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Partnering With an Indian IT Services Company: Insights from a German Business Manager

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Partnering With an Indian IT Services Company: Insights from a German Business Manager


Businesses in Germany are often on the lookout for software development partners who can accompany them on the journey to success.  In this endeavor, they expect the famous German-standard high-quality development and project management from the IT services company.

Such IT services companies are plenty in India, and the hurdles of time and distance are easily overcome with seamless connectivity between the two countries.

But how can German businesses ascertain which partner will be able to provide the kind solid and dependable collaboration they seek?
 
Ulrich_ii

Ulrich Schmauz, the business head for the European region at embitel GmbH, has 16 years of experience in facilitating successful collaborations between top German brands and Indian software development companies.

In this post, Ulrich shares dos and don’ts to help select a technology partner for your ecommerce website implementation or automotive technology development for a successful collaboration.

 
 

  1. Expertise in cutting-edge technology: Contemporary for German consumers

  2. German technology is known for its precision and robustness. German companies seek adequately experienced development teams to work on innovative products based on cutting-edge technologies in areas of automotive, IoT and ecommerce.

    In India, talent is widely available but it is vital to ensure your partner can meet your high quality standards.

    Choose to work with IT vendors who have well-defined and robust project management best practices in place and R&D is part of their organization’s DNA.
     

  3. International experience

  4. Working style, culture and ethic varies with geography. Due to such differences, where there is no right or wrong, it is helpful to partner with a technology development company with prior international experience.

    Start with the CEO of the organization when checking for experience in working abroad. Then work your way towards those who will be responsible for delivery of your project, and then to those who will actually be working on it.

    While it may not be possible to vet individual profiles, or even find too many developers with international work experience, at the very least those in a leadership role should have had the experience of working out of their home country and understand the nuances of working with an international audience.
     

  5. Compatibility with the account manager

  6. As a client, most of your interaction with your technology development partner will be with your account manager and the nature of your relationship with her/him will have a direct impact on the outcome of your project.

    In my experience, I have often come across managers who, when asked for the outcome of past projects, are afraid to reveal that they have struggles or failures.

    An honest relationship is beneficial not only for your business, but for the technology vendor too as it means a less stressful project experience.

    When you are evaluating a technology vendor for a project, asking the vendor about the past success and failure rate is a good way to measure honesty. Zero failure is highly unlikely and such claims usually warrant further investigation.
     

  7. References & case studies

  8. All IT services companies will promise immense capability and exemplary execution. There is only one sure way of ascertaining how likely the technology vendor is to fulfill your requirements successfully—case studies showcasing past experience.

    Consider these carefully to not only assess capability in development and implementation, but also to understand how the team responds to challenges.

    If the vendor passes this test, you may go a step further, if possible, and seek verification from other reference contacts/companies too.
     

  9. Sufficient proactiveness

  10. A good IT vendor will take the pains to understand the client’s requirements, the context and then work towards delivering a solution accordingly.

    This means not just working as per the client’s request, but also applying oneself to explore and suggest better solutions or alternatives.

    This is a fine line to balance as it is necessary to fulfil the client’s need while adhering to timeline and budget, and yet recognize when there may be a better way of achieving the same goal. It is easy to cross the line and turn too pushy in an effort to demonstrate this proactiveness.

    A good and experienced vendor will make the client’s requirements priority and understand when to toe the line and when to push it.

 
Besides these, keep the basic parameters such as budgetary requirements, certifications and qualifications in mind.

Once you choose the right partner, the benefits of collaborating with an Indian IT services company are many and you are likely to have a fruitful and long-standing relationship.

About Embitel Technologies: Embitel has presence in India, Germany, the USA, UK and UAE. Embitel has partnered with tier-1 suppliers to work on various technologies such as CAN FD software stack integration and flash bootloader development
 


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A 7-Step Framework for Successful Ecommerce Implementation


ecommerce web store

Now that the fundamentals of an ecommerce business in theory are clear (Is your Ecommerce website, a retail web-store? – the 4 fundamentals to make sure!).It is now time to put them to practice.

Successful implementation of any ecommerce business is dependent on implementing or adopting these seven key steps:

  • Planning for eCommerce Business
  • Technology Selection/Website Audit & Analysis
  • Customer Acquisition
  • Customer Engagement
  • Customer Retention
  • Optimizing Key Metrics, and
  • Business Analysis & Customer Insights

Each of these steps has a positive and cascading effect on the other steps and hence implementing each of them in the right priority and in a phased manner is of utmost importance.

For an e-commerce business to get the maximum ROI on their investment, it is the execution of these 7 steps around the 4 core pillars that will be your mantra for success!

 

1. Strategic business planning and roadmaps – Strategy is about making the right choices that will help reach the stated business objectives.

There should to be a clear cut vision, mission and objective about what will be achieved, in how much time, within what budget, identification of the right resources for and constraints in the face of execution of the strategy mentioned in the business plan, and what elements will be considered for roadmap.

Knowledge and deep understanding of the digital marketing tools and techniques that will help in reaching and acquiring customers is required. Your business must reach out to customers who are online across multiple dimensions and devices.

So, the assumptions considered in preparing the strategic business plan should be in alignment with the ecommerce industry’s norms and trends.

