Markets (AQA A Level Business): Revision Note
Syllabus Edition
First teaching 2026
First exams 2028
Exam code: 7132
Goods and services
A market is any place, physical or online, where buyers and sellers come together to exchange goods or services
The type of market a business operates in has important implications for how it approaches its marketing;
Who it targets
What messages it uses
Which distribution or promotional channels it chooses
Markets can be defined by what is being sold (goods or services) and who is buying (other businesses or individual consumers)
The difference between goods and services
Goods are tangible products that can be physically touched, seen and owned
For example, a car, a smartphone or a bag of flour
Services are intangible activities or experiences that cannot be physically owned
For example, a haircut, a flight or a gym membership
The distinction matters for marketing
Goods can be demonstrated, displayed and sampled before purchase, making it easier for customers to assess quality
Services are harder to evaluate before buying
Customers often rely on reputation, reviews and word-of-mouth recommendations
Services are consumed at the point of delivery and cannot be stored
Goods can be manufactured in advance and held in stock
Business to business (B2B) markets
In a B2B market, a business sells its products or services to other businesses
For example, a packaging supplier selling boxes to a food manufacturer, or a software company selling accounting tools to other firms
Implications for marketing
Fewer buyers, but each transaction is typically larger in value
Buying decisions tend to be rational and logic-driven
They are usually based on price, reliability, quality and service levels rather than emotion
The buying process is often complex, involving multiple decision-makers and longer sales cycles
Personal selling and direct business relationships are more important than mass advertising
Marketing typically uses trade publications, industry events and direct sales teams rather than broad consumer campaigns
Case Study
Axiom HR - a B2B business
Axiom HR is a Sheffield-based software company that sells human resource management systems to medium-sized businesses. Unlike a consumer product bought on impulse, a typical Axiom sale takes three to six months to complete — and the marketing approach reflects this entirely.
Target audience
Axiom does not advertise on social media or television
Instead, it exhibits at HR industry conferences and places content in trade publications read by HR directors and finance managers
Personal selling
Each prospective client is assigned a dedicated account manager who builds a relationship over weeks or months before any contract is signed
Rational decision-making
Buyers compare Axiom against rivals on price, functionality, data security and after-sales support
Emotional appeal has little place in the process
High-value contracts
A single sale can be worth £25,000 or more, making long-term client relationships central to the business's revenue generation
Business to consumer (B2C) markets
In a B2C market, a business sells directly to individual consumers
For example, a supermarket selling groceries or a streaming service selling subscriptions
Implications for marketing
Large numbers of potential buyers, each making smaller individual purchases
Buying decisions can be more emotional, influenced by branding, advertising and peer recommendations
Mass marketing techniques
Social media campaigns, television advertising and influencer partnerships are widely used
Brand loyalty and customer experience are critical in highly competitive B2C markets
Price promotions, loyalty schemes and convenience are key tools for attracting and retaining customers
Case Study
Zola - a B2C business
Zola is a Bristol-based clothing brand selling affordable, sustainable fashion directly to young consumers through its website and social media channels. With thousands of customers making small, regular purchases, its marketing approach looks nothing like that of a B2B business.
Mass marketing
Zola runs targeted Instagram and TikTok campaigns, partnering with influencers to reach hundreds of thousands of potential customers at once
Emotional appeal
Marketing focuses on lifestyle, identity and values such as sustainability and self-expression, rather than product specifications
Brand loyalty
A points-based rewards scheme encourages repeat purchases and encourages customers to share content on social media
Price promotions
Seasonal sales, first-order discount codes and limited-time flash offers attract traffic to the website and convert browsers into buyers
Volume over value
The average order is around £45, so Zola relies on attracting large numbers of customers rather than a small number of high-value contracts
Consumer to consumer (C2C) markets
In a C2C market, individual consumers buy from and sell to each other, usually through an online platform
For example, eBay, Vinted, Facebook Marketplace or Airbnb
Implications for marketing
The platform acts as an intermediary
Marketing focuses on building trust in the platform through reviews, ratings and buyer protection schemes
Individual sellers market their items through photos, descriptions and competitive pricing rather than traditional advertising
Growth is driven by network effects
More sellers attract more buyers, and vice versa, making the platform increasingly valuable as it grows
Social media and word-of-mouth are key drivers of awareness and growth for C2C platforms
Price competition is intense, as buyers can easily compare similar items from multiple sellers at once
Case Study
Swapd - a C2C platform
Swapd is a UK-based online marketplace where individuals buy and sell second-hand clothing, electronics and homeware. Founded in 2021, the platform now has over 800,000 registered users, none of whom work for Swapd itself.
Platform as intermediary
Swapd does not buy or sell anything directly
Its marketing focuses on building trust in the platform through a verified reviews system and a buyer protection guarantee
Individual sellers
Each seller creates their own listings using photos, descriptions and competitive pricing to attract buyers
There is no advertising budget or central sales team
Network effects
Growth feeds growth
As more sellers join, buyers have a greater choice
As more buyers join, sellers are more likely to make a sale
Word of mouth
Most new users discover Swapd through friends or social media, keeping promotion costs very low
Price competition
With many similar items listed simultaneously, sellers regularly reduce prices to stand out from rivals
Examiner Tips and Tricks
When answering questions about market types, always focus on the implications for marketing rather than just describing each type. Examiners want to see that you understand how the nature of the market shapes a business's marketing decisions. A useful evaluation point is that the same product may require very different marketing approaches depending on whether it is sold B2B or B2C - for example, a software product marketed to businesses would use direct sales and trade events, while the same product sold to consumers would rely on social media and online advertising
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