Digitizing Sample to Insight: No action is no option Hilden, 9 March 2017 Sample to Insight Leadership in Sample to Insight Solutions 500,000 customers worldwide SAMPLE TO INSIGHT SOLUTIONS Sample Technologies BIOLOGICAL SAMPLE Bioinformatics Assay Technologies Automation VALUABLE MOLECULAR INSIGHTS Sample to Insight 2 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight Was passiert im Internet in 60 SEKUNDEN? Sample to Insight 1,600+ 1 A B NEW 13,000+ hours reads on streaming on PANDORA is added on craigslist NEW D 98,000+ TWEETS CALLS ON 320+ The LARGEST social reading publishing company C posts on 370,000+ minutes ADS MUSIC NEW VOICE POSTED ON definition 20,000+ 12,000+ NEW accounts 100+ NEW E accounts F 13,000+ iPhone applications downloaded NEW LARGEST article is community created content! published ? 40+ 6,600+ answers NEW QUESTIONS 100+ asked on the answers.com internet … pictures are uploaded on 50+ WORDPRESS 600+ 695,000+ NEW VIDEOS TOTAL NEW 70+ DOMAINS duration .gov 1,500+ .co.uk updates 168 million BLOGS EMAILS registered BLOG POSTS downloads facebook STATUS 60+ 25+ hours Sample to Insight The world's 1 1,700+ are sent 694,445+ SEARCH Firefox QUERIES DOWNLOADS 125+ 79,364 WALL POSTS 510,040 COMMENTS PLUGIN downloads The competitive landscape is changing New competitors arising … Traditional players high Life science capabilities New VC-funded players Tech players low low Source: DS2I project team Sample to Insight Digital capabilities high How do technological trends impact QIAGEN? Explosion of digital technologies has big impact on existing business Already big The next frontiers 5+ years Connected neocortex Robotics Autonomous vehicles & drones IoT/smart devices Augmented & virtual reality Big data Smart implants AI/Machine learning Cloud computing 3D Printing Ubiquitous connectivity Data available on anything for everyone Infinite storage and analytical capacity at very low cost Rise of analytics Social, local, mobile - sharing economy and mobile commerce Social media dominance ... Sample to Insight Tailor-made products in mass Logistics on demand Mixed reality marketing, products and services Experience anything wherever you are ... Singularity – machines will be smarter than human Life expectation will significantly increase Augmented humans will be significantly more productive Automation of white labor New products, mediations and diagnosis for an even more aging population No action is no option: clear business case for digital 12%pts avg. revenue growth spread between digital industry leaders and laggards – expected spread increase Revenue Digital opportunity 12% Digital threat Baseline Today Source: DS2I project team Sample to Insight 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight Digital is leading to changing customer behavior Awareness Approach Sales Engagement Retention Offline Marketing & Sales Traditional customer Exhibitions Print media Sales reps Tech service Sales reps Online conferences Online search Web shop Social media Email Hybrid customer Digital customer Online Marketing & Sales QIAGEN needs to simultaneously serve three types of customers Sample to Insight Change in customer behavior addressed through eCom Next digitization steps Old webshop Workflow concepts Sales cockpit Webshop relaunch Customer engagement portal Product recommendations Analytics dashboard Social media activity 2014 Sample to Insight 2015 2016 Successful rollout of the new WebShop in 20 countries Nordics UK Canada Ireland Germany BeNeLux France Austria Switzerland USA Spain Japan (sitecore) China Italy Hongkong Mexico Taiwan Singapore South East Asia Brazil Australia New Zealand Mexico and Italy launched in 2016, Brazil and China in preparation Sample to Insight WebShop in progress WebShop available Cyber Monday campaign using gamification and social media… Regions Europe, North America Channels B2B, B2C Touchpoints Offer E-Mailer External banners X Flyer X LP X MCF X Retargeting X Shop entry page X SoMe X Shop game X 30% off sample prep and assay products Sample to Insight 14 …generated $1.1M webshop sales in one day Conversion Funnel Breakdown Webshop Visits 25,353 1.94% Conversion Rate $2,175 Average Basket Size Visits Orders 493 Revenue $1,072,000 Sample to Insight Title, Location, Date 15 Gamification successfully used in other multichannel campaigns The Euros Trophy QIAlympics Sample to Insight Title, Location, Date 16 “George the QIAcube” campaign with one sale traceable to FB Approach: 15 targeted sponsored tweets Channels: Timeframe: 2 weeks (May / June 2016) Costs spent: Media budget: 450 US$ Results: +40k targeted impressions 350 web site-clicks 7 leads generated, 1 converted With limited media budget we generated high quality traffic to our website Sample