B2B Challenges facing the Automotive Industry
Do you know automotive industry will close sales of 8.9 billion dollars by the end of 2017? However there will be around 16 percent increase of sales forecasted in 2017.
The automotive industry is progressing with revenue due to the digital revolution and meeting traditional needs of transportation.
However, the digital revolution has created different challenges in the auto industry. These challenges comprise of benefits as well as difficulties too. Hence, it is evident that future of vehicle industry revenue is online.
In this way, E-Commerce offers efficient solutions to meet automotive challenges effectively. The few challenges have been shown below:-
Order Processing Complex Procedure
Automotive parts sales have been done a lot because auto parts are demanded by clients after sales too. The demand can be low or high with the passage of time.
As you can see the above chart, automotive parts are ordered massively. In this context, challenge is that mass ordering contains wide variety of customizations and components. In this way, complexity rises for delivering an order of auto parts because it may also allow errors during processing.
In this case, it is better to execute orders through ERP (Enterprise Resource Planning). Therefore, automotive companies need to establish their auto site by ERP.
ERP can use data and logic through company web store. This feature reduces error possibility on one side and on other side support sales and other essential operations.
ERP also helps in seamless information exchange of inventory management, financial transactions, and sales management. All these functions are executed efficiently through your website due to ERP.
Handling Bulk Orders at the Single Point of Time
The above picture shows types of automotive customers and order frequency.
Automotive & Parts Manufacturer faces error frequency in bulk orders. In every order, there are complex variables to judge with each order like shipping requirements, payment options, and special conditions. Especially in large orders, custom work is required at the mass level.
In this context, the integrated auto website provides flexibility and freedom and all the essential options with information to place order online error-free. Some E-commerce platforms like Sana Commerce assists B2B automotive processes and operations to help automotive buyers in developing and finding multiple payment addresses, different shipping addresses, specific instructions of delivery and uploading attachments of returns and orders.
Difficulties to Market Products Relevant to Customers
Digital solutions allow automotive sites to market their products according to the needs of the clients. They can track buyer searches on Google and over their website. In light of searches data and ERP assistance, one can develop a link related to auto products in ERP. In this way, the auto website displays products to the buyer when they check out relevant pages of the product.
For instance, if the prospect is looking for a radiator on a website then auto web can give options for coolant fluid, fans, and tubing.
Automobile organizations are looking ways to cut more costs and be more competitive. They are
- Utilizing different B2B portals for buyer searches and acquiring quality traffic of inquiries.
- Improve external and internal communication between manufacturing sites and plants.
- Focusing on efficient utilization of online marketing to establish new channels of revenue along with offline channel.
- Decrease disruption in supply chain via improved collaboration and information management.