insight presentation: "how to move the needle in ecommerce"

@RichardCohene

Richard Cohene Director of Marketing &

Business Development

Insight Presentation

“How to Move the Needle in eCommerce”

Beyond the Rack

How to Move the Needle in eCommerce

Members-only access

Distinct sales events start every day

Limited-time (48 to 36 hours)

Limited-quantity

Deep discounts (40% to 85% off retail)

First-come / first-served

Selection refreshed daily

WHAT WE DO

IT’S A MARKETPLACE…

A WIN-WIN SCENARIO

It’s what consumers want Value-conscious shopping

Convenience

Entertainment

It’s what brands need Convert excess / idle inventory into cash

Discreet, brand-enhancing clearance channel

Brand exposure

Over 5,000 Brands and 12 Merchandise Categories Fashion, Accessories, Footwear, Home, Jewelry, Beauty, Kids, Men’s, Consumer

Electronics, Travel, Lingerie, Swim

20 Events – 8,000 Items Every Day

Operations in Montreal, New York, Las Vegas and Toronto

Ship 30K shipments per day

#3 fastest growing company Canada for 2012 (Profit Magazine)

#1 fastest growing online retailer for 2011 (Internet Retailer)

How We Did It In 6 Easy-to-Follow Steps

1. ESTABLISH BRAND EQUITY

Ever-evolving

On-trend

Seasonality

Real time

KEEPING PACE

Featuring magazine editors, famed TV hosts, and much more!

2. BUILD A COMMUNITY OF ADVOCATES

Facebook – Twitter – Pinterest – Google+ – Instagram

“Thank you for your quick and prompt replies and for your great customer service! You greatly made up for this error in shipping in a fast and fair manner. Thanks again and looking forward to do some more shopping on BTR!”

“Customer service is one of the best that I have come across. The company is eager to satisfied its customers.”

“Customer service was top notch. Their willingness to go out of their way to satisfy my shopping experience just makes me want to return as a customer.”

4. SATISFACTION. PERIOD.

4. CORPORATE CULTURE

Responsibility

is taken

not given

Merchandising, Marketing, Creative Services, Photography, Production, Imaging, Styling…

5. EMBRACE FAILURE

6. IT’S ALL ABOUT THE DATA

It’s All About The Underlying Equation Build The Business Model One Assumption at a Time

The Bottom Line is if You Aren’t TESTING….

MEASURE & TEST EVERYTHING

YOU ARE

GUESSING

CONFIDENTIAL 21 CONFIDENTIAL 21

$-

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00

$40.00

$45.00

$50.00 Cost of Acquiring a BUYER

From the cost of acquiring a buyer – in $ and time

22 CONFIDENTIAL 22

6% 13% 11% 11% 10%

17% 11% 14%

19% 24%

17% 21% 26%

21% 17% 15% 11% 15% 16% 14% 16% 16% 17% 18% 16% 19% 19% 16% 16%

27% 24%

26% 27% 27% 22% 22%

17% 23% 20%

29% 39% 22%

20% 22%

41% 24%

21% 21%

15% 16%

6% 9% 7% 9% 8% 8% 7% 8% 8%

7% 9% 15% 12%

68% 66% 61% 61% 60%

65% 67% 73%

67% 67%

55% 50%

64% 61% 54%

42%

55% 53% 58%

68% 69%

83% 76% 78% 77% 76% 76% 76% 74% 76% 74% 72% 69% 72%

Jan

-10

Feb

-10

Mar

-10

Ap

r-1

0

May

-10

Jun

-10

Jul-

10

Au

g-1

0

Sep

-10

Oct

-10

No

v-1

0

De

c-1

0

Jan

-11

Feb

-11

Mar

-11

Ap

r-1

1

May

-11

Jun

-11

Jul-

11

Au

g-1

1

Sep

-11

Oct

-11

No

v-1

1

De

c-1

1

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2

May

-12

Jun

-12

Jul-

12

Au

g-1

2

Sep

-12

Oct

-12

Direct Navigation Invitations Paid Channel

To the impact of social media on our marketing budget

23 CONFIDENTIAL 23

94%

82% 76% 76%

72% 73% 73% 68% 69%

64% 59% 58% 57%

50% 49% 50% 49% 47% 44% 44% 42% 40% 38% 39% 39% 38% 35% 32% 33% 34% 33% 30% 28% 24% 27% 25%

30% 26% 22%

26% 30%

26% 22%

26%

6%

18% 24% 24%

28% 27% 27% 32% 31%

36% 41% 42% 43%

50% 51% 50% 51% 53% 56% 56% 58% 60% 62% 61% 61% 62% 65% 68% 67% 66% 67% 70% 72% 76% 73% 75%

70% 74% 78%

74% 70%

74% 78%

74%

Mar

-09

Ap

r-0

9

May

-09

Jun

-09

Jul-

09

Au

g-0

9

Sep

-09

Oct

-09

No

v-0

9

Dec

-09

Jan

-10

Feb

-10

Mar

-10

Ap

r-1

0

May

-10

Jun

-10

Jul-

10

Au

g-1

0

Sep

-10

Oct

-10

No

v-1

0

Dec

-10

Jan

-11

Feb

-11

Mar

-11

Ap

r-1

1

May

-11

Jun

-11

Jul-

11

Au

g-1

1

Sep

-11

Oct

-11

No

v-1

1

Dec

-11

Jan

-12

Feb

-12

Mar

-12

Ap

r-1

2

May

-12

Jun

-12

Jul-

12

Au

g-1

2

Sep

-12

Oct

-12

First time buyers Repeat buyers

REVENUE FROM CLASS OF BUYERS

1-time buyers 3%

multi buyers 2%

LOA 0-3 42%

LOA 4+ 53%

What type of customers are unsubscribing from our emails?

24 CONFIDENTIAL

Build Brand

Create Advocates

Satisfaction = Loyalty

Team

Fail & Innovate

Test & Measure

SUMMARY