Acquity Group recently released a new study, the 2014 State of B2B Procurement Study. It surveyed 500 procurement officers with annual purchasing budgets above $100,000 – these folks are doing more than buying the occasional paper clip.
It’s easy to cherry pick what you want from these studies, but here are a few points from the report that underscore what I think should be priorities as distributors shape their e-commerce strategy.
- Price is the most important factor, but customer service is next. Distributors may find it tough to compete on price, but they can streamline the research and purchasing process to boost online sales.
- B2B buyers are using self-service purchasing models more, but there is a large percentage that want some form of phone or live chat support.
- Business buyers are researching more online and using more online research sources.
- AmazonSupply is definitely having an impact as an alternate source of supply, but supplier websites are still the primary electronic platforms used.
These are interesting notes on what's occurring in the industry, but here are few other things to keep in mind. AmazonSupply’s impact is growing, but it doesn’t have the ability to serve customers as well in terms of service, knowledge and support at the local level.
In addition, while buyers may be researching AmazonSupply, they are also using multiple supplier sites, online reviews and Google searches. There’s an opportunity to differentiate the quality of local service and support you provide.
Digital growth opportunities are increasing for every type of company. It’s important that suppliers frame a focused strategy, and not chase or compete with Amazon Supply or Alibaba, where they can consistently win on price and overall usability.
There are too many examples of distributors building e-commerce sites without doing important foundational work, some of which is Marketing 101. Ask your important customer segments how they are using online platforms to research and purchase, what they want and what they’d like you to provide.
Product knowledge and service resources can make the difference. Research and purchasing tools that integrate your company deeper into the daily work flow of the customer is much more powerful than a shiny shopping cart.