How B2B eCommerce Supports Buyers, Sellers, and Internal Operations with Andy Wagner of AAXIS

How B2B eCommerce Supports Buyers, Sellers, and Internal Operations with Andy Wagner of AAXIS

Transcript

Welcome to B2B Commerce Uncut: A Journey Through Change. This podcast features candid conversations with thought leaders, distributors, and innovators in digital commerce and transformation. We explore successes and challenges faced by manufacturers, distributors, and wholesalers in achieving successful digital transformation. This episode is sponsored by OroCommerce, a leading innovator of customer-driven open-source software for B2B digital transformation. OroCommerce empowers businesses with tools to digitize their operations. Learn more at oroinc.com. And here’s your host, Sawyer Frank.

Sawyer Frank: Welcome back to B2B Uncut! Today, I’m joined by Andy Wagner, Executive Director at AAXIS Digital, a long-time partner of OroCommerce. We’ll be discussing how B2B commerce goes beyond just online sales and supports various aspects of an organization. Andy, tell us a bit about your background in the eCommerce space.

Andy Wagner: Thanks, Sawyer! I’ve been in this industry for a while now, implementing eCommerce solutions for brands across the globe. My focus has always been on helping businesses engage with their buyers through online channels, and the B2B space is particularly exciting with its vast opportunities.

Sawyer Frank: Absolutely, and together, we’ve aided some of the biggest names in manufacturing and distribution. Today, let’s move beyond the online sales aspect and explore how B2B eCommerce supports both buyers and sellers, even upstream in an organization’s operational needs.

Andy Wagner: It’s a crucial topic. While eCommerce websites are important, the additional benefits for sellers often go unnoticed. Consider customer service and sales reps. With B2B commerce, they gain access to customer orders, history, forecasts, and fulfillment information, enabling them to support customers more efficiently and proactively. A great example is Braskem, a company we’ve worked with for six years. They’ve experienced incredible benefits through digital commerce, particularly in customer service efficiency and eliminating manual tasks.

Sawyer Frank: Streamlining efficiency like that definitely leads to cost savings. What tools are most critical to achieving these benefits beyond the basic eCommerce features?

Andy Wagner: That’s a great question. One key aspect is combining CRM and commerce, which is central to OroCommerce. This is crucial for managing complex buyer relationships and hierarchies, not just for transactions but also for customer service and sales teams. They can manage their customer portfolios effectively and access relevant information without being overwhelmed.

Another vital tool is integrating offline order data from ERPs or other systems into the commerce platform. This provides a single view of all customer orders, online and offline, enabling better customer service and sales management. For Braskem, having this integrated information within the platform significantly improved their ability to manage and support customers. OroCommerce’s architecture and vision made this integration seamless and truly beneficial.

Sawyer Frank: Absolutely, permissions are critical. A customer service rep might manage thousands of accounts, while a sales rep in a specific territory handles only a hundred. The system needs to reflect these varying roles and hierarchies. You also mentioned ERP integration, which brings up the issue of data quality. Bad data in leads to bad data out, hindering adoption. How do you approach this challenge?

Andy Wagner: It’s important to acknowledge existing data issues. Systems have evolved over time, and replacing everything isn’t always feasible. Technology today offers solutions. We can address data quality issues within the OroCommerce platform, often without requiring changes to the ERP system, leading to smoother implementations.

Many industries are still quite traditional. We encounter customers who prefer emailing orders, which might seem surprising. However, technology allows us to automate order creation from scanned emails, reducing manual errors and streamlining the process.

Permissions also play a role here. By grouping customers and internal teams, we enable easy identification of relevant contacts. Customer service reps can see assigned salespeople, and vice versa, improving collaboration and efficiency. B2B commerce, when implemented correctly, offers significant benefits beyond the online storefront.

Sawyer Frank: It’s crucial to meet buyers where they are. We often use terms like eCommerce platform, e-shop, customer service portal, or self-service portal. Have you encountered situations where a Minimun Viable Product (MVP) rollout focuses solely on self-service features without online buying and selling?

Andy Wagner: Absolutely, the MVP approach is a great starting point, especially for organizations new to B2B commerce. It allows you to gather customer feedback and prioritize features. Often, the initial focus is on providing customers with visibility into their orders, shipment status, and account information. This self-service functionality offers immense value, especially in B2B scenarios with complex shipping logistics, like tracking rail car deliveries.

Payment and finance features, such as viewing outstanding invoices and making online payments, are also popular starting points. These integrations are relatively simple and provide significant time savings for both buyers and sellers.

Sawyer Frank: The key difference between B2C and B2B is the complexity of relationships and transactions. We’re dealing with multiple warehouses, thousands of line items, and staggered shipments. How does B2B eCommerce handle this complexity?

Andy Wagner: Reducing human error is paramount. Workflows play a crucial role in ensuring shipments adhere to specific rules and regulations, minimizing mistakes and risks. They can also automate responses to customer communications, prioritizing urgent issues and streamlining customer service. Understanding common pain points and building safeguards into the system is key.

Sawyer Frank: You mentioned Steve, the sales rep, who prefers traditional methods. What tactics have you seen used to encourage adoption of online tools and self-service features among sales teams and customers?

Andy Wagner: Resistance from sales teams is common. They might feel threatened by the online channel, fearing competition or commission loss. The key is to demonstrate value. Features like customer forecasting empower sales reps with insights that improve their effectiveness. Analyzing buying patterns and suggesting relevant products to customers based on similar profiles can also boost sales performance.

