Page 42 - Climate Control News Mag October 2019

Temperature Gauge
Benefits of digital distribution and delivery
HVAC SYSTEM DISTRIBUTORS WORK HARD TO SELL AS MANY UNITS AS POSSIBLE, BUT IT’S NO LONGER JUST ABOUT THE NUMBERS. TODAY’S SALES PROCESS IS FAR MORE COMPLEX AND MULTI-FACETED, ACCORDING TO EPICOR SOFTWARE CORPORATION ANZ VICE PRESIDENT, GREG O’LOAN.
tage by beating other players to the digital punch. It’s important to note that digital transforma- tion doesn’t have to be all-encompassing. Dis- tributors who apply digital processes to replace just one or two manual processes can start to reap the benefits, which then sets the scene to
expand their use of digital solutions.
For example, eCommerce capabilities provid-
ed by modern digital systems can help reduce the amount of time distributors spend managing simple transactions, freeing up staff members to focus on high-value customers or those with more complex needs.
Even if a distributor cannot offer full eCom- merce capabilities, simply putting a searchable
“IT’S IMPORTANT TO NOTE THAT DIGITAL TRANSFORMATION DOESN’T HAVE TO BE ALL- ENCOMPASSING.”
catalogue online can save significant amounts of time allowing customers to at least find what they’re looking for sooner.
Furthermore, by putting catalogues online, distributors can reduce costs as they will no longer need to design, print and mail their cata- logues, which could well be out of date before they’re fully used.
It’s important for distributors to think about not only what will help them sell more HVAC units but also how they can become a trusted ad- visor to their customers. When customers trust distributors to provide advice and service, they’re often willing to pay a premium.
To become trusted advisors, distributors must commit to digital transformation, adopting products that provide access to accurate, up-to- date data and insights that drive action. Using legacy technology tends to prevent this, while new generation systems facilitate it seamlessly.
One of the most effective technologies to con- sider for digital transformation is a modern en- terprise resource planning (ERP) system. Mod- ern ERP systems can make it easy to gain insights, make smarter decisions and provide an invaluable service to customers that keeps them coming back. ✺
ABOUT THE AUTHOR
Greg O’Loan is regional vice president, ANZ, of Epicor Software Corporation. He has over 20 years experience in enterprise technology, sales,
marketing and operations across the Asia Pacific (APAC) region.
CUSTOMERS LOOKING TO purchase HVAC systems from distributors want reliability when it comes to product and supply. They also want a friction-less experience selling the product which means pricing must be competitive.
For suppliers and distributors, it means find- ing efficiencies in all areas of the supply chain, including distribution, which can be a signifi- cant cost in Australia.
Meanwhile, the market continues to evolve as government lease agreements, National Austral- ian Built Environment Rating System (NABERS) and Green Star ratings, along with rising elec- tricity costs, have all made the sales process more complex and multi-faceted. This has led to the creation of new products and systems to meet this opportunity.
It has added even more complexity for HVAC distributors tasked with providing customers with the right products and best advice while still maintaining strong margins.
Its not surprising that HVAC system distributors are looking to digital transformation to leverage new technology to reduce costs, increase speed of delivery, improve productivity and make better purchasing recommendations with fewer errors.
This kind of service can engender customer loyalty, which is crucial in a competitive market. Digital transformation refers to the process in which businesses dramatically improve opera- tions through new and emerging technologies. A new generation of digital technology can let dis- tributors leverage data to gain business insights that let them provide an even better service to
their customers.
Unfortunately, many distributors are still
missing out on the potential benefits of digital transformation, with a 2019 survey revealing that distributors across the board were still slow to embrace digital systems.
The upside of this is that HVAC distributors could potentially achieve a competitive advan-
42 CLIMATECONTROLNEWS.COM.AU