SlideShare a Scribd company logo
Page 1
April 2020
IT‘S E-COMMERCE,
STUPID!
Cyclical and Structural Effects in Today‘s E-Commerce Landscape.
Page 2
COVID-19 is making the future happen faster and is
reshuffling the status quo.
Online consumer spending is changing significantly:
88% sales increase in medicine, 56% in food and a
35% decrease in fashion in March 2020 y-o-y.
The current cyclical development should be a wake-
up call to companies that have neglected or
deprioritized e-commerce in the past.
Key effects in e-commerce show, that organizations
will miss out on significant revenue if they do not get
on the moving train soon.
CONTEXT
RESHUFFLED
E-COMMERCE
Page 3
2019 2020 2021 2022 2023 2024
dia Food & Personal Care Furniture & Appliances Toys, Hobby & DIY
Sources: Market development: Statista Digital Market Outlook E-Commerce in Germany, CAGR & ARPU for 2020 – 2024); Dependency: DHL & IFH Köln 2017, Onlinehändler im Spannungsfeld von
Wachstum und Marktkonzentration; IFH Köln 2018: Amazonisierung des Konsums; Digital Marketing: mawave Performance marketing agency, based on client data
Why getting more out of your e-commerce now?
Apart from current cyclical effects due to Covid-19, e-
commerce in Germany is expected to continue
growing with a 9% CAGR (2020- 2024).
Most organizations strongly depend on the big digital
platforms with amazon generating 46% of their
revenues. However, high price pressure requires to
rethink the online channels set-up.
Due to the Covid-19 pandemic we see significant price
drops in digital marketing, e.g. CPC on Facebook
declining by 58%, which enable new opportunities to
boost sales.
EFFECTS IN E-COMMERCE
TIME TO
GET STARTEDExpected CAGR
+ 9%
Expected ARPU
+ 7%
Revenue via Amazon
46%
Feeling dependent
33%
Change CPM
-38%
Change CPC
-58 %
STEADY STRUCTURAL
GROWTH OF E-COMMERCE
IN GERMANY
STRONG DEPENDENCY ON
DIGITAL BIG PLAYERS
(E.G. AMAZON)
DRASTIC PRICE DROP IN
DIGITAL MARKETING
Change 20.02 – 20.03.2020 based on performance of
over 100 Facebook campaigns
Page 4
Consumer
Electronics
Structural low2
Cyclical
negative1
Food
Accessories &
Jewelry
Shoes
Clothing
Furniture &
Household goods
Household
appliances
Toys
Books, Movies,
Music & more
Hobby
& Stationary
DIY, Gardening &
Animal need
Electronics &
Media
FashionToys & DIY
Furniture &
Household
Nutrition & Health
While Consumer Electronics, Media and
Household Appliances suffer in short term
but are expected to keep growing in the
long run, COVID-19 will accelerate the
long-term growth for Food/Nutrition and
medical products.
Medication
Structural high2
1Influence of Corona crisis represented by sales change March 2019 vs. March 2020 2Long-term growth of various industries represented by CAGR 2020-2024 for Germany
Sources: Statista Digital Market Outlook E-Commerce in Germany, CAGR for 2020 – 2024; BEVH, April 2020
Comparing the long-term structural growth of various e-commerce industries, with the cyclical short-term
impact of the Corona crisis
INSIGHTS
STRUCTURAL AND CYCLICAL IMPACT
Color coding product groups:
+ 88%
- 52%
3%
10%
Structural (CAGR) Cyclical (change March 2020 y-o-y)
Cyclical
positive1
- 4%
Page 5
THE BLOOM PARTNERS
E-COMMERCE
TOOLKIT
RESULTS:
REVENUE POTENTIAL AND IMPLEMENTATION ROADMAP
BOOSTING
EXISTING CHANNELS
IDENTIFYING
NEW CHANNELS
OPTIMIZING DIGITAL
MARKETING
UNDERSTANDING MARKET
& CONSUMER TRENDS
Faced with cyclical effects impacting structural growth, it is
key for companies to face essential questions in order to
identify and leverage their individual e-commerce potential:
• What are the specific market and customer trends?
• What sales increase is possible in existing channels,
including product adaptations or development?
• On which additional channels can and should our
products be offered?
• How can we increase our sales by optimizing digital
marketing?
Utilizing our E-Commerce Toolkit, we model our clients‘ e-
commerce potential along individual uplift-levers while
recognizing short- and long-term effects and translate the
insights into an implementation roadmap.
Page 6
CONTEXT
• FMCG client confronted with the challenge to
forecast the expected revenue by 2025 via
B2B2C e-commerce
• After recent acquisitions, potential synergies
have not yet been successfully leveraged
• Increasingly under pricing pressure from one of
the key channels Amazon
APPROACH & IMPLEMENTATION
• Developing an Excel-based potential model
including developing three revenue scenarios
(High, Medium, Low) for the client’s B2B2C e-
commerce in 2025 based on identified growth
levers
• Special consideration of company- and
product-specific uplifts and downsides
• Deep-dive into uplift effects by optimizing
product content
• Preparing key results as slide deck for internal
communication
RESULTS
Modeled revenue uplift by 2025, three scenarios:
• Excel model shows specific implementation measures to achieve the
revenue forecast within the defined levers, while considering different
degrees of impact over the years
• Presentation of results displays approach and scenarios including
individual impact of the growth levers
Market & segment
development
For a client in the FMCG sector, Bloom Partners analyzed and modeled five levers to increase sales and
developed three revenue scenarios for 2025.
REFERENCE CASE
UTILIZING THE E-COMMERCE TOOLKIT FOR FMCG-CLIENT
Scenario 3: „High“
+ 310%
Scenario 2: „Medium“
+ 205%
Scenario 1: „Low“
+ 135 %
Boosting
existing channels
Identifying new
channels
Optimizing digital
marketing
Optimizing product
content
REVENUE-UPLIFT INDIVIDUAL LEVERS (SCENARIO „MEDIUM“)
+ 14% + 39% + 10% + 29% + 59%
e.g. by product bundling,
extension of current
product portfolio
Industry-specific, -related
and -unrelated channels
(e.g. Westwing or Christ)
e.g. by optimizing target
groups and CTAs, content
synergies
e.g. optimization of PDPs
and SEO, product images
and videos
Page 7
DR. MARKUS PFEIFFER
CEO
TELEFON
MOBILE
E-MAIL
ADRESSE
+49 89 124 1395 0
+49 151 16761580
mpfeiffer@bloom-partners.com
Prannerstr. 11, 80333 München
GET IN TOUCH
HEIKE POLEY
Senior Consultant
MOBILE
E-MAIL
ADRESSE
+49 151 100 151 82
hpoley@bloom-partners.com
Prannerstr. 11, 80333 München

