shop vestas – spare parts ordering made easy
TRANSCRIPT
2017
Shop Vestas - spare parts ordering made easy
Lars Elkjær Andersen, Director of eCommerce, Vestas Wind Systems
2017
Agenda
1
2
3
The strategic context
Commercial & digital drivers for eCommerce
Key learnings
2
Corporate Slide Deck Q4/2016 (Public)3
About Vestas
Vestas in brief
Corporate Slide Deck Q4/2016 (Public)4
The only global wind energy company
We employ more than
21,800 people worldwide
and have more than 35
years of experience with
wind energy
+ 21,800We have more than
37,000 turbines under
service agreements, or
more than 71 GW
+ 37,000We have more than
59,909 turbines or close
to 82 GW cumulative
installed capacity in 76
countries worldwide
spanning six continents
+ 59,909Vestas revenue for
the full year 2016 was
EUR 10.2bn
€ 10.2b
Vestas Service Strategy – Within the corporate strategy
5
Fleet-wide and flexible service offerings to optimize larger and more diverse fleets
Lowest cost of energy solutions
Global leader in
sustainable energy solutions
Global leader in the
wind power plant
solutions market
Global leader in the
wind service solutions
market
Service is a central pillar in Vestas’ strategy
Strengthen service sales setup around
Multibrand services (including Availon and
Upwind)
Vestas Services will be a market leader
within core and advanced service offeringsBest-in-class global operations
Vestas Service Strategy (Public)
Long-term dedication to service and operations has put Vestas ahead
Vestas Today - The world’s largest wind service provider
Vestas Service Strategy (Public)6
6,600Dedicated service
technicians
34,000Turbines under 24/7
monitoring
73GWUnder service
8GWMultibrand under
service
€10bnService backlog
60Countries with service set-up
7 November, 2017
Technology strategy and solutions
Corporate Slide Deck Q4/2016 (Public)7
Technology evolution
Technology strategy and solutions
Corporate Slide Deck Q4/2016 (Public)8
Technology evolution
Sourcing the right partsfor your
wind turbines
can be
cumbersome and
time consuming
No single provider for your multiple-brand fleet.
No possibility to leverage economies of scale.
Lack of pricing transparency. Limited
information on available stock. Challenges in
identifying the right parts, substitutions &
replacement. Constrained by opening hours
and account management
eCommerce in a global contextVestas are facing the same macro trends for digitalization as other companies. And customers has high expectations!
10
Age of customer and rising expectations
Empowered buyers dominate the market and they demand a new level of
customer obsession. https://www.forrester.com/report/Winning+In+The+Age+Of+The+Customer/-/E-RES119546
Meet the customers expectations
Even before an experience begins, customers have expectations. Tapping
into the emotions and patters of anticipation can help shape the entire
customer experience through out the ecosystem. https://www.forrester.com/report/The+Dawn+Of+Anticipatory+CX/-/E-RES134741
Adopting B2C principles
B2B eCommerce is growing rapidly with an expected $1.13 trillion by 2020
in the US. To achieve breakthrough, B2B must adopt proven B2C
principles.https://www.forrester.com/report/B2C+Sets+The+Standard+For+B2B/-/E-RES61686B2
Omnichannel commerce
Omnichannel customers are more likely to become repeat and long-term
customers. Omnichannel customers spend up to 14 times more than single-
channel customers.https://www.forrester.com/report/The+Case+For+Omnichannel+B2B/-/E-RES93421
Expert assistance and customer service
B2B buyers want skilled consultants for high-consideration purchase
scenarios. On average, 19% of purchases are complex and with online
expert support, the cost-per-interaction can be reduced vastly.https://www.forrester.com/report/Death+Of+A+B2B+Salesman+Two+Years+Later/-/E-
RES126861
Self-service & Automated Sales Experiences
Use digital self-service for pre-sales research and to make low- and
medium-consideration purchases. On average, 68% are simple purchases,
costing less when supported online.https://www.forrester.com/report/Death+Of+A+B2B+Salesman+Two+Years+Later/-/E-
RES126861
Crafting superior customer experience is a win-win
Vestas eCommerce business drivers & enablers
11
Enable digital market awareness of our after-market capabilities.
Best-in-industry e-commerce, offering superior customer experience.
Make it more convenient for customers to do business with us.
