Steps You Can Take to a Flawless Holiday Season
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Steps to Take Now for a Flawless Holiday Season The 2016 holiday shopping season is just around the corner. Will you be ready for it? Millennials rule in social and technology trends, presenting more challenges and opportunities for retailers than ever before. They are eager to reward a great shopping experience with their business, but expectations are high. They want their purchase to be just right, right here, right now. Dynatrace knows how to help retailers deliver right here, right now. Join our experts for a webinar to explore the steps you can take starting today to get ready for your best holiday shopping season ever. Learn common pitfalls of essential web strategies like responsive design and third party connections, and how to avoid them. Hear about building performance engineering into your agile development practices to make it even better, even faster. Discuss how important it is to track user behavior data to improve the digital shopping experience and the operational side of your platforms. Migrating eCommerce or any part of your customer experience to the cloud? Good – let us help you do it better.
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Steps You Can Take to a Flawless Holiday Season
- 1. Steps You Can Take to a Flawless Holiday Season
- 2. Panelists
- 3. • eCommerce and customer experience – what are we overlooking? • The Digital Performance Platform • Things you can (still) do to ensure a flawless holiday season • Things you should do every season Agenda
- 4. eCommerce is a growing component of total retail sales
- 5. …with an even greater impact on in-store sales
- 6. • Personalization • Loyalty programs • Connected stores • BOPIS Digital is critical to retailers’ strategic initiatives…
- 7. …and deeply embedded in the customer experience
- 8. Customer experience quality influences whether consumers will purchase from you… 1to1 Media June 2016 17.7% Influences somewhat Influence s a lot 58%
- 9. ..and customer experience is directly affected by Digital Experience • Shoppers demand good digital experience • 75% of adults... • 81% of millennials… • Would ABANDON a slow/buggy site or app and SHOP ELSEWHERE! • YIKES! 42% of respondents – 51% of millennials – would complain on social media • Nearly 50% of respondents would “leave” and shop elsewhere if a site/app fails to load in… • 1...2…3 seconds!
- 10. • Does web site or app response time satisfy? • Is response time consistent? • Can the shopper complete the transaction without encountering failed actions? • Is the experience positive across all digital channels? Digital experience is “table stakes”
- 11. Digital Experience directly affects conversions “Going Beyond Page Load Speed” Dynatrace 2016
- 12. • Omnichannel, customer experience responsive design • Rapid innovation agile development, continuous delivery • eCommerce efficiency and responsiveness cloud migration, content delivery • Affiliations (ads, supply chain, payments, product reviews) third-party connections Business strategy drives IT strategy, as it should… All of these affect the Digital Experience
- 13. The Digital Business Owner:The IT Manager: Isn’t Digital Experience within the responsibility of IT? Shouldn’t the business balance the tradeoff between digital experience and other objectives? Who is minding the impact on Digital Experience?
- 14. • Mobile growth led to capacity issues • Responsive design led to slower response times on web and mobile • The average number of third party connections increased and so did response times, while availability went down • Bad things happened when un(performance)tested changes were put into production • When problems occurred, retailers had difficulty finding and fixing …Because during the 2015 holiday shopping season, the tradeoff was real
- 15. • It starts and ends with the customer experience – not the app, or the web site, or the channel • Business innovation is continuous, so digital experience assurance must be too • It’s about preventing problems, not just reacting • Gap-free visibility is essential – for all the stakeholders Here’s what we believe
- 16. Customer Experience Continuous Delivery Application Performance Successful digital businesses master 3 disciplines… Understand and optimize the experience they deliver, anywhere, anytime Complete visibility across the delivery chain Continuously deliver new digital capabilities Increases sales & engagement Simplifies Operations Speeds up Innovation
- 17. …across the entire digital delivery chain, all the way to the customer and back Increased Sales and Engagement Operational Excellence Innovation Acceleration THE EXPERIENCE VALUE CHAIN Application Code Public and Private Cloud CDNs Web APIs Users and Devices Internet Applications & Code Data Center & Networks
- 18. The Digital Performance Platform Makes real-time information about digital services, and their users, visible and actionable by everyone in an organization Gain strategic insights Increase conversions & revenue Improve MTTR & MTBF Optimize spend Deliver on user sat & SLAs Improve release quality Reduce unplanned work Release capabilities faster Keep up with the pace of change Uncover new business insights Identify and prevent problems Protect & grow brand Digital Business Owner Development Operations Unified User & App Insights Increased sales and engagement Operational excellenceInnovation acceleration Unified User & App Insights Unified user & app insights
- 19. 30% faster checkout 1,800% spike in traffic No bottleneck 66% hardware savings 30% faster web site 10x release frequency increase reduced MTTR by 90% Gain Strategic Insights Increase Conversions & Revenue Unified User & App Insights Improve MTTR & MTBF Optimize Spend Deliver on user sat & SLAs Improve release quality Reduce unplanned work Release capabilities faster Keep up with the pace of change Uncover new business insights Identify and prevent problems Protect & Grow Brand Digital Business Owner Development Operations Unified User & App Insights Unified User & App Insights
