Digital Transformation: How it is Enablinga Dynamic B2B Market Place
Digital Transformation is changing modern technology adoption process. The constant quest for efficiency and revenue has been major drivers for business process re-engineering. Moreover, this disruption is happening in the retail sector as well. Traditionally, retail was dominated by a CapEx-driven business model. This model concentrated on building visually-appealing departmental stores and appealed customers through innovative marketing and discount strategies. Initially, this catapulted the demand forlarge and expensive retail spaces, and required huge investment towards building the customer loyalty.
As the technology landscape evolved, digital commerce took over the CapEx-driven model. Today, digital commerce is redefining customer relationships in B2B sector by creating analytical, intelligent, customer-centric, informative, and focusing-on-buying-experience business model. The initial form of digital commerce was built on the first generation digital technologies, where electronic business documents were exchanged in a standard format with B2B customers through electronic data sharing systems. Nevertheless, with Digital Transformation age, retail businesses are empowering B2B customers of all sizes by adopting more dynamic and analytical driven SaaS offerings, which is truly a disruptive business model.
More Dynamic Business Model through Digital Technologies
The first phase B2B model was more product-centric, and involved centralized order taking and shipping. Also, customers had limited expectations, and were not expecting personalized, data-driven or engaging experiences. It was built more towards fulfilling the order in required quantity/sand prices. Innovations in the B2C markets, and subsequent expansion of the customer experiences in the B2C segment led to increased expectations in the B2B market segment,too. Tailored offerings, personalized promotions and discounts, relevant product recommendations and supplements, and interactive user experiences, became must-have features for B2B buyers. Most of the B2B companies are transforming themselves and adopting digital technologies. Also, they have redefined their business and operating models in order to be more dynamic and proactive at the same time. The innovation has been towards building better customer experiences. These efforts are being supported by AI-driven analytics model, which is aiming at improving overall buying experience and efficient tracking.
Data Analytics has significantly changed the way in which customer experience is managed; even in the B2B market segment. It has certainly added much-needed intelligence angle to the sales cycle. The SaaS model enables buyers to enjoy amore engaging commerce experience and helpsB2B companies’ to expand their reach, allowing them to acquire and retain hard-to-reach customers. The SaaS business model brings all the stakeholders into a common platform; which enables faster and accurate communication, efficient decision making, quick dispute resolution and faster payments. The SaaS technology provides the infrastructure and out-of-the-box functionality for quick implementation. However, its data and automation are the key ingredients behind the effectiveness of the cloud for B2B commerce. It is also important to note that cloud-based B2B solutions are much more flexible than the technologies used in the static business model. This is driven by the fact that multiple customers use these solutions and the flexibility is built from the platform level. Due to this flexibility and ease of implementation, B2B businesses are rapidly adapting to customer feedback or new market conditions, with minimal investment. This whole cycle of digital experience is driving significant efficiency in the B2B market segment, thus driving larger adaptation of these technologies.
Cloud Enabled Growth
As the technology landscape evolved, digital commerce took over the CapEx-driven model. Today, digital commerce is redefining customer relationships in B2B sector by creating analytical, intelligent, customer-centric, informative, and focusing-on-buying-experience business model
A model B2B marketplace depends on mobility, customer behavior analytics and quicker order fulfillment cycle. To support these business processes and a supporting SaaS model; companies are adopting Cloud-based technologies. In addition, the innovation and disruption in Cloud and Analytics technologies is opening new growth avenues for the retail segment. Adaptation of cloud-based AI-modules brings a new meaning to the customer behavior analysis and customer churn analysis. Using these new digital technologies, B2B players can build offerings that are more meaningful. Retail is the frontrunner when it comes to the early adaptation of a new technology. Also,using new age digital technologies; the B2B market segment is changing the way in which businesses are conducted; fundamentally changing the customer experience and bringing in B2C flavor to enterprise-centric market places.