“Change is the only constant” – this popular line goes perfect with the marketing function. New age marketers are always in search of better solutions, creating better strategies to overcome upcoming challenges. In today’s time, marketers find “Marketing Procurement” as one of the best tools to manage campaigns in the right way, at the right time. Analysing the dynamics of business environment, marketing procurement is all set to launch new trends in marketing. Let’s find out what future holds in the way of trends.
- Reduce list of preferred vendors
Continued consolidation of suppliers are going be a priority for marketing procurement professionals. Preferred supplier list will be a great tool for those firms wanting to scale back service prices. Leveraging strategic suppliers who are ready to deliver not just one service but also added-value services, will become progressive engaging propositions for procurement as rationalisation of suppliers will be a key component of cost optimisation. Speed to promote, cost geography and capabilities are going to be high priority conditions for suppliers making the preferred supplier list, which will continue to compress in size as supply-chains globalize and suppliers become progressively dynamic.
- E – Procurement Systems
E-procurement systems will gain popularity, enabling suppliers and procurement professionals to be in contact, share and manage valuable information such as purchase orders, catalogues and contracts online. This will streamline the entire global procurement process and use records to quickly and easily hold suppliers accountable, gain correct supplier information and better plan global transactions. E-procurement systems will save supply chains’ time and money by simplifying the procurement process for all.
- Strong supplier relationship
Good relations with suppliers will become more important than ever, as time to market will be the vital part of the process, supported by the company’s ability to obtain constant and quality supply from dependable suppliers.
Instead of opting simply for the lowest cost suppliers, the professionals will now be looking at suppliers with the optimum tools and training who can assist them throughout the design and production process.
- Better cost analysis
Scope of Total cost of ownership (TCO) will be much wider than before, incorporating direct and indirect costs, transaction costs and any other costs of disposal, all over time. TCO will enable buyers to see a more complete view of the financial investment and help them to compare different variables as well as incorporating concepts such as sustainability.
- Savings – just an element, not everything
Prioritised approach to cost savings will no longer be a common-practice, rather will just one of many elements in ‘procurement mix’. For companies, where savings are clearly needed, the first & foremost step will be an open conversation with marketing – strengthened by procurement’s newfound marketing savviness. Savings as a talking point between procurement and marketing will become less of a sticking point and more of a catalyst to build trust and improved relationships.
- Multi-departmental approach
Marketers will understand the value of viewpoints of other departments. They will allow other departments within the company to have input into the buying process and empower them to come up with great ideas to the table. For example, a plant manager can convey about the ongoing maintenance needs and accounting professionals can discuss about purchase orders/invoices. In near future, in order to proceed the marketing activities with the best result, marketing procurement professionals will need to be involved right from the idea development stage to the final stage of delivery with ensured success.
- Supply Chain, procurement & sustainability – all together
Supply chain, procurement and sustainability will come together. With emphasis on managing ethical, social and environmental issues, implementing responsible procurement processes, embedding sustainability into procurement processes and working with channel partners to manage final stages will become firmly embodied into procurement practice.
- Extended roles of suppliers
Marketing suppliers will reflect the values of the sourcing brand, and in many cases suppliers will becomes an extension of a corporate image. Suppliers will be required to not just tick boxes, but best supplier will be the one who would make efforts to improve the innovative credentials of companies by bringing ideas forward pro-actively and regularly.
How can procurement and marketing process work better until both share the similar language? Marketing procurement professionals should understand the ROI-driven world of marketers, while equally marketers should be aware and conscious of the value delivered by procurement. Understanding the trends deeply, procurement practices should be chopped and changed to bring betterment in the marketing function.
Agencyonnet is a comprehensive all-in-one technology enabled SaaS solutions for marketing and procurement teams worldwide. Please visit www.agencyonnet.com to set up a demo of the product or connect with me through my social links to find out how we can add value to your marketing & procurement teams.