- 20. Digital Readiness Things you can (still) do to prepare for a the 2016 holiday season
- 21. Ensuring Digital Experience is a continuous process Monitor Optimize Test
- 22. Digital Experience issues can occur anywhere in the delivery chain 25% 34% 37% 54% Problematic cloud services, 3rd party content or managed service providers Problems outside IT control (e.g., Internet, user environment) Application-related problems Infrastructure or network-related failures/problems Most significant contributors to performance issues SpanofControl DIRECT INDIRECT Source: Forrester Consulting study, March 2015
- 23. It starts with understanding real user behavior and experience
- 24. Add synthetic monitoring to create a performance baseline
- 25. Benchmark yourself against your competition Dynatrace Benchmarks Holiday Season 2015
- 26. • Limit page size • Limit object count Use Digital Experience data to identify ways to optimize performance Pagesize The Digital Experience Report: Best of the-Web Retail eCommerce Highlights, Dynatrace, 2016
- 27. Assess the impact of third party connections, and keep them under control
- 28. • It’s not just about applications and servers • Design your tests to do what real users will do • It’s not pass/fail – set meaningful performance targets • Partner with the business – factor in the strategies for the holiday season • Test. Oh yeah - then test again. Load Testing must address the Digital Experience
- 29. Java .NET PHP C++ Oracle SAP CICS Big DataJava .NET PHP C++ Oracle SAP CICS Big Data Test end-to-end, analyze end-to-end • Testing tells you if you have a problem, but not what or where
- 30. Continuous performance engineering: it’s not just for breakfast anymore Agile 1+ code change per week Traditional “Lock Down” Meetorbeatrevenue targets 20 % Source: Internet Retailer 2014 Holiday Survey, April 2015 Peopl e System s Testing Alerts Leverage test configuration Re-use build test configuration Re-use release test configuration Re-use release test configuration DynatraceLoad
- 31. Digital Experience - Dynatrace experts can help • Focus on the right channel priority mix Searc h Result s Produc t Detail • The Digital Experienc e Center Reward Progra m • Select the most critical business transactions Web Mobile AppMobile Site
- 32. Performance for the digital era
- 33. Connect with us! Participate in our Forum : community.dynatrace.com Like us on Facebook : facebook.com/dynatrace Follow us on LinkedIn : linkedin.com/company/dynatrace Follow us on Twitter : twitter.com/dynatrace Watch our Videos & Demos : youtube.com/dynatrace Read our Blog : application-performance-blog.com
Editor's Notes
- We know that eCommerce is important and getting more so.
- Some analysts place too much emphasis on the channel associated with the sales conversion as opposed to the contribution each channel makes to the overall customer experience. This is particularly true in regards to mobile, whose impact is often understated when looking at the numbers. These numbers do a better job of telling the whole story.
- Connected stores Interactive displays 6 Futuristic Retail Displays That Will Change Your Idea of ‘E-Commerce’ http://time.com/3938488/retail-displays/ Electronic tags and shelf labels Retailers Turn To Electronic Price Tags To Combat Amazon https://consumerist.com/2015/07/17/retailers-turn-to-electronic-price-tags-to-combat-amazon/ Connected stores: Recipe aggregator Allrecipes.com deploys beacons at Ohio grocery store chain Marc’s. https://www.mobilestrategies360.com/2016/06/06/allrecipes-mixes-its-mobile-marketing-beacons?utm_source=MSN&utm_medium=Email&utm_campaign=MS360-2016 Timberland creates its first digitally connected store http://digiday.com/brands/timberland-creates-first-digitally-connected-store/ How tech in Rebecca Minkoff's fitting rooms tripled expected clothing sales http://digiday.com/brands/rebecca-minkoff-digital-store/
- [This is Steve’s last slide – at the end – transition to David. “my colleague David Jones will further explore Digital Experience…”
- What is digital experience? It’s the aspect of the customer experience that you have to get right, or it almost doesn’t matter what else you get right How fast does your web site, mobile site, or app need to respond? Generally, it needs to be responsive enough for the shopper to feel satisfied– not frustrated. You want them to be focused on the shopping experience, and ironically, not the digital one. The same way you want the lighting in your stores to create certain feelings and behaviors without shoppers being aware of the lighting. It’s about the product image – not how long it takes to load. You wouldn’t invest in inviting store displays and departments and make them inaccessible to shoppers. You need to ensure the availability of every step of a transaction. No product review that wouldn’t come up, or payment option that wouldn’t connect. And it goes without saying that the shopper determines the channel - often more than one. It’s all one experience – every channel needs to provide a positive digital experience.
- The trade press was full of holiday season SNAFUs last year. Dynatrace has unique insight into the digital experience being delivered by scores of leading eretailers because we benchmark them.
- This is the strategy we believe in User view Analytics Fidelity of data Integration What makes it unique assembly of functions
- Many retailers are realizing substantive results by putting that strategy into practice. [ This slide wraps up the executive overview. Pause briefly after covering so Allison can cut the audio cleanly.]
