Markets and Business Models
A market refers to a location in a geographical region where merchants can sell items and customers can purchase. An organization may have one or more markets associated with SKUs, price lists, stock items, and more. A market comprises a merchant, an inventory model, and a price list. You can also associate it with a customer group and, for each market, you can select an optional geocoder and tax calculator.
A market is associated with a merchant who is the legal entity of the market. The price list includes the prices that apply to SKUs in the market and defines their currency. The inventory model determines how the inventory is provided in the market.
When obtaining an access token, a market scope will be specified to filter the defined market's resources. Customer groups allow customers to have access to private markets and promotions.
Users can define their core business strategy and model, resulting in a different ecommerce structure. This model will affect the payment methods, shipping methods, price lists, etc., used in a market. Based on your business requirements, you can set up specific settings and match almost every business model you need: Business to Customers (B2C), Business to Business (B2B), Private Sales, Marketplaces, and more.
Business to customers (B2C)
B2C is a transaction between a business and an end-user. The B2C model covers everything from the sales channel to how a customer purchases a business product.
B2C can be utilized in several ways like the single market, global ecommerce, VIP sales, e.t.c. Businesses can sell to customers in different markets. Consumers do not have to be registered. Customers can peruse or checkout on the sales channel without signing up.
Business to business (B2B)
B2B is a transaction between a business involving a manufacturer and wholesaler or a wholesaler and a retailer. B2B allows companies to conduct businesses together rather than between a company and an individual consumer. The wholesaler or retailer resells to the end-users upon purchase.
With this model, only logged-in and verified customers can make purchases. Customer groups can manage the B2B model by allowing customers in customer groups to get private access to a market, promotions, campaigns, loyalty programs, and more.
There are two ways to support the B2B model:
- Users will assign a specific price list to a market associated with the B2B customer group. All business rules or promotions will be applied to the price list associated with the model.
- Users will assign the public price list to the market associated with the B2B customer group and create a promotion (e.g., percentage discount) for that market. All business rules and promotions will be applied to the price list and promotion rules associated with the model.
VIP or private sales
A private sale is a transaction between a business and a specific or private group of customers. A VIP market is created with this model associated with price lists, promotions, and loyalty programs.
Only customers who belong to the VIP customer group will have access to all sales and promotions in this market.