wbr_b2b may 24 webcast combined final

To Compete, You Must Transform: The Importance of Transforming Your B2B Digital Strategy

May 24, 2106

Madhukar KumarVP, Cloud Product Business Group, CXOracle

Andrew Cole, Director of Digital Content, WBR Research

Asad Durrani, Chairman & CEO,Aaxis Commerce

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. | 2

Topics

Key Findings on the State of B2B Digital Transformation

The Case for Accelerating Transformation

Imperatives and Best Practices for B2B Success

Q & A Via Chat

1

2

3

4


Survey Methodology

49%

24%

10%

9%

7%

1%

ManufacturerDistributerOtherRetailers & Department StoresComputer Systems & Data Process-ing ServicesHealthcare & Biotechnology

101 survey respondents mostly representing manufacturers and

distributors

42% of respondents reported revenues of more than $1billon

annually

Responses gathered in April and May of 2016


The growing importance of B2B e-commerce

0%

20%

40%

60%

80%

100%

50% 44% 44% 41%14% 12%

37%34% 39%

31%

38%24%

Somewhat AgreeStrongly Agree

Fast-tracking digital transformation is a strategic priority for the vast majority of B2B companies. Technologies will be critical to that process.


Which stage of digital transformation is your business in?

Stage

1: Explorin

g opportu

nities for d

igital

transfo

rmati

on

Stage

2: Defi

ning digi

tal st

rategy

developmen

t pro

cess

Stage

3: Build

ing, testi

ng, an

d launch

ing digit

al cap

abiliti

es

Stage

4: Optimizin

g digit

al an

d innova

ting ahea

d of the c

urve0%5%

10%15%20%25%30%35%40%

17%

26%

38%

19%


Contrasting the obstacles to delivering the best possible omni-channel eCommerce experience:

New

Data

Complexity of our business

Organizational and process challenges

Limitations of current eCommerce platform

and systems

Lack of integration with back office systems

Too much reliance on IT Time required to deliver innovations

0%

10%

20%

30%

40%

50%

60%

55%

44%

40%

34% 33%

27%

48%

41% 41% 41%

28%

24%All RespondentsDigitally Mature Companies

B2B companies cite the complexity of their business as the biggest obstacle to delivering the best possible omnichannel eCommerce experiences.


In which of the following are ways you are looking to upgrade your ecommerce experience?

Becoming more consistent across international markets

Better integration with our customers’ back-end systems

Modifying platform to serve multiple types of buying decision makers

Improving the quoting and ordering process flow/adding bulk orders

Improving product or service recommendations

Better integration with our back-end systems

Enabling audience segmentation and personalization.

Improving SEO and discoverability

Improving the overall user experience

Building out or improving mobile accessibility

Making product listings clearer, easier to find, and more enticing

Add more rich content and imagery such as video

0% 10% 20% 30% 40% 50% 60% 70%

25%

26%

32%

34%

43%

47%

59%

60%

62%

63%

64%

64%

New developments in cloud technologies, web content management systems, and other tools support B2B customers’ unique demands for flexibility, accessibility of information, and enhanced experiences.


Contrasting technology priorities over the next 18 monthsN

ew Data

While all respondents agree that content management tools are an essential component of the B2B digital transformation, many are still scrambling to build out the most fundamental digital tools, such as email marketing and eCommerce platforms.

Order Management/Back End Integration

Multichannel integration

A/B Testing

Onsite Search / Navigation

Quoting

Web site analytics

Mobile/Responsive Design

eCommerce Platform (upgrade or replacement)

Email Marketing

Product Information/Content Management

Content Management (CMS / WCMS)

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

24%

17%

24%

14%

28%

34%

38%

24%

28%

38%

45%

20%

22%

27%

27%

27%

34%

35%

38%

38%

40%

43%

All RespondentsDigitally Mature Companies

KCOLOSIM


Recap of Survey FindingsFast-tracking their digital transformation is a strategic priority for the vast majority of B2B companies.

However, 40% of B2B organizations worry that they are behind the competition.

B2B companies must invest in new technologies to support the flexible omnichannel experiences buyers require.

Through new cloud and content management technologies, B2B companies can support their customers’ expanding requirements.

B2B companies cite the complexity of their businesses as the biggest obstacle to better eCommerce experiences.