More Related Content

What's hot

Indian E-Grocery: A Promising Opportunity Led By Value-First Users
Indian E-Grocery: A Promising Opportunity Led By Value-First UsersIndian E-Grocery: A Promising Opportunity Led By Value-First Users
Indian E-Grocery: A Promising Opportunity Led By Value-First Users
RedSeer
 
Startup Landscape
Startup LandscapeStartup Landscape
Startup Landscape
Shiwani sinha
 
Disruption in indian furniture retailing
Disruption in indian furniture retailingDisruption in indian furniture retailing
Disruption in indian furniture retailing
Shubham Anand
 
1/12 RedSeer Shadowfax Logistics Index
1/12 RedSeer Shadowfax Logistics Index1/12 RedSeer Shadowfax Logistics Index
1/12 RedSeer Shadowfax Logistics Index
RedSeer
 
Furniture industry pptx
Furniture industry pptxFurniture industry pptx
Furniture industry pptx
Simran Sharma
 
Gated community $ 500B consumption story in 2026
Gated community $ 500B consumption story in 2026Gated community $ 500B consumption story in 2026
Gated community $ 500B consumption story in 2026
RedSeer
 
Ground Zero 4.0 | Scaling Up - Event Report
Ground Zero 4.0 | Scaling Up - Event ReportGround Zero 4.0 | Scaling Up - Event Report
Ground Zero 4.0 | Scaling Up - Event Report
RedSeer
 
Cosmetics Industry Report 2017
Cosmetics Industry Report 2017Cosmetics Industry Report 2017
Cosmetics Industry Report 2017
Swati Taneja
 
Red seer online retail -MENA
Red seer online retail -MENARed seer online retail -MENA
Red seer online retail -MENA
ashish chander
 
Kitchen Appliances Market a RedSeer perspective
Kitchen Appliances Market a RedSeer perspectiveKitchen Appliances Market a RedSeer perspective
Kitchen Appliances Market a RedSeer perspective
Shubham Anand
 
Kantar annual trends 2022 final
Kantar annual trends 2022 finalKantar annual trends 2022 final
Kantar annual trends 2022 final
Social Samosa
 
research report on online food ordering market in India
research report on online food ordering market in Indiaresearch report on online food ordering market in India
research report on online food ordering market in India
Sumit Roy
 
Power of omnichannel engagement
Power of omnichannel engagement   Power of omnichannel engagement
Power of omnichannel engagement
Shubham Anand
 
E tailing market in india
E tailing market in indiaE tailing market in india
E tailing market in india
RedSeerConsulting1
 
Beauty Category Insights - COVID-19 by Traackr
Beauty Category Insights - COVID-19 by TraackrBeauty Category Insights - COVID-19 by Traackr
Beauty Category Insights - COVID-19 by Traackr
Traackr
 
Impact of COVID-19 on Global Consumers and Emerging Opportunities
Impact of COVID-19 on Global Consumers and Emerging OpportunitiesImpact of COVID-19 on Global Consumers and Emerging Opportunities
Impact of COVID-19 on Global Consumers and Emerging Opportunities
Sam Ghosh
 
E commerce in india
E commerce in indiaE commerce in india
E commerce in india
9Media Online
 
Retail Sector in india
Retail Sector in indiaRetail Sector in india
Retail Sector in india
Ipsos Business Consulting
 
GroupM Brand Safety Playbook For Marketers
GroupM Brand Safety Playbook For MarketersGroupM Brand Safety Playbook For Marketers
GroupM Brand Safety Playbook For Marketers
Social Samosa
 
Global Entertainment & Media Outlook 2021-2025: PwC Report
Global Entertainment & Media Outlook 2021-2025: PwC ReportGlobal Entertainment & Media Outlook 2021-2025: PwC Report
Global Entertainment & Media Outlook 2021-2025: PwC Report
Social Samosa
 

What's hot (20)

