hugh ritzema carter - sevenval e commerceexpo presentation
TRANSCRIPT
Digital commerce in a multi-device world Challenges & Success Factors of the ‘New’ Mobile Commerce
London, 02.10.12
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Agenda
1. Intro
2. Consumer Behaviour
a. Smartphones
b. Tablets
c. Games Consoles
d. Smart TV
3. How consumers are using each device for retail
4. Challenges & Opportunities presented to retailers by the
multi-device world
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Intro Sevenval – A YOC Group Company
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We are Mobile Experts. We’ve got the Technology. We develop your Solutions.
• Mobile technology and
solution provider since
1999
• More than 130
employees in Europe’s
hotspots London, Berlin,
Cologne and Vienna
• Fortune Global 500
companies trust in our
technological expertise
• Implementation of more
than 500 mobile projects
(mobile and multichannel
websites, native and hybrid
apps)
• Creation of mobile projects
from the idea beyond the
launch
• Award-winning mobile
solutions for several clients
• Development of own software
product Sevenval FIT
Technology since 1999
• Aggregation and adaption of
content / services and delivery
on all browser-based
channels
• Long-time experience in
product development with
own software product teams
Expertise Solutions & Services FIT Technology
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Some of our clients
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Customer Journey
Awareness
Transaction
Advocate
Intrigue Attract
Engage Convert
Relationship
Consider
Access to pricing, product
info & reviews anywhere
QR codes linking
ATL to mobile site/ apps
Mobile coupons
within mobile site/
apps
Store locator on
mobile site/ apps
Purchase on mobile
(mCommerce)
Packaging QR codes
linking to mobile
site/ apps, adverts, info
Events, extra content,
competitions via mobile
Newsletter &
latest product
catalogue
on mobile site/
apps
Use social media
on mobile to ‘like’
& recommend
Mobile Media
Add products to
mobile basket or
wishlist
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Consumer Behaviour How internet-capable devices change consumer behaviour
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The Web
comScore 2012
The typical EU consumer spends the equivalent of
1 day (25.9 hours) per month online
Out of 397 million Europeans
3 in 4 visit a retail site
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The Web
THIS IS NOT THE WEB
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The Web
THIS IS NOT THE WEB EITHER
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The Web
THIS IS THE WEB
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The Web
comScore 2012
% of website traffic originated from non-computer devices such as Mobiles & Tablets
1.80%
2.20%
3.00%
5.00%
5.10%
5.60%
6.80%
7.00%
7.50%
Turkey
Poland
Portugal
France
Belgium
Italy
Finland
Germany
Denmark
7.20%
9.00%
9.20%
9.30%
9.70%
10.00%
10.40%
11.50%
16.40%
Austria
Netherlands
Sweden
Switzerland
Spain
Norway
Russia
Ireland
UK
% of websites traffic originated from non-computer devices such as Smartphones & Tablets
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In 2011, 28% of smartphone users in the UK
purchased a product on their phone
Conversion rates on smartphones are 37% lower than on PC
Smartphones
IBM 2012, Adobe 2012
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Furthermore, smartphones are heavily used as a research tool
IBM states that mobile devices shopping
has increased by 138% (2011/2012)
Smartphones
IBM 2012, Adobe 2012
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Smartphones
comScore 2012, IBM 2012, Adobe 2012, Ipsos 2011
This number is bound to increase dramatically thanks to an
increase in optimized mCommerce experiences on offer
IPSOS found out that 51% of customers
are more likely to purchase from retailers
that have a mobile-optimised website
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• 63% state it has changed the way they gather information
• 75% say mobile search makes their life easier
• 32% say they use mobile search more than desktop search
• 49% of mobile searchers made a mobile purchase
Smartphones
Ipsos 2011
So how has the smartphone changed customer’s shopping behaviour?
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Smartphones
10.00%
10.00%
12.00%
13.00%
14.00%
17.00%
Used deal-a-day
Checked product availability
Found coupons or deals
Researched product features
Compared product prices
Found store location
2.00%
4.00%
5.00%
7.00%
10.00%
11.00%
16.00%
22.00%
Checked availability
Found coupons or deals
Researched features
Compared prices
Sent picture to someone
Scanned a barcode
Texted/ called someone
Took picture
On The Go Inside Retail Store
Below is a graph of customer’s shopping activities
on the go in comparison to activities within a retail store
comScore 2012
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
Apple iPad 2
BlackBerry Playbook
2011 saw the release of numerous tablets across multiple platforms
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
Tablets don’t replace PC’s or smartphones, but rather complement
Currently 21-50% of retailer’s non desktop traffic is coming from tablets
VS.
