Digital Disruption of Retail. Jim Mason Gary Schoch
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1 Digital Disruption of Retail Jim Mason Gary Schoch 1
2 2
3 Offline Online Yesterday 96% Offline 4% Online Today 48% Offline 9% Offline 43% Web Influenced Tomorrow 25% Offline 75% Web Influenced 3
4 4
5 5
6 Demise of Brand 6
7 How people used to shop 7
8 Hard Drives 8
9 Which hard drive should I buy? Option 1 Option 2 Option 3 9
10 How people shop now 10
11 Which hard drive should I buy? Brand A Brand B Brand C 96.9% Survival Rate $ % Survival Rate $ % Survival Rate $109 Option 1 Option 2 Option 3 Based on real-world experience of 25,000 drives used in a 24/7 data center by Backblaze.com, Amazon pricing, all prime eligible 11
12 When quality was hard to predict, it made sense to stick with a familiar brand. But when you can quickly assess the quality of things, loyalty doesn t help consumers as much. Itamar Simonson Stanford Marketing Professor 12
13 Social Proof 13
14 A principal of persuasion: People want to follow the lead of individuals around/like us. 14
15 15
16 16
17 17
18 18
19 19
20 Badges 20
21 User Generated Content 21
22 Target Awesome Shop 22 22
23 Jack threads Busy Shop 23 23
24 But most purchases still happen in stores Offline, 91% Online, 9% 24
25 Social Proof In-Store 25
26 Social proof in stores used to look like this 26
27 Top Pinterest items highlighted in Nordstrom 27
28 Tagging items popular online 28
29 Social Proof In-Store Printed shelf labels with online reviews 29
30 Instagram store at the front of NordstromRack 30
31 Equip the sales associate with good information 31
32 Social Proof In-Store coming soon 32
33 Tagged hangers 33
34 Digital fact tag Rating Summary Live from Website 34
35 Digital fact tag with NFC 35
36 Adobe Screens 36
37 37
38 Making it happen 38
39 CONTENT Content management systems help marketers deliver a targeted and contextually relevant brand experience across channels. COMMERCE Commerce systems tend to focus on a personalized shopping experience around a product catalog to ease the buying process. DRIVE ENGAGEMENT DRIVE CONVERSION 39
40 The Solution The Award Winning Rosetta Connector CONTENT + COMMERCE Deliver personalized and targeted experience to support the customer s goals Support exploration when contextually relevant Enable a seamless experience to checkout 40
41 Rosetta connector options who owns the experience 1 COMMERCE- DRIVEN 2 CONTENT- DRIVEN 3 HYBRID COMMERCE AEM AEM COMMERCE AEM COMMERCE AUTHORING EXPERIENCE 41
42 1 COMMERCE- DRIVEN 2 CONTENT- DRIVEN 3 HYBRID COMMERCE AEM AEM COMMERCE AEM COMMERCE AUTHORING EXPERIENCE 42
43 Content + Commerce Integration model 1 Integrated Marketing / Store Experience Commerce-Driven The Commerce system owns the entire customer experience ( owns the glass ) Content is requested from the AEM when needed The traditional Commerce approach - the most mature and least customized of the approaches Best when users are coming to the site explicitly to purchase, and the products and their attributes are the star of the show Commerce Platform AEM Platform Rendering Engine (HTML) Commerce And Experience Management Inventory Catalog/PIM Pricing/Promotion Payments/Tax/Fraud Cart/Checkout Recommendations Site Search Personalization Navigation Restful Web Services Unstructured Content Repository Digital Content Asset Management Content Services 43
44 44 44
45 Case study: Uniqlo Building the global digital experience In order to successfully deliver on its mission of Making Affordable, Quality Clothing for Everyone, Fast Retailing s CEO mandated that the Company needed to grown globally and fully embrace digital by creating a common and scalable technology platform, while better understanding the needs of their customer. The Solution Redefine the Customer Experience Across All Channels Business Uses In Control Content, Experience, Speed Fulfill Anytime Anywhere Delight the Customer Store Associate Mobile Assistant Save the Sale Customer Experience: Store - Online Authenticity Global Insights Consumer Personalities 45 45
46 Case study: Uniqlo The Uniqlo brand re-envisioned across channels Phase 1 46
47 Case study: Uniqlo Fast Retailing New Platform - Phase 2 Taiwan WebSphere Commerce drives page rendering with input from Adobe Experience Manager AEM provides unstructured content and page templates WebSphere Commerce fills information into AEM components WebSphere Commerce provides personalization rules that leverages WCS user profile information 47
48 Case study: Uniqlo Business in Control AEM The majority of the content throughout the browse experience is authored and powered by Adobe Experience Manager (AEM). Structured product data is powered by WebSphere Commerce (WCS). WCS WCS 48
49 Case study: Uniqlo Business in Control Product pages are primarily powered by WCS and business users have the option in AEM to add additional content to the page. AEM WCS 49
50 1 COMMERCE- DRIVEN 2 CONTENT- DRIVEN 3 HYBRID COMMERCE AEM AEM COMMERCE AEM COMMERCE AUTHORING EXPERIENCE 50