Indian E-Grocery: A Promising Opportunity Led By Value-First Users
Indian E-Grocery: A Promising Opportunity Led By Value-First UsersIndian E-Grocery: A Promising Opportunity Led By Value-First Users
Indian E-Grocery: A Promising Opportunity Led By Value-First Users
 
Startup Landscape
Startup LandscapeStartup Landscape
Startup Landscape
 
Disruption in indian furniture retailing
Disruption in indian furniture retailingDisruption in indian furniture retailing
Disruption in indian furniture retailing
 
1/12 RedSeer Shadowfax Logistics Index
1/12 RedSeer Shadowfax Logistics Index1/12 RedSeer Shadowfax Logistics Index
1/12 RedSeer Shadowfax Logistics Index
 
Furniture industry pptx
Furniture industry pptxFurniture industry pptx
Furniture industry pptx
 
Gated community $ 500B consumption story in 2026
Gated community $ 500B consumption story in 2026Gated community $ 500B consumption story in 2026
Gated community $ 500B consumption story in 2026
 
Ground Zero 4.0 | Scaling Up - Event Report
Ground Zero 4.0 | Scaling Up - Event ReportGround Zero 4.0 | Scaling Up - Event Report
Ground Zero 4.0 | Scaling Up - Event Report
 
Cosmetics Industry Report 2017
Cosmetics Industry Report 2017Cosmetics Industry Report 2017
Cosmetics Industry Report 2017
 
Red seer online retail -MENA
Red seer online retail -MENARed seer online retail -MENA
Red seer online retail -MENA
 
Kitchen Appliances Market a RedSeer perspective
Kitchen Appliances Market a RedSeer perspectiveKitchen Appliances Market a RedSeer perspective
Kitchen Appliances Market a RedSeer perspective
 
Kantar annual trends 2022 final
Kantar annual trends 2022 finalKantar annual trends 2022 final
Kantar annual trends 2022 final
 
research report on online food ordering market in India
research report on online food ordering market in Indiaresearch report on online food ordering market in India
research report on online food ordering market in India
 
Power of omnichannel engagement
Power of omnichannel engagement   Power of omnichannel engagement
Power of omnichannel engagement
 
E tailing market in india
E tailing market in indiaE tailing market in india
E tailing market in india
 
Beauty Category Insights - COVID-19 by Traackr
Beauty Category Insights - COVID-19 by TraackrBeauty Category Insights - COVID-19 by Traackr
Beauty Category Insights - COVID-19 by Traackr
 
Impact of COVID-19 on Global Consumers and Emerging Opportunities
Impact of COVID-19 on Global Consumers and Emerging OpportunitiesImpact of COVID-19 on Global Consumers and Emerging Opportunities
Impact of COVID-19 on Global Consumers and Emerging Opportunities
 
E commerce in india
E commerce in indiaE commerce in india
E commerce in india
 
Retail Sector in india
Retail Sector in indiaRetail Sector in india
Retail Sector in india
 
GroupM Brand Safety Playbook For Marketers
GroupM Brand Safety Playbook For MarketersGroupM Brand Safety Playbook For Marketers
GroupM Brand Safety Playbook For Marketers
 
Global Entertainment & Media Outlook 2021-2025: PwC Report
Global Entertainment & Media Outlook 2021-2025: PwC ReportGlobal Entertainment & Media Outlook 2021-2025: PwC Report
Global Entertainment & Media Outlook 2021-2025: PwC Report
 

Similar to It's E-Commerce, stupid!

Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdfEng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
vecilos241
 
GroupM_TYNY_Sept2022_E-Commerce.pdf
GroupM_TYNY_Sept2022_E-Commerce.pdfGroupM_TYNY_Sept2022_E-Commerce.pdf
GroupM_TYNY_Sept2022_E-Commerce.pdf
Social Samosa
 
5 Top B2B Digital Industrial Sectors of 2015 !!
5 Top B2B Digital Industrial Sectors of 2015 !!5 Top B2B Digital Industrial Sectors of 2015 !!
5 Top B2B Digital Industrial Sectors of 2015 !!
Subhakar Rao Surapaneni
 
Gafanomics - The Quarterly - Episode 2 (Q2FY19)
Gafanomics - The Quarterly - Episode 2 (Q2FY19)Gafanomics - The Quarterly - Episode 2 (Q2FY19)
Gafanomics - The Quarterly - Episode 2 (Q2FY19)
Fabernovel
 
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
OnkarPatil57
 
Impact of Covid-19 on Global Ecommerce
Impact of Covid-19 on Global EcommerceImpact of Covid-19 on Global Ecommerce
Impact of Covid-19 on Global Ecommerce
Vikrant Shukla
 
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdfGfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
AproximacionAlFuturo
 
Covid's digitization
Covid's digitizationCovid's digitization
Covid's digitization
thomas paulson
 
Digital Advertising in India and disruptive trends
Digital Advertising in India and disruptive trendsDigital Advertising in India and disruptive trends
Digital Advertising in India and disruptive trends
RedSeer
 
how to maximize ecommerce profitability for long-term growth as well as winni...
how to maximize ecommerce profitability for long-term growth as well as winni...how to maximize ecommerce profitability for long-term growth as well as winni...
how to maximize ecommerce profitability for long-term growth as well as winni...
Marcos Pueyrredon
 
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
yStats.com
 
Digital Transformation Company of the Future
Digital Transformation Company of the FutureDigital Transformation Company of the Future
Digital Transformation Company of the Future
Rids Vazi
 
