The Journey Begins: Pioneering Sellers Talk about their eCommerce Successes

#AribaLIVE
The Journey Begins: Pioneering Sellers
Talk about Their E-Commerce Successes
Kim Breckwoldt, Geschäftsbereich Marketing - Online Marketing, Hawesko
Martin Eberhart, CEO, TIPS
Michael Hrobath, General Manager, Purchasing, TIPS
Achim Oberhauser, Head of Corporate Business, Fleurop
© 2014 Ariba – an SAP company. All rights reserved.
@ariba

THE JOURNEY BEGINS: PIONEERING
SELLERS TALK ABOUT THEIR
E-COMMERCE SUCCESSES
Kim Breckwoldt, Key Account Manager, Hawesko
© 2014 Ariba – an SAP company. All rights reserved.2

Agenda
• Introduction
• Wine & champagne meets eCommerce
• How we integrated B2B in a B2C-focused company
• A journey to success
• Future goals

Who I am
• Kim Breckwoldt
• 17 years of sales experience
• Graduated from Chamber of Commerce, Germany
 eCommerce Manager
 Communication
 Industrial business management
• Welcome gift I received from Hawesko
 PunchOut catalogue

Who or What is Hawesko?
1998
Stock Market Launch
1964
founded
1974
1st catalogue

Who or What is Hawesko?
• 1999
 New Media
 Winegate.de 1999 - 2000
• 2000
 Hawesko.de
• 2006
 8% online sales
 SAP integration
• 2010
 10% online sales
• 2013
 Hawesko.de – Relaunch
 30% online sales

Our brands today
Evaluation
Our customers today
• Age 50 – 70
 Catalogues / Mailings / Adverts
• Next generation will be online

When was your very first online order?
Do you remember, what it was?
Where did you order?
Question

Key Questions:
Do companies need wine?
What requirements has a B2B
customer, compared to a
private consumer?
How We Integrated B2B in a
B2C-Focused Company

B2C-Focused Company
Why would companies buy wine?
Claims
Management
Business
Deals
Customer
Support
ChristmasBirthday

B2C-Focused Company
B2C Process B2B Requirements
Call centre Account Management
Wine specialists Special deals
Order process is fully
automated
Individual process
Different contacts for order,
service, claims, invoicing, etc.
WINE COMPETENCE SERVICE

B2C-Focused Company
The plan for our company’s e-commerce journey
• Started with 400 B2B customers
• Personal communication – VIP
• Online was not common or required
• No compliance
• No other restrictions

10 years later
• Setup for 1st B2B Online Shop
• KPI’s were structured
• B2C and B2B process were the same
Sales Order
FrequencyMargin Requirements
Company
Size
B2C-Focused Company

B2C-Focused Company
• Organizational changes
• Key Account Management goes Marketing
• Splitting Online / Offline customers

A Journey to Success
• Call from a financial services
company
 Spend management
 Expenses for Wine, Champagne & gifts
about 500.000 €
 Ariba
 PunchOut catalogue
 Hawesko as preferred standard supplier
• Our Advantage
 We were already registered on Ariba
 We already had an online catalogue
• 1st offer
• No question about set-
up costs
• No question about how
or when we might
reach the announced
sales volume
• Project team
• Static catalogue started

• Automated e-invoicing started
• Implementing more and more
items and services to the
catalogue
• Set-up PunchOut catalogue
• Connection to Ariba network
• No automated process
 Orders received by mail
 No e-invoicing

The Relaunch
• New requirements from
both sides
• Opportunity to automate
our process
• Workflow became
overwhelming
 10.000 order p.a.
Project Team Leader
Customer & Me
Customer
Ariba
IT Support
IT - Hawesko
eCommerce Support
SAP Support
Process Management

• Announced sales
volume reached
• E-invoicing
automated
• Order process fully
automated
• Customer requirements
100% fulfilled
• E-invoicing automation still
in progress

