Suchit Bachalli, CEO of Unilog, Wayne, PA Suchit Bachalli, CEO of Unilog, Wayne, PA

WAYNE, PA—Distributors and wholesalers overwhelmingly regard Amazon Business as their biggest threat, dwarfing other concerns. That's one of the findings in a survey conducted by Unilog, a Wayne, PA-Based global technology company that delivers eCommerce solutions for the B2B marketplace. Unilog surveyed 244 manufacturers, distributors and wholesalers.

Surprisingly, 52% of those same survey respondents admit they don't have a strategy for competing with Amazon Business. And 43% of manufacturers surveyed said they sell direct on Amazon Business, often bypassing their traditional distribution channel.

The survey spotlighted challenges the respondents face in eCommerce. Notably, more than half of respondents said it took them more than nine months to go live with an eCommerce site.


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“Perhaps the number-one reason that so many B2B companies are unhappy with the time it takes to launch their eCommerce site is that they're trying to achieve too much in one Big Bang moment,” says Brian Lombardo, Unilog's vice president of solution delivery. “We recommend launching a new site in a rapid time frame and then evolving site capabilities and design over the years. You have to take a crawl, walk, run approach. It's important to get your new site live as quickly as possible to recognize the business benefits.”

Among other survey results, Unilog found that:

  • Nearly 80% of distributors said their eCommerce channel sales have grown over the past 24 months, while just 20% have seen stagnant or slowly decreasing sales
  • 44% of respondents claim that 20% or more of their revenue comes from online sales (not including EDI)
  • 37% of distributors are focused on converting traditional buyers to online customers, 31% are concentrating on generating incremental revenue online — and 22% of distributors – 1 in 5 – say they don't have a good eCommerce strategy

“To fend off Amazon, B2B companies should focus more energy on product content,” says Unilog CEO Suchit Bachalli. “Better product content drives more eCommerce. That could mean the basics, such as cleaner product descriptions and specs, standardization of naming conventions, and crisp photos taken from various angles. It could also mean diagrams, videos, companion product information, and other useful content to help the buyer make an informed decision. The most successful distributors find ways to share their expertise online.”

 

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Steve Lubetkin

Steve Lubetkin is the New Jersey and Philadelphia editor for GlobeSt.com. He is currently filling in covering Chicago and Midwest markets until a new permanent editor is named. He previously filled in covering Atlanta. Steve’s journalism background includes print and broadcast reporting for NJ news organizations. His audio and video work for GlobeSt.com has been honored by the Garden State Journalists Association, and he has also been recognized for video by the New Jersey Chapter of the Society of Professional Journalists. He has produced audio podcasts on CRE topics for the NAR Commercial Division and the CCIM Institute. Steve has also served (from August 2017 to March 2018) as national broadcast news correspondent for CEOReport.com, a news website focused on practical advice for senior executives in small- and medium-sized companies. Steve also reports on-camera and covers conferences for NJSpotlight.com, a public policy news coverage website focused on New Jersey government and industry; and for clients of StateBroadcastNews.com, a division of The Lubetkin Media Companies LLC. Steve has been the computer columnist for the Jewish Community Voice of Southern New Jersey, since 1996. Steve is co-author, with Toronto-based podcasting pioneer Donna Papacosta, of the book, The Business of Podcasting: How to Take Your Podcasting Passion from the Personal to the Professional. You can email Steve at [email protected].