This work identifies, analyses and evaluates major differences along the supply chain between business-to-business (B2B) marketing and consumer marketing (B2C) in terms of companies involved in the production and trade of fast moving consumer goods (FMCG). This work focuses on the marketing-mix concept, external aspects of marketing and examines aspects concerning the competitive environment.
This work mainly focuses on marketing activities along the supply chain of the brand SCHWARTAU. SCHWARTAU is a brand of food products (marmalade) by the company SCHWARTAUER WERKE GmbH. The company is located in Bad Schwartau, Germany and sells its products all over Europe with focus on Germany and mainly other Western European countries.
Table of Contents
1. Introduction
2. Fast moving consumer goods (FMCG)
3. The supply chain and B2B marketing
4. PEST-Environment
4.1.Political / legal influences on B2B and B2C markets
4.2.Economic influences on B2B and B2C markets
4.3.Social influences on B2B and B2C markets
4.4.Technological influences on B2B and B2C markets
5. The marketing mix
5.1.Pricing strategies
5.2.Promotion
5.3.Place
5.4.Product policy
5.4.1. Branding strategies
5.4.2. Goods on B2B and B2C markets along the FMCG value chain
5.4.3. Packaging
6. Competition on B2B and B2C markets
6.1.Competition on B2B markets (SCHWARTAU example)
6.2.Competition on B2C markets (SCHWARTAU example)
7. Conclusion
Research Objectives and Core Topics
This paper aims to analyze and evaluate the fundamental differences between B2B and B2C marketing strategies, specifically within the supply chain of fast-moving consumer goods (FMCG). The primary research focus lies on identifying how varying customer needs and external environmental factors necessitate distinct approaches in the marketing mix for companies like SCHWARTAUER WERKE.
- Comparative analysis of B2B and B2C marketing along the FMCG supply chain.
- Impact of PEST environmental factors on business decision-making.
- Application of the marketing mix (pricing, promotion, place, product) in different market contexts.
- Analysis of competitive environments using the Porter's Five Forces model.
- Evaluation of branding, packaging, and digital procurement strategies.
Excerpt from the Book
5.4.3. Packaging
The characteristics of packaging are different on B2B and B2C markets. Setting up a packaging concept the involved organisations must be aware of what the package should be or do for the products (Kotler and Armstrong 1991 p. 268). You can distinguish between five different functions of a products package:
1. Package as an essential part of product quality
2. Package as protection during transportation
3. Package as unit of measurement (e.g. one-kilogram-package)
4. Package as a medium of sales promotion
5. Package as carrier of information (Huettner et al. 1994 p. 137).
Differences between B2B and B2C marketing are generally in terms of the functions 4 and 5. In B2C marketing the package is commonly used as a medium for sales promotion. As consumer behaviour is often rather spontaneous than rational a package can have an influence on sales. Purchasing decision on B2B markets are mostly rational decision. Hence a distinctive package design would have little influence on sales figures. As mentioned above (see PEST-environment) consumer protection is important in EU countries, on B2C markets the package of FMCG must serve as a carrier of information. For instance the food products of SCHWARTAU carry information about the ingredients and the sell-by date.
Summary of Chapters
1. Introduction: This chapter defines the scope of the assignment, focusing on the differences between B2B and B2C marketing within the FMCG sector, specifically using the SCHWARTAU brand as a primary example.
2. Fast moving consumer goods (FMCG): This chapter defines FMCG as high-volume goods frequently purchased by consumers and notes their relevance within industrial and B2B marketing contexts.
3. The supply chain and B2B marketing: This chapter establishes the distinction between B2B and B2C marketing along the supply chain, emphasizing the collaborative nature of modern supply chain management.
4. PEST-Environment: This chapter examines how political, economic, social, and technological factors exert different influences on B2B and B2C markets.
5. The marketing mix: This chapter breaks down the four components of the marketing mix—pricing, promotion, place, and product—and highlights how their application diverges significantly between B2B and B2C.
6. Competition on B2B and B2C markets: This chapter utilizes the Porter's Five Forces model to compare bargaining power and competitive dynamics for the SCHWARTAU brand in both B2B and B2C environments.
7. Conclusion: This final chapter synthesizes the main findings, reiterating that while B2B and B2C share the objective of increasing profits, their methodologies differ due to distinct customer requirements.
Keywords
B2B Marketing, B2C Marketing, FMCG, Supply Chain Management, SCHWARTAU, Marketing Mix, PEST Analysis, Pricing Strategy, Promotion, Distribution Channels, Branding, Packaging, Competitive Environment, Porter's Five Forces, Industrial Marketing.
Frequently Asked Questions
What is the core focus of this assignment?
The assignment primarily examines the major differences between B2B and B2C marketing strategies within the FMCG industry.
Which specific brand serves as the case study?
The study centers on the marketing activities of SCHWARTAUER WERKE GmbH and their SCHWARTAU product brand.
What is the primary goal of the comparison?
The goal is to determine how differing customer needs along the supply chain drive variations in marketing-mix applications.
Which scientific model is used to analyze competition?
The work employs the Porter's Five Forces model to evaluate bargaining power and competition.
What is the role of the PEST environment in the study?
It highlights how external political, economic, social, and technological factors influence B2B and B2C markets differently.
How is the marketing mix adapted in this research?
The research analyzes how pricing, promotion, place, and product policies are adjusted for different stages of the FMCG supply chain.
Why is branding considered differently in B2B compared to B2C?
The work notes that while B2C relies on corporate and family branding for reputation and consumer perception, B2B branding is less common and more focused on functional utility.
What role does packaging play in B2C versus B2B?
In B2C, packaging serves as a promotional tool and source of information, whereas in B2B, purchasing decisions are typically more rational, reducing the impact of package aesthetics on sales.
- Arbeit zitieren
- Hauke Barschel (Autor:in), 2004, B2B versus B2C Marketing - Major Differences Along the Supply Chain of Fast Moving Consumer Goods (FMCG), München, GRIN Verlag, https://www.grin.com/document/28000