An Authored Article by Niranjan Gidwani | Consultant Director | Member UAE Superbrands Council | Charter Member Tie Dubai | Hbr Advisory Council
The traditional boundaries between business-to-business (B2B) and direct-to-consumer (D2C) models have become increasingly blurred in recent years. With the rise of eCommerce and the changing expectations of consumers, many B2B companies, distributors & manufacturers are now embracing D2C strategies to reach customers more effectively. This is likely to happen even in the B2B online marketplace. Over time, they, too, would need to look at ways to operate their versions of blended B2B-D2C models.
To offset the pressures of keeping up sales targets, many D2C companies are expanding into the B2B market, offering their products and services to other businesses. As we move further into the digital age, this distinction between B2B and D2C will likely become even more blurred. Here are some of the likely trends that will continue to drive this change:
- The increasing use of digital technologies has revolutionized how businesses interact with each other and consumers. Consumers now expect a seamless buying experience, regardless of where they buy from. And they have gotten too used to the look, feel, and knowledge of the B2C online model, which will need to be replicated across all online buying experiences.
- B2B companies are now using AI and innovation to differentiate themselves from competitors and meet customers’ changing needs. At the same time, D2C companies are expanding their product lines to include B2B solutions.
- Social media has transformed the way businesses interact with customers. D2C companies have taken a significant lead in this area. They have been very agile and built considerable expertise to adopt social media to build brand awareness and engage with customers. B2B companies must follow suit, using social media to build customer relationships and showcase their products and services.