The Company Of The Future
The Company Of The FutureThe Company Of The Future
The Company Of The Future
Rids Vazi
 
Top E-commerce Trends to Watch Out for in 2017
Top E-commerce Trends to Watch Out for in 2017Top E-commerce Trends to Watch Out for in 2017
Top E-commerce Trends to Watch Out for in 2017
i95Dev
 
Brand communication during covid - SLOVAKIA
Brand communication during covid - SLOVAKIABrand communication during covid - SLOVAKIA
Brand communication during covid - SLOVAKIA
Daniel Zaicek
 
Trends in B2B ecommerce
Trends in B2B ecommerceTrends in B2B ecommerce
Trends in B2B ecommerce
Salmon Limited
 
250 Brands to Watch | Seattle Interactive 2019
250 Brands to Watch | Seattle Interactive 2019250 Brands to Watch | Seattle Interactive 2019
250 Brands to Watch | Seattle Interactive 2019
Seattle Interactive Conference
 
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
AIRCC Publishing Corporation
 
Summary Spain building automation 2019 report
Summary Spain building automation 2019 reportSummary Spain building automation 2019 report
Summary Spain building automation 2019 report
KONTAGION HUB LIMITED
 
New horizons in Retail by Patryk Powierża.pdf
New horizons in Retail by Patryk Powierża.pdfNew horizons in Retail by Patryk Powierża.pdf
New horizons in Retail by Patryk Powierża.pdf
patryk48
 

Similar to It's E-Commerce, stupid! (20)

Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdfEng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
Eng_E-barometern_aÌŠrsrappprt_2023 final version 20240306.pdf
 
GroupM_TYNY_Sept2022_E-Commerce.pdf
GroupM_TYNY_Sept2022_E-Commerce.pdfGroupM_TYNY_Sept2022_E-Commerce.pdf
GroupM_TYNY_Sept2022_E-Commerce.pdf
 
5 Top B2B Digital Industrial Sectors of 2015 !!
5 Top B2B Digital Industrial Sectors of 2015 !!5 Top B2B Digital Industrial Sectors of 2015 !!
5 Top B2B Digital Industrial Sectors of 2015 !!
 
Gafanomics - The Quarterly - Episode 2 (Q2FY19)
Gafanomics - The Quarterly - Episode 2 (Q2FY19)Gafanomics - The Quarterly - Episode 2 (Q2FY19)
Gafanomics - The Quarterly - Episode 2 (Q2FY19)
 
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
Covid-19 Outbreak: FMCG Spending on Analytics Market By Companies, Region, Ty...
 
Impact of Covid-19 on Global Ecommerce
Impact of Covid-19 on Global EcommerceImpact of Covid-19 on Global Ecommerce
Impact of Covid-19 on Global Ecommerce
 
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdfGfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
GfK-State-Of-Consumer-Tech-and-Durables-Report-Q4-2022.pdf
 
Covid's digitization
Covid's digitizationCovid's digitization
Covid's digitization
 
Digital Advertising in India and disruptive trends
Digital Advertising in India and disruptive trendsDigital Advertising in India and disruptive trends
Digital Advertising in India and disruptive trends
 
how to maximize ecommerce profitability for long-term growth as well as winni...
how to maximize ecommerce profitability for long-term growth as well as winni...how to maximize ecommerce profitability for long-term growth as well as winni...
how to maximize ecommerce profitability for long-term growth as well as winni...
 
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
Sample Report: USA B2C E-Commerce and Payment Market 2020 & COVID-19’s Impact...
 
Digital Transformation Company of the Future
Digital Transformation Company of the FutureDigital Transformation Company of the Future
Digital Transformation Company of the Future
 
The Company Of The Future
The Company Of The FutureThe Company Of The Future
The Company Of The Future
 
Top E-commerce Trends to Watch Out for in 2017
Top E-commerce Trends to Watch Out for in 2017Top E-commerce Trends to Watch Out for in 2017
Top E-commerce Trends to Watch Out for in 2017
 
Brand communication during covid - SLOVAKIA
Brand communication during covid - SLOVAKIABrand communication during covid - SLOVAKIA
Brand communication during covid - SLOVAKIA
 
Trends in B2B ecommerce
Trends in B2B ecommerceTrends in B2B ecommerce
Trends in B2B ecommerce
 
250 Brands to Watch | Seattle Interactive 2019
250 Brands to Watch | Seattle Interactive 2019250 Brands to Watch | Seattle Interactive 2019
250 Brands to Watch | Seattle Interactive 2019
 
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
Covid-19 Sparked the E-Commerce Revolution; Some Benefited, While Others Left...
 
