efficiency guaranteed in the food and beverage...
TRANSCRIPT
Efficiency Guaranteed in the Food and Beverage IndustryWhy E-Commerce Is Mission Critical for the Industry.
The food and beverage industry can no longer ignore e-commerce
CONTENTS1. Perishable Goods 4
2. Inventory and Delivery 5
3. EfficiencyforRecurringOrders 6
4. ChallengesinPackaging 7
5. Conclusion 8
Many industries are firmly established in the
e-commerce space, such as electronics. However,
the 7.6 trillion dollar global food and beverage industry
has been slower on the uptake. Though many in the
industry may not yet see e-commerce as a pressing
issue, consumer demand indicates the opposite.
A recent study by Nielsen shows that 55 percent of
consumers are willing to buy grocery products online
in the future. The message is clear: e-commerce is
mission critical for the industry.
Introduction
4|EfficiencyGuaranteedintheFoodandBeverageIndustry
Butgettingstartedwithe-commercecan
seemdifficulttoorganizations,especially
thoseinthefoodandbeverageindustry.
Inadditiontothechallengesfacedbyall
companiestakingthefirststeptoward
e-commerce,foodandbeveragecompanies
havetodealwithindustry-specificissueslike
theperishabilityofthegoods,andstricter
demandsonlogisticprocesses.
Obstacles include:
Perishablegoods
Stockanddelivery
Efficiencyforrecurringorders
Packagingmanagement
However,companiesintheindustrycan
minimizetheseriskswithERPsystems.
Theseletcompaniesmanageallprocesses
anddatainonecentrallocation.Anoptimized
ERPsystemcombinedwithanintegrated
e-commercesolutionletscompaniesleverage
theERP’sbusinessdataandlogicanduse
thisintheirwebstore.Fromstocklevelsto
pricing,andfromexpirationdatestopackaging
details,allavailablebusinessdatacanbeused
tocreateanefficientandfuture-proofonline
saleschannelforcompaniesinthefoodand
beverageindustry.
“One system has to be leading when starting with E-commerce. Let that be your ERP.” Mike Vermeer, Business Analist, Pelican Rouge
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5|EfficiencyGuaranteedintheFoodandBeverageIndustry
The perishable nature of food and beverages makes selling these items online a particular challenge. Complex supply chains, strict food safety procedures and a short shelf life: your company has to deal with a short time to market and a quick flow of products. This means it is important that all the processes are aligned.
Makingthisarealityrequiresconsiderableaccuracy:
storingandprocessingcriticalprocessesandinformation
indifferentsystemsisn’tanoption.Doingsocanleadto
incompleteinformation,errorsanddelays,andthereforeto
goodsthatarelow-qualityuponarrival–maybeevenunfit
forconsumption.
Anintegratede-commercesolutionleveragesbusinesslogic
anddataalreadystoredinyourERP,withoutrecreatingit
orstoringitelsewhere.Italsodisplaysitdirectlyintheweb
store.Thedataandprocessesusedarealwaysaccurate
andup-to-date,helpingyoudeliverthequalityyour
clientsexpect.
Perishable Goods1
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6|EfficiencyGuaranteedintheFoodandBeverageIndustry
When dealing with products with such a short shelf life, excellent time management is of the utmost importance. Clients need to know when products are available for ordering, as well as the delivery times. Miscalculating inventory or shipping times – or even miscommunicating the right information – can leave clients empty-handed and facing unhappy customers of their own.
Integratede-commerceprovidesyourcustomerswithreal-
timeproductinformation,suchascurrentandfuturestock
levels.Yourwebstoreisbothasalesandcommunication
channel,providingclientswithup-to-dateandaccurate
informationondeliverytimesandinventorylevels.
Butthat’snotall:withourintegratedsolution,youcanalso
communicateaboutfutureinventory.YourERPhasdata
onwhennewproductscanbeshipped,orwhenseasonal
productsareavailable.Sharingthisinyourwebstorelets
customersplaceordersinadvance,whichinturnmakesit
easierforyoutoplantheproductionanddeliveryprocess.
Inventory and Delivery2“The fact that Sana is specifically built to integrate with NAV and that all of the data is available in real time are huge benefits. We do not have to worry about file transfers or data synchronization issues.”VictorDiercksen,ITsystemmanageratTalkingRain
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7|EfficiencyGuaranteedintheFoodandBeverageIndustry
Do your clients regularly order the same items, in the same quantities – but not regularly enough for a standing order? Ordering the same quantity of the same items every time doesn’t always work. There are a lot of variables that can affect demand, from weekends to seasonal changes.
Integratede-commercesolutionscanhelpspeedupthese
recurringbutnotregularorders.Forinstance,youcancre-
atetemplatesforeveryspecifickindoforder,helpingclients
Recurring Order Efficiency3
“Our sellers can easily manage their relations with clients and orders are processed with just a few actions.”TanjaVergeer,headofadministrationatBanketbakkerijVanStrien
savetime.However,youcanprovideevenmoreefficiencyby
actuallyanticipatingwhattheywanttoorderbasedonpast
onlineandofflinepurchasedataandrecurrenttrendsfrom
yourERPandCRMsystems.SanaCommerce’spredictiontool
generatesalistofproductsandcorrespondingamountsthat
clientscaneditorimmediatelyaddtotheirshoppingcart.
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8|EfficiencyGuaranteedintheFoodandBeverageIndustry
Suppliers in the food and beverage industry often have diverse clients. While one may want only two kilograms of a certain herb, others may need a whole container. With such a wide range of order sizes, suppliers often have numerous packaging options. Translating all these variables into a sustainable online sales channel may seem like an impossible task.
However,alltheseoptionsaremodelledinyourERPsystem.
Anintegratede-commercesolutionlikeSanaCommerce
directlyembedstheseoptionsintoyourwebstore.Whenever
aclientchoosesaspecificquantityorpackagingmethod,
theyimmediatelyseethefinalpriceintheironlineshopping
cart,includingthepackagingcosts.Thissolutionensuresthat
yourclientsalwaysseetherightpricewhenbuyingonline,and
requiresminimaleffortonyourpart:simplymaintainingthe
ERPisenough.
Challenges in Packaging4
“Bigger clients order 35 kilograms of coffee with accessories all at once. These packages can exceed 100 kilograms. Our national delivery service cannot deliver it anymore. That means we offer a different transporting method that comes along with other costs, which customers can automatically see online.”MikeVermeer,BusinessDeveloperatPelicanRouge
9|EfficiencyGuaranteedintheFoodandBeverageIndustry
Conclusion5An integrated e-commerce solution is able to overcome the obstacles companies in the food and beverage industry face, and help them embrace online sales. The web store is perfectly aligned with other organizational processes because its information comes directly from the ERP system.
Moreover,awebstoremakesthingseasierforclients.
Theyalwayshaveaccesstoreliableandup-to-date
informationinyourwebstore,theycancreatetemplates
forrecurringorders,andpackagingoptionsare
automaticallyaddedtotheorderprice.Inshort,
anintegratede-commerceplatformwillstreamline
bothyourclients’andyourorganization’sprocesses.
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