Global Industrial is a leading industrial supplies seller carrying more than 1.7 million products and serving industries
Question:
Global Industrial is a leading industrial supplies seller carrying more than 1.7 million products and serving industries ranging from medical labs and food services to facilities maintenance and power generation. It has traditionally relied primarily on its sales force for customer lead generation and demand fulfillment. But as the company's CEO recently noted, the digital channel is now a major complement to its sales force. Global Industrial's digital marketing focuses on two segments: (a) creating exceptional self-service for customers who wish to manage their purchases on their own and (b) creating high-touch experiences for large industrial customers who value the interaction with the sales force. Global Industrial has had to step back and prioritize investments that support these strategies. For example, its new Knowledge Center is a destination for buyers to virtually source product data, videos, and articles written by subject experts. The company embeds tracking links in emails to allow buyers to track the location of any order in real time. Warehouse automation has reduced the walk time to get orders organized. E-commerce dashboards now empower salespersons to increase customer retention and sales. The company has beefed up its social media presence (see www.globalindustrial.com/ knowledge-center/social-media). Global Industrial realizes that while this may seem like a lot, it is only a start given all the potential offered by the digital business environment.
Is Global Industrial's twofold segmentation of its industrial customers in the digital environment appropriate? Explain. What other approaches could the company use to segment the market?
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