Online Ordering For the Flat Glass Industry

As someone who spent 25 years developing, selling, and implementing new technologies I have seen firsthand how an industry can change for the better by utilizing these new technologies and moving beyond the traditional way of doing business. Even if the current way seems to work, there are always processes that can be improved and change the way business is done in a way that benefits the entire industry. This is true of today’s flat glass industry as well.

​In an economic environment such as we have today doing things quickly and efficiently, and with as few personnel as possible, is essential. Customers want things now, they have the ability to shop around, loyalty has diminished, and they demand quick and accurate information. Cash flow is and always will be the most important financial aspect of your business, and the delays caused by the current way of doing business are a detriment to the entire industry. Imagine if a simple tempered glass installation could be turned around in two days instead of four. The customer is happier, the installer gets paid quicker, the fabricator gets paid quicker, and the OEM gets paid quicker. I know this is a simple example, but it can easily be magnified into a much larger scenario, and the financial impact much greater to all parties involved.

The current process for ordering flat glass from fabricators by retail and commercial glass companies seems to work, but that does not mean it could not be significantly improved. It works because it is the only way most in the industry know. In reality, it is an outdated way of doing business and slows the entire process from ordering to installation. Cash flow is slow, installation timeframes are extended, customer satisfaction is decreased, and the industry itself has found itself in an environment that continues to diminish the financial success of both fabricator and glass installer. There is also an aspect of the industry that exists and continues to take away from businesses that are viable, pay rent, pay salaries, pay insurance, and carry additional costs in order to serve the community. In other words, anyone with a truck can be a glass business, and while I in no way denigrate anyone who wants to start his or her own business, the low barrier to entry only serves to bring the pricing down for all.

In today’s world, a typical glass installer morning / day would consist of going to a commercial business or a residence, measuring and determining what product to order, letting the customer know they will get back to them, and then going back to the shop to start creating multiple faxes in order to obtain estimates or in some cases order the product. Many fabricators have cutoff times for certain products and missing a cutoff time can mean a 2-4 day delay, depending on the product and on the delivery schedules of the fabricator. This process can take a tremendous amount of time away from the installer when he or she could be out doing installs and other work that brings in revenue, and it is an even bigger issue in a small shop. The customer also has access to many potential installers due to the internet and information accessibility, and in many cases there will be 2-4 installers out measuring and quoting for the same job. It is often the case the fabricator will be providing the same quote multiple times for the different installers who are bidding for the same job. The entire process is time-consuming for both, and could be almost eliminated using an online quoting and ordering solution.

The current process creates multiple negative effects that serve as a detriment to the entire transaction cycle:

• Customers have to wait on estimates and installation timeframes
• Installers have to wait on quotes and pricing information in order to make a decision
• Fabricators have to have additional personnel in order to handle the tremendous volume of quotes, faxes, confirmations, and information transfer, even on smaller orders
• In many cases, miscommunication occurs due to the current process, resulting in redeliveries, payment issues, retail customer dissatisfaction at multiple levels, and negative financial impact for all involved
• Fabricators have orders on the floor longer because of delivery schedules, resulting in damages to glass and, as a result, incur additional costs
• Constant communication via fax and phone on delivery timeframes, delivery updates, price updates when something changes, and other information exchange from even the simplest of estimates and orders

The time has come for the flat glass industry to step up and adapt to new technologies that will streamline this entire process. This will result in quicker cash flow, increased customer satisfaction, competitive advantages for both fabricator and installer, and overall improvement of the industry.

Utilizing these technologies, an installer would be able to go to a commercial business or a homeowner residence, measure and determine the product, get all applicable pricing and delivery information from the fabricator, and provide the customer with an immediate quote, an immediate installation date, various product samples and other marketing materials, and given the go ahead by the customer, order the glass. They can even take a picture of the job if necessary, and attach to the online quote / estimate. This can all be done on an Ipad or even a cell phone. Imagine how the entire process would be improved:

• Customer gets immediate pricing and installation information and can make a quicker decision
• Installer has done all the work necessary to provide customer and fabricator with the specific information necessary to produce an order
• Fabricator personnel have not spent one minute on any of this, translating into time and money savings
• Installer can now track, follow up on the quote in an automated method, order the product with the push of one button, and track the delivery throughout the production cycle
• If a cutoff time is involved, the product can be delivered next day in many cases, the installation can be scheduled, the product can be installed faster, and both installer and fabricator can get paid faster. In the case of the fabricator, they move product they have already paid for faster.
• There are tremendous competitive advantages to the installer who does business this way. If the customer is getting quotes from several installers, and the price is competitive on all, then more than likely they will choose the installer who is the most professional, who can provide them the information they need the quickest, and who can do the job the quickest
• Fabricators would have the ability to be open 24/7, providing their customers the best service possible, without any additional expense. Customers can order and check pricing at any time, submit quotes, check statuses, and improve their overall way of doing business. This could eliminate the Monday morning barrage of phone calls and faxes, and get quotes and orders out quicker, and get glass delivered quicker.

