Manufacturing is no longer about producing goods as cheaply as possible to meet the demands and price points of retailers. Today’s manufacturers are becoming far more reliant on a new raw material – data.
As midmarket B2B sellers move toward ecommerce, those deploying single-stack solutions are experiencing far greater success than their peers using best-of-breed software, according to a new Forrester Consulting Report.
Like the outdoor enthusiasts who use their products, outdoor retail brands dislike the comfort zone, and thrive on pushing themselves to innovate and deliver new experiences for their partners and consumers.
In a highly competitive market with a wide range of competitors, both physical and online, ecommerce has become a vital channel for Bailey Hydraulics, a leading manufacturer and distributor of mobile hydraulic components.
Ecommerce has been a boon to retailers, enabling them to enter new geographical markets, attract customers who prefer to buy online or at off hours, and compete successfully with much larger retail chains. Now manufacturers are finding they can reap the same benefits by selling online, not only to their distributors and business partners, but even directly to consumers. In fact, 70 percent of distributor respondents in the fourth-quarter 2013 MDM-Baird Distribution Survey said they plan to invest in ecommerce in 2014, highlighting that more distributors are recognizing the importance of the Web to the future of the channel. Manufacturers aren’t very far behind. Among manufacturers, 18 percent said they would spend more with traditional distributors this year based on the rise of ecommerce in the channel and 17 percent said online-only players would get greater share. One reason manufacturers are interested in ecommerce is cost reduction. Online ordering requires fewer employees and can reduce inventory costs for both B2B and B2C commerce. It’s also an attractive option both for consumers and B2B partners, many of whom prefer to place orders online.