What Is B2C?
B2C, or business-to-consumer, describes a company that sells its products or services directly to individual consumers.
How it works
A B2C company sells straight to everyday buyers, through a store, website, app or marketplace. Examples include food, clothing, streaming services and personal finance apps. The buyer is usually one person or household deciding for themselves, so purchases are often quick and driven by price, convenience, brand and reviews.
Prices per customer are typically lower than in B2B, so B2C companies often need many customers. Marketing leans on advertising, social media, search and word of mouth. Customer support, returns and consumer protection rules also matter, and they vary by state and product.
Example
For example, a startup sells a reusable water bottle online for 25 dollars. A shopper sees an ad, visits the site and buys in minutes. If the company spends 5,000 dollars on ads and gets 250 buyers, it paid 20 dollars per customer in advertising. The numbers are hypothetical.
Why founders care
B2C can reach a large market and move fast, but customers have many choices, switch easily and may be costly to acquire. Founders should watch cost to acquire a customer against what each customer is worth over time. Brand and trust matter, which makes names and trademarks important. Selling to consumers also brings privacy, advertising and product safety rules that a lawyer can explain.
Common mistakes
- Spending on ads before checking that people want the product.
- Ignoring repeat purchases and focusing only on first sales.
- Choosing a name without checking for trademark conflicts.
- Overlooking consumer privacy and refund rules.
Frequently asked questions
What does B2C mean?
B2C means business-to-consumer. A B2C company sells directly to individual consumers, such as shoppers or app users, rather than to other businesses.
B2C vs D2C: are they the same?
They overlap. B2C covers any business selling to consumers, including through retailers. Direct-to-consumer, or D2C, is a type of B2C in which the company sells straight to buyers without a middleman.
Related terms
Go deeper
- How to Get First Customers: 10, then 100, Without a Budget GuideHow to get first customers for your startup: find early adopters, run cold outreach, do things that don't scale, and reach 10 then 100 with little or no money.
- Startup Growth Hacks: Early-Stage Tactics and Metrics GuideStartup growth hacks for early-stage teams: referral program ideas, content, partnerships, experiments, and how to measure startup growth honestly.
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General information, not legal, tax or financial advice. Reviewed 11 November 2026.