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Growing Your B2B Business Online
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  • 1. S Growing Your B2B Business Online Moderated by Chris Wang, Director of Marketing, Ariba Discovery Las Vegas, April 12, 2012© 2012 Ariba, Inc. All rights reserved.
  • 2. Agenda • Ariba Discovery Overview • Panel Introduction • Best Practice Sharing • Summary • Q&A2 © 2012 Ariba, Inc. All rights reserved.
  • 3. What Is Ariba Discovery? • The premier service for matching business buyers and sellers globally Over 700K buyers and sellers More than 20K categories Over 190 countries Innovative matching engine Advanced collaboration capabilities Rich seller profiles and lead management tools Over $1.5B USD in business opportunities More than 30K green and diverse sellers3 © 2012 Ariba, Inc. All rights reserved.
  • 4. More Value for Buyers and Sellers BUYER VALUE SELLER VALUE • Achieve incremental savings of 15% • Tap into over 3B USD buying volume right in Discovery • Reduce costs up to 75% for seller identification and qualification • Maintain high visibility in front of real decision-makers, with budget and • Save up to 90% of time for seller ready to buy identification and qualification • Cost-effective lead source versus • Make better, more informed seller traditional methods selection decisions • New sales channel, comprising 15-50+% of revenue for many sellers4 © 2012 Ariba, Inc. All rights reserved.
  • 5. Introducing Our Panel . Leanne Melton, Strategic Supply Base Manager . Proforma IdeaPress: Pratt Pande, Vice President Proforma Quicksilver: Geoff Becker, EVP of Sales Brett Mauser, Director of Strategic Sourcing5 © 2012 Ariba, Inc. All rights reserved.
  • 6. Plaid and Its Challenge • Large and diverse manufacturer of creative do-it-yourself products • Had moved production to China 12 years ago to capitalize on favorable exchange and labor rates • Challenges Surviving against competitors’ lower prices and shorter lead times Identifying and qualifying alternative sources of supply without international sourcing staff Assessing legitimacy, capabilities, and reliability of sellers on Chinese Internet sites6 © 2012 Ariba, Inc. All rights reserved.
  • 7. Plaid and Ariba Discovery • Started using Ariba StartSourcing to manage events and Ariba Discovery to find new sellers • Results Found local seller that was only two miles away Considerably reduced production costs Cut lead times from 120 days to 30 Improved quality and marketability Is considering seller for additional products7 © 2012 Ariba, Inc. All rights reserved.
  • 8. Proforma IdeaPress and Its Challenges • Top-ranking supplier of print and promotional products with 15,000 product manufacturers in the U.S. • Challenges Competing with overseas manufacturers Getting to the right decision makers Increasing visibility with buyers in large organizations Getting high-quality leads through traditional marketing activities and reverse auctions Expanding existing accounts across the entire customer organization8 © 2012 Ariba, Inc. All rights reserved.
  • 9. Proforma IdeaPress and Ariba Discovery • Was already on the Ariba Network and started using Ariba Discovery to easily identify leads • Receives an email notification for every matching lead • Maximizes visibility with the Advantage Package • Results Won over $700K in new business from two new customers Shortlisted for a $1M order from a 3rd customer Reduced number of touches per lead by 70% Cut lead times by 40% Expanded product lines and capabilities9 © 2012 Ariba, Inc. All rights reserved.
  • 10. Proforma Quicksilver and Its Challenges • Needs to differentiate through service in an intensely competitive commodity goods industry • Challenges Labor-intensive sales process involving cold calls and customer references Majority of customers are Fortune 500 companies centralizing their buying activities to reduce cost Finding economies of scale due to increasing cost pressure Competing with big players that have high brand awareness10 © 2012 Ariba, Inc. All rights reserved.
  • 11. Proforma Quicksilver and Ariba Discovery • Started to use Ariba Discovery to easily find new leads • Uses Ariba Network and Ariba PunchOut catalogs to showcase products and centralize customers’ orders • Results Won initial $10K business and thousands of dollars worth of consecutive orders from a mid-sized buyer Shortlisted for two orders worth $1.5M total by two large buyers Received two customer recommendations Got the opportunity to further grow the business11 © 2012 Ariba, Inc. All rights reserved.
  • 12. Overview of Winn-Dixie/Bi-Lo • Ninth-largest traditional supermarket chain in the U.S. • 63,000 team members • 688 grocery stores and 493 pharmacies • Stores located in Alabama, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina and Tennessee12 © 2012 Ariba, Inc. All rights reserved.
  • 13. Sourcing Organization Direct – Indirect – Merchandise Not for resale 200 Projects $1.5B in Spend 7,000 Suppliers 16 Experienced Team members13 © 2012 Ariba, Inc. All rights reserved. 13
  • 14. Ariba History • Sourcing Pro – Five Years 250+ RFPs 100+ Auctions • Ariba Discovery – Two Years 100+ Discovery events14 © 2012 Ariba, Inc. All rights reserved.
  • 15. Use of Ariba Discovery • Why we use Discovery Simple three-step process, no training required Easy to import suppliers from Discovery into Sourcing • When we use Discovery Great for smaller projects Easy to discover new alternatives Short data collection timeframe • How we use Discovery Very fast results, we leave postings open for ~1 week We don’t use it to accept bids, but to filter those that we want to invite to our RFP or auction Easy to add them to events or our supplier list in Ariba15 © 2012 Ariba, Inc. All rights reserved.
  • 16. Categories Leveraging Discovery Equipment & Services IT Construction Vertical Balers Window cleaning Printers Composting Grease trap services Routers Signs and Lighting Electrical Services Switches Store Decor Plumbing services UPS Self Service kiosks Common Area Batteries Maintenance Wiring/cabling service Security guards HVAC Maintenance16 © 2012 Ariba, Inc. All rights reserved.
  • 17. Success with Ariba Discovery • Discovery helped identify new suppliers that won business with Winn-Dixie UPS – Distributor with competitive pricing UPS Batteries – Distributor with best pricing and delivery options Printers – Local distributor in our operating area with outstanding service and delivery Common Area Maintenance – Single provider that could support our Winn-Dixie stores at best pricing and service model17 © 2012 Ariba, Inc. All rights reserved.
  • 18. Sharing Best Practices • Showcase your company Optimize your online profile and references • Interact with active buyers Best practice on responding to leads • Maximize your presence Build your brand on Ariba Discovery18 © 2012 Ariba, Inc. All rights reserved.
  • 19. Maximize Your Impact • The Top 5 things to do to leverage your company 1. Update your profile 2. Get the commodity right 3. Update contact information 4. Invite more references 5. Build your premium brand19 © 2012 Ariba, Inc. All rights reserved.
  • 20. Share This Session…NOW…from your mobile! • All presentations are posted: Guidebook mobile app – Search Apple or Android app store for Guidebook – Enter code “collabor8” Or at Slideshare.net/Ariba • Share via email or social media **Come back soon – we are syncing #AribaLIVE audio and video interviews to the presentations**20 © 2012 Ariba, Inc. All rights reserved.