World e-Com Blog|EN

83% of B2B companies will increase their budget for digitalization

At least 83% of them will increase their budget to invest in digital business strategies. In doing so, they hope to tap into new revenue streams.

These findings follow from a survey report commissioned by Intershop and Evident by Copperberg among more than 50 European B2B manufacturers with at least €250 million in sales. B2B manufacturers are willing to invest in digitalization. According to 41% of respondents, this is due to the need to expand and develop new sources of revenue.

'41% of respondents need to expand and develop new sources of revenue.

Manufacturers also feel the need to create new business models (24 percent) due to the global shift to digital solutions. In addition, 19 percent want to improve productivity, revenue or reduce costs by implementing digital tools.

Investing in digitalization.

That these B2B companies are willing to invest in digitalization is evident when looking at their budget for investing in digital business strategies. At least 83 percent of manufacturers will increase their budget to 20 percent this year. A smaller group will keep their budget the same as last year (15 percent), and 2 percent of manufacturers will cut their budget from 1 to 20 percent.

'Twenty-four percent of B2B manufacturers want to become market leaders through their digital business strategies.

At least 71 percent of respondents said their organizations intend to go digital in 2022. Of that group, 24 percent want to become market leaders through their digital business strategies.Digitalization of b2b manufacturer

Digital Maturity.

Most leading organizations have the level of digital maturity needed to achieve these goals. At least 44 percent believe their digital tools are on par with their competitors, 31 percent are already ahead, and 2 percent say they are far ahead.

'Manufacturers need to invest in technology to optimize the B2B customer experience.

"The responses underscore that manufacturers need to invest in appropriate technology and build human resources to further optimize the B2B customer experience and long-term global competition," emphasizes Lisa Hellquist, managing director of Copperberg.

Common e-commerce solutions.

Manufacturers are already using solutions to digitize their company. Currently, 58 percent of respondents are using e-commerce solutions. A frequently used tool is electronic data sharing (59 percent of respondents), and digital marketing tools are also frequently used to attract new customers and increase sales (59 percent).

To improve their digital strategy, the majority of respondents indicate that they consider tools aimed at simplifying the sales process for the organization and its customers. Configuration-pricing (CPQ) systems for selling complex products and digital customer portals with self-service features are solutions that many companies are considering (both 36 percent). Data platforms were also frequently cited (37 percent) as a solution to help make the online sales process more personalized and data-driven.

'Information needs to be streamlined and transparent, the catalyst for which is e-commerce.

"As customer buying preferences shift toward outcomes rather than products, service is becoming a critical component of businesses' revenue model. The customer will look for information online and expect inventory and parts to be fully available; information needs to be streamlined and transparent, the catalyst for which is e-commerce," Copperberg's Lisa Hellquist said in the report.

|Our original article is available here.