How to use B2B ecommerce to reduce employee costs & increase sales

B2B ecommerce in the UK is booming. Sales are predicted to hit £188 billion in 2024, proving that businesses are eager to embrace digital transformation. But with the October 2024 budget bringing increased employer National Insurance contributions and a higher National Living Wage, businesses like yours are facing a critical challenge: how to control rising employee costs while driving sales growth.

Traditional sales models, with their reliance on expensive sales teams and time-consuming manual processes, are simply becoming unsustainable. Consider this:

• From April 2025, employer NICs will increase from 13.8% to 15%, adding a significant burden to your payroll expenses.
• The National Living Wage will rise to £12.21 per hour, further increasing labour costs.
• Manual processes, like order processing and invoicing, eat into valuable employee time and can lead to costly errors.

This guide will show you how B2B ecommerce can help you overcome these challenges and thrive in this new economic landscape. You'll discover how to:

• Reduce your reliance on manual processes and optimise your workforce
• Empower your customers with self-service tools to free up your team's time
• Expand your market reach and attract new customers without expanding your sales force
• Boost sales and improve customer satisfaction with a seamless online experience

Ready to take control of your costs and unlock new growth opportunities? Let's explore the power of B2B ecommerce.

The rising costs of traditional B2B sales

The October 2024 budget delivered a significant shake-up for UK businesses, with rising employment costs set to put a strain on budgets across the board. Let's break down some of the key changes and how they impact your bottom line:

• National Minimum Wage increase: The 6.7% rise in the National Minimum Wage (now the National Living Wage) to £12.21 per hour directly impacts the cost of employing your sales team, customer service representatives, and warehouse staff.
• Employer National Insurance Contributions: The increase in employer NICs from 13.8% to 15% adds a further burden to your payroll expenses, making each employee more expensive.
• Cuts to NIC thresholds: The reduction in the Employment Allowance threshold means fewer businesses qualify for this relief, further increasing NIC costs for many.

These rising employment costs are compounded by the inherent inefficiencies of traditional B2B sales models:

• Manual order processing: Processing orders manually is time-consuming and prone to errors. Think about the steps involved: receiving orders via phone or email, manually entering data into your system, generating invoices, and tracking shipments. Each step takes time and resources, increasing your labour costs.
• Inventory management challenges: Keeping track of inventory levels manually can be a logistical nightmare. Inaccurate stock information can lead to stockouts, delayed deliveries, and lost sales, all of which impact your profitability.
• Inefficient customer support: Relying on phone calls and emails for customer support can be slow and frustrating for customers. Long wait times and unresolved issues can damage customer relationships and lead to lost business.

Furthermore, relying solely on a traditional sales force presents several challenges in today's environment:

• Limited reach: Your sales team can only be in one place at a time, limiting their ability to reach new customers and markets.
• High travel expenses: Face-to-face sales meetings often involve significant travel costs, including flights, accommodation, and meals.
• Time-consuming administrative tasks: Sales representatives often spend a considerable amount of time on administrative tasks like generating quotes, processing orders, and updating customer records, taking them away from selling activities.

In essence, traditional B2B sales models are becoming increasingly expensive and inefficient in a world where customers expect quick, seamless online experiences.

How B2B ecommerce reduces employee costs

Facing rising employment costs? B2B ecommerce offers a powerful way to optimise your workforce and reduce reliance on manual processes. Here's how:  

Automation

Imagine your team freed from the burden of repetitive administrative tasks. B2B ecommerce platforms automate key processes, such as:

• Order processing: Orders placed online are automatically processed, eliminating manual data entry and reducing the risk of errors. This frees up your sales and administrative staff to focus on higher-value activities like building customer relationships and developing sales strategies.  
• Invoicing: Automated invoicing systems generate and send invoices to customers instantly, eliminating the need for manual creation and reducing delays.  
• Customer communication: Automated email notifications keep customers informed about order status, shipping updates, and payment confirmations, reducing the need for manual follow-up calls and emails.  

Self-service

Empower your customers and reduce the workload on your team with self-service features:

• Online portals: Provide your customers with 24/7 access to an online portal where they can place orders, track shipments, view order history, and manage their account details independently. This reduces the number of inquiries to your customer service team and allows them to focus on more complex issues.  
• Product information and support: Make detailed product information, specifications, and support documentation readily available online. This allows customers to find answers to their questions without needing to contact your team.

