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                                          Growing Your B2B
                                          Business Online
                                          Moderated by Chris Wang,
                                          Director of Marketing, Ariba Discovery
                                          Las Vegas, April 12, 2012




© 2012 Ariba, Inc. All rights reserved.
Agenda

    •   Ariba Discovery Overview
    •   Panel Introduction
    •   Best Practice Sharing
    •   Summary
    •   Q&A




2   © 2012 Ariba, Inc. All rights reserved.
What Is Ariba Discovery?

    •   The premier service for matching business buyers and
        sellers globally
                  Over 700K buyers and sellers
                  More than 20K categories
                  Over 190 countries
                  Innovative matching engine
                  Advanced collaboration capabilities
                  Rich seller profiles and lead management tools
                  Over $1.5B USD in business opportunities
                  More than 30K green and diverse sellers

3   © 2012 Ariba, Inc. All rights reserved.
More Value for Buyers and Sellers

                        BUYER VALUE                      SELLER VALUE
    • Achieve incremental savings of 15%      • Tap into over 3B USD buying volume
                                                right in Discovery
    • Reduce costs up to 75% for seller
      identification and qualification        • Maintain high visibility in front of real
                                                decision-makers, with budget and
    • Save up to 90% of time for seller
                                                ready to buy
      identification and qualification
                                              • Cost-effective lead source versus
    • Make better, more informed seller
                                                traditional methods
      selection decisions
                                              • New sales channel, comprising
                                                15-50+% of revenue for many sellers




4   © 2012 Ariba, Inc. All rights reserved.
Introducing Our Panel

    .
            Leanne Melton, Strategic Supply Base Manager
    .
            Proforma IdeaPress: Pratt Pande, Vice President
            Proforma Quicksilver: Geoff Becker, EVP of Sales


            Brett Mauser, Director of Strategic Sourcing


5       © 2012 Ariba, Inc. All rights reserved.
Plaid and Its Challenge

    •   Large and diverse manufacturer of creative
        do-it-yourself products
    •   Had moved production to China 12 years ago to
        capitalize on favorable exchange and labor rates
    •   Challenges
                  Surviving against competitors’ lower prices and shorter lead times
                  Identifying and qualifying alternative sources
                  of supply without international sourcing staff
                  Assessing legitimacy, capabilities, and
                  reliability of sellers on Chinese Internet sites

6   © 2012 Ariba, Inc. All rights reserved.
Plaid and Ariba Discovery

    •   Started using Ariba StartSourcing to manage events and
        Ariba Discovery to find new sellers
    •   Results
                  Found local seller that was only two miles away
                  Considerably reduced production costs
                  Cut lead times from 120 days to 30
                  Improved quality and marketability
                  Is considering seller for additional products




7   © 2012 Ariba, Inc. All rights reserved.
Proforma IdeaPress and Its Challenges

    •   Top-ranking supplier of print and promotional products with
        15,000 product manufacturers in the U.S.
    •   Challenges
                  Competing with overseas manufacturers
                  Getting to the right decision makers
                  Increasing visibility with buyers in large organizations
                  Getting high-quality leads through traditional
                  marketing activities and reverse auctions
                  Expanding existing accounts across the
                  entire customer organization

8   © 2012 Ariba, Inc. All rights reserved.
Proforma IdeaPress and Ariba Discovery

    •   Was already on the Ariba Network and started using Ariba
        Discovery to easily identify leads
    •   Receives an email notification for every matching lead
    •   Maximizes visibility with the Advantage Package
    •   Results
                  Won over $700K in new business from two new customers
                  Shortlisted for a $1M order from a 3rd customer
                  Reduced number of touches per lead by 70%
                  Cut lead times by 40%
                  Expanded product lines and capabilities
9   © 2012 Ariba, Inc. All rights reserved.
Proforma Quicksilver and Its Challenges

     •   Needs to differentiate through service in an intensely
         competitive commodity goods industry
     •   Challenges
                   Labor-intensive sales process involving cold calls and
                   customer references
                   Majority of customers are Fortune 500 companies
                   centralizing their buying activities to reduce cost
                   Finding economies of scale due to increasing
                   cost pressure
                   Competing with big players that have
                   high brand awareness
10   © 2012 Ariba, Inc. All rights reserved.
Proforma Quicksilver and Ariba Discovery