 

2. Technology selection/ website audit and analysis – In order to provide the maximum benefit to the end customer, your chosen ecommerce technology should be fully capable of being customizable, and be able to complement the business model, and adhere to the existing best practices in offline retail.

If you’re a retailer taking the first-time plunge into ecommerce, various functionalities on the e-commerce website should be carefully thought over based on the industry, audience being targeted, various customer segments who may be buying the offered products and services.

With respect to retailers who have implemented an ecommerce strategy and have not yet received the rewards of the complete capability of the ecommerce technologies, there needs be a complete assessment of how the website can perform better by examining the store front and customer flow, analysis of competing websites, identification and implementation of solutions based on the gap analysis carried out (‘as-is’ and ‘to-be’). It is equally important to measure and monitor the process that was made because of the implementation of the suggested changes.

 

3. Customer acquisition – Online or popular digital marketing encompasses multiple tools for reaching out to the new generation of customers, who are actively engaged in using multiple devices, through search engine optimization, search engine marketing (paid advertisement that includes both cost per click and cost per thousand impressions), social media marketing (that includes both cost per click and cost per thousand impressions), email campaigns, display advertisements using various ad networks, referral programs and re-targeting campaigns.

Going by the sales principles of AIDA (awareness, interest, desire and action), it’s important to note that the cost of customer acquisition will be very high for brands and retailers that are newly establishing their product offerings exclusively online.

However, for brands that are well established offline and are pursuing ecommerce strategy, the cost of customer acquisition is lesser compared to the new entrants.

 

4. Customer engagement – Customers these days are actively seeking to engage with brands to understand the core benefits and unique value proposition that the brand offers, discount and offers during special seasons, a robust support mechanism for queries/clarifications regarding the products displayed and interaction with customer support executives to know more about policies on returns and exchange, etc.

Engaging customers through various social media channels also instills superior trust in the minds of customers.

 

5. Customer retention –With the advent of sophisticated e-commerce technologies, new age retailers will be able to leverage an almost one-to-one customer experience and that’s the best a customer can really expect.

However, it should be noted that to fully leverage best-in-class technology, there needs to be a constant effort to look out for features and functionalities that will enhance the customer experience.

 

6. Optimization based on key metrics – Some of the key metrics to measure the health of an ecommerce venture are the total revenue generated, cost of customer acquisition, % of customers converted, and % of customers entering the website through various channels.

However, these metrics may vary significantly based on the business objectives and so every business needs a fully customized approach for defining the key metrics and further analysis.

Once these are defined and there are a substantial number of customers visiting the website, a deeper level of optimization is needed at 2 levels – on the technology and the business front.

  • a. Technology – This generally includes optimizing the page load speed, shopping cart, check-out and other web pages, a/b and multivariate testing, etc.
  • b. Business – Optimization here includes analysis of the total revenues generated, total spends for running the e-commerce operations, optimizing the gross net margins, conversion rates from each of the various channels, customer loyalty and retention rates, rate of repeat purchase, frequency of repeat customers (across multiple dimensions), % of carts abandoned, etc.
  • There are a lot of features and functionalities to helping online retailers improve these numbers. There is a lot of research evidence supporting the incorporation of features like reviews and ratings, and display of the right products either through up-selling or cross-selling.
  • Based on the statistics, 47% of shoppers read product reviews prior to their online purchases and 63% are more likely to buy from websites with online reviews or ratings [1]. Similarly, online companies that leverage a recommendation system can increase sales by 8-10%.

 

7. Business analysis and customer insights – The final step in the entire process is about fine-tuning and understanding the product categories that have performed well compared to other products displayed in the webstore. Assessing this is crucial since each of these categories and products within those categories occupy the prime real estate in the online world – the web store.

  • It also should consist of understanding the customer segments, demographics, profitable customers, source of channels through which the profitable customers came to the web store, % of revenue each profitable customer contributes to and the marketing spends that has gone into acquiring these customers.
  • These metrics are only a small representation of a larger list that can be optimized further. These metrics vary based on the business needs and require a customized approach for defining, monitoring and optimization.

 

In today’s “compete hard or perish” environment a holistic e-commerce strategy, if planned and executed well, can be an important means of bolstering revenues, increasing brand awareness, providing best in class support and shopping experience to the new generation of customers.

The successful implementation of an e-commerce strategy helps in gaining a competitive edge over the existing competitors, no matter whether they are online or offline.

It’s evident: a clear winner in the game of e-commerce power play will be one who understands the role of deep integration of these 4 core pillars along with the importance of executing a 7 step approach around these pillars.

This blog is work of Anuj Ramachandra, Business Consultant, Ecommerce at Embitel Technologies.

Anuj has eight years of experience across various business functions including digital marketing, market research, business development, strategic business planning and product management with a specific focus on e-commerce and advices several leading Indian and international retailers on their e-commerce strategies.

Anuj can be reached at anuj.r[at]embitel[dot]com

For more information and to know how Embitel Technologies can help you drive your business objectives using e-commerce technologies, contact us at sales@embitel.com or visit our website at www.embitel.com

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Footnotes/References
[1] https://student-3k.tepper.cmu.edu/GSIADOC/wp/2007-E30.pdf Embitel e-commerce insights | May 2014