Critical internal challenges remain, but the technologies to support digital transformation are more accessible than ever.


AAXIS COMMERCEAs a Creative Technology Agency,

we specialize in driving business results using data insights and

technology to orchestrate highly-engaging customer experiences.

Asad Durrani, Chairman & CEO,Aaxis Commerce

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |

15 Years in Commerce.

500 Commerce & Digital Marketing Experts on Staff.

B2B Strategists & Solution Experts.


1. Key B2B industry trends to watch and learn.

2. How to compete in acquiring and keeping customers.

3. Tangible “best practices” B2B industry leaders focus on.

AAXIS’ B2B Insights


B2B Buyer Trends

Research by Frost & Sullivan 2015

89%

73%

57%

B2B Buyers are researching company websites before calling a sales rep.

B2B Buyers research products & pricing using Google.

B2B Buyers say “most” of the purchase decision is finished online, before talking to a sales rep.


B2B Engagement Trends


76%

74%

93%B2B Buyers say “Easy To Find and Descriptive Products” is #1 website goal.

B2B Buyers say buying from a website is more convenient than buying from a sales representative.

B2B Buyers prefer to buy online, once they’ve decided what they need.


Leaders vs. Laggards

Grainger.com Sales ~$4.2B

42%

B2B Industry Average10%


~10% of Sales are transacted online in B2B industry on average.B2B industry leader Grainger generates 42% of all sales from online.


Amazon & Disruption


2.3M

Low

80%

Amazon Business has added over 2.3 million products to it’s Amazon Business site, in the past 3 years.

Industry wide, pricing is transparent and the cost for buyers to switch MFGs or Distributors is low.

Grainger expects its customer sales origination to shift from ~50% to 80% in 4-5 years.


Win by Acquiring Customers Online

1. Expand online advertising and presence, and make sure to target the right audience.

2. Identify your customer Persona groups and personalize content and offers.

3. Segment personas by what’s important for them to make their jobs easier.


Win with Retention1. Make it easy to do business

with you.2. Automate manual and repetitive

tasks with self-service capabilities.

3. Elevate the role of customer-service and sales from “order taker” to “solution consultant”.

4. Help customers do their jobs better.


LEVEL

1

LEVEL

2

LEVEL

3LEVEL 4

Intelligent Automation Omni-channel understanding of

customers. Automate personalized, omni-

channel engagement. Derive actionable insights from big

data. Programmatically drive functionality

on your site with real-time, big data insights.

Advanced Optimization Optimize the business KPIs. Optimize customer segments. Optimize content targeting. Omni-Channel Experiences -

Ensure consistent content across ALL channels and touch-points

Metrics Driven Refine Commerce growth

strategy Baseline KPIs Define user personas and

segments Define personalization and

content strategy Master basic capabilities of

the platform

Stable Platform Implement Enterprise Level

Platform Basic integrations. Digital ecosystem stable. Support and operations

model is working.

Win with ExecutionAAXIS’ Digital Maturity Index measures where customers are today, in terms of level of digital sophistication,

and creates a strategic framework to advance and drive more revenue in stages.


B2B Best Practices~$13 billion in annual revenue.

~$1+ billion annual online revenue.


Growth StrategyHave a strategy and a plan for how you’re going to run and grow your business online, before you launch. Know what resources, and what partner you’ll need to drive customer acquisition, improve conversion rates, and increase customer lifetime value and loyalty.

Omni-ChannelDigital can and should enhance customer engagement in all channels. Focus heavily on mobile experiences. innovate traditional off-line channels with digital

resources shift the role of customer service reps for mere order

takers to sales and solution consultants.

What’s your advice?

Rence Winetrout

Kevin, we will plan on sharing specific examples of what Ferguson has done. We are still cross-referecing what we are able to legally share at this time.


Customer RetentionTo attract and keep valuable customers, understand their needs and persona profiles. Do this before you get started on designing your solution. By focusing on how you can make it easier for your customers to do business with you and be more effective at their own jobs, you will design a winning B2B solution.

Data & IntegrationsAt the heart of all customer experience is clean, actionable and accessible data. Focus on enriching, cleansing and organizing your product and commerce related data and make it available enterprise wide. This means investing in either a PIM or MDM solution.

