dario ambrosini - supply chain & inventory gamification: the travel case study
DESCRIPTION
Multi-source inventory management has become an increasingly popular way for companies to reduce costs. Switchfly, a B2B2C SaaS platform in the travel and loyalty industry, saves tens of millions of dollars for its clients each year by using gamification in its inventory management system. The company will share its strategy for maximizing savings from 90 inventory suppliers that are responsible for over $1 billion in annual travel bookings.TRANSCRIPT
Copyright © 2013. All rights reserved.
Supply Chain & Inventory Gamification:
The Travel Case Study
Dario [email protected]
2
Our Technology in Action
3
The B2B2C Supply Chain
Multi-source access to 100+ supplier
APIs
Configurable business rules for individualized implementations
100% client branded web sites
$1 billion in annual gross
travel bookings
4
Problem with Transaction-Based B2B2C Model
5
Multisource Value Prop is Clear
20 destinations – 3 sets of dates – 3 night hotel stay
OTA 1 W 1 W 2 W3 OTA 2 RW 1 $350
$400
$450
$500
$550
16% Average Savings
Cumulative Average Price
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Gamification provides a simple way to overcome resistance
But Hesitation Across the Supply Chain Comes in Many Forms
Lack of experience
Desire to see proof points
Over-analyzing data
Fear of change Inability to relinquish control
Stuck inold ways
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Suppliers –Network Volume Share
98%
2%
Before Share Disclosed
90%
10%
After Share Disclosed
Supplier: 450% increase in volumeNetwork: 5% increase in revenue
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• Keep it simple
• Use anonymous data
• Aggregate network data works best
Key Takeaways
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B2B Clients – Network Conversion Rates
1 2 3 4 5 6 7 8 9 10 11 12
RelativeConversion
Rate
Network Average = 100
Client = 100% increase over
6 months
Network average shared
with Client
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• Relative performance is better than simple rank
• Benchmarks influence behavior even when targets exceed them
• Indexed benchmarks constantly raise the performance bar
Key Takeaways
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End Users – Sense of Urgency
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End Users – Exclusive Opportunity
35% of all hotels displayed have a package savings amount…
which result in 95% of total bookings
Even limited savings increases conversion rates
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• Don’t forget consumer marketing best practices – many rely on gamification
• A/B test gamification techniques just like any other marketing tool
Key Takeaways
Copyright © 2013. All rights reserved.
Thank You