to Insight 17 Organizational set up within eCom with discrete functional teams CFO eCom Digital strategy Digital Sales Performance marketing Conversion optimization Webshop and mobile shop optimization Sample to Insight Business Solutions EDI and Punchout solutions optimization Digital Services Online service strategy Onboarding new B2B customers Online service experience optimization Increase of utilization Development of IoT prototypes Content Management Analytics Online specific marketing & product content KPI tracking and ad-hoc analyses Search engine optimization Analytics for campaign optimization Ensure aligned content creation by product managers Customer behavior tests IT Web shop development Punch-out development Technology maintenance 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight Product recommendation feature on all product pages • eCom introduced Amazon-like feature in webshop showing recommended products based on purchase history Sample to Insight 20 Feature increased webshop sales by +5% • Adobe Test & Target tool measures uplift of 5% on the conversion rate (statistically significant) Product recommendations • Control group (yellow) = No product recommendations • Test group (blue) = New product recommendation feature Sample to Insight 21 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyon eCommerce Sample to Insight Implementing DevOps in eCom IT until end of 2017 Sample to Insight Title, Location, Date 23 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight Why Digital? Digital goes far beyond eCommerce It is changing the way how people live … Instant news access Unlimited media content Global and free communication Product offering transparency Apps for daily tasks Source: Project team Sample to Insight … and the way companies work Real-time process transparency Analytics based-decisions Process automation Detailed market intelligence Globally connected team Digital Accelerator will drive digital transformation and sales Operating model CFO Head of Digital Accelerator Digital strategy Creation Lab Prepare digital strategy Scout for new business ideas and technologies Track digital projects Digital IT Develop IT architecture Establish 'data lake', digital platforms and ecosystems Advanced analytics Provide data science capabilities Provide technical expertise Web shop Mgmt. Content solutions Manage web shop Search-friendly strategies Expand eCom sales Content concepts Omni-channel product enrichment Process digitization Source: DS2I project team Sample to Insight More than 100 digital ideas were considered for QIAGEN Selected interviews Long list Pre-selection >100 digital ideas Sample to Insight High priority initiatives 2 Roadmap – The full journey 20 initiatives clustered by implementation potential >40 digital concepts Pre-selection of digital ideas clustered by value chain according to relevance 1 (e.g. financial impact, feasibility) Digital ideas Evaluation & Detailing Short list Evaluation and detailing of pre-selected digital ideas along defined dimensions in interviews and creation of digital Roadmap – The full journey incl. underlying business case Medium priority initiatives Low priority initiatives Deep dive: IoT-enabled vendor managed inventory Pilot 1: QIAstock CEP user interface 1 Customer can update inventory status in web interface 2 Pilot 2: Mobile app for barcode scanning Sales rep scans incoming product Customer orders & checks-out product 3 Pilot 3: Connected and RFID-enabled fridges Inventory check every time fridge is opened & closed RFID tagged consumables Built in RFID antenna Manual Digital inventory management interface linked to QIAGEN Semi-manual Inventory tracking via mobilephone-enabled barcode scanning Automated Fridge recognizes removed consumables and autoreplenishes stock Maturity level Low Sample to Insight High Deep dive: E-enabled sales force cockpit with great results Sales cockpit equips sales reps with powerful intelligence ... Sales performance Product suggestions New contacts Cross-selling opportunities Customer funding ...driving significant impact Impact 2% sales uplift 25% broader product portfolio sold 30% more customer contacts of sales reps Shows instrument sales opportunities based on consumables consumption Sample to Insight Our 2020 goal is an industry leading digital ecosystem Digital replenishment Internet of Things Workflow utilization optimization Point of need access $ Inside the lab availability 24/7 mobile connectivity Sample to Insight 30 5 key learnings to successfully start your digital transformation No action is no option Start from the customer Analytics is key Build your own agile IT Digital goes far beyond eCommerce Sample to Insight
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