This document discusses optimization and personalization strategies for the Petco.com website. It outlines the business model, goals, key performance indicators, audience profiles, and methods for personalizing the customer experience. These include recognizing repeat visitors, suggesting related products, and tailoring the experience based on past purchases and search keywords. The document proposes an initial project to increase average order value by improving the "your pet might also like" feature. It advocates using agile marketing practices like A/B testing to efficiently implement and evaluate new strategies.
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American shoppers spent a whopping $46.5 billion online last holiday season. Is your team ready to snag a slice of that multi-billion dollar pie?
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Welcome to the age of omni-commerce. From Google to Amazon, and from Instagram to Instacart, commerce is happening all around us. It is ubiquitous and omni-present. What does this mean for brands?
It means that omni-channel strategies are more critical than ever. Join this presentation as we size up the omni-channel opportunity and share tips for planning and activating an effective omni-channel program.
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Less Silos, More Symbiosis: Omni-Channel Strategies to Drive In-Store & Ecomm Sales
Many marketers take separate and siloed approaches to in-store and ecommerce marketing. It’s time to rethink this approach. As the digital ecosystem continues to drive purchase behavior across in-store and ecommerce, brands must identify and capitalize on synergies across online and in-store.
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Your Best Customers Call: How to Optimize Your Cross-Channel Strategy for Cal...Tinuiti
No cross-channel marketing strategy is complete without phone calls. For most businesses, your most valuable customers convert by calling. And the COVID-19 crisis has made the call channel even more important to marketers. How well your search, digital, and offline campaigns generate the right types of callers — and the experiences you provide to convert them — can make or break your marketing ROI. Join us to learn the latest marketing best practices to convert more callers to sales opportunities and customers.
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Examples of great buying guides, and what not to do.
Best approach to creating buying guide content to support each customer stage.
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1. Petco.com
Final Paper: Website Optimization and Personalization
MGMT 461.43 – UC Irvine Extension – Summer 2013
By: Corinne Blair
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 1
2. Business Model
E-commerce
Lead Generation
Ratings & Reviews
Social Community
Blog & Branding
Current Conversion Success Measures
Web Analytics, Purchase, Form Fill
Cookie Tracking, MyPetco Profiles
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 2
3. Website Optimization
Improve Site Performance
Buyer’s Journey
Conversion Rate
Will Help Petco.com Succeed
Market Leadership
Profitability
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair
3
4. Website Goals
• Web sales
• Offline sales
• Leads
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 4
5. Setting up Petco.com for Success
KPI Q1 Q2
Sales Metric #1 - Boost pet food sales 10%
in the next quarter, includes dog, cat,
aquatic, bird, and small animal.
Revenue, conversion rate, site traffic,
shopping cart abandonment rate,
competitive price trends, page views, new
customer orders versus returning customer
sales.
Revenue, conversion rate, site traffic,
shopping cart abandonment rate,
competitive price trends, page views, new
customer orders versus returning customer
sales.
Sales Metric #2 - Boost pet supply sales
10% in the next quarter, includes leashes,
collars, toys, fashion, grooming products,
and bedding.
Revenue, conversion rate, site traffic,
shopping cart abandonment rate,
competitive price trends, new customer
orders versus returning customer sales.
Revenue, conversion rate, site traffic,
shopping cart abandonment rate,
competitive price trends, new customer
orders versus returning customer sales.
Website Metric #1 - Increase cross-sell
conversion rate 2% in the next quarter.
Revenue, conversion rate, shopping cart
abandonment rate, competitive price
trends, page views, product affinity, product
relationship, new customer orders versus
returning customer sales, average order size
and value.
Revenue, conversion rate, shopping cart
abandonment rate, competitive price
trends, product affinity, product
relationship, new customer orders versus
returning customer sales, average order size
and value.
Website Metric #2 - Generate 10% new,
unique visitors each month to the Web
site.
Site traffic, traffic sources, promotional
click-through rates, social shares, bounce
rates.
Site traffic, traffic sources, promotional
click-through rates, social shares, bounce
rates.
Website Metric #3 - By end of year, acquire
500 new unique visitor profiles via
Petco.com e-newsletter registration
Site traffic, traffic sources, form files, page
views, abandonment rate.
