Although big data and the Internet of Things (IoT) seem to be the future for a lot of different industries, the manufacturing industry included, there are some marketing trends you don’t want to miss.
Even though some companies don’t have their budget ready yet for some of them, some competitors might be.
Let’s go through it and feel free to share your opinion in the comment section.
1. Modernization of the spare parts management system by the distributors
User experience is what that matters the most today. Customers want to order online from a tablet or smartphone get the product delivered in a very short time closer to a convenient place.
It’s still very different in the manufacturing industry. The manufacturer knows what the distributor ordered but not if it’s still in stock or what is already in the distribution channel.
This situation costs longer delivery times and potentially higher prices for the end customer.
2. Manufacturers will seek to take advantage of secondary market growth
In the US only, it’s been estimated that more than $3 billion is spent annually on maintaining equipment that businesses and consumers already own.
For most parts manufacturers, the sale of spare parts represents a maximum of 50% of turnover.
It appears that more and more industrial companies are seeking more revenue from existing customers, particularly in a context where growth is sometimes slow.
In terms of growth, the sale of parts and maintenance are therefore logically the most interesting sectors.
3. A mix of systems integrating e-commerce and innovations from IoT by the manufacturers
Breakdowns are expensive. This is why there is the emergence of “smart” devices incorporating “sensors” and other technologies to generate real-time diagnostics.
The next step is to give the customer the ability to order in one click the parts needed to restart their equipment as quickly as possible.
The order can also be generated automatically via an e-commerce system from the data sent by the machine without human intervention.
4. Selling more parts directly to the end consumer by the manufacturers
By 2025, 10 to 15% of the global spare parts market will be online. According to a recent report by Frost and Sullivan. This trend will also affect the capital goods manufacturers sector.
The manufacturers won’t exclude their usual distribution network and their resellers.
However, they will ask them to use modern systems inventory and inventory management. Especially to share with them the data from this online software.
Resellers who will resist these changes and continue to use their old system will run the risk of losing sales irretrievably.
5. Invest in e-commerce by the manufacturers
The e-commerce solutions of the market are not very adapted to the industrial sector, in particular to the manufacturers of equipment and intermediate goods.
Purchasing behavior in the industrial sector, especially for spare parts, is not exactly identical to that of a typical consumer.
Industrialists manage hundreds or even thousands of spare parts from a wide variety of suppliers for different types of equipment or machines.
Traditional e-commerce platforms assume that parts are in stock and can be delivered through traditional channels, and don’t allow for complex customer-related fee schedules.