Despite the many columns and webcasts predicting distribution’s post-pandemic “new normal,” it’s going to be a long time before our industry settles back into a rhythm. For now, expect a “new abnormal,” where powerful forces will continue to transform the industry and redefine how you must compete to win.
My colleagues have written some great articles about the uncertainty around the COVID-19 outbreak. This article is geared toward what distributors can do right now to continue serving customers and keep productive using digital tools.
Distributors are facing unprecedented uncertainty due to the impacts of the global COVID19 outbreak. While many safety and janitorial supplies wholesalers are seeing some of their biggest months ever, most distributors aren’t sure what’s coming in the next couple days, much less the next few months.
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In general, distributors’ ongoing shift to digital is a good thing; depending on the segment, customers do prefer to be communicated with digitally.
There’s plenty of opportunity in B2B e-commerce right now. Even distributors and manufacturers who have yet to implement e-commerce capabilities can still get in the game.
To many distributors, e-commerce and e-business sound interchangeable. Yet, there are important differences in the definitions.
E-business goes beyond just shopping-cart revenue. E-business involves a broader strategy that incorporates website ordering, EDI, punchout and email/fax order automation, along with an aligned team that is incentivized to drive revenue to these channels.
Customers and prospects may learn about, shop for and buy products from your company in a variety of ways—online searches, website visits, interaction with salespeople and more.
Historically, suppliers have sold directly to a few of their largest customers. About 46% in the latest survey reported they are selling direct online only to existing markets and segments — not new ones.