Streamlined operations

B2B ecommerce platforms integrate seamlessly with your existing business systems:

• ERP and CRM integration: Connect your ecommerce platform with your ERP and CRM systems to automate data flow and eliminate manual data entry. This reduces errors, improves data accuracy, and provides a single source of truth for your business information.  
• Inventory management: Real-time inventory updates ensure accurate stock information across all channels, reducing the risk of stockouts and overselling.  

Reduced errors

Automation minimises human error, leading to significant cost savings:  

• Order accuracy: Automated order processing reduces the risk of manual errors, such as incorrect product selections, pricing discrepancies, and shipping address mistakes.  
• Inventory control: Real-time inventory updates prevent stockouts and overselling, minimising the costs associated with lost sales and expedited shipping.  
• Improved data accuracy: Automated data flow between systems eliminates manual data entry errors, improving the accuracy of your business information and reducing the time spent on reconciliation.  

By automating tasks, empowering customers, and streamlining operations, B2B ecommerce allows you to optimise your workforce, reduce labour costs, and improve overall efficiency.

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How B2B ecommerce increases sales

Reducing costs is crucial, but what about driving revenue growth? B2B ecommerce is a powerful engine for increasing sales and expanding your market reach. Here's how:  

Expanded reach

No longer limited by geography or time zones, your online store is open 24/7, allowing you to:

• Reach new markets: Expand beyond your local area and tap into national and international markets with ease. With an online presence, you can connect with customers anywhere in the world, significantly increasing your potential customer base.  
• Always be selling: Unlike your physical store or office, your online store is always open for business. Customers can browse your products, place orders, and find information at any time, day or night, increasing sales opportunities.  

Improved customer experience

Enhance the buying journey and delight your customers with a seamless online experience:

• Personalised product catalogues: Offer tailored product catalogues based on customer preferences, purchase history, and industry. This makes it easier for customers to find the products they need and encourages larger orders.  
• Online chat support: Provide instant support through live chat, answering customer questions and resolving issues in real-time. This improves customer satisfaction and reduces cart abandonment.  
• Detailed product information: Offer comprehensive product descriptions, specifications, images, and videos to help customers make informed purchasing decisions.  

Increased efficiency

Faster order processing and delivery times translate to happier customers and repeat business:  

• Streamlined ordering: Online ordering eliminates the need for manual order processing, reducing lead times and ensuring faster delivery.
• Real-time order tracking: Provide customers with real-time visibility into their order status and estimated delivery times, improving transparency and reducing inquiries to your customer service team.  
• Efficient delivery: Integrate with shipping providers to offer a range of delivery options and ensure timely delivery of goods, leading to increased customer satisfaction.  

Data-driven decisions

Gain valuable data into customer behaviour and optimise your sales strategies:

• Track customer behaviour: Monitor website traffic, product views, and purchase history to understand customer preferences and identify popular products.  
• Analyse sales trends: Identify top-performing products, seasonal trends, and customer segments to make informed decisions about inventory management, marketing campaigns, and product development.  
• Personalise marketing efforts: Use customer data to segment your audience and personalise your marketing messages, increasing engagement and conversion rates.  

By expanding your reach, improving the customer experience, increasing efficiency, and leveraging data-driven insights, B2B ecommerce can significantly boost your sales and drive business growth.

Key features of a successful B2B ecommerce platform

Choosing the right B2B ecommerce platform is crucial for your success. Here are the key features to look for:

Mobile optimisation

In today's mobile-first world, your B2B ecommerce platform must be optimised for mobile devices.  

• Responsive design: Ensure your platform adapts seamlessly to different screen sizes, providing a consistent and user-friendly experience on smartphones and tablets. This is essential as more and more B2B buyers are using mobile devices to research products, place orders, and manage their accounts.  
• Mobile-friendly features: Offer features specifically designed for mobile users, such as simplified navigation, quick order forms, and easy-to-use search functionality.  

Personalisation

Tailor the buying experience to individual customer needs with personalisation features:

• Customer-specific pricing: Offer different pricing tiers and discounts based on customer groups, order volume, or contract agreements.  
• Personalised product catalogues: Display relevant products based on customer preferences, purchase history, and industry.  
• Targeted promotions: Create and deliver promotions tailored to specific customer segments, increasing engagement and conversion rates.  

