E-commerce sales surging
A recent report by Forrester has revealed that global B2B e-commerce sales are expected to rise to more than $1trn by 2020 from $780bn this year and account for 12% of all B2B sales.
As more businesses in the Middle East are shifting their purchasing preferences, there is need for organisations to keep up or they put themselves at risk. Online transactions have become easier than ever before and companies are leveraging the power of the Internet to their advantage and conduct business more efficiently.
In fact, global B2B e-commerce sales are expected to rise to more than $1trn by 2020 from $780bn this year and account for 12% of all B2B sales, according to a recent report by Forrester. This represents a solid 8% compound annual growth rate over the next five years.
There are a few factors driving this growth and today’s businesses need to adjust their models to accommodate or be at a competitive disadvantage. The simple truth is that businesses and consumers both are getting more comfortable with online purchasing, despite all the concerns about the rise in security breaches.
Right now, 74% of buyers in an organisation research at least half of their work purchases online, according to Forrester. Take that time and research and add the known cost savings and ease of use of self-service e-commerce, and the result is more offline business will move online, Forrester suggested.
The report is pertinent to the regional channels as most retailers and resellers have moved to embrace omni-channel business strategies comprising offline stores, e-commerce and e-tailer models.
As consumers grow more comfortable with online purchasing, they bring those behaviours to the workplace. Firms saw the same thing happen with mobile computing. Employees wanted the same access to information they were getting outside the workplace on the same devices, so organisations had to change.
B2B buyers are now expecting B2C-like customer experiences online, and they’re growing increasingly impatient with B2B sellers that don’t provide it. As a result, organisations must build their digital business quickly or they will lose market share to online competitors.