An Effective Modern Commerce Strategy Drives Profitable Growth. 19. Februar 2018, München
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1 An Effective Modern Commerce Strategy Drives Profitable Growth 19. Februar 2018, München
2 With 5 steps only, we are capable of giving the customer what he wants across all dimensions. Completed global price setting process in half the time 40% improvement in quote speed. Decreased ordering time from 30 days down to 1 day. Recovering $1M in margin leakage per month and 20 bp in margin improvement.
3 A New Generation of Buyers Buying Moving Rapidly & Significantly Direct & Online Purchase Through E-marketplaces Up 55% in 4 years 75% Today Purchase Directly from Manufacturers Up 17% in 2 years 81% Today The Millennial generation might have the most profound impact on the future of industrial products buying than any other 2017: UPS study of industrial products buyer behaviors, preferences and perceptions The percentage of buyers who purchased through manufacturers and e-marketplaces has significantly increased 2017: UPS study of industrial products buyer behaviors, preferences and perceptions
4 Most Favored Nation Quantity Quantity Bundles Buying Group Bundles Amazon Smartphone, Computer ecommerce Smartphone, Computer Manufacturer Direct Telephone (old school), Salesperson Distributor Brick & Mortar Store, Computer Reseller Brick & Mortar Store, Computer Government Telephone (old school), Salesperson Distributor VAR Brick & Mortar Store, Computer, Salesperson
5 53% of buying decisions are driven by the sales experience 50% of buyers choose the vendor that responds first 86% of buyers will pay more for a better customer experience and greater transparency Sources: 2017 CEB, insidesales.com, CEI
6
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8 Analytics Cloud Big Data Digitalization Omni-channel Frictionless
9 Showing prices on public websites Showing prices to authenticated accounts Ensuring price consistency Preventing competition from exploiting prices Responsive to changes in different markets and channels Transparent, dynamic pricing that is easy to understand Channel pricing strategy and proliferate negotiated discounts Personalized prices using microsegmentation and science
10 PRICE STRATEGY is the most frequently cited reason for losing channel share. PRICE is the most critical factor driving partner buying decisions. 54% say PRICE and COMPETITION are the reasons they are losing deals. Source: Hanover Research Survey, n=129
11 Dynamic Pricing
12 Flexible Value Propositions
13 From: Traditional commerce To: Modern commerce Company in control Guesswork, selling on gut instinct Online/offline silos Manual, opaque pricing Standard, pre-defined offers Customer in control, fully informed buyers Selling on science, algorithms, machine learning Frictionless, omni-channel experiences Dynamic, transparent pricing Personalized offers
14 Low Effectiveness High
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16 Empower customers through self-service ecommerce Enable partners to support customers with quoting tool Expand your business footprint and reach customers wherever and however they choose to buy
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18 Use 2D visualization to create easy and navigable product catalogs Leverage 3D visualization to provide 360 view of products Provide a richer sales experience with HoloLens mixed reality smartglasses
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20 Fastest configurator to accelerate customized offerings Accurate configurations using Smart CPQ s constraints satisfactions programming (CSP) engine Create customized configurations tailored to key attributes with a single click Create custom configurations with feature restraints
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22 Machine Learning Algorithms Partner Portal MRP Open Capacity & Lead Time Amazon ecommerce ERP Business Rules Direct Distributor CRM Competitive Data Dynamic Pricing Guidance Customer Buying History Reseller Government VAR Social Media Market Pricing Insights
23 By 2018, 90% of the world's 200 largest companies will exploit intelligent apps and use the full toolkit of big data and analytical tools to improve their customer experience Mike Walker Top 10 Strategic Technology Trends for 2017: Intelligent Apps March 2017
24 SDMO Industries, the world s third largest manufacturer of power generating units A 90% REDUCTION IN ORDER PROCESSING TIME WITH PROS SMART CPQ SOLUTION
25 Key Takeaways to help drive growth Create an easy and effective buying process for customers Deliver a consistent, personalised customer experience across all channels Price dynamically and transparently Leverage artificial intelligence to improve the customer experience
26
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