- This will be the last slide in the exec overview extract of the preso
- Let’s talk about how to put that strategy into practices.
- This is in fact a year-round process too. Continuous innovation means agile development and continuous deployment, which ought to mean continuous performance engineering.
- Interesting correlation between span of control and occurrence as cause. Statistically, most occur in sources that are under your control. The source of a problem can occur anywhere, or result from a combination of multiple factors, and can be transient. All this contributed to making performance problems some of the most difficult to solve. [What are the most significant contributors to the performance issues experienced in the last 12 months? (Select up to two)]
- First question – how are we doing today? What kind of DX are we delivering to our customers? Do we have problems, and if so, where, and who is affected? That's one reason gap-free, continuous monitoring is so critical. Otherwise it’s difficult to answer the “where” and you may even miss issues that are transient in nature. “I’m sorry ma’am, but I can't find it. Therefore you must not have a problem” just doesn’t cut it. Equally important is understanding user behaviors – how do they interact with your digital environment? What devices do they use, what content do they browse. You need to understand this in order to prioritize optimization and scope testing.
- Creating an accurate performance baseline involves combining real user monitoring with synthetic. Synthetic ensures that you know about DX issues before a real user encounters them. It also highlights the contribution of third-party connections to digital experience, which is critical. Be sure to include mobile.
- The best practices for optimizing DX are not necessarily rocket science – often they just get overlooked when the focus is on other considerations. For example, with responsive design, a lot of objects get loaded up front to ensure device appropriate presentation. But you still need to manage the overall number and page size, or you will lose your customers before they get very far into the transaction. (Describe chart)
- For most retailers, the number of third parties that participate in an ecommerce transaction is growing as a result of business strategy –online marketplaces, ad servers, product review sites, the list goes on. But every third party connection is a potential point of poor performance or failure. Awareness is key – which bring us back to monitoring. And managing the number. SO IN SUMMARY – monitoring is absolutely fundamental. You cannot fix and optimize digital experience you cannot see. But to ensure you are ready for a peak that hasn’t happened yet. You also have to test. I am going to turn the discussion over to my colleague, Brian Brumfield.
- [Thanks, David] If you are going to ensure not just the scalability of applications and servers, but also the ability of your ecommerce environment to deliver the needed DX, then you need to perform scalability testing from the perspective of your customers. That’s not inside the data center. What makes a test “realistic” and why is it important? Design your tests to do what real users will do. They won’t all complete every transaction. They won’t all use the sme web browser or mobile device. Use your real-user data to identify test patterns and priorities. Set meaningful performance targets. How fast does response time need to be? Supplement your own real user data with industry data – Dynatrace can help with that. And be sure to include the digital business team to get their concurrence on targets. Include representatives from any business unit whose activities will affect ecommerce operations. Will marketing update pricing every hour? Where is it served? How about in-store inventory info – where is it coming from, and is it presented with every check-out to encourage in-store pick-up, or only when the shopper requests it? Operate in your test environment the way you will in the real one. [From 2015: Testing is a pass/fail exercise. How do know what’s an “A” grade, versus a “C” or “F”? How should you set targets for your testing?]
- Testing does not tell you where the source of a problem is – you need gap-free visibility for that. You need the same kind of visibility of your test transactions as you do real user activity, and the same capabilities for analysis and troubleshooting. Like with a Digital Performance platform…
- [At the end of this slide – hand floor back to Steve] Steve Trimbo, Dyntrace’s Omnichannel Practice leader will share how to get started with your digital experience initiative Development isn’t “waterfall” anymore. It’s continuous. Performance assurance needs to be part of your continuous delivery process. That’s smart business. Is there a good rule of thumb for forecasting traffic and demand? Retailers w/ 1+ code change / wk: 20% more likely to meet or beat revenue targetsvs. traditional "lock down" approach ( Testing continuously; built into your automated test and build process Internet Retailer survey, 2015)
- Thanks Brian – While one of my colleagues at Target questioned me on whether we needed to load test if we did a good job of Unit and System testing we all know that Load Testing continues to be a critical component of any organization hoping to have the “Best Holiday Season Ever”! As we stated in the beginning eCommerce continues to be an ever increasing component of total retail sales and using one of my favorite coffee shops as an example I’d like to spend a couple of minutes on another type of service we’ve been delivering to ensure our customer’s holiday success. The service is called the Digital Experience Xcelerator and like it sounds it’s an accelerated process to delivering success by 1.) Focusing on the right channel priority mix - While mobile channels continue to accelerate your website may still be the most critical channel–on a global scale. And 2.) Select the most critical business transactions - Use them to generate actionable insights that drive business decisions and team alignment and 3.) deliver The Digital Experience Center - Disseminate needed analytics insights to all teams - including digital business performance, customer experience, marketing performance, and operational performance. With that we’ll turn it back over to Sue for the Question and Answer session. .