Increasing Customer Engagement with Mobile
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- Buddy Sanders
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1 Increasing Customer Engagement with Mobile Tim McCauley Sr. Director, Mobile Commerce Walgreens Mcommerce Summit: State of Mobile Commerce 2013 May 2 nd, 2013 New York, NY
2 Topics for today s discussion How omni-channel and mobile fit into our strategy Why engagement matters How we re increasing customer engagement
3 Omni-channel, mobile and Walgreens strategy
4 Overview of Walgreens $71.6B 8, Revenues Stores (as of Jan 2013) #37 on Fortune 500
5 Our purpose and vision
6 The opportunity 6
7 Three core company strategies Delivering 1 the Well Experience 2Transforming Community Pharmacy 3Creating an Unprecedented Global Platform 7
8 Our omni-channel portfolio of assets 5 wholly owned ecommerce websites 10 apps and mobile websites Walgreens.com Drugstore.com Beauty.com VisionDirect.com Skinstore.com Walgreens For iphone For Android For Kindle Walgreens RxmindMe For ipad For Android Tablet 8
9 Industry leading Walgreens named the Winner of 3 Webby Awards for mobile innovations like Refill by Scan, 2011 Walgreens named to Internet Retailer s Hot 100 for Beauty.com, Mobile in 2012 Walgreens among Apple s Top 100 Apps of 2012 Best Retail Mobile App SXSW March 2013 Walgreens #7 among the 50 most innovative companies in healthcare. Key innovations include mobile app and features like mobile pill reminders Walgreens named #1 on ios in retail for Overall customer satisfaction, Feb
10 Loved by customers The medication management part of the app is fantastic! This app has a lot to offer -User: RVR / 5 Pill reminder and everything are useful. Good all around app. It now allows you to edit photos and apply filters, watch out, Facebook might buy it for 1 billion dollars -User: Curtis Quintal 10
11 Our digital and mobile reach 11
12 We re driving strong volumes across our business % of online refills from mobile >50% 10% 2010 Today
13 Why engagement matters?
14 Customer engagement
15 Engagement drives Engagement Satisfaction Utility Value
16 Our engaged mobile customers spend the most Average annual spend, Walgreens Avg Spend per Customer 2011 ($) 3.5X 4X 6X Store ONLY Store + Online Store + MOBILE Store + Online + MOBILE Source: Internal research 2013 Walgreen Co. All rights reserved. 16
17 Many ways to measure engagement, one is = Monthly Visits Total Downloads
18 How we re increasing customer engagement
19 1. Engage when and where your customers want > 35% of households are wireless only Source: 2012 Center for Disease Control Tomorrow 19
20 Wake up with your phone, go to sleep with your phone Later peak Earlier peak Source: 2011 Internal Walgreens data normalized for volumes, 2 week daily blend
21 2. Concentrate engagement in a single app Tomorrow 21
22 3. We re starting engagement outside the store Scanning Weekly Ads Shopping Lists Copyright 2012 Walgreen Co.
23 and finishing inside our store Aisle Mapping & Product info Coupons Loyalty/Passbook Copyright 2012 Walgreen Co.
24 4. Drive urgency with time-based offers & alerts Black Friday Coupon Offer Shopping List Reminder Refill Reminders and alerts
25 5. Increase convenience Web Pickup connects digital directly into our stores and is perfect for mobile Web Pickup / curbside Home delivery 1 hour 2+ hours Ship to home Ship to store 2-3 days 25
26 Web Pickup: Ultimate Convenience 26
27 6. Engage outside our app
28 6. Engage outside our app In-Store mapping partnership with startup Aisle411 28
29 7. Add customer value & integrated rewards Get points for walking and weighing Scan at store Instant redemption! 29
30 In Summary
31 In Summary Engaged consumers have higher satisfaction and spend more Engagement begins outside the store and continues inside The best engagement is integrated & seamless 31
32 Thank You!
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