Site traffic, traffic sources, form files, page
views, abandonment rate.
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 5
6. Audience Roles & Tasks
Stages in the Buyer’s Journey
Researcher Shopper Buyer
New Pet Owners
Existing In-Store Customers
Repeat/Loyal Online Customers
Competitor Shoppers
Researchers
Media
Educators and Parents
Givers
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 6
7. Voice of Customer
Survey – Essential Voice of Customer Tool
1. Why did you select Petco.com for your online purchase today?
A) Pricing B) Product Availability C) Quick Reorder D) Other, describe
2. How satisfied are you will the ease of finding what you were looking for (rank on
scale of 1 to 10 - not at all; a little; somewhat; quite a bit; highly)
3. How likely are you to purchase from Petco.com the next time you are in the market
to buy this type of product? (rank on scale of 1 to 10 - not at all likely; unlikely;
perhaps; likely; highly likely)
4. Share your comments about what would make your Petco.com shopping
experience better. (open-ended)
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 7
8. Voice of Customer
User Experience
BizRate.com
• Link on an exit pop-up window
• Appears after customer/user presses submit to place their order.
• Incentive = saving points to PALS card/account
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 8
9. Audience Profiling Methods
Understanding the Audience
MyPetco Registrations
Repeat visitors don’t sign-in everytime they visit
cannot rely on registrations alone
New types of audience profiling
Technographic data
how tech savvy is the Petco.com visitor
Web Conversion Cycle
understanding new visitor behavior better by leveraging the adding
search referrals metric to show the revenue and cost for each
conversion.
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 9
11. Personalization
Previously Purchased Products
Improvement Opportunities
Not requiring repeat visitors to log-in.
Shopping Guide printable for in-store use.
“Your Pet Might Also Like” feature more flexible to include a wider
array of options that relate to shopper’s purchase
(i.e., treats, wet food, fashion, bedding, toys, etc.)
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 11
12. Personalization
Search Keywords
Improvement Opportunities
Pre-populate search box with keywords visitor used to find landing page
Faceted search approach extracts and retains information from each
visitor’s search.
Exit pop-ups with special offers/alternatives to visitors about to leave the
site.
Proactively initiate live chat sessions if the visitor is struggling with
something on the site.
Website search facility
Improve buyer’s current context
Ensure visitors on mobile or tablets have the same search
experience as on a PC or laptop
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 12
13. Personalization
New Visitor
Referrer Sources
Repeat Customer
Last visit, how often they have visited,
what content they have looked at,
which products they purchased
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 13
14. Conversion Optimization
New Visitor
Bounce rates on landing pages that include CTA
to register for “MyPetco” or e-newsletter sign-up.
Page Views and Time on Page
Repeat Customer
Influence of temperament on behavior
What they purchased last, and what means they used to purchase.
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 14
15. Optimizing Mobile Experiences
1. Display navigation tabs prominently
2. Matching branding elements
3. Prioritize SEO for local page
4. Reduced Text
5. Don’t forget landing pages
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 15
16. Mobile Marketing
Mobile Website
Versus
Mobile App
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 16
17. Optimizing Email
1. Place subscribe button on upper right
2. Create segmentation of your list
3. Create compelling subject lines (the hook)
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 17
18. Initial Project
Website optimization and Personalization Project
Increase the average order value by improving the
“your pet might also like” feature at the check-out page
High-profile, Measurable, Immediate Impact
Revenue Growth Potential
Tested in one business unit = won’t disrupt entire site
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 18
19. Implementation
Agile Marketing Process
Series of short projects
A/B Split & Multivariate Tests
Lasting only two to four weeks
Cross-functional involvement
Short Story Format = Less Paperwork
Fast, Effective, Inexpensive
Outsource to free up internal IT Resources
Final Paper: MGMT 461.43 Website Optimization and Personalization - UC Irvine Extension - Summer 2013 By: Corinne Blair 19
Editor's Notes
Search Keywords
Gathering visitors’ search keywords is important to understand what visitors are interested in, and if they are getting to where and to what they want easily. Gathering Search Keywords can also drive personalization and revenue. The importance of gathering search keywords is expressed well by Marketing Sherpa “Visitors using site search box are 270% more likely to buy.” Al lectureso, by Forrester – “11% higher AOV from search users vs. non-search users.” Insights help uncover potential search improvements to help optimize conversions, in terms of the site delivering the right links, landing pages, content, and merchandising for upselling and cross-selling. Overall, ensuring the keyword search is easy and productive from all angles.
