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The 52% Problem: An Obstacle to B2B Progress

Recent research conducted by commercetools has introduced a significant challenge faced by B2B enterprises, dubbed "The 52% Problem." This issue exposes the widespread struggles these companies face due to inefficient manual processes and outdated technology. With more than half of B2B organizations dealing with these challenges, the call for modernization is urgent.

The Findings Behind The 52% Problem

The research executed in collaboration with Cascade Insights surveyed leaders across finance, operations, and procurement in the United States, the United Kingdom, and Canada. Notably, the findings revealed concerning statistics about current practices.

• - 52% of B2B organizations still depend on manual, error-prone processes that drain crucial resources.
• - A similar 52% reported that their technology stack is nearing its end-of-life within the next two years, while 16% will face this predicament within just 12 months.
• - Moreover, 52% of financial leaders are typically consulted too late in technology decisions to contribute strategically toward ROI and overall business goals.

Dirk Hoerig, the founder of commercetools, emphasized the gravity of this situation, stating, "This isn't merely a technology issue; it represents a strategic business crisis." The combined effect of outdated systems and a lack of strategic financial input creates a detrimental impact on business growth opportunities.

The High Cost of Inaction

The report underscores the dire consequences of inaction. A staggering 64% of respondents cited legacy systems as a primary barrier to achieving digital success, while 51% pointed out high integration costs. Additionally, 49% reported elevated operational expenses, and 79% noted that economic uncertainty has intensified the need for future-proofing strategies.

Organizations willing to innovate can transform these challenges into opportunities. Hoerig stated, "The enterprises that thrive are those that view this situation as an opportunity to fundamentally change their commerce operations for the better."

A Successful Example: Coflex

Coflex, based in Mexico, exemplifies success in modernizing commerce operations. By utilizing commercetools, the company revamped its systems within just 90 days, aligning executive leadership with team priorities and implementing a composable platform. This transformation led to the launch of a B2C-style portal, engaging over 80% of customers and nearly 90% of the sales force. This shift brought substantial revenue growth and stronger customer relations.

Omar Martinez, the Commercial Director at Coflex, remarked, "IT is no longer just fixing issues; it's a strategic partner that drives operational efficiency and fosters customer engagement." This case illustrates the power of cross-departmental collaboration to accelerate digital transformation.

B2B Leaders' Expectations from Modernization

As companies adapt to these challenges, they anticipate key benefits from modernization, such as:

• - Improved employee productivity (61%)
• - Increased revenue due to enhanced customer experiences (57%)
• - Better financial forecasting and cash flow predictability.

Addressing Automation Gaps with commercetools

In response to the identified challenges, commercetools aims to close automation gaps and improve scalability through innovative product offerings:

• - Recurring Orders allow for automated repeat purchases on flexible schedules, addressing the 52% of organizations reliant on manual processes. This solution enhances customer loyalty while reducing administrative workloads.
• - Large Carts is specifically tailored for complex, high-volume B2B transactions, capable of managing numerous line items, pricing, and shipping dynamics with exceptional speed.
• - Inventory Management at Scale delivers real-time inventory visibility and control, handling over 100,000 reservations per minute and alleviating the complexities of inventory management cited by 45% of respondents.

Conclusion

For B2B enterprises stuck in the cumbersome ways of legacy systems, recognizing "The 52% Problem" is the first step toward transformation. By prioritizing modernization and strategic collaboration, organizations can pave the way for operational efficiency and future growth. To learn more, check out the report titled "The 52% Wake Up Call: When Commerce Fails, CFOs Foot the Bill."

About commercetools: commercetools is an enterprise commerce platform that provides businesses with the flexibility to grow across every customer touchpoint. By removing the constraints of legacy systems, the platform enables companies to quickly adapt and personalize at scale, remaining competitive in a rapidly changing market. Trusted by major brands, commercetools empowers enterprises to deliver outstanding experiences that foster sustainable growth.