Meeting the Needs of The Always Connected Customer. Steve Sassi, SAP E-Commerce Specialist CDI Technology

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1 Meeting the Needs of The Always Connected Customer Steve Sassi, SAP E-Commerce Specialist CDI Technology

2 More Devices Than People

3 Rise of the Always Connected Customer The Always Connected Customer*: Uses 3 connected devices every day, Online multiple times a day from at least 3 locations Defines 48% of the U.S. population in 2013, up from 25% in Agnostic to the demographic profile across all demographics *a consumer initially identified by Forrester in 2012

4 What Do They Want? The Always Connected Customer: Wants to do business anytime, anywhere, with device of choice. Demands instant access to information Wants experiences that reflect their personal preferences Wants to execute business seamlessly across all devices and channels

5 Main Characteristic of the ACC They take control of their purchase experience Use new ways to evaluate products Have new shopping habits Have eliminated traditional sources of information Manage personal lives (and work) on multiple mobile devices. Eliminate vendors long before they know a sales opportunity exists Customer Experience trumps price and features.

6 Is This Your Customer Experience.?

7 Or This.? Better information means more informed buying decisions

8 Connecting with the Always Connected Customer Experience must reflect the personal preference of each buyer Customer Experience needs to be engaging and brand enhancing this ultimately drives repeat business. Must execute business seamlessly across all devices and channels The Online store plays a central role It must be connected to SAP ERP for real-time customer service Availability Pricing Shipping Etc.

9 About NETWORK Services Headquartered in Schaumburg, IL Coop of 75 independently owned distributors across North America and Europe Over 400 distribution locations in the US and Canada Annual revenues just over $1B in 2012 Coop Revenue exceeds $18B annually

10 Network Services Product Segmentation CORPORATE ACCOUNT SALES BY PRODUCT SEGMENT NETWORK delivers focused expertise within core product categories

11 NETWORK Services IT Our Technology Environment SAP ECC 6.0 Ehp 3 Wholesale Distribution solution Agency Business Netweaver Portal Custom Visual Composer Apps Integrated with Websphere Portal (static content) SAP PI All B2B Integrations Seeburger EDI Adapters All A2A (internal) Integrations SAP BI and BW SQL Server All reporting delivered through SAP Portal Crystal Reports, Webi SAP MDM Product Master Data Single Source of truth - feeds ECC for Product Data Repository for Sales and Marketing related product data

12 NETWORK E-Commerce Goals Create a better, industry-competitive Ecommerce experience for our Corporate Account Customers Media rich product catalog with robust product data and content Implement a leading Ecommerce platform Current user interface B2C shopping features Leverage new NETWORK Product Catalog Make shopping easier and faster for users Allow NETWORK Members to Leverage E-Commerce platform in a pay for play model

13 NETWORK E-Commerce Pain Points Previous Ecommerce system was hosted by a 3 rd party in Boston Constant sync challenges due to changes in pricing, items, Locations, and catalogs Order transfers between systems System upgrades for other customers affected our Ecommerce No access to back end data

14 NETWORK E-Commerce Pain Points Low Item Information 7 Item fields # Items fields were searchable Sparse item pictures viewable only on item detail page Item categories that were not customer friendly 2 sets of item numbers A B2B feel a lot of clicking and did not compare to our competitors capabilities No Mobile Functionality

15 NETWORK E-Commerce Required Components New, current Ecommerce Site B2C look and feel Fully integrated with ERP system Fits requirements/gaps for our Gap Analysis

16 New, Current E-Commerce Site Shopping on NetSupply 1 Main Menu 2 Item Categories 3 Items per page 4 Sort Capability 5 Compare Capability 6 Filter capability 7 Add to Cart 8 Change location 9 Cart Summary 10 My Favorite Lists 11 Add items to Favorite List Key Ordering 13 Upload from Excel 14 Download Catalog 15 Item Search

17 NETWORK E-Commerce Required Components Product Content / Data Repository ( Online Catalog ) Repository for non-erp system data, files Connected to ERP system Product Content / Data Feeds Capable of receiving feeds for product data from data providers, suppliers, and manual staff uploads

18 Product Content

19 Vendor Selection E-Commerce CDI chosen primary reasons: SAP Certified Partner (internal requirement for us) Uses Industry Templates Existing Feature/Functionality very close to our requirements out of the box we felt 85% Ability to connect easily to non-sap data in our environment as needed other finalist forced data into SAP to then allow their solution to see it Company culture and size was a good fit for us MDM Implementation used our primary SAP Implementation partner, Optimal Solutions

