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One distribution system encompassing multiple business models

Klopotek Order to Cash is the distribu­tion system for every kind of publisher and distributor. O2C manages all of your products and customers in one single solution, and supports every distribution channel easing the transition from traditional to digital business models with its media-neutral ordering system.

Companies and divisions which are successfully employing Klopotek O2C are publishers which accept orders directly or manage subscriptions internally, webshops for customer self-care and online ordering which use an API to work with the central Klopotek data base, and publishing distributors.
The product pool and its centralized meta-data and detail metadata management solution is just as much a part of Klopotek  O2C as the warehouse management and stock valuation tools, the powerful marketing and address management solution, and subscription models of unrivaled scope.

German publishers generate a total turnover of approximately seven billion euros per year, a billion of which is managed with Klopotek Order to Cash.

A system that thinks in multiple dimensions

Klopotek O2C covers a multitude of product ,dimensions'. This is necessary because the publishing business has for some time now been in a process of change from a mono-structure (print) – by way of a predominantly print-oriented structure (print plus online) – to an explosion of formats: online as a database, online as an individual content syndication model, online on demand as a stream or as a rental model, e-book as a hybrid of online and print, en­hanced e-book as a mixture of print and film. Social reading, bookshelf for four weeks etc. – these all highlight the developments in the publishing industry.

So what should a successful publisher do? The traditional print business can't be neglected, but – at the same time – new models have to be tested out. But this shouldn't be allowed to lead to increased costs, nonintegrated processes, or structures which are outside of the existing performance indicators, because the pub­lisher has to be able to evaluate the success of the new models quickly and effectively in order to reach swift, reliable decisions. You need a system which can handle everything from classical models to experimental developments: Klopotek O2C.

Which business models does Klopotek O2C support?

Business model 1: selling books, e-books, and sets combining books and e-books

Klopotek O2C manages the printed book, the e-book, and a combination of both mediums for sets. All the format variants are defined in the O2C system and this allows for diverse combinations when ordering online.

Keeping (warehouse) costs down
The potential for the effective support of this business models extends further: if the print component of a set is not yet in stock, the system can deliver the e-book in advance. lf you have specified that the print component is suitable for print on demand, the system triggers the POD process.

Of course, Klopotek doesn't neglect a single variant of classical distribution operations such as physical distribution, warehouse management and automation, high-volume order processing, optimization of shipping costs, and customer management.

Links to distributors, EDI, magazine label export, Cheshire – every function for print including action or warehouse management is available in the system.

Business model 2: subscription models including top-down bundles and bottom-up bundles

With top-down and bottom-up bundling models, you deliver to your readers attractive offers without creating ballooning overheads. Klopotek O2C supports revenue distribution in both directions – whether top-down or bottom-up – and subscription changes in the webshop are saved directly in the back end. Subscription and one-off products can be combined as desired without any restrictions.

While in the case of a top-down model, prospective customers opt for a bundle right from the start, perhaps due to the attractive price, the bottom-up variant makes greater demands on the system, because the cus­tomer only decides to buy a bundle  instead of a single product while they are making the purchase.

So a bottom-up bundle doesn't have a flat price, rather each component of the bundle has a price and the total price of the bundle is the sum of the component prices of the components ordered. A subsequent order for optional components changes the price of the bundle.

Business model 3: selling chunks or product components

Klopotek O2C allows you to manage individual product parts, such as chapters or articles in a book, or product components (e.g. non-book articles) separately. Product components can be sold for different prices.

Royalties for the product parts are managed in Klopotek CRR (Contracts, Rights, and Royalties), so that no additional, manual processing is necessary.

Klopotek O2C provides automated support for these and many other business models – including accruals, rest credit, and webshop authorization.

  • Innovative new models: print, digital, and any combination of the two as a bundle
  • Effective for traditional business models: major distributors sell more than 50 million books each per year with Klopotek O2C
  • Modern: thanks to a customizable user interface and up-to-date workflow support
  • Efficient single system: no transfers via interfaces or separate data management; one product pool for the planning and sale of all variations

More Klopotek O2C advantages

When you provide particular years or issues of a journal online, the Moving Wall makes manual intervention unnecessary. The range of issues to which the customer has access changes from year to year, from month to month, depending on the access period and / or subscription duration – automatically, without  manual  intervention  – from  the back end to the front end.

Klopotek O2C supports Open Access making it avaible business model for publishers. The system can also account for challenges such as embargo periods or accruals along with non-profits as  publishing partners. In this context, Klopotek supports 'pure', Open Access models as well as combinations with pay publications  (for which the system then calculates the applicable royalties).

Patron Driven Acquisition (PDA) allows you to provide libraries with large numbers of e-books while individual titles are only purchased and paid for when a reader orders them. Klopotek O2C supports several variations of this model.

Advertising can also be managed seamlessly from within the O2C system. O2C includes a CRM system as well as address management and marketing with ROMI, and marketing target and sub-target groups. A customizable, 360° view of your advertising customers is provided via a web interface. Sophisticated selection options in both the address and product pools are also part of the system.