Jeff Bezos famously said “your margin is my opportunity” but is there a new opportunistic business model in the CPG industry that’s looking to steal his shine? You’ve heard of B2B, B2C, and C2C, but what about C2M? C2M stands for consumer-to-manufacturer, and it should be obvious that this business model removes various intermediaries (or middlemen) enabling consumers to buy higher quality products at lower prices. Manufacturing companies are peering through the window of opportunity. With margin being squeezed in every direction, something most give to satisfy Americans that have been drunk on low prices for decades. The C2M model is not without risk, as many manufacturers are not properly built with the needed core competencies to build successful brands in the market. That being said, it’s undeniable that C2M will become an important key of the American ecommerce landscape. I'll further explain this notion by presenting how business models have evolved overtime, the eureka moment in the U.S. market with the Amazon Accelerator Program, and how China and Pinduoduo is leading the global shift to C2M.
