3 keys to successful e-commerce in metals

Pricing

The price customers see online must match the price they would receive over phone and email. Maintaining consistent pricing requires companies to have a process in place to apply pricing updates across every sales channel.

In addition, key customers of metals companies typically have personalized pricing agreements such as improved margins, free shipping, or tax exemptions. Metals leaders must affirm that their e-commerce system offers the same personalized pricing as a sales team member with access to customer accounts.

Metals companies that want to implement an e-commerce solution should establish a standard pricing model that works online and over the phone. Leaders should also consider investing in people and processes focused on keeping pricing updated. E-commerce platforms with an enterprise resource planning (ERP) integration can help streamline this process and correctly calculate pricing based on the latest material costs.

Inventory

Customers likely will research inventory availability online before making a purchase, even if they purchase over the phone. Metals companies implementing e-commerce solutions must make sure the warehouse team updates the system with quality inventory data.

Metals leaders should consider how products are tagged, how the system reads those tags, and how products will be displayed online. Some metals companies might consider dedicating a separate warehouse to e-commerce to make sure inventory is allocated properly and to prevent overselling.

Technology has come a long way in its ability to provide near-real-time visibility for customers, but the system must be continually updated, and warehouse teams must have a strong process in place. An ERP e-commerce integration can also help provide a single source of truth across departments, so teams only need to enter data in one place.

Delivery

Customers might be able to look online for products and pricing, but they likely will still need to make a call before purchasing to inquire about a delivery date – unless the e-commerce platform provides that information. Like pricing, timelines predicted online and over the phone should align.

For metals companies to truly offer an online alternative for some audiences, they must have a way to digitally predict delivery dates that the e-commerce platform and sales team can both use. Metals leaders should consider the delivery service levels required by their target customers for e-commerce and look for initial successes with products that can be stocked and sold online without significant processing.