Serving the customer of the customer

Developments in the business world, like an increasing focus on customer-centricity, and the blurring of organizational boundaries, ask for new business concepts. A relatively new approach of serving the customer is the business-to-business-to-customer (B2B2C) model. B2B2C is a concept that combines B2B (transactions between organizations) and B2C (transactions between organizations and consumers), in which there is a collaborative and mutually beneficial relationship between businesses and customers within the supply chain and in which the goal is to enhance customer experience. Besides the proven advantages, the biggest challenge of B2B2C is the potential danger of channel conflicts. Barratt (2004) identified several elements that can be both enablers and barriers for collaboration; communication, trust, and mutuality. Gaining knowledge about these elements in a B2B2C context helps overcoming the danger of channel conflicts in the B2B2C model, which leads us to the research question: In which ways are communication, trust, mutuality and other relevant relational elements used to build collaborative relationships with channel partners in a B2B2C setting? First, a literature study was conducted to get familiar with these different concepts and elements. Besides giving useful insights for the empirical research, the literature study results in a 3-model framework in which three different forms of B2B2C are recognized. This framework contributes to existing literature and can help researchers with future research into the B2B2C concept. To answer the research question a multiple case study was carried out at three businesses (the first B’s in B2B2C) that use a B2B2C approach. The primary data was gained by taking interviews at four respondents for each case. The results show a high relevance for communication, trust and mutuality in order to build collaborative relationships in the B2B2C approach. Besides these elements, loyalty is recognized as an additional essential element. Important is that companies clearly explain their partners how their B2BC approach works and ensure mutuality by providing both direct financial, and non-financial advantages. Besides, information must intensively be exchanged with partners to serve the end-customer as good as possible. Self-enforcing agreements based on trust are preferred. Further, the results reveal that the interpretation of the relational elements highly depend on the way the B2B2C strategy is initiated. Here, a distinction can be made between situations where the focal company initiates the shift to a B2B2C strategy and situations in which the supply chain partners themselves have the need for a B2B2C strategy, on which the focal company responds. If the initiative is at the focal company, then the focus is on communication and loyalty. The goal here is particularly convincing partners about the new approach. Hereby, companies try to prevent tensions and frustrations at their partners with good communication and they achieve this goal by using a precise and predetermined step-by-step communication process across different channels. Besides, these companies focus on a clear message towards partners that explains the good intentions of the company and the relevance for the supply chain partners themselves. To increase loyalty the companies use a step-by-step implementation to let partners get used to the new way of working. Besides, the new strategy can come along with a loyalty program which is aimed at providing partners advantages for joining in the new approach. If the initiative is at the supply chain partners, then the focus is on trust; the goal here is particularly to build trust at partners so these partners assume that you act in their interest and so they entrust you with their customers. Companies achieve this goal by entering permanent partnerships with few clients, and by working with permanent teams. The role of communication is different here; it is not aimed at convincing the supply chain partners, since they came up with the need for B2B2C themselves. Communication here is particularly aimed at building trust. Also, mutuality is particularly aimed at building trust, and is achieved by developing a shared vision with the partners.