Digitize to Win: 3 Strategies for Manufacturers

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The manufacturing industry is going through a revolution, and companies that don't modernize their business practices are going to be left behind. This presentation covers how manufacturers can capture the aftermarket, improve efficiency and provide better customer service using cloud-based technologies.

Digitize to Win: 3 Strategies for Manufacturers

B2B customers want an
effortless experience

93% Prefer to buy
online when they’ve
decided what to buy
74% Buying from a
website is more
convenient than
buying from a sales
representative
56% Expect to
make half or more of
their work purchases
online in 2017
Source: Q1 2015 Forrester/Internet Retailer B2B Buyer Channel Preferences Survey
B2B ecommerce is at the inflection point

Important to Retail…
Digital Defines the Winners…
…Critical in
B2BMachinery Manufacturing = 6.9% of B2B ecommerce
2019 ~ $76 Billion
Ecommerce Billions USD$ Forrester Forecast
0
200
400
600
800
1000
1200
2013 2019
Source: Forrester Research US Online Retail Forecast, 2011 To 2016, Key Trends in B2B ecommerce for 2013
US Census Bureau: 2014 Annual Survey of Manufactures: General Statistics: Statistics for Industry Groups & Industries
RETAIL B2B

Digitization can also have a
major impact on business operations

In the last 15 years, 52% of the fortune 500
companies have disappeared
1955 Vs.
Life Expectancy 75 years Life Expectancy 15 years
2015

How much time is spent searching for
information that could be used
more productively?

Departments need to work
together to share updates
and knowledge, which is
difficult without digitization

Relational databases and the cloud
can be a game changer

Online, up-to-date materials
make everyone more
productive

Internet use by all
demographics has
empowered consumers

Companies need to
provide a quick,
easy and effortless
experience for
customers or they
are going
somewhere else.

OEMs traditionally relied on dealer
networks to make aftermarket sales

Customers want an effortless experience,
accessing information and making
purchases online

Aftermarket parts have high profit margins
of 40-50%

Manufacturers are missing out on
major sources of revenue changer

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5. B2B customers want an effortless experience

6. 93% Prefer to buy online when they’ve decided what to buy 74% Buying from a website is more convenient than buying from a sales representative 56% Expect to make half or more of their work purchases online in 2017 Source: Q1 2015 Forrester/Internet Retailer B2B Buyer Channel Preferences Survey B2B ecommerce is at the inflection point

7. Important to Retail… Digital Defines the Winners… …Critical in B2BMachinery Manufacturing = 6.9% of B2B ecommerce 2019 ~ $76 Billion Ecommerce Billions USD$ Forrester Forecast 0 200 400 600 800 1000 1200 2013 2019 Source: Forrester Research US Online Retail Forecast, 2011 To 2016, Key Trends in B2B ecommerce for 2013 US Census Bureau: 2014 Annual Survey of Manufactures: General Statistics: Statistics for Industry Groups & Industries RETAIL B2B

8. Digitization can also have a major impact on business operations

9. In the last 15 years, 52% of the fortune 500 companies have disappeared 1955 Vs. Life Expectancy 75 years Life Expectancy 15 years 2015

10. How much time is spent searching for information that could be used more productively?

11. Departments need to work together to share updates and knowledge, which is difficult without digitization

12. Relational databases and the cloud can be a game changer

13. Online, up-to-date materials make everyone more productive

14. Internet use by all demographics has empowered consumers

15. Companies need to provide a quick, easy and effortless experience for customers or they are going somewhere else.

16. OEMs traditionally relied on dealer networks to make aftermarket sales

17. Customers want an effortless experience, accessing information and making purchases online

20. Aftermarket parts have high profit margins of 40-50%

21. Manufacturers are missing out on major sources of revenue changer

Digitize to Win: 3 Strategies for Manufacturers

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