1. What did the Romans ever do for us? Digital Marketing Group Roundtable 13 th July 2015

2. Remember this brand?

3. Ever heard of this brand?

4. What has the internet ever done for us...? Speed to market Catalogue/flyer cycles less and less relevant Product lifecycle management less relevant, but more challenging Data / content NO HIDING PLACE for poor data! Have you ever seen “E & O.E” on a web page? Vendors gradually taking more ownership Virtualisation “Endless Aisle” a reality Competition opened up No place for specialists? Highlights the lack of product sales focus in our market?

5. Which online retailer is this?

6. What has the internet ever done for us...? Efficiency Order pad a thing of the past? Self-serve the norm... Lower sales costs... Price Transparency Distinct pricing models in place Conflicting channel price models The end of the traditional “core/non-core” B2B pricing matrix? Channel Disintermediation What is a supplier’s best channel to market now? Threat to our traditional long supplychain?

7. Channel Map – Value Chain.... OEMs Wholesale & Distribution End Customers 60%75% 5% 20%10%30%10% Specialist resellers Major Resellers Regional resellers E-tailers 30% Super- markets Specialist Stockists 50% 5% -5% Dealer groups 10% 0% 5% 40% 20%

8. What has the internet ever done for us...? New competitors Anybody can be an OP reseller Amazon, Grocers B2B focus, Online/High St. Brands Is VERY a fashion or Consumer Electronics retailer?? Confusion Many have been diverted from their core business competencies What does “online presence” mean Static website? Trading platform? Social media? B2B/B2C focus?

9. What has the internet ever done for us...? Transport HIGHER cost to serve! Outbound & Reverse logistics (often forgotten!) Confidence & Investment “I don’t understand it.....” Subject matter experts can be expensive No instant Return on Investment Demographics Meet Steve Haworth, 45...... Ran his first account base on blue record cards... Was a “pioneer” of remote dial-up in 1998... A luddite today...  Reddit, Snapchat, Instagram......  Gen Y search preferences...... Genuine challenge of how to address Industry leadership/relevance

10. Summary... What did the Romans ever do for us? The Benefits and Drawbacks are here to stay Keep it simple... It’s replaced catalogues & order pads It’s replaced phone and “coffee” field calls It’s part of a business strategy rather than THE business strategy There are some fundamentals... Data/content Expertise (internal or 3 rd party) We all need an E-commerce plan The traditional market/channels remain robust..... Supplier strategy is key.....

11. Who’d open a Retail stationery store in this environment?

12. You decide......?

13. The UK and Ireland’s largest multichannel distributor of business supplies and services EVO Group Sales and Marketing Director steve.haworth@evo-group.co.uk @steveh_evogroup