PRESENTATION DAY ONLY
Turbine spare parts
Shop.Vestas.com
25,000 individual parts online
Continuously growing parts list
Platforms represented: Vestas,
GE Wind, Siemens, Gamesa
Turbine model navigation
Pricing transparency
Indication of local stock
Quick and easy ordering
Overview of quote / order history
Over-the-counter parts500,000 turbine spare parts on the shelves
Loyalty programsOffering attractive prices and lead times
Inventory managment programReducing your operational and inventory cost via
our Active Material Management product
Main component poolingDecreasing turbine downtime & cost
e-Commerce
Simple solutions for your business
Shop Vestas
• Shop Vestas gives you access to the
largest Vestas turbine spare part
catalogue in the world
• Our ambition is to provide you with a
simple and convenient way for
identifying and ordering all your spare
part and consumable needs.
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Convenience at your fingertips
Shop Vestas. Excellent Customer Experience
• Optimized for mobile, tablet and desktop– providing a
premium experience every time
• You decide who in the organization should have
access and rights to request quotes and place orders
• You always have a complete overview of all your
quotes and orders and their status in one place
• It is easy and convenient to identify and buy items
by using our search function, category browsing, WTG
navigation or quick entry forms
7 November, 201715
Substitution info and compatibility spare parts information
Role based access rights
Multiple photos of the parts
Better product information
Improved user experience
More parts
.... and more to come!
Shop Vestas. Future Offerings
ALIGN AMBITIONSLearning 1
Time machine: Where did we start?Align opportunities and priorities with input from internals stakeholders & out-side-in perspective
Why do Vestas need to care about ‘Customer Experience’?Price versus convenience. What is most important and when?
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85% would discard their
loyal supplier for a vendor
with a lower price.
71% would discard their
supplier for a vendor with a
more convenient buying
process.
Accenture-B2B-Procurement-Study.pdf
STAKEHOLDER MANAGEMENTLearning 2
Fluktuations will happend!
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AmbitionsHow is success measured?
22
• New revenue?
• Revenue protection?
• Efficiency gains?
• Customers onboarded?
• Change management?
• Positioning?
• Data-driven sales mindset?
• Customer Experience?
Agree on the prioritiesVisualize various areas that we need to work on simultaneous
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Agree on the prioritiesMake it transparent that not all has the same cost when reprioritizing
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Shop Vestas 2017
Supporting sales channel for the Service business
Optimize the sales process
Enable digital market awareness of our after-market capabilities
Best-in-industry e-commerce, offering superior customer experience
Making it more convenient for customers to do business with us
Multibrand
FEB 20th 2017
Direct ordering
MAY 15th 2017
~16,000 parts online
Assembly drawings
1.0
(first 60)
Multibrand parts
Quote & order
confirmation PDFs
Improved order status
overview
Non-eCommerce
quotes & orders
available in Shop
Vestas
User Experience
optimization &
features
~17,600 parts online
Customer prices
Direct ordering 1.0
WTG navigation
(selected platforms first)
More multibrand parts
Optimized
performance (site load
speed)
Filter and search
Quote and order
overview
User Experience
optimization &
features
Release plan TBD
Below are
candidates
BACKLOG
PRESENATION DAT
ONLY
Foundation
2016
~9,000 parts online
Multiple languages
Catalogue browsing
with enhanced search
Quotation process
Parts search visibility
(Google etc.)
Tracking & Analytics
(enhanced)
User Experience
optimization &
features
25
Stock indications
JUN 19th 2017
~19,000 parts online
Stock indications
Track & Trace
(some regions only)
Comments on order
level
More multibrand
parts
(~2,500 total)
User Experience
optimization &
features
Multibrand
AUG/SEP 2017
Multibrand
navigation change
Misc. improvements
& Features
More multibrand
parts
User Experience
optimization &
features
Substitution info &
photos
OCT/NOV 2017
Direct ordering 2.0
(price breakdown &
price list maintenance)
Photos
Substitution info
More assembly
drawings
Misc. improvements
& Features
More multibrand
parts
User Experience
optimization &
features
What we also have learnedSelected learnings
Master data is kingthen do business & UX magic!
Build, learn and adjustsimultaneous & agile
… and sometimes do waterfall
People, processes and systemsequally important
26
PRESENATION DAY ONLY
Shop Vestas. 2020!
… or something very different?
... How do we plan for the future?
Corporate Slide Deck Q4/2016 (Public)28
Thank you for your attention
Copyright Notice
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you, or anyone else authorized by you, is prohibited unless specifically permitted by Vestas Wind Systems A/S. You may not al ter or remove any trademark, copyright or other notice from the documents. The documents are provided
“as is” and Vestas Wind Systems A/S shall not have any responsibility or liability whatsoever for the results of use of the documents by you.
For more information
29
Lars Elkjær AndersenDirector of eCommerce
[email protected]/larselkjaerandersen
(+45) 5215 7698