     •   Started to use Ariba Discovery to easily find new leads
     •   Uses Ariba Network and Ariba PunchOut catalogs to
         showcase products and centralize customers’ orders
     •   Results
                   Won initial $10K business and thousands of dollars worth of
                   consecutive orders from a mid-sized buyer
                   Shortlisted for two orders worth $1.5M total by
                   two large buyers
                   Received two customer recommendations
                   Got the opportunity to further grow the business

11   © 2012 Ariba, Inc. All rights reserved.
Overview of Winn-Dixie/Bi-Lo

     •   Ninth-largest traditional supermarket chain in the U.S.
     •   63,000 team members
     •   688 grocery stores and 493 pharmacies
     •   Stores located in Alabama, Florida, Georgia, Louisiana,
         Mississippi, North Carolina, South Carolina and Tennessee




12   © 2012 Ariba, Inc. All rights reserved.
Sourcing Organization

                               Direct –                      Indirect –
                             Merchandise                    Not for resale
                                                 200 Projects

                                               $1.5B in Spend

                                               7,000 Suppliers

                                         16 Experienced Team members


13   © 2012 Ariba, Inc. All rights reserved.                             13
Ariba History

     •   Sourcing Pro – Five Years
                   250+ RFPs
                   100+ Auctions


     •   Ariba Discovery – Two Years
                   100+ Discovery events




14   © 2012 Ariba, Inc. All rights reserved.

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Growing Your B2B Business Online