Summary Spain building automation 2019 report
Summary Spain building automation 2019 reportSummary Spain building automation 2019 report
Summary Spain building automation 2019 report
 
New horizons in Retail by Patryk Powierża.pdf
New horizons in Retail by Patryk Powierża.pdfNew horizons in Retail by Patryk Powierża.pdf
New horizons in Retail by Patryk Powierża.pdf
 

More from Bloom Partners GmbH

Personalized Nutrition
Personalized NutritionPersonalized Nutrition
Personalized Nutrition
Bloom Partners GmbH
 
Digital Agility Studie 2017 by Bloom Partners (Deutsch)
Digital Agility Studie 2017 by Bloom Partners (Deutsch)Digital Agility Studie 2017 by Bloom Partners (Deutsch)
Digital Agility Studie 2017 by Bloom Partners (Deutsch)
Bloom Partners GmbH
 
Digital Agility Study 2017 by Bloom Partners (English)
Digital Agility Study 2017 by Bloom Partners (English)Digital Agility Study 2017 by Bloom Partners (English)
Digital Agility Study 2017 by Bloom Partners (English)
Bloom Partners GmbH
 
Food Trends in a Digital World
Food Trends in a Digital WorldFood Trends in a Digital World
Food Trends in a Digital World
Bloom Partners GmbH
 
Brand Building in a Digital World
Brand Building in a Digital WorldBrand Building in a Digital World
Brand Building in a Digital World
Bloom Partners GmbH
 
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue KommunikationDie digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
Bloom Partners GmbH
 
Brand Key Performance Indicators as a Force for Brand Equity Management
Brand Key Performance Indicators as a Force for Brand Equity ManagementBrand Key Performance Indicators as a Force for Brand Equity Management
Brand Key Performance Indicators as a Force for Brand Equity Management
Bloom Partners GmbH
 
Decoding Demand Opportunities
Decoding Demand OpportunitiesDecoding Demand Opportunities
Decoding Demand Opportunities
Bloom Partners GmbH
 
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
Bloom Partners GmbH
 
Can Old Media enhance New Media
Can Old Media enhance New MediaCan Old Media enhance New Media
Can Old Media enhance New Media
Bloom Partners GmbH
 
Next Level Digital - Growing consumer brands in a digital-first future
Next Level Digital - Growing consumer brands in a digital-first futureNext Level Digital - Growing consumer brands in a digital-first future
Next Level Digital - Growing consumer brands in a digital-first future
Bloom Partners GmbH
 
Digital Readiness - How well prepared are German brands for a digital future?
Digital Readiness - How well prepared are German brands for a digital future?Digital Readiness - How well prepared are German brands for a digital future?
Digital Readiness - How well prepared are German brands for a digital future?
Bloom Partners GmbH
 
Are You Ready For A Digital-First Future?
Are You Ready For A Digital-First Future?Are You Ready For A Digital-First Future?
Are You Ready For A Digital-First Future?
Bloom Partners GmbH
 
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
Bloom Partners GmbH
 
Building Brands in a (Post-) Social Digital World
Building Brands in a (Post-) Social Digital WorldBuilding Brands in a (Post-) Social Digital World
Building Brands in a (Post-) Social Digital World
Bloom Partners GmbH
 
Long Way to Mobile Revolution
Long Way to Mobile RevolutionLong Way to Mobile Revolution
Long Way to Mobile Revolution
Bloom Partners GmbH
 
Strategie und Architektur für Markenportfolios
Strategie und Architektur für MarkenportfoliosStrategie und Architektur für Markenportfolios
Strategie und Architektur für MarkenportfoliosBloom Partners GmbH
 
Goodbye and good luck Mr. Kotler
Goodbye and good luck Mr. KotlerGoodbye and good luck Mr. Kotler
Goodbye and good luck Mr. Kotler
Bloom Partners GmbH
 
Associative Networks
Associative NetworksAssociative Networks
Associative Networks
Bloom Partners GmbH
 

More from Bloom Partners GmbH (20)

Personalized Nutrition
Personalized NutritionPersonalized Nutrition
Personalized Nutrition
 
Digital Agility Studie 2017 by Bloom Partners (Deutsch)
Digital Agility Studie 2017 by Bloom Partners (Deutsch)Digital Agility Studie 2017 by Bloom Partners (Deutsch)
Digital Agility Studie 2017 by Bloom Partners (Deutsch)
 
Digital Agility Study 2017 by Bloom Partners (English)
Digital Agility Study 2017 by Bloom Partners (English)Digital Agility Study 2017 by Bloom Partners (English)
Digital Agility Study 2017 by Bloom Partners (English)
 
Agilität schlägt Strategie
Agilität schlägt StrategieAgilität schlägt Strategie
Agilität schlägt Strategie
 
Food Trends in a Digital World
Food Trends in a Digital WorldFood Trends in a Digital World
Food Trends in a Digital World
 
Brand Building in a Digital World
Brand Building in a Digital WorldBrand Building in a Digital World
Brand Building in a Digital World
 
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue KommunikationDie digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
Die digitale Revolution - Neue Geschäftsmodelle statt (nur) neue Kommunikation
 
Brand Key Performance Indicators as a Force for Brand Equity Management
Brand Key Performance Indicators as a Force for Brand Equity ManagementBrand Key Performance Indicators as a Force for Brand Equity Management
Brand Key Performance Indicators as a Force for Brand Equity Management
 
Decoding Demand Opportunities
Decoding Demand OpportunitiesDecoding Demand Opportunities
Decoding Demand Opportunities
 
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
Meine Marke, deine Marke, unsere Marke? Interactive Branding als Herausforder...
 
Can Old Media enhance New Media
Can Old Media enhance New MediaCan Old Media enhance New Media
Can Old Media enhance New Media
 
Next Level Digital - Growing consumer brands in a digital-first future
Next Level Digital - Growing consumer brands in a digital-first futureNext Level Digital - Growing consumer brands in a digital-first future
Next Level Digital - Growing consumer brands in a digital-first future
 
Digital Readiness - How well prepared are German brands for a digital future?
Digital Readiness - How well prepared are German brands for a digital future?Digital Readiness - How well prepared are German brands for a digital future?
Digital Readiness - How well prepared are German brands for a digital future?
 
