Why It’s Time for an Experience-Led Commerce Strategy

September 16, 2015

A global agency for creative ideation, commerce solutions,

mobile innovations, integrated marketing and digital content.

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We are passionate about delivering memorable customer

experiences that generate measurable business results.

BORN

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Recogni(on  that  we  have  won:  

North  America    (New  York  HQ)    Founded  2011  

Europe    (London  HQ)    Founded  1987  

Asia  (Chennai  HQ)    Founded  2007  

28 Years and Award Winning

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A paradigm shift towards the customer

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Disruption is Here

Commerce is changing. Fast.

What does this mean for brands?

Commoditizing the Market Market disrupters

Source: Forrester Research Online Retail Forecast, 2012 to 2017

International expansion is on every roadmap

Global Marketplaces

Explosive growth in emerging markets is forcing brands to address their unique needs

An over-reliance on IT

Marketing is dependent on IT for everything from content updates to page layouts

IT  

Page  Layouts  

Landing  Pages  &  

Experiences  

New  Templates  

Content  Updates  

OpMmize  Experiences  

Update  Social  Media  

3rd  Party  IntegraMons  

Code  Deployments  

IT  

Page  Layouts  

Landing  Pages  &  

Experiences  

New  Templates  

Content  Updates  

OpMmize  Experiences  

Update  Social  Media  

3rd  Party  IntegraMons  

Code  Deployments  

Inefficient Content Workflow

Content workflows and managing content assets is limited

tdunn@store.com

New Content for Website

Hi Tim, Attached is the updated content for the new marketing landing page. Thanks! Amanda

Content development

Basic HTML skills are often required to manage non-product content

Transformation is not easy, but it’s not optional

74% of retailers reported that their online sales grew 10% or more in 2014, and big investments are planned for 2015

Source: Forrester Research, The State of Online Retailing 2015

A diluted brand

Brand A

Brand B

Brand C

Brand D

Globalization Challenges

Your global brand needs a consistent voice localized by regional experts

The two-site syndrome

What does evolved look like?

Before: A forced choice After: Experience-led Commerce

Removing the division

Before: Rigid Wireframe Templates After: Design Without Limits

Enabling blended experiences

60% of organizations reported that commerce and marketing teams function in silos.

“As a content and commerce marketer, The North Face has a strategic imperative to stimulate emotional connections and maximize customer value.” ~R. Shay Miles*

*http://www.cmswire.com/cms/digital-marketing/discussion-point-can-one-firm-provide-complete-digital-experience-026277.php **http://digiday.com/brands/sociomantic-retailers-as-publishers/

“Consumers are no longer looking for shopping experiences that are distinctly separate. Today, consumers are looking to shop within content.” ~Rachel Tipograph**

What about the bottom line?

43.0%  

14.5%  

-­‐33.9%  -­‐40.0%  

-­‐30.0%  

-­‐20.0%  

-­‐10.0%  

0.0%  

10.0%  

20.0%  

30.0%  

40.0%  

50.0%  

Stock  Performance  (2007-­‐2012)  

Source: Forrester Research and Wartermark Consulting  

Customer Experience

Laggards

S&P 500 Index Customer Experience Leaders

Customer Experience is Critical

https://solutions.forrester.com/age-of-the-customer/cio-cmo-strategy-3115Q-3763IK.html?intcmp=mkt:ban:ah:blueprint

Emotion, not price

Source: Gallup State of the American Consumer

“Customers purchase based on price when there is no emotional connection to a particular retailer” ~Gallup

Barney’s Content Drives Conversion

“Customers who read Barneys' editorial site spend 40% more than those who don’t” ~Matt Linder, Internet Retailer

https://www.internetretailer.com/2015/03/24/barneys-relaunches-its-e-commerce-site-more-personalization

Acquia Commerce

Overall Vision: Best of Breed Commerce Suite

→  Experience Management →  Transactional Platform / Commerce Platform →  Share and enrich content and products between exp. mgmt. and commerce

systems →  Storefront Site / Mobile Apps / etc. →  Deliver cart & transaction from storefront to backend systems →  SLA / Support / Services to ensure all components are up and performing well →  Search Experience Building Tools →  Visitor Identification, Profile Management, and Personalization →  Back office Systems (OMS, PIM, ERP)

Experience Management

Commerce Platform

Payment Gateway

Pricing Rules Cart PIM Other Commerce Systems & Technologies

Multi-channel shopping experiences

Commerce Platform

Commerce Systems & Technologies

Commerce Today

Experience Management

Commerce

Payment Gateway

Pricing Rules Cart PIM Other Commerce Systems & Technologies

Multi-channel shopping experiences

Home Page Category Page Product Page Content Page Article Page

Experience Management

Commerce

Commerce Systems & Technologies

Success Stories

Puma Deployed the Acquia Platform & Demandware to Unify Content and Commerce to Deliver a Beautiful Global Commerce Experience.