Evaluation - Lessons Learned
• Challenging process
• Working in a B2C-focused environment is still tough
 Even though it got a lot better by presenting business analysis
and KPIs (sales volume, order amount, average order value,
margin, gross profit)
• Create Team-Spirit and keep your team motivated
• Integrate decision makers to your team

Future Goals
• Increasing online sales from 30% to 50% within 2 years
 Both organization and consumer become more used to online
buyer behavior
 More efficient online marketing campaigns

SELLERS TALK ABOUT THEIR E-COMMERCE
SUCCESSES
Dr. Martin Eberhart, CEO, T.I.P.S
Michael Hrobath, General Manager Purchasing

T.I.P.S.
• T.I.P.S. company presentation
 Our Vision
 Our products
• Why T.I.P.S. met Ariba
 Requirement from Key Customer
 The bumpy road to convince T.I.P.S.
 The approach
 Lessons learned
 Future

T.I.P.S. Entire Solutions for
Semiconductor Test
T.I.P.S. develops and manufactures highly reliable, customized solutions for
micro-chip testing, to the highest quality standards, in the shortest time.

Who is T.I.P.S.?
High technology company which
• Develops and manufactures highly reliable, customized solutions for
micro-chip testing
• Founded 1997 by Dr. Rainer Gaggl, executive director & partner
• > 70 employees
• Location in Austria (headquarter) and Singapore
• International customer base

Who We Are
• Martin Eberhart, Dr.
• More than 20 year experience in physics & industrial business
• Executive director & partner of T.I.P.S. Messtechnik GmbH Austria &
T.I.P.S. Pte ltd. Singapore
• Michael Hrobath, DI - graduate engineer
• More than 10 years of experience in marketing & sales
• Sales and purchasing director

Our Customers

Our Products
PCB Design
• High Speed / High Frequency signal
routing
 Controlled impedance routing, differential
pairs, matched signal lengths, impedance
tested PCBs
• High Voltage / High Current PCB design
 HV / HC design rules, PCB materials for
high voltage
• Software platforms: Mentor Graphics
Integra Station, DX-Designer/Power PCB,
Eagle
• Probe cards for:
 automotive- and mixed
signal IC
 power semiconductor
 sensor devices
 MEMS and Sensor
Devices
• Vertical probe cards
Development in the field of applied
physics:
Test concepts, e.g. high
temperature, high voltage/current
Some “highlights”:
• High voltage wafer test: air pressure
chamber probe card to avoid
flashovers in high voltage testing
and to avoid environmentally
hazardous and expensive insulation
gas (SF6 reduction – 1kg
equivalent to 22.800 kg CO2)
• “SmartClamp” technology for
protection of probes and d.u.t. in
high current wafer test

Why Ariba Met T.I.P.S.
Requirement from Customer
• To introduce paperless, faster
and efficient accounting process
 Introduce B2B process
 Reduce costs and resources
for payment management

Three options offered by
ARIBA for invoicing
The three options were
unsatisfactory for T.I.P.S.,
because
• T.I.P.S. uses SAP Business 1 for
more than 10 years
• Step backwards
WEB portal
Upload as *.csv
Upload as *.xml
Project was almost dead –
not attractive
The Bumpy Road to Convince T.I.P.S.
Customer, T.I.P.S. and ARIBA committed to find a solution

The Bumpy Road to Convince T.I.P.S.
The solution was
Integration SAP B1 and Ariba platform
Interface between SAP B1 and Ariba
T.I.P.S. is pioneer using SAP B1 and Ariba network

The Approach
SUCCESS
Ariba
CUSTOMERSAP
T.I.P.S

The Approach
Project team:
Ariba | Customer | SAP | TIPS
• Weekly/bi-weekly conference calls, hosted
by Ariba
• Task list and clear responsibilities
• Commitment to be successful
• On air

The Approach
Screenshot from integration into SAP B1

Evaluation – Lessons Learned
• Challenge — T.I.P.S. is not always easy to
convince (we are technicians )
• Team Spirit and common commitment
to success
• Mutual business confidence and agreement
• Small TIPS introduced e-commerce
• Improved Payment Management — shortest
feedback time on invoices

