In today’s world, retailers don’t just need to meet consumer supply expectations — they also need to show they’re flexible and proactive! Whether retailers need to deal with technical characteristics, service level, or product quality and pricing, client experience must be optimized. By working on collaborative platforms, such as supplier portal, they are sure to improve sales. In this article, you’ll find seven reasons why.
A more detailed product presentation
Contacting providers on a supplier portal is as easy as it gets. Whether you are seeking detailed product presentations (dimensions, weight, specific characteristics), additional information on production conditions, or ethical and environmental choices, data is centralized in one place and can help enrich your catalogue presentation.
Descriptions are acquired centrally and can be directly displayed on an e-commerce site, a true boon for sales. Before making a purchase, consumers want to compare and do their research. List the manufacturing conditions of olive oil or the weight of a bicycle. Describe the environmental standards a shampoo complies with, or indicate the exact dimensions of a package. There is no such thing as too much information in sales.
Provisions steered by the supplier
Since suppliers know the ins and outs of their products and the quantities they can sell according to distribution location and period, the provider can take control of client provisions in store or in the warehouse, all from a collaborative solution. Take for instance sunscreen suppliers: They are the best suited to adjust stock according to quantities sold over the past few years in a given period, for a given location.
It’s the principle of vendor management inventory (or VMI), which helps reduce stock shortages and drives increases in sales.
Enhanced visibility of available stock
Suppliers who adhere to a collaborative approach can communicate information on inventory directly to a distributor. That way, distributors are aware of which products are available, and can guarantee a distribution volume. On an e-commerce website, they can also increment their stock to include inventory available at the supplier’s location, thus avoiding stock shortages.
Information exchanges about stock available at the distributor and provider locations are possible on collaborative systems known as Order Management System (OMS).
Improved management during heavy sales periods
Sales periods make up a significant portion of distributor revenue. Most stock shortages and lost sales are also recorded when sales activity is at a high.
During these strategic periods, a supplier portal prevents mishaps by letting distributors and providers follow operations closely and avoid shortage of goods. Restocking can also be managed swiftly — several times a day if necessary — so that products are not missing in the aisle.
A more varied product catalogue
The quantity of products for sale tends to increase exponentially as e-commerce takes off. The reason for this is that consumers require an ever more varied product catalogue. This raises a problem: it becomes difficult to handle several thousand references on one’s own. In this context, it is much more relevant to work on a marketplace. Via provider collaboration, distributors can offer a wider selection of references to customers.
More customer services with a supplier portal
Associating suppliers with logistics operation management makes it possible to offer better quality delivery and transport services to customers. This technique has existed for some time in the remote sales sector.
Take for example heavy goods: A distributor with a 24-hour delivery service will more easily sell large appliances than a competitor who asks the customer to pick up the merchandise from a warehouse. This practice increases the level of distributor sales, but it requires a tight-knit relationship with the provider, often in charge of delivery.
Information in exchange for a price reduction
A collaborative platform also lets distributors profit from information about their providers. Sale history and forecasts provided by the software help providers adjust their production and ensure an adequate stock level. If distributors detect areas where costs can be improved, they can give the information to suppliers and negotiate a price reduction in exchange. The strategy is particularly useful for sales, as it enables merchants to obtain products for their customers at a lower price.
With a digital collaboration platform, products sold by distributors can be monitored in real-time and delivered more quickly. They can also be better documented, combined with services like delivery, and proposed at a reduced rate. That’s great news for retailers, who face stiff competition. It still remains, however, to choose the supplier portal best adapted to their needs. Contact Generix Group to undertake a collaborative approach on a cutting edge platform!
Learn more about the Generix Group Supplier Portal offer