Ariba Commerce Summit 2012: Growing Your B2B Business

Ariba Commerce Summit 2012: Growing Your B2B Business

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  Ariba Discovery – Growing Your B2B Business Commerce Summit, Boston, October 2, 2012 Moderated by Chris Wang, Director of Marketing The Ariba Commerce Summit Event Series is Proudly Sponsored by:
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  Agenda • What Is Ariba Discovery? • Panel Introduction • Best Practice Sharing • Summary • Q&A 2 © 2012 Ariba, Inc. All rights reserved.
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  What Is AribaDiscovery? • The premier service for matching business buyers and sellers globally  Over 730K buyers and sellers  More than 20K categories  Over 190 countries  Innovative matching engine  Advanced collaboration capabilities  Rich seller profiles and lead management tools  Over $5B USD in business opportunities  More than 30K green and diverse sellers 3 © 2012 Ariba, Inc. All rights reserved.
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  More Value forBuyers and Sellers BUYER VALUE SELLER VALUE • Achieve incremental savings of 15% • Tap into over $5B 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 sellers 4 © 2012 Ariba, Inc. All rights reserved.
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  Introducing Our Panel Jim Ambrose Sr. Sourcing Manager .d Kristopher Hart Sales Account Manager 5 © 2012 Ariba, Inc. All rights reserved.
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  TopSource Overview • Wholly owned subsidiary of Topco Associates LLC • Topco provides for-resale and TopSource not-for- resale (NFR) spend management • For 65 years, Topco has leveraged the scale with its members in procurement to lower product costs  Members/customers represent over $150 billion in retail sales  Member network includes grocery retailers, wholesalers, food manufacturers, food services providers, convenience stores, drug stores and other retail businesses  In addition to the membership, TopSource provides strategic sourcing services to a growing customer base 6 © 2012 Ariba, Inc. All rights reserved.
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  TopSource Overview  Retail and Distribution Strategic Sourcing Professionals  Broad NFR Scope: 11 Categories and 500+ commodities NFR Spend  Sourcing Leverage: almost $10 billion in potential spend Management  Proven Approach to NFR Spend – Structured Process  TopFuel added in 2009 – Fuel Sourcing  Dedicated eAuctions team (NFR and For-Resale)  Robust automated online auction capability eSourcing Center  Mature process and capabilities of Excellence  Experience across multiple commodities – 3000+ markets and over $3.2 billion auctioned  Managing Enabling Technologies (eSourcing, Supplier Management, and Contract Management) 7 © 2012 Ariba, Inc. All rights reserved.
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  TopSource Overview  xx Contract Supplier Sourcing Auction Management Management  Issue RFx and  Negotiate  Standardize  Measure collect responses price contract creation supplier performance  Store profile  Maximize  Store all contract information competition related documents  Drive continuous  Create category  Increase  Generate improvement specific templates speed to notifications to savings buyers and teams  Monitor  Drive process supplier adoption  Consider  Provide robust financials alternative search and price scenarios reporting  Manage price changes 8 © 2012 Ariba, Inc. All rights reserved.
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  TopSource’s Challenges • Category sourcing leads must leverage all available tools to develop and maintain category expertise • We see Discovery as a tool to overcome some common challenges across categories  Building a supplier database for newly sourced commodities/services  Cultivating sources supply/services from lesser known regional providers  Opportunity to ensure our supplier database is current, or potentially introduce a new source, for mature products/services 9 © 2012 Ariba, Inc. All rights reserved.
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  TopSource & AribaDiscovery • Created a posting for consumer grade BBQ Grills  Received 5 responses, suppliers currently under review  Presented with a variety of channels to pursue: Manufacturers, Distributors, Retailers • Created a posting for Private Label Vinegars  Received 3 responses, one will be considered for events • Created a posting for Hispanic Candles  Regional supplier invited to RFP, increasing potential supply base • Learnings from other postings  Deer Corn, Wood Pallets, Motor Oil, AP Audit 10 © 2012 Ariba, Inc. All rights reserved.
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  TopSource & AribaDiscovery • Learnings  Timing – If a posting is too late in the process there may not be enough time to qualify new suppliers found on Discovery  The more information included in postings, the better the results – Select all relevant commodities and sales territories – Detailed specifications on the services/goods required – Estimated quantities – Timing and location of delivery – Certifications (e.g. green, quality, diversity) and experience – Information that the supplier should include in their response – Your intention (evaluating or buying) – Add attachments 11 © 2012 Ariba, Inc. All rights reserved.
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  TopSource & AribaDiscovery • Learnings – continued  Your profile – Share your company information and keep your profile up-to-date – Establish a landing page that consolidates all of your postings – Decide when to disclose your personal identity, share your name and contact details only with selected suppliers who responded  Dialogue – Keep posts open for at least 10 days to give sellers time to respond – Answer questions using the Q&A feature to receive only the best, most relevant responses – Respond to all suppliers to provide feedback and build a reputation as a good buyer to work with 12 © 2012 Ariba, Inc. All rights reserved.
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  TopSource & AribaDiscovery • Next steps  Review 2013 sourcing plan and target projects for Discovery postings  Initiate Discovery postings in the quarter prior to launching sourcing engagements  New suppliers found through Discovery to be vetted during RF(x) process, including product testing when necessary  Follow guidelines on how to create successful postings 13 © 2012 Ariba, Inc. All rights reserved.
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  LLT Overview • Has been providing labels, printers, mobile computers, and more for more than 15 years  Went to market by printing 1,000,000 catalogs each year  A Bemis Company $12  Stow, OH $11  11M+ $10  13 Employees $9  BBB Accredited $8 2009 2010 2011 *2012 14 © 2012 Ariba, Inc. All rights reserved.
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  LLT’s Challenges • Connecting with new buyers effectively  High cost and declining response rates for direct marketing activities involving list purchases, cold calls, and catalogs  Difficulty competing with larger office suppliers with higher brand awareness and nationwide retail presence  Hard time getting a foot in the door with large buying organizations that have corporate purchasing programs 15 © 2012 Ariba, Inc. All rights reserved.
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  LLT & AribaDiscovery • Using the Ariba Discovery™ service to easily discover new leads and connect with Global 2000 companies  Signed up for the Advantage Plus package to respond to unlimited buyer postings and eIntros at no additional cost • Results  Responded to an RFP by a popular national retailer  Won two-year contract for $400,000 in business – much larger and longer contract than initially published  Got shortlisted and started relationships with two large buyers  Generated better return on investment (ROI) than any other marketing channel used, considerably reducing time and 16 cost for lead generation and new customer acquisition © 2012 Ariba, Inc. All rights reserved.
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  Questions? 17 © 2012 Ariba, Inc. All rights reserved.
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  Maximize Your Impactas a Buyer • Easy seller identification  For any occasion, including spot sourcing, entering a new market, or meeting diversity program requirements • Quick seller vetting  Access relevant details to screen sellers and manage risks • Integrated approach  Contact sellers directly to learn more  Upload sellers to sourcing database  Invite sellers to postings and events 18 © 2012 Ariba, Inc. All rights reserved.
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  Maximize Your Impactas a Seller • The Top 5 things to do to leverage your company 1. Update your profile and contact details 2. Get the commodities and territories right 3. Provide customized responses 4. Invite more references 5. Network with buyers 19 © 2012 Ariba, Inc. All rights reserved.
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  Thank You! 20 © 2012 Ariba, Inc. All rights reserved.