21 November 2024,
Schneider Electric East Africa has launched its eCommerce platform, which is aimed at enhancing the procurement process for its entire product range and is designed to cater to a diverse target market. The target market includes tier two channels (resellers, indirect panel builder and indirect system integrators, Industry maintenance teams, building managers, end-users and retails customers delivering the products at their doorstep.
Geraldine Sande, Channel Sales Leader for Schneider Electric East Africa, explains that while unveiling the eCommerce site in East Africa represents a significant step towards modernising the procurement process for Schneider Electric products it also reinforces the company’s market presence.
The portal lists a wide range of products under the Home and Building. Power Products, Industry Business, Digital Energy and Access to Energy portfolio, and primarily targets end users in the residential space, who would often have to travel far to a distributor, and commercial customers.
Local access
“With the eCommerce platform, customers can access the required products locally, conveniently, faster and at their desired location without intermediary intervention,” says Sande.
Sande states that the platform also targets “specifiers” – the individuals involved in projects and those who create bills of quantities (BOQs) or requests for quotations (RFQs) and need to know the available product options, as well as companies that require reliable supply chains for maintenance and operations.
"We noticed a gap in the market in terms of brand visibility in Kenya. Many people would ask if Schneider Electric was present in Kenya because we did not have a website (the website will go live in 2025) or any formal digital footprint. Instead, customers would find our partners on other Schneider Electric subsidiary platforms. The customer would also need to have a list of partners online and thus have insight about which solution is found from which channel partner,” says Sande.
“Given this, we felt there was a need to utilise another vehicle to be in front of the customer whenever someone is searching for a product and ensure the product is easily accessible, aside from going through our existing distribution channels.”
Benefits for distributors
Sande says that while some resellers and distributors may perceive the eCommerce initiative as a threat that could erode their market share, it is essential to recognise the potential benefits it can bring to their businesses.
The platform can enhance distributor operations by:
- Driving Demand: By creating a direct line to consumers, the eCommerce site can stimulate demand for products stocked by distributors. This can lead to increased sales volume for distributors as consumers turn to them for bulk purchases.
- Preferential Pricing: The platform offers preferential pricing for resellers who purchase in volume. This encourages bulk buying from distributors, potentially improving their margins while allowing them to remain competitive.
- Stock Management: With stock being drawn from distributor warehouses, this model can help streamline inventory management and reduce overhead costs related to unsold stock.
“From the distributor's perspective, the platform will benefit them by increasing their sell-out. Distributors often hold a lot of stock, and the e-commerce platform provides them with another avenue to reach customers they were not previously tapping into. This represents an incremental business opportunity for our distributors,” concludes Sande.
