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B2B (Business to business)

B2B, an acronym for Business to business, is a business model that refers to relationships between companies that sell or provide services only to other companies. To put it in context, it is often a preliminary stage of B2C, Business to consumer, or the business model of companies that sell to end consumers.

1. Advantages of B2B

B2B commerce offers a wide range of advantages for all parties involved in the process, the most notable of which are:

  • General cost reduction.
  • Optimization of the value chain, eliminating intermediaries who don’t add value.
  • Better control of quality and suppliers.
  • The company can expand to other market segments.
  • Better stock control.
  • It allows differentiation from the competition.
  • It opens up the supplier market to the international sphere.

2. Examples of B2B

In reality, practically any company can participate in this business model, and B2B email marketing is very common. From a wholesale company to any product manufacturer that doesn’t sell directly to the public, but uses other resale companies for this work. All of these businesses are classified as B2B.

Although there are exceptions, in general, a B2B company has a significant number of employees, high turnover and usually requires a certain amount of storage space.

B2B companies are, for example: a logistics warehouse, an industrial design studio, an event catering company, any wholesale-only store, a steel and iron company, a book printing company, an online payment platform, companies that manufacture white label products for other companies, content creators for other companies, etc.