However, a closer look at the marketing plans used by most chemical operators reveals that third-party distributors, sales representatives, and key account managers are the primary channels of distribution. Only proof-of-concept, pilot or specialized channels exist for digital interaction and fulfillment models, e-commerce and digital value propositions.
The first test of the chemical industry’s ability to engage digitally with consumers was COVID-19. It disrupted the traditional channels through which sales reps and key account managers physically interacted and forced companies to go digital. The majority of chemical companies have been using digital platforms such as Microsoft Teams, Skype, Google Meet and Zoom to reach customers and increase online sales.
True market disruptions usually occur in new companies rather than established ones. Over the past decade, the number of online marketplaces servicing the chemical sector has grown dramatically.
The phrase refers to several business models that change frequently over time, such as sell-side platforms, buy-side aggregators, shopping center operators, catalogs, comparison websites, product search specialists, and even online distributors who actually own the goods. . Initially, many of these markets focused on the Chinese chemical industry, but more recently digital markets focused on the European and American chemical sectors have begun to grow.
It seems reasonable to wonder if these markets are actually disrupting the industry or if they are just new channels.
They must say that history is distorted. Many third-party digital marketplaces are short-lived because they have not been able to grow beyond a tiny consumer niche or create a unique value proposition.
Additionally, several issues including governance, operational reorientation and finance have plagued the consortium market for asset-backed chemical businesses.
The key is that these startups are pushing the boundaries of the chemical industry, testing customer preferences and interest in different sourcing and engagement models, and establishing new benchmarks to meet the needs of both buyers and sellers. One could interpret this as a failure of the market business model, but that misses the point.
How Chemical Manufacturers Can Avoid
Disruptions Strategic alternatives for chemical companies to avoid disruptions include:
Transform sales and marketing departments by implementing cloud, digital, artificial intelligence, automation and experience design at scale.
Partner with a digital marketplace to get quick access to new features and trigger changes in your current sales and marketing strategies.
Whatever the company chooses, it is important that the chemical sector as a whole avoids hype about the benefits and drawbacks of third-party digital marketplaces. Instead, digital marketplaces should be embraced as pioneers offering new ways to connect and engage with customers. This is something chemical companies should consider advantageous.
The boundaries of customer experience, interactions and transactions are being redefined by digital marketplaces, which are setting new benchmarks for user experience, process efficiency, data integrity, open standards and strong marketing.
The largest of these markets aren’t just “digitizing the old world,” they’re updating and accelerating the way buyers and sellers interact. accept or not