benchmarking mobile kpis & best practices among retailers

Trifecta Research 2014 | Privileged and Confidential

Benchmarking Mobile KPIs & Best Practices among Retailers

Table of Contents

Key Components of a Mobile Strategy in 2015

Essential KPIs for a Mobile Platform

Integrating Mobile into the Journey

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Key Components of a Mobile Strategy in 2015

Essential KPIs for a Mobile Platform

Integrating Mobile into the Journey

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The Goal:

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Migrate KPIs toward measuring an expanded, more encompassing omnichannel retail environment

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0% 50% 100%

71% use engagement to define success

(retailers)

Source: “Use Analytics to Build Mobile Advantage,” Forrester, December 11, 2014; “The 2015 Mobile Opportunity: How Brands Are Shifting Their M-Commerce Strategies,” WBR Digital, Jumio and Urban Airship, November 2014; Forrester’s Q2 2014 Global Mobile Executive Online Survey

76% focus on financial KPIs (retailers)47% have a mobile

analytics solution to generate insights

(retailers)

41% have defined mobile objectives

(retailers)47% leverage KPIs to

measure progress against objectives

(retailers)

• <1 in 10 retailers are focused on new mobile KPIs

• Very few retailers have begun using mobile strategy to proactively segment and target consumer cohorts

• More than 3X mobile execs do not track mobile users across both online and offline channels

And yet…

Next generation mobile strategies – Less about measuring progress against objectives with static KPIs; More about using analytics to derive insights to provoke specific actions that are highly context-driven

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Metrics

1Analytics

2

KPIs

3Objectives

4

MEASURED PROGRESS

Today…

Tomorrow…

Source: “Use Analytics to Build Mobile Advantage,” Forrester, December 11, 2014

Measure success relative to objectives

Use analytics to create customer insights to deliver relevant, timely calls to action

Key components of a best-in-class mobile strategy in 2015 must embrace a breadth of strategic objectives, integrated into an omnichannel framework

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Cross-Channel

Enablement

Customer Engageme

nt

In-store Journey

Targeted Marketing

Internal Enablemen

t

Improve experiences via curation and context

Leverage consumer insights

Delivering relevancy

Sources: http://www.phunware.com/blog/5-retail-mobile-strategy-resolutions-2015/; http://www.psfk.com/2015/01/pablo-slough-mobile-retail-google.html; http://www.mobilecommercedaily.com/mobile-experts-weigh-in-on-commerce-in-2015; http://www.forbes.com/sites/samsungbusiness/2015/02/09/retailers-turn-to-omnichannel-strategies-to-remain-competitive/; http://www.appcelerator.com/blog/2014/10/retail-mobile-strategy/

Strategy Objective

Key Components of a Mobile Strategy in 2015

Essential KPIs for a Mobile Platform

Integrating Mobile into the Journey

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Though not exceptionally novel, key KPIs can best be understood within the context of the Purchase Funnel

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Top of the Funnel

Middle of the Funnel

Bottom of the Funnel

• SMS Subscription Reporting

• Active Users• Mobile Add-to-Cart

Rate (mATCR)• Referrals per User• Lifetime Value (LTV)

• Revenue per User (RPU)

• Revenue/Visit• % Total Orders• Abandoned Checkout

Rate• Retention Rate• Mobile Cart

Completion Rate (mCCR)

• Cart Abandonment Rate

• Mobile Conversion Rate

• Average Order Value (AOV)

•Total Mobile Traffic•Bounce Rate•Avg. Pages per Visit•Avg. Time on Site•Location Information•App Launch/Load Time•Email Database Size•Avg. Page Load Times•App Sign Up Conversion Rates

•App Sign In Conversion Rates•Catalog Click-Through Rate•Entry and Exit Page Histograms

NOTE: The challenge for best practitioners is how to apply these as omnichannel rather than as a single channel – whether mobile, web or in-store

Key Components of a Mobile Strategy in 2015

Essential KPIs for a Mobile Platform

Integrating Mobile into the Journey

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Top 2 challenges facing retailers today

1. Measuring how mobile impacts in-store behavior

2. Understanding and measuring the role played by mobile along the entire customer journey:

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Knowing where they are at the

moment they enter a store

Knowing how best to serve up relevant content to

them

Ensuring experience

propels them from one place in

journey to next

1

2

3

What does the path forward look like?

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CURRENT STATE

FUTURE STATE

Customer

Adoption

Crowded

Channel Space

Value

Proposition

Appropria

te K

PIs

Agnostic

ism