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Senior Product Marketing Manager, Seller Solutions
Is Your Company’s E-Commerce Approach Responsive?
In Part I of this article, we explained the value of taking the Ariba e-commerce maturity quiz to assess your company’s e-commerce standing. Below are results and characteristics of companies at the second-tier, or Responsive, level of development—along with tips on how to move to the next stage.
How Responsive Companies Stack Up
- In the joint Ariba/Selling Power survey, 46 percent of respondents classified their company as Responsive.
- Organizations that fell into the Responsive category reported the following results and characteristics from their e-commerce initiatives:
- 25.5 percent have gained an increase in revenue from new accounts
- 25.4 percent have realized an increase in revenue from existing accounts
- 32.9 percent have experienced an increase in customer retention
- Responsive sellers tend to have deployed the following technologies, but have expressed a higher degree of impact/satisfaction than Reactives (with a 4.4 – 4.1 mean for satisfaction out of 10):
- Basic catalog
- Web storefront
- Customer community/social networking
- Customer reviews
- Companies often get “stuck” in the Responsive stage. There are many reasons for this. For example, organizations reaching this level typically see a decrease in the overall revenue and customer retention results that drove them to use e-commerce in the first place. They also tend to feel they have “completed” their e-commerce process and initiatives because they can deliver information and take orders electronically; however, this is still just an enablement stage. Now the company is in a “me too” position with many of its competitors, yet lacks a defined strategy to use e-commerce to create competitive differentiation.
Quick Tips: Steps You Can Take to Move from Responsive to Proactive