This is where the industry needs to go, and the technology to do this exists today. It’s been prevalent in the auto glass industry for years, but everyone stayed away from the flat glass industry because it seemed more difficult. In actuality, it’s not. Configuring, pricing, and estimating for most products can be done in a very simplified manner, even with such complicated products as bath enclosures. It takes less time to create a configuration and a quote for a shower door utilizing an online ordering solution than it does to draw it out on paper. Online, the information is stored, and the pricing and ordering are immediate.

Financial Impact

The current process for ordering fabricated glass products is labor and time intensive and adds unnecessary costs to the fabricator and their customers. With the current process, a fabricator can spend approximately 3% – 7% of each dollar of revenue earned on salaries of personnel required to handle the workload. Using an online ordering system, this cost could be reduced to approximately 1% of sales, and provide additional hours of customer service at no additional expense. The savings, along with the streamlined processes and increased customer service, add up to a much more cost effective and efficient way of doing business for all involved in the industry.

Increased Communication

In today’s flat glass industry communication between fabricator and fabricator customer is, for the most part, reliant on phone, fax, outside salespeople, and in some cases simply word of mouth. If you are a fabricator, imagine being able to have your sales manager alerted via email or text when a large quote comes in. Imagine having your salesperson alerted as well, or having your salesperson alerted when a large order or quote comes in, so they can call the customer and thank them, or work with them on the quote. Imagine how important the vast data inherent in an online system could be used to create analysis and make better business decisions.

If you are an installer, imagine how much better you could operate if you were alerted via email or text when your orders were received, when your order confirmations were sent, when your delivery dates changed, and have easy access to all important information regarding your quotes and orders.

The ability to provide consistent and reliable information between both fabricator and installer is vast, and the advantages to doing business this way is even greater.

Personnel Aspects

Fabricators require both inside and outside sales personnel in order to do business. Inside personnel are needed to provide quotes, provide confirmations, receive faxes, generate confirmation faxes, track product delivery and communicate with customers, provide updates on changes, breakage, and so on. Fabricators use outside sales personnel to keep a face in front of the customer, to provide product information, to provide pricing information, and to act as a communication liaison between fabricator and glass customer. I agree that technology cannot take the place of a person, but I also know this sales person can only do so much, and even small things like price changes can be a nightmare because of inability to notify every customer in a manner that leaves no room for questions.

Imagine being able to provide a place where your customers see you daily. See your new products, see important company information and news, see price changes that are coming, and be able to communicate effectively and efficiently on a daily basis, at basically no cost to the fabricator. This is what can happen when customers rely on an online ordering portal in order to transact business.

People cost money, people take vacations, and people get sick. Online technologies provide customer service 24 hours a day, 7 days a week, without taking time off.

Competitive Advantages

Being able to transact business online offers a competitive advantage for both fabricator and fabricator customer. It also offers a much more overall cost-effective way of doing business for both. Glass installers who use online ordering, who see and understand the benefits, and who utilize it will have a distinct competitive advantage over those who continue to try and win business the old way.

Fabricators can receive tremendous financial benefits, and also provide their customers with a better way of doing business, one that will create customer loyalty even when things go wrong. Right now, it is easy for a fabricator customer to shop around, to do business with various fabricators based on how one is doing at the time, and other considerations. It would be hard to imagine a fabricator customer who is used to doing business online going back to the old method and ordering from a competitor who does not offer it simply because of a mistake or disagreement. That is what happens now.

25 years ago the automotive industry was primarily paper, phone, and fax driven. I was involved in numerous software implementations that changed all of that, and in just about all of them there were always complaints that this would never work, this makes things harder, I hate this, and so on. Invariably I would revisit the dealership, and never failed to hear comments like “you couldn’t take this away from me”, “I don’t know how I worked without this”, and “I don’t think I could go back to doing business the old way”. And it was always by the same people who were complaining during the implementation.

Naysayers will say it cannot be done efficiently in the flat glass industry, there are too many variances, too many aspects of ordering flat glass, but this is simply not true. All of the variables required to order even the most sophisticated glass product can easily be input and / or configured. The methodology exists, and the solution exists. And it is time for the industry to move forward, just as other industries have.

Author: David Cates