the difference between B2C & B2B eCommerce?

The differences in target markets and key decision-makers – an individual or an entire business – leads to different business strategies and technological needs.

(5 basic differences of B2B vs B2C eCommerce)

1. Target market

B2C businesses generally have much broader target markets, while B2B businesses have “niche” target markets.

2. Order size & volume

B2C companies usually have smaller order sizes at lower prices, but higher overall sales volume. B2B brands usually have larger orders or higher price points, but less overall sales volume.

3. Decision-maker

B2C purchases are mostly made by individual consumers, while B2B sales involve multiple stakeholders or entire company departments.

4. Customer Lifetime Value (LTV)

With smaller order sizes and fewer repeat customers, B2C businesses generally have lower customer LTV, while higher customer retention often leads B2B companies to have a higher LTV.

5. Customer acquisition vs. retention

With a broader customer base and lower LTV, B2C businesses often focus on customer acquisitions, while B2B companies with smaller target markets concentrate on customer retention and repeat business.