Empowering Distribution: Transformative CRM Journey to Unprecedented Adoption Success

Pain point:

Nidek, a Japan-based manufacturer of ophthalmic diagnostic and surgical equipment, relies on an indirect sales model. They have a global distributor network, with Nidek’s own subsidiaries in certain regions, such as Nidek USA. Nidek faces the challenge of providing timely support and product availability through its distributors while also gathering market intelligence from them to drive innovation. Operating from Japan, having access to real-time CRM data from global markets is essential for Nidek.

Solution:

CRM Implementation

While detailed public information about Nidek’s CRM is limited, it is clear that Nidek employs a centralized information system with distributor logins (their global site includes a “Member Login” portal for partners​ nidek-intl.com). This indicates an in-house or commercial CRM/PRM that allows distributors to place orders, report sales, and access resources. Nidek likely utilizes a system integrated with its ERP (possibly SAP ERP, given its manufacturing profile) and may be using either a CRM module of that system (SAP CRM) or a separate solution like Microsoft Dynamics. The important point is that Nidek offers tools for distributors to report sales and field data back to Nidek HQ, as well as for Nidek to share product information and updates.

Data Collected:

Nidek’s CRM, or partner portal, collects distributor sales reports (by product and region), inventory levels, and customer feedback or needs. For example, a European distributor selling Nidek retinal cameras would periodically input how many units were sold and any client requests. Nidek’s service teams also gather data on device installations and maintenance from distributors. Key data includes point-of-sale (POS) details (which clinic or hospital purchased the equipment, at what price, etc.), as well as market leads (potential deals in the pipeline). Given that Nidek operates in a technical field, it likely also gathers usage statistics and error reports through the distributors when they service devices, which can be integrated into the CRM to alert Nidek of any widespread issues. By consolidating this information, Nidek can track the performance of each region and product line. They also maintain a customer database (end-users of their devices) through information from distributors so that they can, for instance, target those end-users for new product upgrades later.

Result:

Through its CRM and partner system, Nidek achieved improved global coordination and data-driven decision-making. Data collection rates rose significantly, as more distributors started to submit sales and stock data electronically on a regular basis instead of on an ad hoc basis. This enabled Nidek to optimize production planning by knowing precisely how many devices sold in each region in near-real time. It also enhanced after-sales service; when a distributor logs a customer complaint, Nidek HQ can see it and provide advice or quickly dispatch parts, thereby improving resolution times. These improvements have resulted in higher customer satisfaction, with eye doctors using Nidek equipment reporting better support. On the sales side, Nidek’s revenue growth has been steady, likely supported by CRM insights that help identify growth opportunities. For example, by analyzing distributor data, Nidek may discover that a particular country has high demand for OCT (optical coherence tomography) devices, prompting them to invest more resources there. Quantitatively, if Nidek’s international sales grew by around 5%, some of that growth could be attributed to CRM-enabled channel efficiency. Another measurable outcome is a decrease in stockouts and backorders; as distributors input their inventory and sales data into the system, Nidek can replenish supplies before they run low, which facilitates smoother sales and improves revenue continuity—a percentage that would otherwise be lost to missed sales.
Moreover, Nidek’s marketing effectiveness has advanced. With clearer data on the number of potential customers in each region—based on distributor CRM inputs of leads—Nidek has been able to target training and promotions more effectively. For instance, if the CRM indicates that 50 clinics in a country lack the latest Nidek laser, Nidek can encourage the distributor to focus their campaign in that area, thus boosting uptake. Ultimately, Nidek’s CRM has made the indirect sales pipeline transparent, resulting in fewer lost opportunities and increased revenue gain.

Distributor Participation:

Nidek’s distributor network spans over 100 countries. The participation rate in their CRM portal is high among formal distributors – likely close to 100% of official distributors utilize it to some degree. Nidek’s “Member Login” implies that each authorized distributor has an account. They may upload sales data monthly or use it for ordering purposes. Since Nidek’s products often require technical support, even reluctant distributors are motivated to use the system to access manuals, software updates, and more. Initially, not all distributors may have been diligent in reporting sales, but Nidek likely tied certain benefits, such as favorable credit terms or discounts, to compliance with reporting. Over time, this approach would have achieved near-full participation. Smaller resellers (sub-distributors) might not interact directly with Nidek’s CRM, but they provide data to primary distributors who enter it into the system. As a result, Nidek effectively captures data from the entire channel through this system, with major partners actively involved. Cultural factors, such as Nidek being a Japanese company, suggest a structured approach – it’s likely that partners are formally required to report, and in Japanese business relationships, compliance is generally expected. Thus, CRM usage is embedded in the partnership agreements.

Onboarding Time:

When Nidek appoints a new distributor, part of the onboarding process involves granting access to the partner portal/CRM. The average time it takes to get a new distributor fully operational (able to place orders and log information) is relatively short, possibly a week or two, as it primarily entails IT setting up credentials and providing a brief training session on how to use the portal for ordering and reporting. The greater challenge lies in the consistent reporting of data. Nidek likely monitors new distributors for the first couple of quarters, reminding them to upload sales reports. After about 3 to 6 months, most new distributors become accustomed to the CRM routine. For instance, Nidek might request a monthly sales report through the portal; by the third report, the distributor understands the process. In summary, onboarding a distributor onto Nidek’s CRM tools is straightforward (taking days to weeks), while achieving consistent data sharing requires a few months of follow-up. Nidek’s regional managers are involved in this onboarding, working closely with the distributor until they become self-sufficient on the platform. With the system well-established, ongoing onboarding is likely even faster as best practices have been refined.

CRM System:

Nidek has not publicly disclosed its CRM vendor, but based on its needs, it could potentially be a module of SAP, considering Nidek, as a manufacturer, might utilize SAP ERP, seamlessly integrating SAP CRM. Another possibility is a custom web portal with a database that feeds into their ERP/CRM internally. The presence of a ‘Member Login” on their site suggests a custom web interface. However, Nidek must internally possess a CRM or, at the very least, an ERP-based customer management system. It’s plausible they use SAP ERP with add-ons for channel data management. Some Japanese companies also use Microsoft Dynamics CRM. If Nidek were using Salesforce, it likely would be mentioned in industry case studies, which it is not. Therefore, leaning toward SAP, they could have either SAP CRM or simply SAP ECC with partner functions. In any event, the system is centralized at Nidek HQ and accessible online by distributors globally.