How to build effective cooperation between eRetailers and Brands?

MICHAL WALCZYNSKI

Consumers want to buy directly from brands

90% 70% 48%

of suppliers surveyed said their company now sells directly to consumers from their company’s own website**

US survey participants made purchase directly from manufacturing site*.

of the consumers that research a product online, start their buying journey on the brand website.

Sources: *PwC Global Total Retail Survey 2013 ** E-Commerce for Branded Manufacturers and Suppliers Report, Retailing Today, Channel Advisor survey.

Why do brands go direct?

Direct relationship with customers

Fair Share of the demand created

More Demand and Brand Recognition

Improved margins Market reach expansion

Reduced costs

Is Tesla setting up the new path?

SOURCE: http://www.forbes.com/sites/greatspeculations/2016/03/03/is-the-direct-sales-model-critical-for-tesla-motors/#caa8be3685f5

but…

report that direct sales make up less than 10% of their total sales. 67%

SOURCE: http://www.rvcf.com/blogpost/1149227/228532/Selling-Direct-Works-for-Branded-Manufacturers

TRAFFIC

BASKET SIZE

CONVERSION

SUCCESS

Redirected traffic

Remarketing

CRM integration

Joint media planning

Social media

Content utilization

eRetailer as a medium

X-selling

eMerchendising

Traffic

Traffic

Just links Automated links Add to basket

If you redirect traffic, seeing competitors’ banner is not the best possible option

1. Identify possibilities.

2. Link you product cards with relevant pages on brand

sites.

3. Link from all marketing landing pages.

4. Prepare offers and links for Vendor CRM mailings.

ACTIONS

Joint Media Planning

Looking for new growth engines.

Search for unique traffic sources

Source: SimilarWeb.com

1. Cross-check marketing calendars to find

common actions (back to school, winter

holidays)

2. Align your SEM strategy with vendors approach

(bidding strategy, SEO activities)

3. Use remarketing lists from Vendors` sites.

4. Share detailed results and possible new

solution.

ACTIONS

Content

ONE OF THE MOST EXPENSIVE SAMSUNG TV

TV PROMOTED IN TV AD

#1 Utilize what you can get

Up to 40% uplift in sales on product lines

which now have high quality multiple

images rather than pack shots

• Better content is better than worse content

• It`s almost impossible to create valuable content for all

products.

• It`s better to syndicate content than set it up automatically

(pre-designed content boxes)

ASDA - online grocery picture

Basket conversion rate jump

22.17% with Flixmedia inpages.

Nikon product cards

26 132

28 510

37 366

31 610

86 714

EURO

MEDIA MARKT

KOMPUTRONIK

MEDIA EXPERT

MORELE

SKUs number

Source: Ceneo

Vendors

#2 Start listening and be the first…

Source: Google trends, search term: „tv 4k”, Poliand search queries, 2011 - 2016

April 2013 4K/UHD TV debuted in Samsung offer

• Product filteres • Navigation • SEO articles/ blog posts

• Landing pages

#3 Look forward

Customer Care via messeging apps.

Trainings for your staff. Bot integration with care line.

Content for social media. CRM content (live cycle mails)

Are

a:

Act

ion

po

ints

: Get and use: • Hashtags • Images, • Videos • Ton-of-communication

Get materials for your newsletters (tips and tricks, installation guides, how-tos, up-selling and x-selling content).

Do you consider your store as a medium?

MOST EFFECTIVE TOUCHPOINTS/CHANNELS

REACHING RIGHT PEOPLE RIGHT TIME

TELLING BRAND STORY

CONVERTING USERS INTO BUYERS

Brands looking for:

eCommerce can be real alternative for classic online medium.

eMerchendsing strategy

0

Business model

Visual strategy

Placements map Rules and Mechanisms

(eg. Approach to competitors,

personalization)

KPIs and reporitng

eMerchendising strategy

http://www.ao.com/

eMerchendisng strategy

http://www.mediaexpert.pl

eMerchandising strategy

9 PLACES 4 ORGINAL PRODUCS 1 EMPTY 1 LG PRODUCT 1 BLANK

X-SELL WITH PROPER PRODUCTS

1. Get x-selling matrix from vendors.

2. Test and Learn

ACTIONS

FINAL REMARKS

Final remarks

Get to know vendors’

sales and marketing

strategies

Set strategy toward s

key vendors

Review your organization (who`s responsible for cooperating with vendors)

Identify key projects,

which can be

supported by brands.

Align your marketing

plan with vendors’

activities.

Identify the biggest

challenges and

address them to the

brands.

MICHAL WALCZYNSKI

Digital and eCommerce Manager mobile: +48 600 089 367