A consumer-to-business is a business model that entails a customer making a product which a brand uses to get a competitive advantage. It includes consumer-generated blogs, websites, videos, social media posts to help a company accomplish specific tasks, improve business, and reach defined goals.
In this article, we’ll review the benefits and examples of the C2B model and compare consumer-to-business and business-to-consumer models.
Benefits of the C2B Model
In the C2B model, everything revolves around two main parties: a consumer and a business. In this scenario, a customer can have a product that might attract a company. For example, a blog, website, or account with a large following for which the consumer can create reviews, videos, or social media posts. This person can market a brand’s product for free or for a certain fee. A consumer can write a review or share the product with its large following and get paid. Companies need the C2B model because they can gain the following benefits:
- customer loyalty;
- brand awareness;
- cheap advertising;
- insights into product development;
- better relationships with customers;
- higher revenue;
- trust and credibility.
Now that you know the pros, let’s take a closer look at C2B and B2C to compare them.
C2B vs B2C
Consumer-to-business and business-to-consumer are two different business models that can sometimes confuse readers. That’s why we’ll uncover their main features to make this difference clear.
C2B is a business model in which a consumer becomes a product or service provider for a certain company. Often, this person has the talent and tools that can help promote someone's business. The company pays this customer a certain amount of money for the services rendered. Such services include:
- writing reviews for the personal blog or website;
- sharing posts on social networks;
- creating photos and videos.
The main goal is to get closer to the people and effectively promote and sell the brand’s product.
Let’s take a food brand, for example. This company can search for a food blogger and ask this person to promote the brand’s new seasoning in the blogger’s next video. If the influencer agrees, then the brand has to pay for the advertising. The company can provide the food blogger with free products or pay a certain fee.
B2C is a business model in which companies sell directly to consumers. In this case, a business doesn’t need a mediator. Customers can visit a company’s website, choose a necessary product, and have it delivered within days or weeks. The B2C model has lots of advantages. It helps customers from remote areas buy products they need online at a lower cost.
Let’s take the famous giant Amazon, for example. This company sells directly to customers via the internet. A customer selects the seller, manages the delivery issues, and receives the product soon.
Now when the difference is clear, let’s proceed to the next section to explore more examples of the customer-to-business model.
Examples of the C2B Model
There are many excellent examples of the C2B model. They include paid testimonials and reviews, data sharing, and referral programs. Since the freelance market is increasing rapidly, companies can make use of freelance experts. For instance, copywriters can create compelling copies and post them on their blogs, sites, and profiles for an arranged fee.
Brands in the photography industry need professional photographers to get some unusual, unique, and fascinating images. They include Shutterstock and Unsplash, companies that exist thanks to user-generated content. Freelance photographers help them thrive and boost revenue.
Another great example is a customer who receives a free sample of a product in exchange for a post on a personal page on Instagram. In this scenario, both parties benefit. A customer gets a long-awaited product whereas a brand — a great review.
Congrats, you now know the basics of the C2B business model and have a clear picture of how it works. Hope this information helps you answer your questions.
- This article defines the term and provides readers with several examples.
- In this article, you’ll find the definition and benefits.
Last Updated: 15.11.2021