Petco.com has chosen a personalization technique of anticipating what they visitor might be looking for, via a drop-down menu of search options underneath the keyword search box. The drop-down is triggered by what the visitor starts to type into the search box. The technique is similar to Google.com or Bing.com.
Petco.com could consider pre-populating the search box with the text of the keywords that visitors used to find your landing page. Also, use the faceted search approach that extracts and retains information from each visitor’s search for continuous improvement. Another personalization technique to consider is to use exit pop-ups with special offers/alternatives to visitors about to leave the site. Plus, proactively initiate live chat sessions if the visitor is struggling with something on your site. The value of these personalization techniques are happy visitors who are impressed with the search tool that is easy, fast and effective to get them to the places and to the information they are seeking. The result is more loyal customers and higher conversion rates.
Petco.com has website search facility. The Petco.com website search facility (keyword search box) is very effective. I especially like how the search box/facility anticipates what they visitor might be looking for via a drop-down menu of search options underneath the keyword search box. The drop-down “menu of options” is triggered by what the visitor starts to type into the search box. Works just like Google.com or Bing.com. The search landing pages well designed and optimized for the next step in the buyer’s journey. The landing pages are also effective at promoting related items via the category suggestions on the left side of each landing page. The search box is placement and design is a strong merchandising feature of the website.
Petco.com can improve buyer’s current context, in terms of the type of device the visitor is using to navigate Petco.com. Petco.com has not fully embraced mobile and device detection. So, this is an area for improvement. To ensure the functionality of the website search facility is optimized for visitors to easily get where they want to be no matter what device they are using. Also, to ensure visitors on mobile or tablets have the same search experience as on a PC or laptop
To personalize Petco.com, new visitor versus repeat customer should be segmented. For new visitors, referrer sources are important, whether it is from a keyword search, ppc, social, or link to personalize the landing page for continuity so the visitor knows they came to the right place from where they began their journey. For repeat visitors, know when they visited last, how often they have visited, what content they have looked at, and which products they purchased are important. For instance, if a repeat customer purchased Hill’s Ideal Balance Grain Free Adult Cat Food on their last visit, Petco.com can personalize their next visit with the latest news about Hill’s Ideal Balance or show a Hill’s Ideal Balance banner ad, or an exclusive discount on the landing page. Petco.com already captured robust information about visitors via “My Petco” registrations/userIDs and user-generated profiles that are used for personalization. (demographic, details on pet-type, opportunities to select their unique preferences and interests)
To optimize conversions for new visitors, bounce rates on landing pages that include a CTA to register for “MyPetco” or to sign-up for the e-newsletter are important. If the bounce rate is high, this will flag needed improvements. Also, to understand their pages views and time on page to identify other high traffic area opportunities to place the “register for MyPetco” CTA. Also, for new visitors, exploring the influence of temperament on the behavior of the visitors on the site is key (i.e., search dominant, navigation dominant, tool-dominant or the “successful” user/idealist) to optimize the conversion journey. For repeat customers, knowing what they purchased last, and what means they used to purchase – whether they signed-in to their MyPetco account, used “shopping list”, “quick order” or “repeat delivery”, can drive product upsell opportunities (increased revenue), or more convenient ordering methods they haven’t tried yet.
As Petco.com becomes more involved with Mobile Marketing, mobileexperience optimization for Petco.com should be prioritized as follows:
Display navigation tabs prominently
Matching branding elements
Prioritize SEO for local page
Reduced Text
Don’t forget landing pages
The Petco mobile website strategy is about giving consumers convenient and easy-to-navigate browsing and access to a store locator, and full-site search capabilities leading them to detailed product descriptions, customer reviews product information, and product reviews wherever they may be on-the-go or in-store. Therefore, the first mobile marketing optimization priority is focused on display navigation tabs, ensuring the “search box” is prominently displayed at the top, center of the mobile page, so consumers can quickly and easily type in what they are searching for. Also, being mind-full of the placement of the store locator, and the format of pet specific navigation tabs, so they are organized in a simple way, visible and easy-to-use.
