building a succesful ecommerce business

Building  a  successful  ecommerce  business  

1  

Nishant  Kapoor  General  Assembly,  Hong  Kong  

August  13,  2014      

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

What  is  ecommerce?  

•  Why  would  someone  buy  online  when  they  can  get  the  same  item/  same  price  in  the  neighbourhood  store?  

2  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

What  is  ecommerce?  

•  Long  tail  =  abundance  of  choice  •  Convenience    •  InformaMon  /  reviews  •  PersonalisaMon  •  RecommendaMons  •  Price  

3  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

What  is  ecommerce?  

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ecommerce  

Digital/  Online   Retail/  Merchandising   LogisMcs  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  business  models  

•  Retail  •  Marketplace  •  SubscripMon  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Ecommerce  equa8ons  

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•  Traffic  X  Conversion  =  Orders  •  Orders  X  RetenMon  =  Customers  

•  Customers  =  ?  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Traffic  

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•  Free  –  Organic  Search  – Word  of  mouth  –  Social  media  –  Partnerships  –  Inbound/  Content  

•  Paid  –  Paid  Search  –  Display/  Content  ads  –  Offline  =  magazines,  direct  mail,  outdoor  ads  –  Events  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Conversion  =  Trust  

•  Building  trust  – Design  –  Copy  (no  typos!)  –  Site  security  –  Contact  informaMon  –  Live  Chat  – About  Us  –  CerMficaMons  –  Reviews  –  TesMmonials  

8  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

9  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

10  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

11  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

12  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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PetProject.HK  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

LifeProject.HK  

14  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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PetProject  ‘About  Us’  page  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

LifeProject  ‘About  Us’  page  

16  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Reviews  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Reviews  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Reten8on  =  LEAP  

•  Loyalty      –  Customer  service  –  Returns  policy  

•  Enagement  –  Emails/  communicaMon  –  Social  media  –  PersonalisaMon  

•  AnalyMcs    •  Plagorm/  Plugins  

19  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Constantly  measure  and  improve  customer  sa8sfac8on  

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97%   98%   99%  

3%   2%   1%  

2013  Feb   2013  Oct   2014  Mar  

%  Customers  would  Shop  with  us  again  

Yes   No  

97%   97%   100%  

3%   3%   0%  

2013  Feb   2013  Oct   2014  Mar  

%  Customers  would  Recommend  us  to  Friends  

Yes   No  

76%   81%   79%  

24%   17%   21%  0%   3%  

2013  Feb   2013  Oct   2014  Mar  

Overall  Experience  

Excellent   Neutral   Poor  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Analy8cs!  

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0:03:12  0:02:57  

0:03:40  0:03:36  

0:03:57  0:03:51  0:04:00  

0:04:22  

0:04:00  

0:03:43  0:03:32  0:03:33  

Minutes  on  site  per  visit  

 3.89      3.75    

 4.23      4.29      4.42      4.32    

 4.82      4.95      4.86    

 5.66      5.54      5.69    

Pages  per  visit  

1.19%  1.17%  

1.73%  1.69%  

2.15%  

1.58%  

1.95%  2.05%  2.03%  

2.23%  2.07%  2.09%  

Conversion  %  

 7.4      6.8    

 10.0      10.9    

 14.1    

 10.6    

 11.9    

 13.2      12.7      14.0    

 12.9      12.1    

Revenue  per  visit  -­‐  HK$  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Google  Analy8cs  

22  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Google  Analy8cs  –  custom  report  

23  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Google  Analy8cs  –  building  a  custom  report  

24  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Google  Analy8cs  –  purchase  funnel  

25  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Google  Analy8cs  –  building  a  purchase  funnel  

26  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Ecommerce  technology  /  placorms  

•  Own  website  – Hosted  SoluMons  –  eg.  Shopify,  Bigcommerce  – ApplicaMons  –  Magento,  OpenCart,  Prestashop  

•  Marketplace  channels  – Ebay  – Amazon  – Taobao/  Tmall  

27  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Ecommerce  Power  -­‐  Plugins!  

•  Email  –  mailchimp,  constant  contact  etc  •  Targeked  segmented  emails  –  Windsor  Circle  •  Chat  –  Olark,  Zopim  •  Helpdesk  –  Zendesk,  Helpscout  •  Inventory  management  •  Social  –  JustUno  •  Cart  recovery  •  AnalyMcs  -­‐  Jirafe  •  Mobile  –  martmobi  •  Product  recommendaMons  •  Reviews  -­‐  Yotpo  •  Shopify  App  Store  hkp://apps.shopify.com/  •  Magento  Extension  Marketplace  -­‐  

hkp://www.magentocommerce.com/magento-­‐connect/  28  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Ecommerce  Business  Model  

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hkps://docs.google.com/spreadsheets/d/1c7ZPiC3_4kOxURjp0_Ycmk7YaMBIjFIcE0kuFEFFR6c/edit?usp=sharing  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  in  Hong  Kong  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  in  Hong  Kong  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  in  Hong  Kong  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  in  Hong  Kong  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