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
Conversion rates on tablet are 20% higher than on desktop PCs
41% of consumers who planned to buy an iPad cited
shopping as their primary reason
Possible reasons:
• Mobility in comparison to desktops and laptops
• Ability to relax on the couch and watch TV while browsing the web
VS.
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
But it’s worth pointing out that tablet users have very high expectations
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
• Expect fast online experience similar or better to than on their desktop
• Expect high quality site
• After a poor experience on a tablet 35% of users are less likely to visit
the site on any platform
• 33% are even less likely to purchase from that company all together
after a poor experience on their tablet
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Tablets
comScore 2012, Adobe 2012, eMarketer 2011
Common problems experienced:
• Slow loading times (66%)
• Site crashes (44%)
• Problems with the site
functions (42 %)
• Issues with the site format
(40%)
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Multi-Device World
Ipsos & Google 2012
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Multi-Device World
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Multi-Device World
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Multi-Device World
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Game Consoles
Edit title of presentation
Microsoft has introduced Internet Explore for Xbox Kinect
• Users have full voice control over the browser on the Xbox 360
• Microsoft Smart Glass enables users to scroll around pages, click links,
pinch and zoom
• Users smartphones or tablets function as the remote to browse the web
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Smart TV
Edit title of presentation
”People are buying smart TVs but they want to be able to go the next step.
They want to be able to seamlessly search through Google for any
information that they want to find and they want to interact with it like they
are used to on their tablets or phones. They want to take things to the next
level.”
Ben Law, Marketing Manager Sony UK
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Challenges & Opportunities
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User Experience
Think Multi-Channel
• Add mobile touchpoints
• Incorporate your mobile activities into an integrated digital strategy
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User Experience
Be where your customers are
• Optimise journeys on all devices, operating systems & browsers
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User Experience
Consider, Collaborate & Integrate
• Social Media, Product Reviews & Price Comparison Sites are here to stay
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Fragmentation
Nielson 2012
Android
iOS
Symbian
BBOS
Windows
Other
OS breakdown UK
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Fragmentation
Nielson 2012
iOS & Android Versions UK
iOS 5.x
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Fragmentation
iOS updates
• Within 2 weeks, 62% of the market have moved to the new iOS version
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
100%
All Versions
5.1.0
5.0.1
5.0.0
4.x
3.x
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Technology
Responsive Web Design
• A requirement not a solution
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Technology
39
Technology
HTML 5 standards are incomplete
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Technology
"There's rampant technology fragmentation across mobile
browsers, so developers don't know which parts of
HTML5 they can use”
“HTML5 is promoted as a single standard, but it comes in
different versions for every mobile device”
“Issues such as hardware acceleration and digital rights
management are implemented inconsistently. That makes
it hard for developers to write software that works on
many different phone platforms, and to reach a wide
audience”
Facebook CTO Bret Taylor, World Mobile Congress 2012
HTML 5
• Great, but not a silver bullet
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Technology
Use a framework which guarantees full compatibility with every device,
OS version & browser...
• Implement mobile technology that works with your existing infrastructure
Existing Source
Backend
Frontend
FIT Platform
Site
Editor
FIT
Application
SOAP, XML, RSS JSON, …
HTML, CSS, Java
Script, Images,…
FITML
FITML
Processor
+
Device
Database
FITML
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Technology Placeholder Subtitle
Payment
• Collaborate with trusted payment providers
• Reduce the number of steps to complete a purchase
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Technology
Edit title of presentation
Future Proofing
Ensure that your mobile technology partner:
• offers a solution that works with your new and existing sources
• offers a solution that works on all devices, operating systems and
browsers
• has the ability to move development in-house
• Provides external support and advice if and when needed
44
Customer Journey
Awareness
Transaction
Advocate
Intrigue Attract
Engage Convert
Relationship
Consider
Access to pricing, product
info & reviews anywhere
QR codes linking
ATL to mobile site/ apps
Mobile coupons
within mobile site/
apps
Store locator on
mobile site/ apps
Purchase on mobile
(mCommerce)
Packaging QR codes
linking to mobile
site/ apps, adverts, info
Events, extra content,
competitions via mobile
Newsletter &
latest product
catalogue
on mobile site/
apps
Use social media
on mobile to ‘like’
& recommend
Mobile Media
Add products to
mobile basket or
wishlist
UK Commercial Director
T: +44 207 199 0119
M: +44 7870 600 282
Hugh Ritzema-Carter
Thank You