OlamNuts.com created a disruptive online experience by offering its wholesale service to a new segment.
Increase in new customers per month
Open up offering to smaller manufacturers and businesses
Reduce product quantities and increase sales without affecting profitability
Transition existing customers to the online platform and win the trust of new customers
Saw a 470% increase in new customers per month
Achieved a 1.5% conversion rate
Reduced support calls by 500%
Senior Director of Trading at OlamNuts.com
With the rise of superfoods, nuts have become a popular and healthy snack option. There’s a good chance some of your favourite snacks have come from Olam Nuts, a division of the Olam Group: among the world’s leading food and agri-businesses. Olam Nuts is one of the largest suppliers of bulk nuts and seeds, operating in over 60 countries. These foods continue to grow in value and demand, with the edible nut market accounting for USD 88.94 billion in 2018.
As a significant global supplier, Olam Nuts’ business model catered to huge manufacturers who buy nuts in bulk and wholesale quantities by the truckload (or larger). To add liquidity and tap into new markets, the company wanted to open up its offering to smaller manufacturers and businesses like bakeries, caterers, and restaurants in the U.S. and Canada. The challenge lay in reducing product quantities and increasing sales without affecting profitability. This wasn’t possible through the traditional offline business model, where the sales team manages one-on-one relationships.
Instead, Olam Nuts set out to disrupt the industry by introducing eCommerce with OlamNuts.com. By developing an online store designed to facilitate sales and fulfilment for smaller businesses, the company could expand its customer base without taxing its sales managers. When selecting the best platform, OlamNuts.com chose Magento Commerce hosted in the cloud due to its robust B2B functionality, expansive ecosystem and scalability, working with solution partner, Redstage.
The new site would be the first of its kind in the industry to offer wholesale nuts and seeds in quantities as large as 35,000 pounds. OlamNuts.com and Redstage understood that success depended on creating an online experience for B2B customers that emulated consumer retail sites. Because it was introducing a new business model to a traditional market, website design, and an intuitive experience were critical to getting existing customers onboard while also attracting new ones.
“Thanks to the online experience delivered with Magento Commerce, we’re enjoying higher liquidity, serving more customers from more verticals, and operating more efficiently,” says Nikhil Tandon, Senior Director of Trading at OlamNuts.com.
OlamNuts.com understood the importance of an intuitive experience with easy navigation. Redstage developed an appealing online experience that helped users find what they needed quickly. With just a few clicks, customers could easily navigate to their preferred product, see live nuts and seeds prices, stock availability, and place orders online. The addition of top bar search lets customers quickly find the products they want, from organic almonds to tricolour quinoa.
To help the sales team better manage clients while bringing in new business, the new site needed to make it easy for new customers to establish accounts online, including creating a line of credit. Automating the onboarding process offered OlamNuts.com a profitable way of selling lesser quantities to a new segment of customers. In return, smaller businesses could deal directly and buy bulk nuts and seeds straight from the source, benefiting from greater price transparency, quality product, and fast delivery. And online ordering provides 24/7 service beyond the business hours offered by sales staff. Order fulfilment and shipping are managed seamlessly through integration with ShipperHQ.
For OlamNuts.com to achieve success, it needed to effectively transition existing customers to the platform while also winning the trust of new ones. The sales team provided support by walking customers through the new website’s onboarding and ordering. After several transactions, they’ve found that customers prefer to place orders digitally. The sales team focuses instead on managing escalations and nurturing leads. Integration between Magento Commerce and OlamNuts.com’s CRM system facilitates account management by analysing customer behaviour and improving service delivery.
Since establishing its website, OlamNuts.com has opened up the business to smaller manufacturers and businesses that can buy bulk nuts and seeds directly from one of the world’s leading suppliers. OlamNuts.com now has a 471% increase in customer acquisition.
The seamless experience provided through the Magento Commerce solution has helped reduce customer support calls from three per transaction to 0.5. In return, customer lifetime value has increased. OlamNuts.com now plans to expand beyond North America, backed by the scalability driven by its online solution.