In the SmartUp methodology, B2C and B2B represent fundamentally different approaches to selling products and achieving profitability. B2C buyers spend their own money, making purchases highly emotional, price-sensitive, and often impulsive, with short sales cycles through e-commerce. B2B buyers represent companies, prioritizing risk mitigation and benefits over price; sales involve multiple stakeholders, longer cycles, and careful decision-making.
Stern emphasizes that B2B enables startups to achieve profitability more predictably by targeting high-value customers who pay large sums upfront, covering fixed expenses and reducing reliance on external funding. The hybrid Product-Led Growth model, used by companies like Zoom and Slack, starts with individual adoption (B2C or individual B2B) to gain traction, then transitions to enterprise sales with high-value licenses.