As the measuring of Information Technology evolves towards a more integrated ecosystem of applications and infrastructures, more players enter the scene. The purchasing decision is made more on the basis of the added value, price and convenience over that of performance and characteristics.
The added value provided by IT retailers and distributors is demonstrated from the moment they act, not only as distributors but also when implementing, providing support and the service. Competition in the world of IT distribution is fierce. Each margin point is more difficult to obtain and sources of income have diversified, reducing those based on product sales and the emergence of payment for use, platforms such as the marketplace or IPR (intellectual property)… so it is necessary to have the agility to evolve to the pace of this new landscape and have the ability to capture revenue from these new sources, reducing costs and improving efficiency, while maintaining relationships and consolidating the business.
It’s digitalisation through real-time information that facilitates this transition. It increases operational efficiency beyond traditional processes and allows full visibility of the business. ERP systems automate and integrate the main business processes, such as order picking, billing, operations planning, inventory management and financial data, optimising the business, increasing visibility and eliminating unnecessary costs. And today more than ever, the IT distribution channel needs to increase profitability, obtaining higher margins at a lower cost.
NetSuite ERP integrates sales, operations and financial functions while incorporating BI (business intelligence), marketing and eCommerce as an added value proposition.
ADVANTAGES OF NETSUITE FOR B2B AND B2C
Logical and intuitive control panels give our retail customers and IT distributors the ability to manage all these functions which, combined with the speed and accuracy of digital platforms, provide a competitive advantage in real time from the transactional point of view to the digital management and customer relations, not only maintaining contact details, but also keeping track of all interactions and managing their accounts.
Speaking of profitability, NetSuite’s new capabilities allow IT retailers who use this software to be ahead of their competitors. During SuiteWorld2018, we were excited to hear that the always up to date NetSuite will incorporate new features that will allow the IT distribution channel to take advantage of the new sources of income mentioned above:
In addition to the automation of subscription billing, which it already has, it will incorporate 4 new billing models:
Trial price – based on weekly / monthly periods or based on the launch of a new service
Access price – similar to the previous one but aimed at new customers and for longer periods. For example, when contracting hosting services, the price promoted in the first year is usually offered.
Ramp price – variable based on certain factors, common in energy companies, for example.
Price per use / contracted services – based on usage. The price may increase or decrease depending on the product(s) or service(s) contracted.
And furthermore, the incorporation of A / B tests to billing and the possibility of switching between different types of subscriptions, providing IT retailers and general service companies with greater flexibility when setting the most appropriate form of billing.
NetSuite ERP is a secure transactional environment based in the cloud that facilitates the distribution and visibility of margins, operating in business-to-business (B2B) environments like a business-to-client (B2C):
- Improving the customer experience and satisfaction,
- Providing the product with the highest perceived value,
- Allowing informed decision making,
- Increasing operational efficiency,
- Positioning the company as a digital innovator,
- Achieving greater profitability,
- Training to manage B2B, B2C and B2B2C including direct shipping,
- Making it possible to sell (directly or through distributors) software, hardware and solutions,
- Ensuring margin protection,
- Supporting credit control,
- Providing management of the installation and support in the field,
- Managing indefinite or temporary contracts.
ADVANTAGES OF NETSUITE FOR THE SOFTWARE INDUSTRY
The great advantage of NetSuite is that it offers packages to manage all branches of the business and can be customised specifically for your IT business. SuiteCommerce gives visibility of margins and distribution, both in B2C and in B2B (not public). And since everything is based on the same platform, it does not require integrations, saving costs while ensuring a constant flow of consolidated information for all areas of company management. Even so, if you want to continue using a specific tool that you do not want to do without, our certified developers can integrate it through APIs, so that the connection is fluid and guaranteeing information flows as if it were the same tool.
Given that we ourselves are a service company and IT retailer, with multiple clients in the sector, we have a very clear perspective of the needs and challenges that have to be faced. Coping with the constant and complex tax changes and the need to have visibility of the company in real time, it becomes a necessity to have systems configured specifically for the sector.
Contact one of our consultants to find out how we can help you optimise and grow your business.