Here at NachoNacho we’re always using the term “B2B,” but what is the meaning of B2B, and why is it becoming more and more important?
The acronym “B2B” stands for “Business-to-Business,” and describes a transaction made between two companies, rather than some other combo, like a company and a consumer.
Businesses can rarely generate their products or services without purchasing things- like supplies or tools- from other businesses. It’s B2B transactions that meet those needs and keep the supply chain running smoothly. But what does B2B look like out in the real world? You’ve got the B2B meaning, now let’s look at some B2B examples.
Examples of B2B
- A factory that produces clothing wholesale sells hats and shirts to a retail store.
- A hotel pays a law firm to provide legal services and advice on the hotel’s safety practices.
- A new restaurant hires a marketing company to draw more attention to its grand opening and gain more customers.
- A large publishing business pays a monthly subscription fee to a software company for a service that electronically stores and organizes the publisher’s important documents.
The Growing B2B SaaS Industry
As the world economy and global supply chains become even more complicated, the number of B2B transactions can only increase. And there’s an even more striking trend within the B2B field– just over the past decade, there has been a huge shift towards businesses offering other businesses software products as a recurring service (“SaaS,” or Software-as-a-Service) that is billed monthly or annually.
The services increasingly essential to regular business operations (think development software, marketing tools, project management services, you name it) are more challenging to track and manage. NachoNacho is here to take on that challenge, by providing tools to organize and limit B2B SaaS spending and by establishing a marketplace to connect buyer businesses to the seller businesses that are right for them. Check out our marketplace here.
B2C, C2B, B2G, and more
B2B is part of a larger collection of acronyms increasingly used to classify transactions and business models in the modern economy.
Perhaps the most common other classification is “B2C,” or Business-to-Consumer. This is the typical transaction you see nearly every day- when your local coffee shop (the business) sells you (a consumer) a cup of coffee, when you pay a membership fee to visit the gym, or when you cough up a few dollars a month to continue having access to your favorite music streaming service. B2C has a pretty expansive definition.
There’s also “C2B,” or Consumer-to-Business (a tricky concept that describes when individual consumers provide value to businesses, often through positive online reviews or new product ideas), and “B2G,” or Business-to-Government (when private companies sell goods or services to the government). There are plenty of other new “_2_”-style acronyms out there, but the ones mentioned here are the most used.
NachoNacho: the B2B SaaS marketplace
The NachoNacho marketplace provides a deeper treasure trove of B2B examples– NachoNacho is, after all, “THE B2B SaaS marketplace”! This means that nachonacho.com connects companies looking for software services (the buyers) to the companies offering those services (the sellers), and enables a B2B transaction between them.
When, for example, a small business with a NachoNacho account goes into NachoNacho’s online marketplace looking for services to help create better marketing videos, finds Wideo (an online platform for creating, editing, and sharing videos), and purchases a subscription, that’s a B2B transaction. When an engineering firm enters the NachoNacho marketplace and subscribes to Time Doctor (a time tracking software service for increasing worker productivity), that’s a B2B transaction. While anyone can make a personal account with NachoNacho and access the marketplace, much of the services available on the marketplace are geared toward the B2B model.