something something platform risk....
few simple reasons why b2c is absolutely brutal:
- your cac is actually adversarial. you’re bidding against everyone else for the same eyeballs, & the platforms (meta, google, apple) all tax you (e.g. most startups are running creator ads or real ads). the platforms also periodically change the rules or the algo. b2b can ride sales relationships whereas b2c mostly *rents* attention.
- retention is completely unforgiving. consumers are fickle, switching costs are near zero. you’re sorta reearning the user every session which sucks.
- willingness to pay is low & emotional. enterprise will drop $200k on boring software but consumers often churn over a $2 price hike or a vibe shift.
- the distribution layer is all power law & mostly owned by someone else. discovery is winner take most & gatekept.