Intelligent CIO Europe Issue 23 | Page 75

INDUSTRY WATCH LEADERSHIP IS SLOWLY WAKING UP TO THE FACT THAT FAILING TO OFFER THE QUALITY DIGITAL EXPERIENCES BUYERS EXPECT MEANS LOSING SALES TO COMPETITORS. T he gravity of digital innovation in manufacturing today is genuine; for many brands, it’s a real case of innovate or die. However, plagued with antiquated processes and systems, many manufacturers are struggling to achieve significant digital change. A number of manufacturers have taken the correct first steps towards digital innovation by digitising catalogues, for example. However, our research shows that they still fail to provide many increasingly essential tools such as tailored product information, relevant pricing and payment options, and the right combination of flexible and adaptable buying and selling touchpoints. These tools are necessary to provide professional buyers with the seamless experiences and flexibility characteristics of B2C sales, in the much more complex B2B environment. Recent changes in the industry are now opening the door even further for digital innovation. Historically, manufacturers have primarily sold to the channel, not the end buyer. This focus on channel sales meant most manufacturers saw little urgency to innovate digitally. But as B2B buyers have become more digitally savvy, many are now increasingly turning to manufacturers’ sites for more information about products and direct purchasing options. Leadership is slowly waking up to the fact that failing to offer the quality digital experiences buyers expect means losing sales to competitors. Of B2B business www.intelligentcio.com leaders, 45% believe they have lost a customer due to the quality of their eCommerce experiences and 82% think they need to improve eCommerce experiences in the next year or face negative customer retention. Similarly, 80% believe they will see a negative impact on customer acquisition if eCommerce experiences aren’t improved. There’s a growing realisation that manufacturers who can successfully enable seamless research or buying experiences for the end customer – not just channel partners – will have an advantage as this industry trend evolves. However, while company leaders are starting to understand the urgency for eCommerce innovation, 91% of B2B sellers agree that their companies’ leadership is investing enough money and resources into improving the digital customer experience – few are actually making the right investments. Taking the wrong turn Despite their best intentions, many manufacturers head off down the wrong path from the outset, turning to legacy eCommerce systems designed for simple, mainstream, consumer commerce. The world of B2B buying and selling is almost nothing like its B2C counterpart. In addition to longer sales cycles and multiple channels of interaction, there are often unique needs for product assortment and payment options. Legacy platforms designed for B2C sales will never enable this type of selling. INTELLIGENTCIO 75