Are You Ready For A Digital-First Future?
Are You Ready For A Digital-First Future?Are You Ready For A Digital-First Future?
Are You Ready For A Digital-First Future?
 
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
Prof. Dr. Christian Blümelhuber: Alles Digital oder was?
 
Building Brands in a (Post-) Social Digital World
Building Brands in a (Post-) Social Digital WorldBuilding Brands in a (Post-) Social Digital World
Building Brands in a (Post-) Social Digital World
 
Long Way to Mobile Revolution
Long Way to Mobile RevolutionLong Way to Mobile Revolution
Long Way to Mobile Revolution
 
Strategie und Architektur für Markenportfolios
Strategie und Architektur für MarkenportfoliosStrategie und Architektur für Markenportfolios
Strategie und Architektur für Markenportfolios
 
Goodbye and good luck Mr. Kotler
Goodbye and good luck Mr. KotlerGoodbye and good luck Mr. Kotler
Goodbye and good luck Mr. Kotler
 
Associative Networks
Associative NetworksAssociative Networks
Associative Networks
 

Recently uploaded

BeMetals Investor Presentation_June 1, 2024.pdf
BeMetals Investor Presentation_June 1, 2024.pdfBeMetals Investor Presentation_June 1, 2024.pdf
BeMetals Investor Presentation_June 1, 2024.pdf
DerekIwanaka1
 
Company Valuation webinar series - Tuesday, 4 June 2024
Company Valuation webinar series - Tuesday, 4 June 2024Company Valuation webinar series - Tuesday, 4 June 2024
Company Valuation webinar series - Tuesday, 4 June 2024
FelixPerez547899
 
ikea_woodgreen_petscharity_dog-alogue_digital.pdf
ikea_woodgreen_petscharity_dog-alogue_digital.pdfikea_woodgreen_petscharity_dog-alogue_digital.pdf
ikea_woodgreen_petscharity_dog-alogue_digital.pdf
agatadrynko
 
How MJ Global Leads the Packaging Industry.pdf
How MJ Global Leads the Packaging Industry.pdfHow MJ Global Leads the Packaging Industry.pdf
How MJ Global Leads the Packaging Industry.pdf
MJ Global
 
Structural Design Process: Step-by-Step Guide for Buildings
Structural Design Process: Step-by-Step Guide for BuildingsStructural Design Process: Step-by-Step Guide for Buildings
Structural Design Process: Step-by-Step Guide for Buildings
Chandresh Chudasama
 
Zodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
Zodiac Signs and Food Preferences_ What Your Sign Says About Your TasteZodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
Zodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
my Pandit
 
Business storytelling: key ingredients to a story
Business storytelling: key ingredients to a storyBusiness storytelling: key ingredients to a story
Business storytelling: key ingredients to a story
Alexandra Fulford
 
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s DholeraTata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
Avirahi City Dholera
 
Best practices for project execution and delivery
Best practices for project execution and deliveryBest practices for project execution and delivery
Best practices for project execution and delivery
CLIVE MINCHIN
 
ikea_woodgreen_petscharity_cat-alogue_digital.pdf
ikea_woodgreen_petscharity_cat-alogue_digital.pdfikea_woodgreen_petscharity_cat-alogue_digital.pdf
ikea_woodgreen_petscharity_cat-alogue_digital.pdf
agatadrynko
 
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta MatkaDpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
➒➌➎➏➑➐➋➑➐➐Dpboss Matka Guessing Satta Matka Kalyan Chart Indian Matka
 
Recruiting in the Digital Age: A Social Media Masterclass
Recruiting in the Digital Age: A Social Media MasterclassRecruiting in the Digital Age: A Social Media Masterclass
Recruiting in the Digital Age: A Social Media Masterclass
LuanWise
 
Understanding User Needs and Satisfying Them
Understanding User Needs and Satisfying ThemUnderstanding User Needs and Satisfying Them
Understanding User Needs and Satisfying Them
Aggregage
 
Mastering B2B Payments Webinar from BlueSnap
Mastering B2B Payments Webinar from BlueSnapMastering B2B Payments Webinar from BlueSnap
Mastering B2B Payments Webinar from BlueSnap
Norma Mushkat Gaffin
 
Building Your Employer Brand with Social Media
Building Your Employer Brand with Social MediaBuilding Your Employer Brand with Social Media
Building Your Employer Brand with Social Media
LuanWise
 
Organizational Change Leadership Agile Tour Geneve 2024
Organizational Change Leadership Agile Tour Geneve 2024Organizational Change Leadership Agile Tour Geneve 2024
Organizational Change Leadership Agile Tour Geneve 2024
Kirill Klimov
 
Observation Lab PowerPoint Assignment for TEM 431
Observation Lab PowerPoint Assignment for TEM 431Observation Lab PowerPoint Assignment for TEM 431
Observation Lab PowerPoint Assignment for TEM 431
ecamare2
 
2024-6-01-IMPACTSilver-Corp-Presentation.pdf
2024-6-01-IMPACTSilver-Corp-Presentation.pdf2024-6-01-IMPACTSilver-Corp-Presentation.pdf
2024-6-01-IMPACTSilver-Corp-Presentation.pdf
hartfordclub1
 