Future
Extend
Thank you for your attention
Implement
Automate
Ariba Network to other customers
collective Invoices (e-invoicing)
balancing by using payment advices

For Further Information, Please Contact
T.I.P.S. Messtechnik GmbH
Europastraße 5
A-9524 Villach, Austria
Tel. +43 4242 319720
Fax +43 4242 319720-4
www.tips.co.at
T.I.P.S. Asia Pte Ltd
61 Bukit Batok Crescent
Heng Loong Building,#02-01/02
Singapore 658078
Tel: 65- 6316 1970
Fax: 65- 6316 1973
www.tips.co.at
Thank you — Danke — Mille Grazie
WE LOVE THE CHALLENGE

SELLERS TALK ABOUT THEIR E-COMMERCE
SUCCESSES
Achim T. Oberhauser - Head of Corporate Business, Fleurop AG
37 © 2014 Ariba – an SAP company. All rights reserved.

Fleurop AG
German partner network with more than 6,500 florist stores
Founded: 1908 in Berlin
Turnover: 35 mio. Euro (headquarters)
Employees: 86 in headquarters
Orders: > 3 mio. incl. voucher
Associated with Interflora network worldwide: 50,000 florists in more
than 150 countries, over 25 million Fleurop greetings a year

Business Model
Each Fleurop greeting is put
together by professional florists
exclusively…
… and handed to the
recipient personally.
Worldwide.

Flowers in Business:
Common Occasions
• Thank you
• Reminder / Invitation
• Apologize / De-escalate
• Birthday Greeting
• Wedding
• Birth of a child
• Anniversary
• …

Positive Effects
Flowers:
• Emotionalize communication!
• Get high attention and create a
positive atmosphere
• As a carrier medium for messages
• Reach “target person“
directly and personally
• Touch recipient

Result
• Improvement of
customer relationship
• Effective customer retention
management
• Efficient complaint management
• Motivation of employees

Ordering Process in the Past
• District offices buy flowers
directly from Florist Shops
 Separate billing
 By cash
• Characteristic of purchases
 Not transparent/non-compliant
 No standard expenses for gifts
customers/employees

Changing Circumstances
• Large companies search for centralized solution
 No PO, No Pay
 Reduce Numbers of suppliers
• New and strong competitors
 New rivals outside a particular sector of industry
 Alternative gifts / advertising material

Consequences
• Our florists threatened
the loss of orders
• Bouquets threatened the loss
as a culture good

Challenge to Develop e-Solution
• Requirements of companies: listen,
learn and understand
• Technology: internal/external
• Processes: define and optimize
• Negotiation with buying departments

• Flower greetings require a special order logic
 Hardly possible to provide in hosted catalogs
• Complexity and Length of Projects
• Risk of Profitability of Projects:
volume / acceptance
• Investments needed
• Internal IT resources
On the Way
• First hosted catalogs
for one main
customer

Break Through
• Flexible catalog for multiple use
for further customers
• Easy and quite fast to connect to
any SRM-System
• Configurable for individual needs
of customers
• Fully automated order process without
integration gap
• Less effort for further projects because
of standards
• E-Invoices: for fully automated accounting

Success in Numbers
2012
Only eCommerce
2010 2011 2013
Without eCommerce
20122010 2011 2013

Features and Added Values
Choose from
6,500 florist
stores
Order from the
florist you know
and trust
Pick up
flowers
personally
Deliver
on the
same-day
Flexible free-text
arrangements for
individual needs
Shopping cart to
order plenty
of bouquets
Standing Orders
for continuous
decorations

Features: Screenshots

Increase sales:
cross selling
Deep integration
and strong
relationships
Greater
efficiencies
Fleurop = Managed Service Provider
Bottom Line

Fleurop Solution = “Best of Two Worlds”
• Best service and flexibility
of professional Florists
• Lean processes and high savings
of administration costs

The World Needs Flowers.
Emotions @ your Fingertips by Fleurop

Questions

The Journey Begins: Pioneering Sellers Talk about their eCommerce Successes

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