Online e-Business Growth Plan for ABC Corporation
Western Governors University
ABC Corporation needs a new strategy to expand market penetration and grow annual revenues. This document details some of the strategies which can be utilized to build upon the current business model. The new e-business model will help the company build on the product differentiation strategy and also enable the company to create value added dependency for the current and new customers. The e-business model can also be used to improve the company’s product branding across the globe and can be used as a stepping stone into moving aggressively into new emerging markets as well as maintain and increase current market share in North America.
ABC Corporation is a US based publically traded Discrete Manufacturer. ABC manufactures wheels and wheel-end components for the Commercial Vehicle Industry. Some of the products the company makes are Aluminum and Steel Wheels, Brake Drums, Hubs, Rotors and Slack Adjusters. Most of the products are used in the Class 5 to Class 8 Trucks, agricultural, specialty and military trucks. The company operates mostly in the North American (USA, Canada and Mexico) market with limited sales outside of North America. 55% of existing ABC sales come from the top 4 truck Original Equipment Manufacturer (OEM). The rest of the sales come from OES (Original Equipment Services), Parts Distribution Centers (PDC), Warehouse Dealers (WD), buying groups, fleets and private garages.
Online Viability of Products and Services
Currently, the company has limited online presence. The company has a website (www.ABCcorp.com[->0]) which is used to give basic information about the company, its current job openings and investor relations. The website was created in 2000.
Data from goggle analytics for the entire year of 2011 indicates the following statistics for the company website as shown below in Table 1. The data states that 42.44% of users log on to the current website and leave before accessing any other page. The total average customer stays on the current site for a minute and 40 seconds and accesses 3 pages on average. It also states that most users are unique and only a small percentage of users are repeat customers to the website.
Visits|Unique|Pages|Avg. Time|Bounce Rate|
Table 1: Google Analytics Statistics for ABC for 2011
The company should revamp the current website and use the internet to provide valuable services to its current customer base as well as expand its customer base in North America. It can also use the site as a launching pad to expand the business around the globe.
Some of the key new services which will help expand our current business model are as follows 1.Order Entry with customer specific products and prices and delivery date confirmation. 2.Order Management and Tracking
4.Searchable Product Catalogs. This will help in building awareness to all products ABC sells. The search capability will greatly enhance customer’s curiosity and will also help in cross-selling other products which the customer is not aware off. The new product catalog with pictures and videos will also help with product awareness in major global markets since the product catalog can be configured, searched and viewed for multiple languages. The product catalog can also be configured to allow the end user to search by Truck Manufacturer and Model and provide them with all related products which can be used. 5.Access to Customer Service and Field Engineers for online help. 6.Accessibility in multiple languages.
7.Locate service shops within a specified range. This will help the end user aka truck driver with vehicle breakdowns to find service centers using their mobile devices. (Phase II) 8.Product Configurator with customized paints...