Conquering the B2B Commerce Challenge: Stop Navel Gazing and Get Out of Your Own Way
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1 Conquering the B2B Commerce Challenge: Stop Navel Gazing and Get Out of Your Own Way Mike Chuma, Director of Global Product Management Digital River, Inc.
2 Omphaloskepsis noun \äm(p)-fə-lō-skep-səs\
3 navel gazing Source: some proud parent posting to the interwebs
4 B2B is the Next E-Commerce Frontier Globally, Goldman Sachs predicts nearly $1 trillion in e- commerce transactions by 2013 * Many B2B companies project e-commerce will comprise 50% of total sales ** In the U.S., B2B e-commerce is growing by over 34% compound annual growth rate ** *Source: JP Morgan Chase (Goldman Sachs) Nothing but Net: 2011 Internet Investment Guide, January 3, 2011 **Source: Forrester B2B E-Commerce: Going From Surviving To Thriving By Adopting Proven B2C Principles, May 1, 2012
5
6 Business Buying is Changing Technologies = more independent and robust Enterprises = shifting stance Business Technology Selection = centrally controlled Market Driven / User Controlled
7 The way I interact with a large corporation in a B2B relationship has to keep pace with the way I can view product and research on sites like Amazon.com. - Andrew Christmann, Gartner Blog Respondent 7
8 B2B Customer Expectations are Changing +70% 20% said of B2B online influenced was more by influential B2C B2B ecommerce Trends, Endeca Survey for ecommerce, 2011
9 keeping up with your customer The Stages Of B2B E-Commerce Maturity organizations still determining their strategy few Best Practices B2C driving B2B innovation June 2012, Evaluating Your B2B E-Commerce Development
10 We re still convincing people in our own company about the value of selling online. - Director of E-Business, distributor Source: Forrester Research, Evaluating Your B2B ecommerce Development ; June 21,
11 What s holding you back? 1 lack of resources 2 budget constraints 3 requires 1:1 selling 4 not management priority Question: What are the top three major obstacles to advancing B2B e-commerce in your company? (Check as many as three). Source: B2B magazine: B2B e-commerce Barometer, August 2011
12 navigate your channels Me (mildly concerned ) 12
13 Enabling the Channel Ecosystem
14 go direct first > focus on user experience > subscriptions and renewals > find your niches
15 Transition to Customer Centric Capabilities Framework Prospect Post-Sales Contextual marketing SEO SEM Loyalty management Partner marketing Product reviews Search and display Social media Robust Product configurators Catalogue management Pricing (volume, tiered) Product recommendations Product reviews Partner portals Customer support integrations License renewals Maintenance renewals Complex subscription types and models Partner sales management
16 B2C vs B2B: Core Capabilities B2B payments: line of credit and PO Enhanced estimates Reseller pricing and discounts Partner, reseller, distributor and key account stores CRM integration (salesforce.com) Buyer management and hierarchy Advanced eligibility management Advanced pricing and promotions
17 mitigate channel conflict 17
18 Whereas, before we had a tough relationship with sales, we work cooperatively with them now. - Director of E-Business, multi-channel company Source: Forrester Research, Evaluating Your B2B ecommerce Development ; June 21,
19 balancing act Photo courtesy of Bob 19Estes
20 Tips to Manage the Shift Determine your revenue and reseller landscape Find an internal champion Define where the power resides Analyze, analyze, analyze Perception is reality Find your channel champion Know your current technology ecosystem and it s future Be aware, be sensitive Build your business case so its parts can act independently 20
21 Things to remember B2B e-commerce market is the next frontier B2B buyer behavior is evolving When managing channel shift stay focused Mitigating channel conflict requires balance, analysis and engagement 21
22 Q&A Mike Chuma Director, Global Product Management Digital River, Inc. mobile LinkedIn. /in/mikechuma
23 who s good. 23
24 focus on user experience Circa 2002 Circa 2012 Source: Conquering the B2B E-Commerce Challenge, Digital River Whitepaper Series, February 2012
25 focus on user experience
26 focus on user experience
27 enable your resellers
28 focus on a niche
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