  • 1. S Growing Your B2B Business Online Moderated by Chris Wang, Director of Marketing, Ariba Discovery Las Vegas, April 12, 2012 © 2012 Ariba, Inc. All rights reserved.
  • 2. Agenda • Ariba Discovery Overview • Panel Introduction • Best Practice Sharing • Summary • Q&A 2 © 2012 Ariba, Inc. All rights reserved.
  • 3. What Is Ariba Discovery? • The premier service for matching business buyers and sellers globally Over 700K buyers and sellers More than 20K categories Over 190 countries Innovative matching engine Advanced collaboration capabilities Rich seller profiles and lead management tools Over $1.5B USD in business opportunities More than 30K green and diverse sellers 3 © 2012 Ariba, Inc. All rights reserved.
  • 4. More Value for Buyers and Sellers BUYER VALUE SELLER VALUE • Achieve incremental savings of 15% • Tap into over 3B USD buying volume right in Discovery • Reduce costs up to 75% for seller identification and qualification • Maintain high visibility in front of real decision-makers, with budget and • Save up to 90% of time for seller ready to buy identification and qualification • Cost-effective lead source versus • Make better, more informed seller traditional methods selection decisions • New sales channel, comprising 15-50+% of revenue for many sellers 4 © 2012 Ariba, Inc. All rights reserved.
  • 5. Introducing Our Panel . Leanne Melton, Strategic Supply Base Manager . Proforma IdeaPress: Pratt Pande, Vice President Proforma Quicksilver: Geoff Becker, EVP of Sales Brett Mauser, Director of Strategic Sourcing 5 © 2012 Ariba, Inc. All rights reserved.
  • 6. Plaid and Its Challenge • Large and diverse manufacturer of creative do-it-yourself products • Had moved production to China 12 years ago to capitalize on favorable exchange and labor rates • Challenges Surviving against competitors’ lower prices and shorter lead times Identifying and qualifying alternative sources of supply without international sourcing staff Assessing legitimacy, capabilities, and reliability of sellers on Chinese Internet sites 6 © 2012 Ariba, Inc. All rights reserved.
  • 7. Plaid and Ariba Discovery • Started using Ariba StartSourcing to manage events and Ariba Discovery to find new sellers • Results Found local seller that was only two miles away Considerably reduced production costs Cut lead times from 120 days to 30 Improved quality and marketability Is considering seller for additional products 7 © 2012 Ariba, Inc. All rights reserved.
  • 8. Proforma IdeaPress and Its Challenges • Top-ranking supplier of print and promotional products with 15,000 product manufacturers in the U.S. • Challenges Competing with overseas manufacturers Getting to the right decision makers Increasing visibility with buyers in large organizations Getting high-quality leads through traditional marketing activities and reverse auctions Expanding existing accounts across the entire customer organization 8 © 2012 Ariba, Inc. All rights reserved.
  • 9. Proforma IdeaPress and Ariba Discovery • Was already on the Ariba Network and started using Ariba Discovery to easily identify leads • Receives an email notification for every matching lead • Maximizes visibility with the Advantage Package • Results Won over $700K in new business from two new customers Shortlisted for a $1M order from a 3rd customer Reduced number of touches per lead by 70% Cut lead times by 40% Expanded product lines and capabilities 9 © 2012 Ariba, Inc. All rights reserved.
  • 10. Proforma Quicksilver and Its Challenges • Needs to differentiate through service in an intensely competitive commodity goods industry • Challenges Labor-intensive sales process involving cold calls and customer references Majority of customers are Fortune 500 companies centralizing their buying activities to reduce cost Finding economies of scale due to increasing cost pressure Competing with big players that have high brand awareness 10 © 2012 Ariba, Inc. All rights reserved.
  • 11. Proforma Quicksilver and Ariba Discovery • Started to use Ariba Discovery to easily find new leads • Uses Ariba Network and Ariba PunchOut catalogs to showcase products and centralize customers’ orders • Results Won initial $10K business and thousands of dollars worth of consecutive orders from a mid-sized buyer Shortlisted for two orders worth $1.5M total by two large buyers Received two customer recommendations Got the opportunity to further grow the business 11 © 2012 Ariba, Inc. All rights reserved.
  • 12. Overview of Winn-Dixie/Bi-Lo • Ninth-largest traditional supermarket chain in the U.S. • 63,000 team members • 688 grocery stores and 493 pharmacies • Stores located in Alabama, Florida, Georgia, Louisiana, Mississippi, North Carolina, South Carolina and Tennessee 12 © 2012 Ariba, Inc. All rights reserved.
  • 13. Sourcing Organization Direct – Indirect – Merchandise Not for resale 200 Projects $1.5B in Spend 7,000 Suppliers 16 Experienced Team members 13 © 2012 Ariba, Inc. All rights reserved. 13
  • 14. Ariba History • Sourcing Pro – Five Years 250+ RFPs 100+ Auctions • Ariba Discovery – Two Years 100+ Discovery events 14 © 2012 Ariba, Inc. All rights reserved.
  • 15. Use of Ariba Discovery • Why we use Discovery Simple three-step process, no training required Easy to import suppliers from Discovery into Sourcing • When we use Discovery Great for smaller projects Easy to discover new alternatives Short data collection timeframe • How we use Discovery Very fast results, we leave postings open for ~1 week We don’t use it to accept bids, but to filter those that we want to invite to our RFP or auction Easy to add them to events or our supplier list in Ariba 15 © 2012 Ariba, Inc. All rights reserved.
  • 16. Categories Leveraging Discovery Equipment & Services IT Construction Vertical Balers Window cleaning Printers Composting Grease trap services Routers Signs and Lighting Electrical Services Switches Store Decor Plumbing services UPS Self Service kiosks Common Area Batteries Maintenance Wiring/cabling service Security guards HVAC Maintenance 16 © 2012 Ariba, Inc. All rights reserved.
  • 17. Success with Ariba Discovery • Discovery helped identify new suppliers that won business with Winn-Dixie UPS – Distributor with competitive pricing UPS Batteries – Distributor with best pricing and delivery options Printers – Local distributor in our operating area with outstanding service and delivery Common Area Maintenance – Single provider that could support our Winn-Dixie stores at best pricing and service model 17 © 2012 Ariba, Inc. All rights reserved.
  • 18. Sharing Best Practices • Showcase your company Optimize your online profile and references • Interact with active buyers Best practice on responding to leads • Maximize your presence Build your brand on Ariba Discovery 18 © 2012 Ariba, Inc. All rights reserved.
  • 19. Maximize Your Impact • The Top 5 things to do to leverage your company 1. Update your profile 2. Get the commodity right 3. Update contact information 4. Invite more references 5. Build your premium brand 19 © 2012 Ariba, Inc. All rights reserved.
  • 20. Share This Session…NOW…from your mobile! • All presentations are posted: Guidebook mobile app – Search Apple or Android app store for Guidebook – Enter code “collabor8” Or at Slideshare.net/Ariba • Share via email or social media **Come back soon – we are syncing #AribaLIVE audio and video interviews to the presentations** 20 © 2012 Ariba, Inc. All rights reserved.