Creative Web Design Company in Singapore
Creative Web Design Company in SingaporeCreative Web Design Company in Singapore
Creative Web Design Company in Singapore
techboxsqauremedia
 
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel ChartSatta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
➒➌➎➏➑➐➋➑➐➐Dpboss Matka Guessing Satta Matka Kalyan Chart Indian Matka
 

Recently uploaded (20)

BeMetals Investor Presentation_June 1, 2024.pdf
BeMetals Investor Presentation_June 1, 2024.pdfBeMetals Investor Presentation_June 1, 2024.pdf
BeMetals Investor Presentation_June 1, 2024.pdf
 
Company Valuation webinar series - Tuesday, 4 June 2024
Company Valuation webinar series - Tuesday, 4 June 2024Company Valuation webinar series - Tuesday, 4 June 2024
Company Valuation webinar series - Tuesday, 4 June 2024
 
ikea_woodgreen_petscharity_dog-alogue_digital.pdf
ikea_woodgreen_petscharity_dog-alogue_digital.pdfikea_woodgreen_petscharity_dog-alogue_digital.pdf
ikea_woodgreen_petscharity_dog-alogue_digital.pdf
 
How MJ Global Leads the Packaging Industry.pdf
How MJ Global Leads the Packaging Industry.pdfHow MJ Global Leads the Packaging Industry.pdf
How MJ Global Leads the Packaging Industry.pdf
 
Structural Design Process: Step-by-Step Guide for Buildings
Structural Design Process: Step-by-Step Guide for BuildingsStructural Design Process: Step-by-Step Guide for Buildings
Structural Design Process: Step-by-Step Guide for Buildings
 
Zodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
Zodiac Signs and Food Preferences_ What Your Sign Says About Your TasteZodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
Zodiac Signs and Food Preferences_ What Your Sign Says About Your Taste
 
Business storytelling: key ingredients to a story
Business storytelling: key ingredients to a storyBusiness storytelling: key ingredients to a story
Business storytelling: key ingredients to a story
 
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s DholeraTata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s Dholera
 
Best practices for project execution and delivery
Best practices for project execution and deliveryBest practices for project execution and delivery
Best practices for project execution and delivery
 
ikea_woodgreen_petscharity_cat-alogue_digital.pdf
ikea_woodgreen_petscharity_cat-alogue_digital.pdfikea_woodgreen_petscharity_cat-alogue_digital.pdf
ikea_woodgreen_petscharity_cat-alogue_digital.pdf
 
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta MatkaDpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
Dpboss Matka Guessing Satta Matta Matka Kalyan Chart Satta Matka
 
Recruiting in the Digital Age: A Social Media Masterclass
Recruiting in the Digital Age: A Social Media MasterclassRecruiting in the Digital Age: A Social Media Masterclass
Recruiting in the Digital Age: A Social Media Masterclass
 
Understanding User Needs and Satisfying Them
Understanding User Needs and Satisfying ThemUnderstanding User Needs and Satisfying Them
Understanding User Needs and Satisfying Them
 
Mastering B2B Payments Webinar from BlueSnap
Mastering B2B Payments Webinar from BlueSnapMastering B2B Payments Webinar from BlueSnap
Mastering B2B Payments Webinar from BlueSnap
 
Building Your Employer Brand with Social Media
Building Your Employer Brand with Social MediaBuilding Your Employer Brand with Social Media
Building Your Employer Brand with Social Media
 
Organizational Change Leadership Agile Tour Geneve 2024
Organizational Change Leadership Agile Tour Geneve 2024Organizational Change Leadership Agile Tour Geneve 2024
Organizational Change Leadership Agile Tour Geneve 2024
 
Observation Lab PowerPoint Assignment for TEM 431
Observation Lab PowerPoint Assignment for TEM 431Observation Lab PowerPoint Assignment for TEM 431
Observation Lab PowerPoint Assignment for TEM 431
 
2024-6-01-IMPACTSilver-Corp-Presentation.pdf
2024-6-01-IMPACTSilver-Corp-Presentation.pdf2024-6-01-IMPACTSilver-Corp-Presentation.pdf
2024-6-01-IMPACTSilver-Corp-Presentation.pdf
 
Creative Web Design Company in Singapore
Creative Web Design Company in SingaporeCreative Web Design Company in Singapore
Creative Web Design Company in Singapore
 
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel ChartSatta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
Satta Matka Dpboss Matka Guessing Kalyan Chart Indian Matka Kalyan panel Chart
 

It's E-Commerce, stupid!