51 Content + Commerce Integration model 2 Integrated Marketing / Store Experience Web Content Management-Driven The Web Content Management System owns the entire customer experience ( owns the glass ) Core transaction services exposed via web services Requires more customization than other approaches Best for sites with lots of rich, unstructured content and when the purchase transaction is an outcome of the engaging customer experience, as opposed to the explicit reason for the visit AEM Platform Commerce Platform Rendering Engine (HTML) Experience Management Digital Content Asset Management Page Templating Segmentation Content Targeting Site Search Navigation Restful Web Services Commerce Services Inventory Catalog/PIM Pricing/Promotion Payments/Tax/Fraud Cart/Checkout 51
52 Rosetta Connector Adobe Experience Manager owns entire user experience ( glass ) WebSphere Commerce services manage commerce function Commerce and Content blended together for a consistent brand experience Recommended by both IBM and Adobe 52
53 Connector Home Page ADOBE EXPERIENCE MANAGER Page Template Digital content from the AEM repository Personalized content and products based on segments derived from WCS Product image and description overrides from AEM Client context used for segmentation WEBSPHERE COMMERCE Shopping cart Top categories Entitlement Catalog image and description from WCS Product Price Authentication and registration 53
54 Seamless integration of IBM Commerce into AEM Authoring CONTENT FINDER PAGE TEMPLATE Marketers drag and drop images and other digital content including WCS products onto AEM page templates. 54
55 Seamless integration of core IBM Commerce capabilities Cart Price Promotions 55
56 1 COMMERCE- DRIVEN 2 CONTENT- DRIVEN 3 HYBRID COMMERCE AEM AEM COMMERCE AEM COMMERCE AUTHORING EXPERIENCE 56
57 Content + Commerce Integration model 3 Front-End Integration Hybrid This option defers to the requirements of the user experience flow: the AEM presents browsing functionality with the commerce platform taking over as the flow progresses toward the transaction Requires important up-front strategic decisions to be made around the boundaries and the impact on both the users and internal groups like merchandising and marketing that may end up working in two set of business tools Best for a site where the focus switches between a non-transactional brand experience and a commerce experience Marketing Site Navigation Rendering Engine (HTML) AEM Platform Page Templating Brand Pages Asset Management Segmentation Content Targeting Site Search Content services Single Sign-on Add to cart Rendering Engine (HTML) Commerce Platform Inventory Catalog/PIM Pricing/Promotion Payments/Tax/Fraud Cart/Checkout Personalization Recommendations Site Search Store Navigation 57
58 Case study: VF Corporation Vans and Timberland example Rosetta delivered on the following services: Multisite Adobe AEM Implementation Integrated with WebSphere Commerce PIM MSM strategy for multi-site requirements and blueprint architecture Built custom components to support homepage, category landing pages, curation pages with rich content and product data Integrated responsive UI code for optimized website display across desktop, tablet and mobile including optimized image delivery with Scene7 Integrated store locator, social photography and Kaltura video functionality from third parties Developed content ingestion process to ingest social content from Facebook, Twitter, Tumbler and other RSS based sources. Content can be approved or rejected by authors and further curated to drive story telling. VF Corp selected Rosetta to build the connection between their WebSphere Commerce catalogue and to create a highly flexible authoring experience in AEM to support a multi-country, multilingual web property strategy. Rosetta s solution allows VF to rely on proven WCS based commerce transactions and enables marketers and content curators to create highly engaging, content-rich user experiences in AEM. 58
59 Case study: VF Corporation From creative concept to implementation Compelling Responsive Design Flexible Product and Content Curation 59
60 A Connector alone doesn t create customer engagement Customer engagement today simply isn t possible without an engine to support it. 60
61 Hygiene API / Service Layer Adobe Analytics Engagement Analytics ENGAGEMENT ROSETAT NEXUS ENGINE POWERED BY BY ADOBE MARKETING CLOUD DATA LOGIC EXPERIENCES MEASUREMENT Sales Data Customer Transactions Interactions Product Data Social Media Performance 3 rd Party Marketing Database KNOWN/ENGAGED 360 Customer Profile Data Warehouse Adobe Audience DMP Manager UNKNOWN / ANON Tag Management CRM Sterling Order Management OMS Product Info Management Personalizatio n Campaign Management Adobe Campaign Rules Social Content & Asset Adobe Experience Manager Mobile Management Transaction Engine WCS Custom Services Adobe Target Content / Campaign Testing Web Sales Enablement Online Storefront Retail/POS Sterling Call Center OMS Game/Car/ Appliance/IoT Modeling Monetization Multi-channel Attribution Customer Value Business KPIs & Scorecards Optimizations Targeting Rules Adobe Media Media Optimizer Direct Mail Experience Level Optimization 61
62 Come see us at Booth G1 62
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