What is the definition of B2B (Business to Business) in the hotel industry?
Known as Business to Business, a word that refers to the trade of goods or amenities from one industry to another.
Examples of B2B are outsourcing hotel employees from a corporation, extensive food purchasing, hotel preservation performed by an exterior company and company hotel reservations. Rather than B2C, B2B can refer to either the invention of a sale from a corporation or the hotel purchasing a service or merchandise from another company.
Business to Business is significant in a hotel industry in order to preserve facilities, keep up-to-date on industry upgrades, producing sales and other services that could get better the hotel’s building(s), status and organization. Another optimistic factor is that hotel status from local businesses can be earned quicker, rather than individuals and individual sales through B2C. On the other hand, unlike Business to Consumer, B2B usually comprises contracts and may involve legal counsel in negotiating of terms or prices. Sales produced from B2B, depending on the quantity of projected sales, could result in the selling of rooms at a cut-rate price.