The document discusses a strategic plan for migrating customers to online ordering through ProMed's website. It identifies 6 target customer segments and outlines strategies, goals, and tactics for each segment based on their current level of online ordering. The segments range from new customers with no web use to existing customers who conduct 75% or more of their orders online already. The overall goal is to increase online ordering and reduce costs while providing customers with a better experience.
2. Web Migration Task Force TeamWeb Migration Task Force Team
• Robert Sieger: IT
• Ed Wisniowski: Website
• Dena Trudeau: Customer Service
• Teresa Bailey: Marketing
• Alan Ferry: GM/Sales
• Al Wiggs: Sales
3. Business/Marketing ObjectivesBusiness/Marketing Objectives
• Increase the profitability of ProMed via migration
of customers to the web touch point.
Web migration will:
1. Reduce the customer cost to serve
2. Allow for proactive cross/up-sells and
personalized retention opportunities that are not
available via fax and other channels
4. Situation AnalysisSituation Analysis
Challenges
• Site stability/ease of use
• Customer experience/high
expectations
• Not a “top” priority
• Will require battle for reps
attention
• No sale incentive
Opportunities
• Stabilization enhancements
• ProMed tools facilitate
better targeting/analysis of
customer behavior
• Customers will benefit from
“full” ProMed experience
5. Situation AnalysisSituation Analysis
Assumptions (planning milestones)
• Web Database Separation – Done
• Stock/Non-Stock Separation – Done
• Role Management – Done
• ProMed e-mail marketing – Available
• Web campaigns available – Available
• “Dashboards” launch – Done
• Updated Role Management – Launched 7/26
7. Strategy DevelopmentStrategy Development
Rationale
• Limited resources
• Headquarters strategy required (limited
field sales share of mind)
• Right tools are in place (Splendid CRM,
SharePoint Services, Promedsupply.com)
• Require tactics tailored to the customer
experience
8. Strategic ComponentsStrategic Components
The Web Migration strategy has been broken down into the
following strategic migration components focused on the
Current Market Segment:
1. New Accounts/New Business
2. Existing customers with:
• 2a. Current E-Commerce sales greater than 75%
• 2b. Current E-Commerce sales between 25% an 75%
3. Existing customers with no E-Commerce sales
9. Strategic Components OverviewStrategic Components Overview
Totals: 1,144 $7,362,502.16 42,154,031.30
55.86%
E-Commerce Sales between 76% & 100%: 66 $3,775,095.47 $4,508,870.01 83.73%
E-Commerce Sales between 26% & 75%: 86 $3,201,372.18 $5,730,995.12
0.00%
E-Commerce Sales between 1% & 25%: 97 $386,034.51 $8,281,240.43 4.66%
No E-Commerce Sales: 895 $0.00 $23,632,925.74
Count of
Customers
E-Commerce
Revenue
Total
Revenue
E-Commerce
% of Total
10. Customer Segmentation StrategyCustomer Segmentation Strategy
Strategic FocusStrategic Focus
#1. New Accounts/No Web Use
#2. Existing Customers/ Partial Web Use
#3. Existing Customers/ No Web Use
11. Segment #1 - New AccountsSegment #1 - New Accounts
Strategy: Utilize ProMed Sales data to
target new business in specific locations
and Zip codes - AND provide the field with
new training and sales tools to sell the
benefits of online ordering.
12. Segment #1 – New AccountsSegment #1 – New Accounts
Targets and Goals
2008
Total E-Commerce Revenue
$386,034.51
Total E-Commerce Sales %
5%
(based upon adjusted annualized 2008
“new account” revenue)
2009
Total E-Commerce Revenue
$xxMM
Total E-Commerce Sales %
xx%
13. SegmentSegment #1 – New Accounts#1 – New Accounts
Tactics
• Education – Focus on training for the field to allow for
confident and consistent communication of the ProMed
message to new accounts/prospects (up-to-date knowledge of
new functionality)
• Communication – Consistent reporting to the field on site
stability and performance through the use of new monitoring
tools (NE/Dell EverDream)
• Sales Tools - Create new tools (sales collateral, CD-Rom
Demo) for reps to use with new accounts/bid process that
emphasize benefits and ease
14. Segment #2a – Existing Customers
With E-commerce Sales
Greater Than 75%
Strategy: Develop “best customer”
profiles to apply to other strategic
segments from this customer group -
AND - focus marketing programs on
retention and communication of new
functionality.
15. Segment #2a – Existing Customers/Segment #2a – Existing Customers/
E-commerce Sales Greater ThanE-commerce Sales Greater Than
75%75%
Targets and Goals
2008
Total E-Commerce Revenue
$3,775,095.47
Total E-Commerce Sales %
83%
2009
Total E-Commerce Revenue
$xxMM
Total E-Commerce Sales %
xx%
16. Segment #2a – Existing Customers/Segment #2a – Existing Customers/
E-commerce Sales Greater ThanE-commerce Sales Greater Than
75%75%
Tactics
• Retention - focus on retention programs
leveraging Splendid CRM, Web Campaigns and
email
• Customer Profiling - develop and analyze
characteristics of this “super user group” to
overlay on new accounts/new business and
existing customers
17. Segment #2b – Existing CustomersSegment #2b – Existing Customers
With E-commerce Sales BetweenWith E-commerce Sales Between
25% and 75%25% and 75%
Strategy: Using “best customer” profile
information - target locations, Zip codes and
specific customers to launch channel
migration campaigns - primarily through
Splendid CRM, and Email.
18. Segment #2b – Existing Customers WithSegment #2b – Existing Customers With
E-commerce Sales Between 25% andE-commerce Sales Between 25% and
75%75%
Targets and Goals
2008
Total E-Commerce Revenue
$3,201,372.18
Total E-Commerce Sales %
56%
2009
Total E-Commerce Revenue
$xxMM
Total E-Commerce Sales %
xx%
19. Segment 2b – Existing Customers WithSegment 2b – Existing Customers With
E-Commerce Sales Between 25% and 75%E-Commerce Sales Between 25% and 75%
Tactics
• ProMed programs - leverage Splendid CRM,
Web Campaigns and email to “pull”
customers onto the web - focus on
headquarter marketing efforts with limited
field involvement
• All touchpoints - Utilize all touchpoints to
drive traffic to the web - phone, fax, field, web
and direct mail campaigns with
focused/exclusive messages
20. Segment #3 – Existing CustomersSegment #3 – Existing Customers
With No E-Commerce SalesWith No E-Commerce Sales
Strategy: Use ProMed data and best
customer profile information to develop
concise target lists for the field - AND -
use new sales tools to sell the benefits of
online ordering.
21. Segment #3 – Existing Customers/Segment #3 – Existing Customers/
No E-CommerceNo E-Commerce
SalesSales
Targets and Goals
2008
Total E-Commerce Revenue
$0M
Total E-Commerce Sales %
0%
2009
Total E-Commerce Revenue
$xxMM
Total E-Commerce Sales %
xx%
22. Segment #3 – Existing Customers/Segment #3 – Existing Customers/
NO Web SalesNO Web Sales
Tactics
• Customer/location profiling - use “super user group”
profiles to target specific locations, Zip codes, to establish
pilot locations for migration plan; discover “keys to
success” for top selling locations and share with “under-
performing locations”
• Tools - develop migration “tool kit” for the pilot locations
that will include a list of priority customers with
appropriate data, promedsupply.com demo CD, brochure