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Ecommerce  in  Hong  Kong  

13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

Pet  ecommerce  in  Hong  Kong  PetProject   Apepet   Petpetorganic   Bcpets   WNP   HKJpets   Wisepet  

Physical  Store   ✗   ✔   ✔   ✔   ✔   ✔   ✗  

Credit  Card  Checkout  

✔   ✗   ✔   ✗   ✔   ✔   ✗  

IntuMve  UI   ✔   ✗   ✔   ✗   ✔   ✗   ✔  

Email  newsleker   ✔   ✗   ✗   ✗   ✔   ✗   ✗  

Flexi  returns  policy   ✔   ✗   ✗   ✗   ✗   ✗   ✔  

Loyalty  Points   ✔   ✗   ✗   ✗   ✗   ✗   ✗  

Automated  follow  up  emails  

✔   ✗   ✗   ✗   ✗   ✗   ✗  

Product  Reviews   ✔   ✗   ✗   ✗   ✗   ✗   ✗  

Languages   Eng  &  Chi   Chi   Chi   Chi   Eng   Chi   Eng  

Live  Chat   ✔   ✗   ✗   ✗   ✗   ✗   ✗  

SubscripMon   In  process   ✗   ✗   ✗   ✗   ✗   ✗  

Mobile  site/apps   In  process   ✗   ✗   ✗   ✗   ✗   ✗  35  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

PetProject  tes8monials  'By  the  way,  if  you  need  to  purchase  pet  food  or  treats,  etc.    I  would  recommend  this  newly  started  online  pet  shop  call  PetProject  HK.    They  have  excellent  customer  service  and  the  their  prices  are  very  reasonable  compared  to  other  ones  out  there.    Free  delivery  to  DB  if  order  over  HKD200.    Here  is  their  website:  hFp://petproject.hk/en      Their  staffs  are  very  friendly  and  speak  very  good  English.'        Posted  by  Angel  Chang  on  Discoverybayforum.com    'Thanks  for  the  delivery  this  morning.    I  am  very  happy  with  your  service  and  prices  and  you  can  count  on  me  as  a  loyal  customer.'  Gwendolyn  Moy,  Sheung  Wan    ‘I  just  ordered  some  Frontline  for  my  dogs  from  this  site  -­‐  excellent  service  hFp://www.petproject.hk/’  Posted  by  Ed  on  AsiaXpat.com  pet  forum    'You  guys  are  AMAZING!    My  Pom  had  a  sudden  change  of  food  preferences  in  which  she  suddenly  hates  all  the  food  we  got  her.  Basically  this  meant  that  she  would  have  NO  FOOD  in  2  days  and  given  the  holidays,  I  was  freaking  out  trying  to  find  a  place  to  buy  organic,  gluten  free  food  for  my  furry  baby.  THANK  YOU,  PetProject  for  accommodaYng  my  request  to  deliver  as  early  as  possible!  I  wasn't  expecYng  delivery  unYl  a[er  Christmas  but  you  guys  are  amazing!!!      Thank  you  so  much  for  organizing  so  quickly!  Merry  Christmas!,  Posted  on  our  facebook  page  by  Robbie  Alvendia    These  are  unsolicited  comments  posted  by  these  HAPPY  customers  in  public  forums  J  

36  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co  

PetProject.HK  tes8monials  I  used  to  have  to  go  to  different  pet  stores  to  buy  my  dog  food.  Now  with  PetProject,  I  can  just  sit  at  my  desk  and  order  anyYme,  day  or  night.  I  can  choose  from  many  different  types.  The  Pinnacle  Duck  &  Potato  dry  dog  food  is  not  available  in  the  stores  and  my  dog  loves  it.  He  is  picky  and  has  gone  through  5  days  without  eaYng  if  it's  something  he  does  not  like.  Now  cannot  wait  to  get  his  food  and  waits  for  it  every  day.  Alexandra  Yung,  Jul  11,  2013    Requested  to  match  the  lowest  price  I  found  online  was  not  a  problem  a  refund  was  issued  in  less  than  24  hours.  Great  service  Wanyee  Ho,  Jul  8,  2013    One  of  the  best  online  shopping  experiences  in  HK  Moray  Taylor-­‐Smith,  Jun  30,  2013    Healthy  and  good  quality  food  for  dogs.  Great  delivery  service  from  PetProject.HK  Lesley  Davies,  May  13,  2013    Promptly  responsive  &  highly  efficient!  Zachary  Yeung,  May  2,  2013  Can  easily  buy  the  product(s)  from  this  shop  and  also  save  Yme  for  purchasing.    I  will  come  to  visit  again.  Alice  Leung,  Mar  21,  2013    Very  fast  delivery.  My  cats  love  it.  Alex  Wong,  Mar  20,  2013  Smooth  communicaYon,  helpful  staff,  effecYve  delivery  !  Damien  CHAN,  Mar  13,  2013    

37  13-­‐Aug-­‐2014   Nishant  Kapoor,  nishant@lifeproject.co