single source supply chain with robust B2B e-commerce
Our market study of key customer drivers and activity trends for the wholesale distribution group of International Paper showed the need to expand from a printing paper-based model and move to a broader industrial base, focused on packaging and facility maintenance for local, regional and National Account customers.
We combined over 20 separate regional merchants, operating in local markets under their different legacy brand identities, and created a new corporate identity, changing all the company names to xpedx and adopted a new hub and spoke business strategy.
We initiated a product bundling strategy for xpedx, supporting new suppliers and serving customers with better technology, equipment and service. This led to the acquisition of two global competitors, more comprehensive service solutions and national e-commerce linked with local market warehouse hubs across North America.
As a modern industrial distributor, xpedx expanded rapidly from $1.4 billion in revenue with a near negative ROI to more than $7 billion with a 6% ROI. xpedx became the largest and most profitable operating unit within International Paper Company.
e-commerce platform: $3 billion in revenue
We developed xpedx.com to give customers more choice and to reduce the cost of sales and service. Our national media and direct response campaign grew xpedx.com to $3 billion on line with better customer feedback and higher margins.
transforming sales activity from order taking to consultative selling
Our B2B initiatives transformed the xpedx sales culture from a product based, price-sensitive, transactional mindset to consultative selling, forming deeper relationships, adding expert value to keep the customer happy, increase customer share and improve overall margins.
forging deeper relationships
satisfaction as a primary service
bundling as a high value service
leveraging scale and availability
focus on customer service
driving $3 billion in on-line orders
creating practical customer value
new service: new value proposition
creating a customer centric selling system
We interviewed key customers, sales reps and SMEs to create modular sales kits customized and assembled by sales reps to personalize each customer contact. Floor plans highlight the relevant operating area within each customer where xpedx could help.
proprietary brands capture customer share
We created VECTOR brand imaging papers for office and digital printing. We managed the entire project, including producing packaging, sales collateral, direct marketing and media advertising. Available exclusively through xpedx, Vector sales surpassed $320 million in the first year.
turnkey diversity marketing: for a MWBE partner program
We created VENTURE brand office papers, named it, designed the packaging, coordinated production with the manufacturing mills and produced the marketing materials to launch the program.
Venture enabled xpedx corporate partners to comply with MWBE initiative requirements.