What is the Difference Between B2B and B2C Payments?12 min read

B2C payments are among the services most used by businesses in digital banking. The development of international finance opportunities and the internet have also changed the common finance concepts used all over the world. 

Among these, B2B and B2C or “B2B payments” or “B2C payments” have an important place. So, what is the difference between B2B and B2C payments? Let’s ask the question in more detail: 

What do concepts like B2B / B2C mean? 

Just like individuals, companies can also make purchases, sales or payments in different countries of the world or in their own countries. Firms can purchase a service or product just like individuals. 

If the purchase or payment transaction takes place between two companies, it is called B2B, that is, “Business to Business”. 

This financial transaction, which can be carried out between institutions, can also take place between institutions and individual customers. The B2C abbreviation is also used for exactly this transaction “Business to Customer”. 

Today, in addition to financial concepts such as B2B payments, B2C payments, B2B or B2C terms are widely used, especially for transactions such as e-commerce, digital services or digital product trading. 

What is B2B Payment?

B2B payments, as the name suggests, are payments made by two companies to each other for products, services or other transactions. 

In our world, which has become more global with the Internet, two companies within the borders of the country can make B2B payments and use a local bank and currency for this. 

On the other hand, it is possible to carry out various financial transactions such as B2B or B2C payments all over the world. 

The Internet is extremely important for B2B and B2C payments. The reason for this is that thanks to the internet, payments can be made between individuals and institutions in different countries. In addition, the internet is also effective in the emergence of concepts such as digital service or product trading. 

The fact that the Internet is not affected by physical country borders has led to many problems related to B2B and B2C payments. However, emerging problems can be easily solved with international digital banking platforms. 

What is a B2C Payment?

A B2C payment is basically an entity-to-person/individual payment. For example, when you exchange your assets on cryptocurrency exchanges or perform the same transaction for the shares of a company in a foreign country, institutions may pay you a certain amount. This and other financial transactions are a good example of a B2C payment. 

Today, B2C is also widely used, especially for e-commerce sites. 

Today, thanks to digital banking platforms such as The Guardian Bank, it is possible to make B2B or B2C payments without being stuck in country borders or opening an account at local banks. 

The digital platform also allows you to make your payments via crypto assets. In addition, you can use this digital banking platform for transactions such as opening an offshore account, foreign trade payments (example for B2B payments) or money transfer (example for B2C payments). 

What is an Example of B2B and B2C Payments?

It is possible to give many examples for B2B. The reason for this is that companies are eager to do more “business” with each other in order to gain an advantage in the globalized world with the internet. 

Organizations in two different countries of the world can make simple business transactions such as purchase or payment in various ways. 

For example, foreign trade transactions can be seen as a good example for B2B. A company producing in China can sell goods to a company in England and receive compensation for the goods sold. 

Although this simple foreign trade operation may seem simple, it also brings with it various procedures and steps such as opening a bank account and accreditation in different countries. 

Digital banking platforms like The Guardian Bank can be used to make B2B payments in this type of situation. Moreover, it can be done with cryptocurrencies, with low commissions for making or receiving payments. 

Digital banking platforms also eliminate tedious procedures and time losses for B2C payments. 

Let’s continue with an example for B2C payments. An investor in Turkey can exchange stocks in Dow Jones in the USA. In this case, he receives his payment through the bank. This simple financial transaction is an example for a B2C payment. 

There is a need for a digital banking platform that offers flexibility to its users so that the payment can be received in different currencies or crypto assets. 

The Guardian Bank can easily be used for this type of transaction as well. 

What is the Difference Between B2B and B2C Payments in Banking?

B2B banking and B2C banking refer to banks and banking terms that can be used for payments and other financial transactions. 

Basically, the main difference between B2B and B2C banking relates to the counterparties where financial transactions take place. What makes the concepts of two companies (B2B) and (B2C) different is deciding between which interlocutors the financial transaction (payment, installment, money transfer, etc.) takes place. 

Digital banking platforms for B2B and B2C banking offer you a lot of financial transaction flexibility. The independence of digital banking platforms from physical borders also offers institutions and individuals the opportunity to diversify their investments or make financial transactions in many currencies. 

What is the Difference Between B2B Payment Gateway and B2C Payment Gateway?

First, let’s start with the meanings of the terms B2B Gateway and B2C Gateway. B2B Gateway is used as a payment system solution that enables easy financial transactions between two institutions. 

You can easily guess for yourself what the concept of B2C Gateway means. 

There are also various solutions for payments to be made from institutions to individuals (or customers), and this set of solutions is called B2C Gateway. 

Just like the concepts of B2B and B2C, the main difference between these two concepts is who and between whom transactions take place. B2B can also be used within organizations that are made of two or more from one organization. 

Which is the Best Bank to Make B2B and B2C Payments?

Today, there are many local banks that you can use to make B2B and B2C payments. However, problems such as account opening procedures, accreditation or foreign currency payments may take time for institutions or individuals, even in “foreign trade”, which is, for example, a simple financial transaction. 

One of the best bank options for B2B and B2C payments is The Guardian Bank. The digital banking platform allows you to skip the tedious and time-consuming procedures to open a bank account and easily perform any financial transaction you want. 

The digital banking platform is best for B2B and B2C payments. Because it also allows you to make various savings on payments or to make transactions in the currency you want.