Reckitt Benckiser CEO Laxman Narasimhan recently said the company aims to double its e-commerce business again over the next 3 to 4 years.
RB plans to make an investment of £2 billion in business over the next 3 years. RB, as part of the growth strategy for 2020, aims to increase investment in digital capability, in-market competitiveness and operational resilience, particularly in customer service, as well as innovations.
Seth Cohen is the CIO of Reckitt Benckiser. Seth Cohen, as the global CIO of Reckitt Benckiser, is responsible for leading the next phase of RB’s IS transformation, including the integration of IFCN systems with RB’s, upgrading and deploying finance systems and enhancing technological capabilities.
Seth Cohen joined Reckitt Benckiser in 2017 from PepsiCo where he spent 3.5 years as SVP and chief information officer, Europe and Sub-Saharan Africa. Laxman Narasimhan joined Reckitt Benckiser as the CEO from PepsiCo.
Reckitt Benckiser has created and refined two business models for e-commerce. First, Reckitt Benckiser aims to focus on B2C and marketplaces with an emphasis on driving scale and efficiency.
Second, the focus of Reckitt Benckiser will be on direct-to-consumer, cross-border online to off-line as well as digitally native brands with an emphasis on fast cycle, test, learn, correct scale loops. “Both these models are in play with a very clear operating model that is being scaled across the entire company,” Laxman Narasimhan said.
Reckitt Benckiser has e-commerce operations in over 40 countries. E-commerce generates over 10 percent of total revenue. E-commerce is growing 30 percent a year, doubling over the last 3 years.
For example, digital and e-commerce are large enablers for Durex, which now has direct-to-consumer sites in 32 countries. The company can deliver Durex in under an hour and provide access and information and purpose in 15 countries, all by recognizing the consumer need for convenience and privacy.
“Savings generated this year will support some of the capability investments in Hygiene to expand category market units as well as investments in e-commerce, digital, technology, insights, research and development, particularly base health product development,” Laxman Narasimhan said.
Reckitt Benckiser is launching channel-specific sales excellence program in 60 countries. Its investments in brand-building include resources for design, demand space insights, digital and advanced revenue management and spend optimization tools.
Reckitt Benckiser aims to utilize its capabilities in digital data and analytics to enhance the speed and the growth. Reckitt Benckiser CEO said its e-commerce capability will support all three category business units as well as global functions.