B2C is short for business-to-consumer, or the retailing part of e-commerce on the Internet. It is often contrasted to B2B or business-to-business

While the term e-commerce refers to all online transactions, B2C stands for "business-to-consumer" and applies to any business or organization that sells its products or services to consumers over the Internet for its own use. In addition to online retailers, B2C has grown to include services such as online banking, travel services, online auctions, health information and real estate sites. Peer-to-peer sites also fall under the B2C category.

B2C e-commerce went through some tough times, particularly after the technology-heavy Nasdaq crumbled in 2000. In the ensuing dotcom carnage, hundreds of e-commerce sites shut their virtual doors and some experts predicted years of struggle for online retail ventures. Since then, however, shoppers have continued to flock to the web in increasing numbers. In fact, North American consumers love e-commerce so much that despite growing fears about identity theft, they spent $172 billion shopping online in 2005, up from $38.8 billion in 2000. And the future looks rosy for e-commerce. By 2010, consumers are expected to spend $329 billion each year online, according to Forrester Research. What’s more, the percentage of U.S. households shopping online is expected to grow from 39 percent this year to 48 percent in 2010.

In short, although online commerce still represents less than six percent of all retail sales, its growth and future prospects show that it has finally become as established and mainstream as a trip to the local mall.

For one thing, the customers are different — B2B (business-to-business) customers are other companies while B2C customers are individuals. Overall, B2B transactions are more complex and have higher security needs. Beyond that, there are two big distinctions:

Yes. According to a survey done by the Privacy Leadership Initiative, 82 percent of consumers were paying attention to online privacy statements in April 2001, and that number was rising. Customers may not read the fine print, but they are reassured by the presence of a privacy statement. Once you establish a privacy policy, though, make sure you follow it, or you'll be putting your company at risk for lawsuits and bad press.

The Internet Tax Freedom Act of 1998 put a three-year moratorium on Internet taxation and was renewed and extended in 2004. Since its passage, Internet sales have been handled in the same way as catalog and telephone sales — if the retailer has a store in the purchaser's state, a sales tax is supposed to be added to the bill. The Supreme Court has ruled that companies cannot be required to collect taxes in states where they have no physical presence.

The first and most important step is to acquire the software that will allow you to get in contact with customers and make sales. OYO Media has a scalable and highly customizable B2C software that can get you up and running.

Then you have to find the product you will sell best and target it to the suitable market niche.

Tow steps many have made and then watched their profits increase from a trimester to another.