Integration

Seamless integration with your existing business systems is essential for efficient operations:

• ERP integration: Connect your ecommerce platform with your ERP system to automate data flow for inventory management, order processing, and financial reporting. This eliminates manual data entry and ensures data accuracy.  
• CRM integration: Integrate with your CRM system to centralise customer data, track interactions, and personalise marketing efforts.  
• Payment gateway integration: Offer a variety of secure payment options through integration with leading payment gateways.  

Security

Protect your business and your customers with robust security measures:

• Data encryption: Ensure all sensitive data, including customer information and payment details, is encrypted to prevent unauthorised access.  
• Secure authentication: Implement strong password policies and multi-factor authentication to protect user accounts.  
• Regular security updates: Choose a platform provider that regularly updates its software to address security vulnerabilities and protect against cyber threats.

Scalability

Your B2B ecommerce platform should be able to grow with your business:

• Handle increasing order volumes: Ensure the platform can handle peak traffic and high order volumes without performance issues.  
• Support business growth: Choose a platform that can accommodate your future needs, such as expanding product lines, adding new features, and entering new markets.  
• Flexible infrastructure: Opt for a platform with a scalable infrastructure that can adapt to your changing business requirements.  

By prioritising these key features, you can select a B2B ecommerce platform that will drive efficiency, enhance the customer experience, and support your long-term growth.

Choosing the right B2B ecommerce platform

Selecting the right B2B ecommerce platform is a critical decision for your business. With so many options available, it's important to carefully evaluate your needs and choose a platform that will support your growth and help you achieve your goals.

Checklist of key factors

Here's a checklist to guide your decision-making process:

• Business needs:
• What are your specific business requirements and goals?
• What type of products do you sell?
• What are your order volumes and customer base?
• What are your budget and timeline for implementation?
• Platform features:
• Does the platform offer the necessary features to support your business processes, such as order management, inventory control, customer account management, and payment processing?
• Does it offer mobile optimisation, personalisation, and integration capabilities?
• Does it provide robust security measures to protect your data and transactions?
• Scalability and performance:
• Can the platform scale to accommodate your future growth and handle increasing order volumes?
• Does it offer reliable performance and uptime?
• Vendor reputation and support:
• Does the platform provider have a strong track record and positive customer reviews?
• Do they offer comprehensive support and training?
• Total cost of ownership:
• Consider the overall cost of the platform, including implementation, licensing fees, maintenance, and support.

Evaluating platform providers

• Research and compare: Thoroughly research different platform providers and compare their offerings based on your checklist.
• Read customer reviews: See what other businesses are saying about their experiences with different platforms.
• Request demos and trials: Get hands-on experience with the platforms you're considering by requesting demos and trials.
• Attend industry events: Attend industry events and conferences to learn about different platforms and meet with vendors.

Questions to ask potential vendors

• Can you provide case studies or testimonials from businesses similar to mine?
• How does your platform integrate with my existing business systems (ERP, CRM, etc.)?
• What security measures are in place to protect my data and transactions?
• What level of support and training do you offer?
• What are your pricing models and contract terms?
• How does your platform handle scalability and increasing order volumes?
• What is your roadmap for future development and updates?

By carefully considering these factors and asking the right questions, you can choose a B2B ecommerce platform that will empower your business to thrive even with increasing employee costs.

Conclusion

The business world is changing fast. To stay ahead and keep growing, you need to embrace new technology. As you've seen in this guide, B2B ecommerce is a powerful tool that can help you tackle rising costs and fierce competition.

With the right B2B ecommerce platform, you can:

• Spend less time on paperwork: Let the platform handle orders, invoices, and customer messages automatically, so your team can focus on more important tasks.
• Give customers more control: Allow customers to manage their accounts and orders online, freeing up your team's time.
• Find new customers anywhere: Sell to customers across the country and around the world, 24/7, through your online store.
• Make customers happy: Provide a smooth online experience with personalised product suggestions, instant support, and detailed product information, encouraging them to buy again and again.
• Make smarter decisions: Use data to understand customer behaviour, see what's selling well, and improve your sales strategies.

Now is the time to act and see how B2B ecommerce can revolutionise your business.

Want to simplify your business and find new ways to grow?

Get a free, personalised demo of Comgem's B2B ecommerce platform today and see how we can help you:

• Cut your costs
• Increase your sales
• Build stronger customer relationships
• Stay ahead of the competition