Lush Cosmetics launched on the Acquia Platform, bringing their in-store experience online and saw a 53% increase in online sales

Thank You

AS A SERVICESOLVING COMMERCE

All Rights Reserved© 2015 34

Omni-Channel drives revenue Single biggest incremental revenue opportunity for retailers

All Rights Reserved© 2015

•  Simplifies back office integration via advanced API architecture•  Enables virtually any consumer presentation - unlimited "store layouts"•  Provides for a complete suite of digital commerce technology with no need for replatforming

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Omni-channel Challengescommercetools solution enables organizations

•  Source: A commissioned study conducted by Forrester Consulting on behalf of Accenture and hybris software. November 2013.

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Transactional Power Has Shifted

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Retailers

•  Efficient and Agile•  Drives top line revenue growth through omni-channel enablement•  Allows for focus on business, not technology•  Budgets uses to drive business value, not platform and integration•  Never re-platform again

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Consumers have high demands to omni channel offerings

Performance matters and defines conversion Modern and future-proven architecture

60% of your customers expect

omni-channel capabilities

Define delivery time and provide same day delivery - 91%

More than 80% of all customers use

their smartphone in retail stores

View local inventory online - 89%

Source: Forrester, Nielsen

0-1 1-2 2-3 3-4 4-5 5-6Page Load Time

✓  Modern and future-proven technology stack

✓  Enterprise-ready (PIM, Customer + Order Management)

✓  Open API

✓  Software-as-a-Service with continuous delivery (no license)

✓  Cost-Efficient

✓  Global customer base

Source: Wallmart

Commerce-as-a-Service

✓  Omni-Channel API

✓  High Performance (<100ms)

✓  Future-proven „Beyond Mobile“

✓  Supports Java, PHP, iOS and many more

Advantages of Commerce as a ServiceEnterprise eCommerce software combined with efficient infrastructure services

All Rights Reserved© 2015 39

CaaS reduces complexity

Webshop ERP CRM BI Andere

PIM

CM

OM

Marketing

Int.

Analytics

InventoryShipping Integra

tion

REST API

ERP

CRM

BI

Andere

Building Omnichannel Capabilities

•  Unlimited front end creativity through Drupal•  Enterprise PIM•  Unlimited data modeling•  Enterprise discount/promotions/pricing engine•  Unlimited custom development capability yet all devops, scaling etc are taken care of

for you•  Enables mobile first, true omni-channel•  Supports B2B and B2C on one unified platform•  Scalability, security etc.•  Support

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What makes us enterprise?

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Our customers

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About us•  Founded in 2006

•  50+ Enterprise customers worldwide

•  20 Partner agencies worldwide

•  80% B2C — 20% B2B customers

•  50+ Open Source Repositories on Github (1 update/month)

•  100+ feature releases per year

•  +100 e-commerce projects

•  +1.300 registered developers and merchants

•  >5.5 Mio. API calls per day

•  >75 employees (>60% developers)

•  3 offices: Munich, Berlin, New York

•  Since 2014 part of the REWE Group (> €55bn revenue)

Romancing The Product

Presented By: Keiron McCammon, CTO

Revolutionizing luxury retail one runway at a time

•  It’s about ultimate access o  Curate the runway within an hour of the show o  NEW YORK, LONDON, MILAN, PARIS, BERLIN, MOSCOW,

SYDNEY…

•  For our luxury clientele o  Age 35–50 o  Shops 6–9 times a year o  Resides in over 150 countries

•  To an enviable portfolio of marquee, established & emerging brands o  Hermès, Rochas, Oscar de la Renta, Burberry, D&G

In 2014 we embarked on a BHAG

•  Establish a top notch, in-house product & technology function

…so we could…

•  Build a new, flexible ecommerce platform with integrated content management system

•  Migrate & integrate business data/systems •  And launch a brand new, fast/responsive website

Key Themes

•  Romance the product o  Yet don’t let form outweigh function

•  Tell stories o  Yet don’t create editorial

•  Native mobile & website o  Yet each must have a purpose

•  Honor our brands o  Yet not lose sight of our own

Making it Visually Compelling (romancing the product)

A 6 month, iterative design process…

•  That created over 1000 design files, revisiting every page, flow and function of our site…

•  Resulting in a completely restructured site, designed in parallel for desktop/iPad/iPhone…

•  With a focus on long form, scrollable pages…

•  And an attention to detail

…right down to our “about us”

Making it Engaging (telling stories)

Using stories & content to support the act of commerce, not detract from it…

•  No separate “editorial” section

•  Integrate content throughout site o  Completely programmable home page, landing pages, category

pages, product grids, product pages, designer profiles, search results…

•  Yet, user testing told us content must be relevant to placement o  …it’s all about context

This is not the finish line…

…this just gets us to the start line!

About the Speaker

Keiron McCammon is a serial entrepreneur, speaker & advisor

•  Co-founder/CTO of Kaboodle, pioneer of social shopping, acquired

by Hearst •  Co-founder of Poshmark, mobile-first used fashion marketplace,

leader in space •  Founder/CEO of Bonfaire, preorder ecommerce, acquired by Moda

Operandi •  And now CTO at Moda Operandi

http://onehandedblogger.com/