A quick guide to B2B Marketplace & Profitability
B2B Marketplace is one of the most common online term as major e-commerce players are calling themselves B2B Marketplaces, because they offer multi vendor sellers on their platform. Let's take a fresh look on what is B2B Marketplace and how to make profit by started a B2B Marketplace business of your own.
Today, we are sharing an overview of key terms used throughout the industry and within the FQZEE platform.
What is B2B?
B2B is an acronym for Business-to-Business. A B2B company is one that sells products (or services) to other businesses, not individual consumers. These products and services typically go into the operations of the "buying" businesses, whether these are component parts that go into manufacturing, goods that get re-sold, services that facilitate payment, logistics, and protection, or management and advisory services. This is different from B2C, which stands for Business-to-Consumer, as B2C companies only sell products (or services) to customers for their personal use.
"B2B trade" can be viewed as wholesale transactions. A typical order (of goods or products) in the B2B industry is significantly larger than in B2C. This is because B2B buyers need larger quantities to help operate and grow their own companies.
Let's take an example: B2C company will sell one T-Shirt, ready to be worn, to one person. A B2B company will sell a shipping container full of plain T-Shirts to another company to resell.
The B2B value chain
These companies in the B2B trade space that are either selling or buying the socks fall into two (fairly straightforward) categories: sellers and buyers. Sometimes people refer to a giant e-commerce website like Amazon as B2B, which may be a B2C or operate in both B2B and B2C models. Typically admin of the website can keep a minimum order or certain matrix that will allow a seller to choose and refine its customer base and target particular customers only.
What is a B2B seller?
B2B sellers (of goods) are the ones providing finished or unfinished products to other companies to use in their own products or to resell. B2B sellers may manufacture and sell thousands of tires to an automobile company, essential to the final product. Or they may supply customized, ready-to-sell mugs to a retailer. A B2B seller, often are the ones who are manufacturers or bulk wholesalers. Machine suppliers, manufacturers, wholesalers who want to sell minimum order quantity and get in touch with real customers across the globe often will list their products on a B2B website to generate leads.
What is a B2B buyer?
B2B buyer is the company purchasing the tires for their automobile company, or the mugs for their retail store, or the cleaning supplies for their factories. Buyers may need individual parts to incorporate in their own final product. Other buyers may give precise order specifications to get customized, finished products.
How can you start your own B2B website?
You can easily start by using a FREE platform like FQZEE, that also allows you to upgrade and customise based on your requirements.
Once you have identified Niche, and category for your website, you can start your research and talk to your potential customers both buyers and sellers and understand how you can solve a particular problem for them. Starting a B2B website is easy and with FQZEE you can start a B2B website within 1-2 days. FQZEE also allows you to promote, and integrate different apps for logistics support, payment gateways etc.
For more details visit www.fqzee.com and get more details on features, pricing and contact to talk to a sales expert.
How can you make profit by starting a B2B website?
You can start generating cash flow and profit by charing your B2B Sellers for leads, for giving features like sell on your platform and charge a nominal commission for the same. Or a membership plan that can give your sellers or buyers access to more features. Certain B2B platforms keep all features free for buyers to reduce friction of coming back to the platform and charge some fees to the seller for certain features and leads that can give chance to the seller to convert a lead into real sale. The quality of lead generated from your platform all often result in more sellers listing their products on your website.
Example: A sports B2B website can generate leads for a basketball manufacturer who wants to keep minimum order quantity as 20 balls and wants to sell on the platform itself, while using a an integrated logistics company for courier services.
Are you ready to start your online business in B2B Category?
You can start by visiting www.fqzee.com and start contacting today.