System Architecture & PerformanceLook for opportunities to simplify the number of pieces in your digital ecosystem, while focusing on the performance needed to support the “speedy experiences” all online users have come to expect. A slow page can often equate to a lost customer!

What’s your advice?


AAXIS will help you define the best strategic and technological approach to grow your online

business, according to your organizational needs, budget and readiness.

Go to: aaxiscommerce.com/b2bhelp

Get a complimentary B2B Assessment

Imperatives for B2B Success

Madhukar KumarVP, Cloud Product Business Group, CXOracle


Market Dynamics Create Operational Challenges

27

Technology New Operating Models

Customer Experience

Innovation & Agility

Transparency& Simplicity

JourneyFocused


Most Important B2B E-Commerce Success Criteria

% of custo

mers buyin

g onlin

e

New cu

stomer

acquisiti

on

Online r

evenue

Conversio

n rate

Customer

reten

tion

Loweri

ng cost

to serve

custo

mers

Averag

e order

value

Customer

lifetime v

alue

Averag

e number

of line i

tems

49% 47%43%

37% 36%

29% 27%

20%

4%


Aspiration to Execution Gap

0-5% 6-10% 11-20% 21-30% 31-40% 41-50% 51-60% 61-70% 71-80% Over 80%

35%

23%

12%

5%3%

8%5%

3% 4%2%1%

15% 16%

20%

10% 9% 9%7% 7%

11%

TodayIn 3 Years


Back to Basics for Revenue Growth

44%

79% of the buying journey is completed without a vendor

can’t match misspelled terms with right product


Keys to Tailoring the Buyer Experience

Content inContext

Easy Approvals

SimplifiedWorkflow

Automated Billing

CustomEntitlements

Copyright © 2016, Oracle and/or its affiliates. All rights reserved. 32

Managing Complexity for Success

Seller

Buyer

Growth

Business User Empowerment

ERP Integration

Online Self-Service

Workflow Automation

Growth Enabled Infrastructure

Total Control Over Experience

Differentiated Experience


Addressing the Challenges

EXPERIENCEREVENUE COMPLEXITY

• Discoverability

• Usable

• Relevance

• Personalization

• Visibility

• Simplicity

• Internal Complexity

• Customer Complexity

• Growth Complexity

01 02 03


CX Cloud Suite: Complete CX Solutions & Unified Platform

MOBILE

STORESOCIAL

WEB

CONTACT CENTERFIELD SALES

IOT

FIELD SERVICE

CX INDUSTRY SOLUTIONSFinancial servicesCommunications

High tech

Consumer goodsLife sciences

Retail

ManufacturingAutomotive Healthcare

Professional servicesHospitality

Utilities

Travel and transportation Media & entertainment

Education & researchCX APPLICATIONS

MARKETING SALES CPQ COMMERCE SERVICE SOCIAL

UNIFIED CX PLATFORM

CUSTOMER MASTER

DATA AS A SERVICE

ANALYTICS & DATA VISUALIZATION

PLATFORM SERVICES

APPS PERSONALIZATION INTEGRATION SECURITY

MARKETPLACE

Confidential – Oracle Internal


What Success Looks Like

• 50% increase in online orders

• 2.5x performance improvement

• Zero failed orders

• Launched in 6 months

• Deployed in 7 countries across 2 major businesses

• 93% Electronic Order Entry (switch from phone & fax)

• Multiple platform consolidation

• Give business users more control

• Direct to consumer initiative to bring information to residential customers

• Deployed Oracle Commerce Cloud

• Give business users intuitive tools to manage content and commerce experience

• Interface to Oracle E-Business Suite for inventory and pricing


Take The Next Step

• Digital Business Assessment• Digital Business Strategy and the

Business Case for Action• Digital Business Technology

Roadmap• Understand “The Possible”

How Oracle and Aaxis Commerce Can Help


For More Information:

oracle.com/goto/b2b-ecommerce

aaxiscommerce.com/b2bhelp

Q&A

Madhukar Kumar, Oracle: [email protected] Durani, Aaxis Commerce: [email protected]

http://www.oracle.com/goto/b2b-ecommerce



http://www.aaxiscommerce.com/b2bhelp

mailto:[email protected]

mailto:[email protected]

wbr_b2b may 24 webcast combined final

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