Study: European B2B Activity To Account For 33% Of Sales By 2005

Jan. 13, 2005
By John S. McClenahen Depending on which industry in Europe a company is in, their online B2B activity could account for one-third of total sales four years from now. A top "European 100" transportation company, for example, could generate 6.5 billion ...
ByJohn S. McClenahen Depending on which industry in Europe a company is in, their online B2B activity could account for one-third of total sales four years from now. A top "European 100" transportation company, for example, could generate 6.5 billion euros worth of business (US$5.53 billion at the current exchange rate), 33% of its total take, in the year 2005, figures Cambridge, Mass.-based Forrester Research Inc. But the prospect of much greater B2B activity is only a possibility. For example, Forrester says European firms will have to make an initial investment of 11 million euros -- US$9.35 million -- to support what's dubbed sell-side commerce. "With too many internal islands of applications to access for online trade, European firms are failing to deliver because features galore don't generate business, poor access to [applications] results in an inability to transact, and crippling maintenance nightmares deliver stale information," states a critical Charles Homs, a Forrester senior analyst. "The cost of integrating the plethora of applications will eat up half the IT investment in the first year," he calculates. And "once the technical infrastructure and [applications] are functioning, the workforce necessary to maintain online sales will soar -- for instance, just keeping the site up-to-date will account for 51% of the ongoing budget," says Homs.

Popular Sponsored Recommendations

3D Printing A More Efficient Factory Floor

Nov. 16, 2023
Today’s additive manufacturing platforms make it simple to print a wide range of high-performing industrial parts as soon as possible and right where you need them — unlocking...

Why DataOps may be the key to unlocking the full potential of digital transformation

Nov. 3, 2023
Read the 2023 market survey conducted by IndustryWeek

Legacy Phone Lines Are Draining Your Profits

Oct. 30, 2023
Copper wire phone line expenses that support emergency devices could be costing your company millions of dollars in wasteful overhead expenses. Rates have been skyrocketing while...

The Benefits of Continuous Thermal Monitoring

Oct. 17, 2023
Read this eBook to learn more about collecting and using data intelligently to improve performance.

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!