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1. Private and Confidential
Industry Shake Up:
2023 Commerce Trends
To Rock Your World
December 6, 2022
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Thank You
Pivotree provides products and
solutions to design, build and
manage complex commerce
ecosystems for market-leading
brands. We empower frictionless
commerce experiences for their
customers across the entire
buyer journey, from finding their
item, to buying it, to getting it,
while building trust into the
experience.
Amazon Web Services (AWS)
provides a broad set of products
and services you can use as
building blocks to run
sophisticated and scalable
applications. Running your
applications in the AWS Cloud
can help you move faster,
operate more securely and save
substantial costs; all while
benefiting from the scale and
performance of the cloud.

3. Housekeeping
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Click on the Questions panel to
interact with the presenters
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4. Welcome
to our
webinar
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Introducing our panelists
Ronak Shah
Amazon Web Services
Ashlee Aldridge
Reach Partners
International
Wayne Teigen
Pivotree
Bill Mirabito
Chameleon Collective
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Feeling
the Squeeze
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Consumer expectations continue to rise
Flexible
returns
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Omnichannel
Mobile
Commerce
Social
Commerce
Sustainability
and
recommerce
Multiple
payment
options
Personal, curated
experiences
Concierge
service
Flexible
fulfilment
???

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What does frictionless commerce
mean to you?
Drives customer and revenue growth
Deliver a true competitive advantage
Enables business survival
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9. POLL QUESTION:
Which of these business problems
are the biggest cause of customer
friction in your organization?
1. Not enough personalization
2. Returns not optimized
3. Siloed, inaccessible data
4. Inflexible systems

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The top
6 TRENDS
for 2023
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TREND 1
Consumers
choose
experience
over cost
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70% would pay more for a good
experience
75% would switch to a competitor
for a better experience
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Digital Commerce in an Era of Rapid Change Trend
Report, Canam Research, 2022.

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Top of mind issues & priorities for retailers
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Source: eCommerce Leaders 2021 Survey Report
Customer Lifetime Value (CLV)
Conversion Rate Optimization (CRO)
Customer Acquisition Cost (CAC)
New Traffic Acquisition
Average Order Value (AOV)
Top e-Commerce KPI Priorities e-Commerce Investment Priorities
Site Performance
Personalization
Re-platforming and/or Composable Commerce
Omnichannel Optimization
Product Discovery and Product Search
70%
52%
51%
51%
47%
Ⓒ 2022. Amazon Web Services, Inc. or its affiliates.

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Monolithic to composable = Agility
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Ⓒ 2022. Amazon Web Services, Inc. or its affiliates.
Composable
✔ Smaller impact of change
✔ Create appropriate level of granularity and
separation of duties/business functions
✔ Increased speed of reaction, adoption, innovation
✔ Ability to compose your own customer experience
✔ Choice of technology
Monolithic commerce platform
✔ High impact of change
✔ Businesses are limited by multi-experience
capabilities of their platforms
✔ Hard to adopt new technologies

14. User experience is key to customer loyalty
Homepage,
Landing Page
Does it draw them in, or
do they bounce?
Is it mobile optimized?
Are CTAs clear?
Does it assist with
chat/AI?
Search & Product
Listing Page
Is it simple to use for
discovery? Is it badged
and properly
merchandised? Is it easy
to filter, refine, and sort?
Is same-day local pickup
an option?
Product Detail
Pages
Is it clear and intuitive?
Does it suggest similar
items? Does it include
reviews/Q&A?
Cart &
Checkout
Are easy/mobile
payment options
available?
Are expected delivery
dates provided at C/O?
Are returns simple to
initiate and process?
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Most consumers expect personalization:
A Salesforce study found that 73% of
respondents expect companies to understand
their unique needs and expectations.1
But commerce businesses still struggle
to deliver:
A survey by Pivotree and SAP shows
that only 3% of respondents have fully
implemented personalization. And
33% haven't started at all.2
TREND 2
Personalization
will play a big role
1 Bureau of Labor Statistics, Job Openings and Labor Turnover Survey, November 1, 2022.
2 Digital Commerce in an Era of Rapid Change Trend Report, Canam Research, 2022.

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The personalization journey
https://mainstayadvisor.com/go/aws/personalization-model/ 16

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Foundations of modern composable applications
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Ⓒ 2021. Amazon Web Services, Inc. or its affiliates.
Loosely Coupled
Microservices
Asynchronous
communication
Event-Driven
Headless
Separating the
presentation from the
backend logic allows
faster innovation
Purpose Built
Databases
AWS allows for decoupled
databases increasing
scalability and reducing
failure points
Future Proof
Use containerization and
serverless computing to
lower costs and expedite
deployment
Agility
Ability to take a truly agile
approach to the design
and development of
E-commerce

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67% of shoppers check
the return policy before
buying online
92% of consumers will
purchase from a brand
again if the return
process was easy
TREND 3
A great returns
reckoning

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Immersive visual
experiences are
essential
Customers lack confidence to
purchase and return too often
Customers want new
experiences that merge
physical & digital stores
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TREND 4
Automation solves
supply chain woes
Issues are 3x more
likely to lead to customer
disloyalty
56% of US consumers
won’t purchase again if an
order is delayed

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TREND 5
Technical debt
doesn’t have
to snowball

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Foundations of modern composable applications
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Ⓒ 2021. Amazon Web Services, Inc. or its affiliates.
Loosely Coupled
Microservices
Asynchronous
communication
Event-Driven
Headless
Separating the
presentation from the
backend logic allows
faster innovation
Purpose Built
Databases
AWS allows for decoupled
databases increasing
scalability and reducing
failure points
Future Proof
Use containerization and
serverless computing to
lower costs and expedite
deployment
Agility
Ability to take a truly agile
approach to the design
and development of
E-commerce

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TREND 6
Profitability will
drive innovation
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Each customer journey takes several steps
Awareness
Intent
Action
Loyalty
Social Media, Display, PR Events
More likely to connect (e.g., signup, share)
Paid & Organic (Unbranded), Referrals
More likely to consider (e.g., SRPs, PLPs & PDPs)
Paid & Organic (Branded), Direct Traffic
More likely to convert (e.g., build a cart, checkout)
Email Campaigns, Mobile/SMS Notifications
More likely to come back (e.g., repeat, advocate)
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25. Q&A
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salesinfo@pivotree.com | pivotree.com
Thank You!

27. POLL QUESTION:
How often do you think the average
person checks their phone
Every hour
Every 10 mins
10 times a day

28. Mobile Commerce
Mobile devices account for 71% of retail traffic,
and generate 61% of online shopping orders,
according to Statista.

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30. POLL QUESTION:
What social media platforms
do you sell your products on?
1. Linkedin
2. Facebook
3. TikTok
4. Instagram
5. Twitter

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Social commerce
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Convenience wins over consumers
70%
of customers will
pay more for the
value of
convenience
75%
would switch to a
competitor that
offers a more
convenient
experience
68%
say convenience
alone would make
them come back to
a brand or
company.
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https://www.forbes.com/sites/shephyken/2022/11/06/former-vp-of-amazon-preaches-a-frictionless-experience/?sh=76a8ad0a5835