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Key findings from THE 2019 B2B MANUFACTURER 300 An in-depth analysis of manufacturers ecommerce programs and strategies for growth B2BecNews, a Digital Commerce 360 brand SPONSORED BY:INTRODUCTION Manufacturers and B2B ecommerce are a work in progress 3 OVERVIEW Manufacturers are forging a crucial new ecommerce channel 5 Multiple electronic channels 8 B2B ecommerce a fraction of all sales 9 Cost factor 12 Why Kimberly-Clark put ecommerce on a fast track 13 Digital Transformations 16 Barriers 17 Case Study: Protolabs expedites ecommerce for on-demand products 19 SPONSORED Q by comparison, the same percentage range applied to 40 hardware/home furnishings manufacturers, 15 industrial manufacturers, 13 automotive parts/vehicle makers, five computers/office supplies manufacturers, and five healthcare/pharmaceutical companies. Only three industry categoriesautomotive parts/vehicles, computers/office supplies and industrialhad just one manufacturer with ecommerce sales that accounted for 50% or more of total revenue. l Despite its fast growth as a sales channel, ecommerce represents only a small part of total manufacturing sales. Last year B2B ecommerce sales accounted for about 5.9% of all sales from manufacturers, up from 5.2% in 2017. For most manufacturers compared and listed in the B2B Manufacturer 300, ecommerce as a percentage of all sales remains relatively small. For 57%, or 171 manufacturers, ecommerce only accounted for a range of 1.1% to 2% of total sales, compared with 77 product makers, or 25.7%, where selling B2B products and services online accounted for 1.1% to 5% of all revenue; 10.7%, or 32 companies at 5.1% to 10%; three manufacturers at over 50%; two companies at more than 25%; and one product maker at 15.1% to 20%. The range of ecommerce sales as a percent of total sales also varies based on different industries. B2B Manufacturer 300 companies were grouped by six industries: automotive parts/vehicles, computers/office supplies, TOTAL U.S. MANUFACTURER ELECTRONIC SALES Year Sales Growth 2018 $3,550,000,000,000 1 4% 2017 $3,500,000,000,000 0 9% 2016 $3,469,624,000,000 NA Source: The 2019 U.S. B2B Ecommerce Market Report, B2B Manufacturer 300. Includes ecommerce, EDI and e-procurement.
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