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Key Finding #1
4 out of 10 dealers purchase more products from vendors that have on-line
ordering systems.
Implication
What is your average order size? If 40% of your dealers
sent you one more order per season, what would that mean for your business?
Example # 1
Assume 2,000 dealers, 40% = 800 dealers. Assume $1,000 = average order
If 800 dealers placed just 1 more order per season (winter & summer),
Incremental revenue = $1.6 MM
Key Finding #2
When given a choice among various alternatives for placing orders,
78% of dealers prefer to obtain inventory availability and place orders
on-line.
Implication
If 78% of your dealers placed their orders on-line – and
electronic order processing reduces costs by 80% (Forrester Research) – how
much can you save on your cost of sales? How much more will you contribute
to the bottom line?
Example # 2
Assume 2,000 dealers, 78% = 1,560 dealers
Assume 10 orders per dealer per year (including employee orders)
Cost to process an order = $27 to $42. Savings of 80% on $27 = $21.60
EBIT contribution: 1,560 dealers x 10 orders x $21.60 per order = $336,960
Key Finding #3
More than half of dealers consider it a benefit if their sales reps
send them preseason proposals.
Implication
You want your sales reps making professional recommendations.
And you want to make it easy for dealers to buy from you. Sales reps
that use CenterStone's solutions to create proposals benefit
by capturing a larger percentage of a dealer's spend in the preseason.
Example #3
Sales reps who can create "standardized" proposals can
manage a larger territory and provide a higher level of service to
more accounts, therefore growing their own book of business. |
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"CenterStone offers a valuable solution with world-class customer service
enabling Marmot to more efficiently serve our retail base. We recognized the
benefit of making it easier for our dealers to do business with Marmot and
that many
of them have already adopted
The Buyer's Page software. For us, it was an easy decision."
— Roger Barton
CFO, Marmot |
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