  • 1. Page 1 April 2020 IT‘S E-COMMERCE, STUPID! Cyclical and Structural Effects in Today‘s E-Commerce Landscape.
  • 2. Page 2 COVID-19 is making the future happen faster and is reshuffling the status quo. Online consumer spending is changing significantly: 88% sales increase in medicine, 56% in food and a 35% decrease in fashion in March 2020 y-o-y. The current cyclical development should be a wake- up call to companies that have neglected or deprioritized e-commerce in the past. Key effects in e-commerce show, that organizations will miss out on significant revenue if they do not get on the moving train soon. CONTEXT RESHUFFLED E-COMMERCE
  • 3. Page 3 2019 2020 2021 2022 2023 2024 dia Food & Personal Care Furniture & Appliances Toys, Hobby & DIY Sources: Market development: Statista Digital Market Outlook E-Commerce in Germany, CAGR & ARPU for 2020 – 2024); Dependency: DHL & IFH Köln 2017, Onlinehändler im Spannungsfeld von Wachstum und Marktkonzentration; IFH Köln 2018: Amazonisierung des Konsums; Digital Marketing: mawave Performance marketing agency, based on client data Why getting more out of your e-commerce now? Apart from current cyclical effects due to Covid-19, e- commerce in Germany is expected to continue growing with a 9% CAGR (2020- 2024). Most organizations strongly depend on the big digital platforms with amazon generating 46% of their revenues. However, high price pressure requires to rethink the online channels set-up. Due to the Covid-19 pandemic we see significant price drops in digital marketing, e.g. CPC on Facebook declining by 58%, which enable new opportunities to boost sales. EFFECTS IN E-COMMERCE TIME TO GET STARTEDExpected CAGR + 9% Expected ARPU + 7% Revenue via Amazon 46% Feeling dependent 33% Change CPM -38% Change CPC -58 % STEADY STRUCTURAL GROWTH OF E-COMMERCE IN GERMANY STRONG DEPENDENCY ON DIGITAL BIG PLAYERS (E.G. AMAZON) DRASTIC PRICE DROP IN DIGITAL MARKETING Change 20.02 – 20.03.2020 based on performance of over 100 Facebook campaigns
  • 4. Page 4 Consumer Electronics Structural low2 Cyclical negative1 Food Accessories & Jewelry Shoes Clothing Furniture & Household goods Household appliances Toys Books, Movies, Music & more Hobby & Stationary DIY, Gardening & Animal need Electronics & Media FashionToys & DIY Furniture & Household Nutrition & Health While Consumer Electronics, Media and Household Appliances suffer in short term but are expected to keep growing in the long run, COVID-19 will accelerate the long-term growth for Food/Nutrition and medical products. Medication Structural high2 1Influence of Corona crisis represented by sales change March 2019 vs. March 2020 2Long-term growth of various industries represented by CAGR 2020-2024 for Germany Sources: Statista Digital Market Outlook E-Commerce in Germany, CAGR for 2020 – 2024; BEVH, April 2020 Comparing the long-term structural growth of various e-commerce industries, with the cyclical short-term impact of the Corona crisis INSIGHTS STRUCTURAL AND CYCLICAL IMPACT Color coding product groups: + 88% - 52% 3% 10% Structural (CAGR) Cyclical (change March 2020 y-o-y) Cyclical positive1 - 4%
  • 5. Page 5 THE BLOOM PARTNERS E-COMMERCE TOOLKIT RESULTS: REVENUE POTENTIAL AND IMPLEMENTATION ROADMAP BOOSTING EXISTING CHANNELS IDENTIFYING NEW CHANNELS OPTIMIZING DIGITAL MARKETING UNDERSTANDING MARKET & CONSUMER TRENDS Faced with cyclical effects impacting structural growth, it is key for companies to face essential questions in order to identify and leverage their individual e-commerce potential: • What are the specific market and customer trends? • What sales increase is possible in existing channels, including product adaptations or development? • On which additional channels can and should our products be offered? • How can we increase our sales by optimizing digital marketing? Utilizing our E-Commerce Toolkit, we model our clients‘ e- commerce potential along individual uplift-levers while recognizing short- and long-term effects and translate the insights into an implementation roadmap.
  • 6. Page 6 CONTEXT • FMCG client confronted with the challenge to forecast the expected revenue by 2025 via B2B2C e-commerce • After recent acquisitions, potential synergies have not yet been successfully leveraged • Increasingly under pricing pressure from one of the key channels Amazon APPROACH & IMPLEMENTATION • Developing an Excel-based potential model including developing three revenue scenarios (High, Medium, Low) for the client’s B2B2C e- commerce in 2025 based on identified growth levers • Special consideration of company- and product-specific uplifts and downsides • Deep-dive into uplift effects by optimizing product content • Preparing key results as slide deck for internal communication RESULTS Modeled revenue uplift by 2025, three scenarios: • Excel model shows specific implementation measures to achieve the revenue forecast within the defined levers, while considering different degrees of impact over the years • Presentation of results displays approach and scenarios including individual impact of the growth levers Market & segment development For a client in the FMCG sector, Bloom Partners analyzed and modeled five levers to increase sales and developed three revenue scenarios for 2025. REFERENCE CASE UTILIZING THE E-COMMERCE TOOLKIT FOR FMCG-CLIENT Scenario 3: „High“ + 310% Scenario 2: „Medium“ + 205% Scenario 1: „Low“ + 135 % Boosting existing channels Identifying new channels Optimizing digital marketing Optimizing product content REVENUE-UPLIFT INDIVIDUAL LEVERS (SCENARIO „MEDIUM“) + 14% + 39% + 10% + 29% + 59% e.g. by product bundling, extension of current product portfolio Industry-specific, -related and -unrelated channels (e.g. Westwing or Christ) e.g. by optimizing target groups and CTAs, content synergies e.g. optimization of PDPs and SEO, product images and videos
  • 7. Page 7 DR. MARKUS PFEIFFER CEO TELEFON MOBILE E-MAIL ADRESSE +49 89 124 1395 0 +49 151 16761580 mpfeiffer@bloom-partners.com Prannerstr. 11, 80333 München GET IN TOUCH HEIKE POLEY Senior Consultant MOBILE E-MAIL ADRESSE +49 151 100 151 82 hpoley@bloom-partners.com Prannerstr. 11, 80333 München