UK-based electronics distributor Electrocomponents, which
operates RS Components in more than 25 countries including the
UK, is turning its attention to the web as it seeks to
“exploit the channel’s full potential”. The group
currently achieves a third of its £924.8 million revenue
through online sales and has set a target of reaching 50 per cent
by 2013. In its Japanese operations, eCommerce already accounts
for 64 per cent of revenue, whilst in the UK the figure is 37
per cent. “Although the catalogue remains an important
channel for our customers,” group chief executive Ian Mason
said in a statement, “eCommerce represents an opportunity
to fundamentally enhance many aspects of our business
model”.
Having recently overhauled its websites to provide an improved
search and browse solution, information on local product
availability and pricing and the capability to introduce new
products on a daily basis, Electrocomponents is able to provide
customers with a wider product range than is practical in a paper
catalogue and is encouraging customers to switch to ordering via
the web. As a result, it has reduced the offline costs associated
with catalogue production and the constraints of the annual
publication cycle. Another advantage highlighted by Mason was the
ability to form deeper relationships with key suppliers through
the use of eCommerce strategies, for example by embedding
supplier-generated content in its websites and benefiting from
mutual links.
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