Post on 16-Apr-2017
©2016 Ntara, Inc. All contents proprietary and confidential. 1
IT’S NOT “JUST LIKE AMAZON”
B2B VS. B2C E-COMMERCE AND WHY IT MATTERS
©2016 Ntara, Inc. All contents proprietary and confidential. 2
IN THIS WEBINAR YOU WILL LEARN HOW TO:
Optimize your B2B e-commerce deploymentAdopt proven B2C e-commerce principles on a B2B platformUnderstand B2B and B2C business modelsUse B2B e-commerce to maximize the value of your field sales force
BONUS:Service the many needs of customers in B2B2C e-commerce
©2016 Ntara, Inc. All contents proprietary and confidential. 3
WHO IS THIS GUY?
Andy DidykVP of Account Services
Ntara
B2B and B2C e-commerce SMEDigital strategist
New business and account coach
©2016 Ntara, Inc. All contents proprietary and confidential. 4
How can we enhance our brand?
How will it support other sales channels?
How can each customer experience be personalized? How can we more effectivelymarket online?
Can we better engage our customers?
How do we increase loyalty and brand preference?
How do we increase brand awareness?
Can we capitalize on our changing business environment?
How can we maximize margin?
How can we avoid channel conflict?
What is the projected ROI?
How soon can we launch?
What about internal staffing?
What about costs to build (CAPEX) and run (OPEX)?
Will selling direct to consumers (D2C) impact our sales partners?
How will the systems interface?
Are new systems required?
What about bundling and fulfillment?
What about our complex products and pricing?
How will this affect IT security?
OUR APPROACH
Management Consulting Firm
Creative Digital Agency
Technical Integrator
©2016 Ntara, Inc. All contents proprietary and confidential. 5
Technology CompaniesBrochure Sites
Lead Generation
Complex Backend
B2B e-commerce
Healthcare &
InstitutionsComplex models
Antiquated tech
Lots of change
Accessibility concerns
OUR FOCUS
Branded Manufacturer
sSell through retailers or distributors
May have e-commerce
Need help moving to retail model
©2016 Ntara, Inc. All contents proprietary and confidential. 6
Analytics / BI Tools
Fulfillment
ERP
eCommerce
Digital Asset Mgmt (DAM)
Campaign MgmtWeb
Content Mgmt
System(WCMS)
Customer Service / Retention
Customer Relationship Mgmt (CRM)
Security
Coherent Customer Database
IT
MarketingSales
WE’RE DIFFERENT
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OUR CLIENTS
Mid Market with
$100M+ in Sales
Complex
Products &
Pricing
Global Perspective or Plans
Desire to Integrate
On & Offline
Seeking Rapid
Launch & ROI
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OUR SERVICES
Websites Ecommerce Creative & UX
Technical Integration
sIntegrated Marketing Consulting Apps
Enterprise Ecosystems to MicrositesMultilingual / Localization
Multi-tier EnvironmentsContent Mgmt
Systems (CMS)
Product Data Mgmt
Systems Integration
B2B and B2C
BrandingInformation Architecture
(IA)User
Experience (UX)
DesignContent
strategy and creation
Custom Cross-
Platform DevelopmentArchitected Solutions
Campaign Strategy
Social MediaSearch (SEO
& SEM)Email
Marketing
RoadmappingHardware Strategy
Research and AnalyticsTraining
iOS & AndroidKiosks and
TouchscreensSales Tools
©2016 Ntara, Inc. All contents proprietary and confidential. 9
BEFORE WE BEGINQuick poll – B2B or B2C
©2016 Ntara, Inc. All contents proprietary and confidential. 10
PART I: DIFFERENCES BETWEEN B2B AND B2C E-COMMERCE
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THE OBVIOUS DIFFERENCE
B2C e-commerce
B2B e-commerce
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THE OBVIOUS DIFFERENCE
B2C e-commerce
B2B e-commerce
$3.2 trillion
by 2020
$6.7 trillion
by 2020
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KEY DIFFERENCE #1: END USER
Buyer is the
consumer
Buyer is (typically) procurement at retailerRetailer sells to the consumer
B2C e-commerce
B2B e-commerce
©2016 Ntara, Inc. All contents proprietary and confidential. 14
“B2B buyers today not only prefer to research online, but they also prefer to buy online. Nearly 75% indicate that buying from a website is more convenient than buying from a sales representative when purchasing products or services for work.”
– Andy Hoar, B2B analyst, Forrester Inc.
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KEY DIFFERENCE #2: BUSINESS GOAL
B2C e-commerce
B2B e-commerce
Customer acquisition
Customer retention
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KEY DIFFERENCE #3: ECOSYSTEM ENVIRONMENT
B2C e-commerce
B2B e-commerce
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KEY DIFFERENCE #3: ECOSYSTEM ENVIRONMENT
Procurement System
Supplier Solutions(Punchout Translator)
E-commerce Catalog
Order Fulfillment System
Buyer login info Cart transfers forapproval PO approved
Buyer login toe-commerce site
Buyer adds itemsto cart and submits PO transferred
PO submittedfor fulfillment
BUYER
SUPPLIER
1
2
4 5
3 6
7
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KEY DIFFERENCE #4: SALE TYPE
B2C e-commerce
B2B e-commerce
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KEY DIFFERENCE #5: PRODUCT ASSORTMENT
B2C e-commerce
B2B e-commerce
©2016 Ntara, Inc. All contents proprietary and confidential. 21
KEY DIFFERENCE #6: PRICING & TERMS
B2C e-commerce
B2B e-commerce
• Negotiated pricing
• Negotiated terms
• Sales reps can offer discount
• Shipping options
• Pricing options• Hardback,
softback, Kindle
©2016 Ntara, Inc. All contents proprietary and confidential. 22
KEY DIFFERENCE #7: PAYMENT OPTIONS
B2C e-commerce
B2B e-commerce• PL3 level credit
cards• Lines of credit• Direct wire transfer• ERP integrations
Add a credit or debit cardAmazon accepts all major credit cards.
