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The Amazonization of Global E-Commerce User Experience (UPA 2010)

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Presentation held at the International UPA 2010 Conference in Munich.

Presentation held at the International UPA 2010 Conference in Munich.

Published in: Design, Business, Technology
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  • 1. The Amazonization of Global E-Commerce User Experience
 Arne
Ki(ler,
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 UPA
Interna7onal.
München,
27th
Mai
2010

  • 2. HELLO UPA. Arne
Ki3ler:
Director
Consul7ng
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 Interac7ve
Agency
in
Hamburg,
Germany
since
1996
 Digital
Branding,
Interac7ve
Design
and
E‐Commerce
 
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  • 3. INTRODUCTION 
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  • 4. AMAZONIZATION – WHAT‘S THAT? 
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  • 5. EXTREME AMAZONIZATION. Wise use of patterns or dangerous loss of differentiation??? 
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  • 6. OR, MORE GENERALLY: THERE IS A BALANCING ACT BETWEEN STANDARDS AND DIVERSITY IN E-COMMERCE 
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  • 7. MORE BALANCING ACTS. Standard vs Diversity Amazonization Differentiation Globalization Localization Equalization Individualization 
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  • 8. MY PRESENTATION TODAY. My Presentation: Introduction to the 3 balancing acts Pros & Cons to consider Simplified model to handle a combination of all 3 aspects 
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  • 9. AMAZONIZATION vs. DIFFERENTIATION 
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  • 10. THE CONTEXT. Market leaders such as Amazon play an important role in shaping usage patterns that influence many e-commerce websites. This is special for e-commerce because for other genres there are no similarly influential players. We have labelled this effect „Amazonization“ even though there are other influential shops, too. 
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  • 11. AMAZONIZATION: HOMEPAGE-GRID. 
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  • 12. AMAZONISATION: MEGA-DROPDOWNS. 
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  • 13. E-COMMERCE PATTERNS = AMAZON? Amazon cited as reference for all major e-commerce patterns 
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  • 14. COMMISSION-COMMERCE A new type of service companies offer brands a mostly commision-based setup and maintenance of their online-shop. Even though the underlying platforms such as Demandware offer full differentiation, this business-model can easily result in shops that place common practice before the brand they are representing. 
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  • 15. AMAZONIZATION: ADVANTAGES. Familiarity to users Low responsibility of failure Temptation to skip testing Easy decision, „cheap“ development 
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  • 16. AMAZONIZATION: CHALLENGES. Loss of differentiation Considering the long-tail: Risk of becoming economically unviable Context: Amazon is NOT an average shop! 
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  • 17. AMAZONISATION vs. DIFFERENTIATION. Patterns are good! Visual Design needs to differentiate Content Design is important But: Beware of the context! 
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  • 18. Globalization vs. Localization 
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  • 19. THE CONTEXT. E-Commerce is global and has risen in relevance for companies. E-Commerce has global management attention. A high level of Standardization has become the most common approach to Web Globalization. Centralized Development and Technology Mastersite with Global Templates 
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  • 20. EXAMPLES 
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  • 21. GLOBAL STANDARDS: ADVANTAGES. Cost Effectiveness Consistent brand appearance Quality Assurance Comparability 
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  • 22. GLOBAL STANDARDS: CHALLENGES. Users are local!! Local variations in assortment and structure Languages / Room for text Measurements, address conventions etc. Marketing 
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  • 23. GLOBALIZATION vs. LOCALIZATION. Global templates & platforms will last But: Competition for UX is local Modular concepts and design required Organisation and processes matter 
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  • 24. GENERALIZATION vs. INDIVIDUALIZATION 
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  • 25. THE CONTEXT. Amazon were one of the first and few companies to turn the late 90s Personalization hype into individualization features that actually offer benefit to the users and helped to drive sales. While Individualization remains a promising approach from a user perspective there are also valid reasons for retailers to offer an equalized shop. 
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  • 26. INDIVIDUALIZATION EXAMPLE: CONTENT 
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  • 27. INDIVIDUALIZATION EXAMPLE: UI 
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  • 28. INDIVIDUALIZATION: ADVANTAGES. Potentially relevant shopping suggestions Catering for usage preferences Potentially better sales Increased customer loyalty 
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  • 29. INDIVIDUALIZATION: CHALLENGES. Good Individualization takes effort Bad Individualization is worse than none Strong brands want/need to guide users and provide orientation 
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  • 30. EQUALIZATION vs. INDIVIDUALIZATION. Good Individualization remains difficult Individualization will benefit from m-commerce and social commerce. Focused shops or shops with standardised goods and broad user base can best benefit from Individualization Brand-Guidance vs. Individualization (only service Features!) 
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  • 31. 3 IMPORTANT STRATEGIC QUESTIONS Standard vs Diversity Amazonization Differentiation Globalization Localization Equalization Individualization How can we look at all 3 perspectives at once? 
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  • 32. THE CHALLENGE: HOW CAN WE BALANCE ALL 3 ASPECTS AT ONCE? 
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  • 33. POSITIONING MODEL FOR BUSINESS MODELS AND FEATURES 
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  • 34. POSITIONING MODEL. Differen7a7on
 Amazoniza7on
 Globaliza7on
 Localiza7on
 
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  • 35. SECTORS VISUALIZING TENDENCIES. 
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  • 36. EXAMPLE: MAX. STANDARDIZATION Amazonisation + Globalization + Equalization 
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  • 37. EXAMPLE: MAXIMUM DIVERSITY. Differentiation + Localization + Individualization 
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  • 38. EXAMPLARY POSITIONING Fashion Brand Shop 
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  • 39. FASHION BRAND SHOP. Differentiation + Globalization + Equalization 
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  • 40. FASHION BRAND SHOP. Differentiation: Differentiation needed to communicate the brand‘s image and personality. 
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  • 41. FASHION BRAND SHOP. Globalization: Apart from functional localization of details, the brand will pretty much appear the same in every market. 
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  • 42. FASHION BRAND SHOP. Equalization: For a brand shop it is important that the brand is presented in a strong and guiding way. Individualization might let the brand appear deliberate. 
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  • 43. EXAMPLARY POSITIONING Order Summary Page 
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  • 44. ORDER SUMMARY PAGE. Amazonization + Localization + Equalization 
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  • 45. ORDER SUMMARY PAGE. Amazonization: At this critical step of the checkout process it is wise to stick to established patterns and avoid irritation. 
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  • 46. ORDER SUMMARY PAGE. Localization: This page sums up all previous checkout-steps and thus needs to reflect the local variations for payment, postage etc. 
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  • 47. ORDER SUMMARY PAGE. Equalization: Even though this page features mostly individual user data it is not considered an individualized page. 
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  • 48. SUMMARY 
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  • 49. SUMMARY. Standardisation and diversity are both valid and relevant aspects in E-Commerce E-Commerce teams are facing a balancing act for at least 3 of such aspects The ideal combination of all perspectives will vary for different business-models and features 
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  • 50. DANKE!
 I appreciate your feedback! arne@fork.de @arnekittler slideshare.com/rn3_hh PS: Enjoy the party!!

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