Business-to-business-to-consumer (B2B2C)
Also known as: b2b2c
In short
Business-to-business-to-consumer (B2B2C) is a model in which a company sells to a business partner that, in turn, offers the product to its consumers. The partner is the paying customer, and the consumer is the end user.
Examples include a payments provider embedded in a retailer checkout, or an insurance product offered inside a bank app. The company must win and keep the partner while also delivering a good experience to people it may never contact directly.
How B2B2C works
There are three parties: the provider, the partner business, and the consumer. The provider builds the product or service. The partner distributes it under its own brand or alongside its own offer. The consumer uses it and often judges the partner, not the provider.
B2B2C vs. B2B and B2C
- B2B: You sell to a business that is the final user.
- B2C: You sell directly to consumers.
- B2B2C: You sell to a business so it can reach consumers. Your revenue depends on partner adoption and consumer usage.
Go-to-market for B2B2C
Target partners first
Define the type of partner that already owns the consumer relationship and has the reach you need. Use account-based prospecting for these partners, since each one is a large, long-cycle deal.
Make the partner successful
Offer integration support, co-branded materials, and clear reporting on how consumers use the product. Partners stay when it improves their own metrics.
Watch consumer outcomes
Low consumer adoption hurts the partner and eventually your contract. Track activation and satisfaction, even if you rely on the partner for access.
Example
Say a fitness-app company wants consumer reach. It signs employers and insurers who offer the app to their members as a benefit. The employer pays, the member uses it, and the company measures renewal by how many members stay active.
Common mistakes
- Ignoring the consumer experience because the partner pays.
- Depending on one large partner for most revenue.
- Unclear ownership of customer data and support between you and the partner.
- Pitching the partner on features rather than the outcome for its customers.
Business-to-business-to-consumer FAQs
What is B2B2C?
B2B2C stands for business-to-business-to-consumer. A company sells to another business, which then offers the product or service to its own consumers. The partner pays, and the consumer uses it, so the provider has to satisfy both.
What is an example of a B2B2C business model?
A payments company embedded in a retailer checkout is one example. Another is an insurance product sold through a bank app. In both cases, the provider contracts with the business while the end consumer is the one using the service.
What is the difference between B2B2C and B2B?
In B2B, the buying business is the final user. In B2B2C, the buying business passes the product on to its own consumers. That adds a second audience whose usage and satisfaction affect whether the partner keeps buying.
What are the challenges of selling B2B2C?
Common challenges include long partner sales cycles, dependence on a few large partners, limited direct contact with consumers, and unclear ownership of data and support. Teams must win the partner and also make sure consumers adopt the product.