20 NETWORK Project Timelines

21 NETWORK E-Commerce Product Details: - Description - Short - Long - Medium Selling Copy - Specifications - Product Details - Packaging Details - Features - Summary Selling Stmt - Sustainable Data - MSDS Documents

22 NETWORK E-Commerce Improvements Search capability for 15 fields Filter Capability Sustainable Item Flag Troubleshooting and support access to Back End Data Any order in SAP is visible to buyers; order history is not lost with system transition Two levels of approver functionality Monthly and Quarterly budget capabilities Mobile Functionality

23 NETWORK E-Commerce More Improvements NetSupply 2.0 has B2C look and feel NetSupply 2.0 ERP2Web in Sync with SAP (pricing, locations, catalogs) Orders move directly into SAP via a BAPI; inbound order stopped due to location, item, pricing checks nearly extinguished Order processing time decreased by up to 15 minutes PI and IDoc creation steps removed from the process flow Pictures or Item Images Up to 40 item attributes supplied by Network MDM including sustainable information

24 NETWORK s Spend Management Location & Budget Information When selecting a location a buyer can review all address, billing, and Distributor information. If budgeting is a part of the Ecommerce program for the account the location is associated to site specific budget data will be seen when selecting a location and in the cart when checking out.

25 NETWORK E-Commerce National Account Activity Project kicked off in July 2012 Testing Phase 1/2013 through 3/1/2013 Soft Go Live 4/2013 Between May and August over 20 Corporate Accounts were transitioned to NetSupply 2.0 Punchout moved live in October, 2014 Five new Corporate Accounts have been transitioned to NetSupply 2.0; five are in queue

26 NetSupply 2.0 NetSupply 2.0 Demo Video:

27 NetSupply 2.0 Customer Adoption NetSupply currently averages over 3700 orders a week and is growing In 2012, 4400 users were setup on NetSupply 2.0; 2450 placed an order The user st21manager@sprouts.com wins the record for the most 2013 orders placed, 446 There are 812 catalogs loaded to NetSupply 2.0 There are now over 18,000 NETWORK items on someone s NetSupply order guide.

28 NetSupply 2.0 Customer Feedback There are pictures! Works like Amazon (Competitive to Staples) It is easy to use I love quick order (the capability to key in item numbers) and am so glad it hasn t been removed as it was in our previous system I had no difficulties in transition to ordering on your system

29 Why CDI Technology For NETWORK New, current B2B E-commerce Site with B2C look and feel Configurable best practices template and not just a toolset Fully integrated with SAP ERP system Easy integration with 3 rd Party applications Ability to Personalize down to user level SAP is the single version of truth All business rules followed

30 The Benefits of CDI s B2B E-Commerce Benefits for your customer: Personalization down to user level Ease of navigation can find the right products quickly Ease of Ordering 24/7 Place for Checking and Placing Orders Benefits for you Increased Revenues Increased CSR efficiency Improved customer loyalty / retention Increase in new customers

31 CDI s Real-Time Integration with SAP ERP SAP ERP2Web Users SAP R/3 or SAP ECC Marketing Database Server Pricing Availability Order Creation Order Inquiry Credit Check Customer Revision DMZ ERP2Web Web Server Windows 2003/2008 IIS/SMTP Enabled.Net Framework ERP2Web Database Server Windows 2003/2008 MS SQL 2005/2008 F I R E W A L L HTTP(S) Port: 80/443 HTTPS Port: 443 Payment Gateway

32 CDI ERP2Web Demonstration Live Demo

33 CDI Product Offerings B2B - B2C Real-Time Web Storefront E-Commerce Sell-Side B2B - B2C Real-Time Mobile Storefront Mobile Point-of-Sale Application Payments Credit Card and ACH Payment Solution E-Commerce Buy-Side Vendor Portal for Supplier Collaboration

34 CDI ERP2Web ROI Increased Revenue and Volume All business rules followed Pricing Right to buy Available to Promise Easy access to view order status and history Fast, reliable, easy to navigate Front-end administration by Customer Service (no coding required)

35 KEY Takeaways Customers are looking for suppliers who make it easy to do business with them A B2B E-Commerce site with the ease of B2C navigation, personalization and ordering is the preferred way for the Always Connected customer to do business with you CDI can provide a B2B E-Commerce Website that is fully integrated to SAP ERP and SAP HANA

36 Session Evaluations & Meeting Survey Evaluate the education sessions immediately Provide event feedback in the same survey bit.ly/asug14

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