©2016 Ntara, Inc. All contents proprietary and confidential. 23
KEY DIFFERENCE #8: APPROVAL PROCESS
B2C e-commerce
B2B e-commerce• End user or
manager• Management
approval• Procurement /
Finance• Accounts Payable• Potential Audit Trail
©2016 Ntara, Inc. All contents proprietary and confidential. 24
KEY DIFFERENCE #9: ORG. OWNERSHIP
B2C e-commerce
B2B e-commerceOperations and IT, with some support from Marketing
Marketing, with some support from IT and Operations
IT
Operations
Marketing
IT
Operations
Marketing
©2016 Ntara, Inc. All contents proprietary and confidential. 25
PART II: WHY DEPLOY E-COMMERCE?
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1. B2B BUYERS PREFER E-COMMERCE “B2B buyers today not only prefer to research online, but they also prefer to buy online. Nearly 75% indicate that buying from a website is more convenient than buying from a sales representative when purchasing products or services for work.– Andy Hoar, B2B analyst, Forrester Inc.IN 2015, ALMOST 60% OF B2B BUYERS MADE ONE-HALF OR MORE OF THEIR WORK PURCHASES ONLINE.
“The data is very clear that B2B buyers now favor do-it-yourself options for researching products and services. By a factor of three to one, B2B buyers want to self-educate versus talk to sales representatives to learn about products and services. They say that gathering information online on their own is superior to interacting with a sales representative by a margin of 53% to 17%.”– Andy Hoar, B2B analyst, Forrester Inc.
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2. BUYERS’ EXPECTATIONS ARE CHANGING
“93% of B2B buyers say that they prefer to buy online rather than from a
salesperson when they've decided what to buy and just need to make the
purchase.”– Forrester Inc.
Challenge:B2B Buyers want simple, fast, and convenient purchasing channels. Opportunity: Remove routine tasks from the sales force and create true consultants.
©2016 Ntara, Inc. All contents proprietary and confidential. 28
3. GAIN HUGE SALES CHANNEL EFFICIENCIES Migrate customers from offline to online channels to increase customer acquisition and maintenance cost savings.
Reduce costs for low-frequency, low-volume purchasers
Retain the customer
Deploy cross- and up-sell engines to better meet customer needs.
Source: Forrester Research, 2015. Build A World-Class B2B e-commerce
Optimizing Channel Balance
©2016 Ntara, Inc. All contents proprietary and confidential. 29
MORE TRAFFIC AND BRAND EXPOSUREB2B businesses with e-commerce report a 20% YOY increase in website traffic.
4. ENJOY PROVEN, TANGIBLE RESULTS
INCREASED REVENUE AND LOWERED COSTS52% lower order costs and 19% average sales growth. Customers spend more after migration than before.
Source: Forrester Research, 2015. The Case For Channel-Shifting Offline Customers Online
Source: Forrester Research, 2015. Digital Is Busy Transforming B2B Commerce
INCREASED LOYALTYOmnichannel customers are more loyal than single-channel customers.
©2016 Ntara, Inc. All contents proprietary and confidential. 30
PART III: BEST IN CLASS EXAMPLES OF E-COMMERCE
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GRAINGER
Source: E-commerce & B2B- “Review of the Best B2B E-Commerce Websites”
©2016 Ntara, Inc. All contents proprietary and confidential. 32
GRAINGER
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FERGUSON
Source: E-commerce & B2B- “Review of the Best B2B E-Commerce Websites”
©2016 Ntara, Inc. All contents proprietary and confidential. 34
FERGUSON
Source: E-commerce & B2B- “Review of the Best B2B E-Commerce Websites”
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FERGUSON
Source: E-commerce & B2B- “Review of the Best B2B E-Commerce Websites”
©2016 Ntara, Inc. All contents proprietary and confidential. 36
FERGUSON
Source: E-commerce & B2B- “Review of the Best B2B E-Commerce Websites”
©2016 Ntara, Inc. All contents proprietary and confidential. 37
PART IV: BEST IN CLASS B2B2C EXAMPLE
©2016 Ntara, Inc. All contents proprietary and confidential. 38
B2B2C: IT’S WHAT CONSUMERS WANT
According to Forrester, more than a third of US online consumers surveyed expressed a preference for buying directly from manufacturers.
52 percent of online shoppers in the U.S. visit a website with the intention of buying. These buyers are driven by a greater assortment of products and their loyalty to the brand.
Source: PwC, 2016. 2016 Total Retail Report
34%
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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HUNTER FAN
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SUMMARY
• B2C and B2B are very, very different. • Most manufacturers and brands need both• B2B2C strategy is complex and needs to be
considered• Successful deployments must align Sales,
Marketing, IT, and Operations• Where to begin? Ask for help from experts.
©2016 Ntara, Inc. All contents proprietary and confidential. 54
Andy DidykVP of Account Services
Ntara
didyk@ntara.com423.926.8272 x8613
https://www.linkedin.com/in/andy-didyk-8826212
Ntara.com
LET’S GET IN TOUCH
©2016 Ntara, Inc. All contents proprietary and confidential. 55
THANK YOU
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