Tips and Links
Assess the True Opportunity

By Robert Vincent, Director of Sales and Client Marketing, E-Markets, Inc.

A grip on reality is sweeping across the country when it comes to the true value of the Internet for dealerships and other agribusinesses. The same holds true of the perceived threats.

Many people have stated over the last year that the Internet is an opportunity agribusinesses, such as dealerships, should embrace, not fear. And after the last year, I feel that statement is at least partially correct. But in a way, it's also partially incorrect and needs further refinement.

Several business models of many agricultural dot coms, as well as dot coms from other industries, eliminate the need for human interaction. These models require end customers to buy and sell goods entirely through an Internet store front, and do away with the personal interaction between buyer and seller. The last year has shown this model often does not work.

A New Perspective
Now, examine the landscape one year later. I think the better statement is: "Agribusinesses, such as dealerships, should embrace, not fear, business process improvement tools that, so happen, are Internet-enabled."

It is a mouthful. However, the statement is more accurate in describing true, long-term benefits and opportunities realized by incorporating the Internet in your business.

When I visit with customers and we examine their current business processes, the discussions revolve around a need for managing information generated by current business processes, such as order management, more effectively.

"How can I use my sales information to prevent inventory concerns instead of being surprised by them? How can I get my salespeople to improve how they manage the order fulfillment process? How can I improve customer satisfaction by preventing supply shortages and substitutions? How can I segment my customers and unbundle my products and services to meet their specific needs?

The Internet enables dealerships to use the latest Internet-enabled technology to improve business processes and provide answers to these questions. For example, Internet-enabled order management programs allow information to be captured, then shared with internal systems and supplier systems without the need for re-entering the sales information by hand. Information such as current inventory supply is available in a more real-time fashion to the people you choose needing access to that information.

By knowing this information, you can anticipate customer needs in advance. You can share this information with your suppliers to more efficiently manage programs and inventory allocations.

Simply put, the more a dealer knows about his customers, the more power he has to improve business processes and more effectively enhance customer relationships..

Using It In Your Business
Ask yourself, "what are the challenges or obstacles my business faces today?"

How many challenges or obstacles relate to the business processes of conducting business with your customers? Where are the obstacles occurring within a specific process such as order management?

Take a look at services offered through the Internet and see how they can improve business processes and enhance customer relationships. If technology is used the right way, it can create opportunities for you and your customers.