E-commerce a vital function for distributors, survey says | Experts: Distributors need transparency, momentum | Southern Calif. ports see cargo drop as companies shift
Distributors responding to Industrial Distribution's first Survey of E-Commerce Operations say that e-commerce has become essential to compete, reach customers and add products, but it largely hasn't affected pricing strategies or the size of sales departments. Grainger and Fastenal both saw significant e-commerce sales growth this year, and Grainger CEO D.G. Macpherson expects the company's Zoro offering to keep growing in size and profitability.
Distributors that want to succeed in 2023 should pursue "forward momentum," which requires risk-taking, innovation and investment, said Mike Marks, founding partner at Indian River Consulting Group. "I think distributors that are going to be able to create transparency -- whether more so with their suppliers or with their customers -- are the ones who are really going to come out front," noted Modern Distribution Management's Tom Gale.
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The Port of Los Angeles in San Pedro Bay (Mario Tama/Getty Images)
Newell Brands, Abercrombie & Fitch and Trane Technologies are among a growing number of companies moving away from West Coast ports to East and Gulf Coast ports and distribution centers, due to concerns about a dockworkers' strike, potential delays and a general need to speed up product delivery. The ports of Los Angeles and Long Beach handled just 25% of US containerized cargo in the first 10 months of 2022, the lowest amount in almost 20 years.
Amazon facilities in Germany and Spain are using a camera system dubbed "multi-modal identification" that tracks individual items moving along a conveyor belt without the need for bar codes that can't be read by newer robotic arms. The company plans to integrate the technology with its pick-and-pack robots and "get packages to customers more quickly and accurately," said Nontas Antonakos of Amazon's Berlin-based computer vision group.
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Up-and-coming sales managers often think they're ready for anything, but it's wise to keep five self-inflicted traps in mind, writes Henning Schwinum, co-founder of interim sales leader company Vendux. Taking yourself too seriously and not being prepared for any possible customer comments when accompanying a team member on a sales call are two of the five traps Schwinum identifies.
Improve your team's sales success by revamping the sales plan with an eye toward speed and better efficacy, Sarah Van Caster of Varicent writes, noting a Cascade Insights study in which more than three-quarters of sales leaders admit problems with their planning process. Five tips include reevaluating territory designs and structures that likely haven't been revisited in a while and avoiding overcomplicating goals, which yields frustration on many fronts.
Collaboration overload is a significant problem for employees who are juggling multiple apps, meetings and competing priorities. Here are four ways that companies can ease the burden, including establishing organizational norms and working to integrate the tools employees are using.
While older workers who left the workforce during the COVID-19 pandemic have almost entirely returned in many other countries, the employment rate of those over age 55 in the US remains below pre-pandemic levels. Officials cite growth in the stock market due to governmental rescue efforts, as well as the higher COVID-19 death rate among older adults, and they say it will be difficult to lure retired workers back into the workforce.