By integrating CRM capabilities, sales reps can easily manage customer interactions and access valuable data without relying on spreadsheets or fragmented systems. This leads to better data capture for the company, improved metrics, and ultimately, greater efficiency for everyone involved.

Sawyer Frank: I can definitely relate. Before joining the eCommerce world, I was a manufacturer sales rep selling to distributors. We lacked a B2B eCommerce platform and had no visibility into inventory. It was frustrating not knowing what I could actually sell. As you mentioned, salespeople are understandably concerned about their earnings. Without clear visibility and proper permissions, they’re left guessing about order origins and potential commissions.

Andy Wagner: Imagine this: an order comes through the online channel, but Steve, the sales rep, identifies an opportunity to upsell or cross-sell. The platform tracks his contribution, ensuring he receives credit for the increased order value. This eliminates concerns about competition with the online channel.

Another benefit is streamlined quote management. The platform handles the back-and-forth communication, allowing Steve to focus on closing deals. Integrating these functionalities within the B2B commerce platform brings significant advantages.

Sawyer Frank: We’ve discussed sales and customer service extensively. What about the impact upstream? Are you seeing B2B eCommerce platforms providing value to areas like product development, marketing, and finance?

Andy Wagner: Absolutely. Finance departments benefit greatly from improved accounts receivable processes. Providing buyers with online access to account information and payment options reduces time spent chasing invoices. Some companies even offer credit systems within the platform, encouraging prompt payments and providing buyers with more flexibility.

Marketing teams also gain valuable insights from B2B commerce data. Understanding buying cycles, popular products, and customer behavior informs marketing strategies and website content optimization. By analyzing historical patterns, the platform can present the right content to the right buyers at the right time, improving efficiency and personalization.

These are just a few examples of how B2B commerce extends its value beyond the initial touchpoints, creating operational efficiencies and benefits across various departments within an organization.

Sawyer Frank: Data is indeed a recurring theme, and it’s essential for informed decision-making. Collaborative organizations that effectively share data across departments, from sales and marketing to supply chain and finance, reap significant benefits.

Andy Wagner: It’s not just about having data, but consolidating it effectively. The digital commerce platform serves as an ideal hub for this consolidation, supporting various use cases on both the buying and selling sides. This eliminates the need for scattered data silos and enables real-time utilization of information.

Sawyer Frank: We’ve seen numerous examples of this. You mentioned the finance department, but we could also discuss incentivizing customers to use ACH payments, reducing credit card fees and saving costs for the finance team. Permissions also come into play, allowing companies to set payment terms based on customer size or relationship.

Andy Wagner: Exactly. Finance departments can leverage the platform to offer incentives for early invoice payments, such as prioritized fulfillment or access to limited products. This creates a win-win situation, encouraging timely payments while benefiting buyers. It’s a clever way to utilize the platform’s capabilities and data consolidation.

Sawyer Frank: The buyer demographic is evolving. We’re seeing younger, digitally-savvy buyers entering the market, and even older generations are becoming accustomed to user-friendly online experiences. How important is user experience in B2B eCommerce, and how can marketing support this effort?

Andy Wagner: The changing demographics are undeniable, and companies need to adapt. While some might question the importance of user experience in B2B, it’s crucial to recognize that buyers’ expectations are shaped by their everyday interactions with technology. They expect a seamless and efficient experience, similar to what they encounter in the B2C world.

Marketing plays a vital role in understanding buyer demographics and preferences. They should be involved in eCommerce discussions from the outset, providing insights into customer behavior and ensuring the platform caters to their needs. Gathering direct feedback from customers is also valuable, as it reveals their priorities and pain points.

Sawyer Frank: Looking at your OroCommerce implementations, what percentage of the feature set would you say customers utilize initially?

Andy Wagner: In the MVP stage, it’s typically around 50-65% of the feature set. The focus is on establishing the transactional foundation. Features related to customer service and sales empowerment, such as CRM capabilities and advanced workflows, are often implemented in subsequent phases.

Sawyer Frank: OroCommerce’s B2B workflow engine is quite unique in the market. Every B2B engagement, regardless of complexity, involves workflows. From checkout processes to product onboarding, workflows streamline operations and ensure efficiency.

Andy Wagner: Absolutely. Workflows provide essential guardrails, mitigating risks and eliminating manual errors. They also keep processes moving by reminding users of pending actions and identifying bottlenecks. OroCommerce’s built-in workflow capability is a significant advantage, offering flexibility and control for managing complex B2B processes.

Sawyer Frank: This all ties back to data integrity, visibility, and functionality. A 22-step RFP process, for instance, is seamlessly managed within the CRM, providing visibility to all relevant parties and eliminating information gaps.

Andy Wagner: The digital commerce platform becomes a comprehensive business solution, extending far beyond the transactional website. This perspective strengthens the business case for investment, as it demonstrates the impact on both top-line revenue and bottom-line margins through operational efficiencies and cost savings.

Sawyer Frank: Andy, I’m sure you have many more examples to share. For those interested in learning more, what’s the best way to reach you?

Andy Wagner: Please visit our website at aaxis.io or email me directly at [email protected]. I’m happy to connect on LinkedIn as well. I welcome any questions or conversations about B2B commerce and digital transformation strategies.

Sawyer Frank: Thank you for joining us today, Andy. We’ve only scratched the surface, and I encourage our listeners to reach out to Andy to discover how he’s helped numerous companies achieve success with their B2B eCommerce channels. This concludes our episode. Thank you, Andy!