Matching branding elements is the second mobile marketing optimization prioritization to ensure brand continuity and primary brand assets are retained from the Petco.com design. Petco will use the same strategy as the PC Web site. After mapping out the navigation tab placement, then Petco.com should incorporate the branding mandatories, like the Petco logo at the top of the page, and the Petco color scheme throughout. Also, retaining merchandising assets from Petco.com, such as slice-of-life photography and rich product photography. Petco.com should use responsive design to ensure the brand assets and overall design are formatted correctly on each type of mobile platform (android, ios, windows phone, etc.) for optimal conversion potential. Overtime, as the mobile website’s usage increases, Petco will gain a better understanding about their mobile users, which may revamp the merchandising strategy based on key learnings and behaviors Petco.com has observed.
Since search is the driver behind Petco’s mobile website strategy, Prioritize SEO for local page is recommended as the third mobile marketing optimization priority. Petco has over 1,000 stores in 50 states and the District of Columbia, in addition to their online store, Petco.com serves to drive both online and offline sales. To support offline sales, the mobile store locator should be optimized with local search engines, as are available with Google, Bing.com, or Yahoo.com. The core mandatory should be to integrate Google map functionality with the store locator, including a list of all the nearby Petco stores, with a map and driving directions. Petco should also explore other optimization features that support a more localized search environment, such as Google Places, Google+ local pages, and Foursquare.
The fourth mobile marketing optimization priority is reduced text. Petco should evaluate the readability of the mobile site on each mobile platform to determine where reduced text is needed. Also, Petco.com should evaluate where it might makes sense to add a link to the mobile site that takes users to content on another page.
Don’t forget landing pages is the last priority for mobile marketing optimization. Once the mobile home page is established, then the same principles and mandatories used to create the home page will be used to develop landing pages. The development of the first four mobile marketing priorities will set the stage for optimizing the conversion funnel and landing pages.
Petco.com should develop a Mobile Website before developing a Mobile App. A Mobile Webiste is better primarily because of its strength in search optimization, both for SEO/SEM and site navigation versus a Mobile app. Since Petco has over 1,000 stores in 50 states and the District of Columbia, in addition to their online store, Petco.com serves to drive both online and offline sales. So, a Mobile Website is the best approach to help Petco’s large customer base to search for their local Petco store, as well as search for more information on products while they are in-store, if a Petco Associate is not available to assist. The Mobile Website can also be used for customers who wish to shop online if they do not have access to a desktop or laptop computer. Petco does invest a lot in SEM (display ads, organic and paid search), so a Mobile Website will support their traffic driving strategy better than a Mobile App. Also, the available analytics, opportunity for responsive design, quick scalability to the full-host of platforms, ease of implementation, and relatively low investment cost are compelling reasons to pursue a Mobile Website over a Mobile App.
After the Mobile Website has been established, Petco could also benefit from offering a Mobile App to support their loyalty and retention strategy. A Mobile App could be created for members of Petco’s Pals Rewards program, as well as for frequent online shoppers to make it easier for Petco’s best customers to stay connected, have access to their available discounts/rewards, and shop online (i.e., via the “Quick Order” feature) wherever they may be during their day. The exclusive convenience of such a Mobile App would help Petco’s best customers feel appreciated and valued. Also, the Mobile App may serve as an incentive for new or occasional online customers to step-up their engagement in order to benefit from this fun, exclusive app.
The Top 3 E-mail Optimization priorities for Petco.com are as follows:
Place subscribe button on upper right
Create segmentation of your list
Create compelling subject lines (the hook)
Narrowing the list down to the Top 3 priorities for Petco.com is difficult, as all the priorities are equally important for e-mail best practices. However, Place Subscribe Button on Upper Right takes the lead as the first best practices priority, because it is key to acquiring and building the e-mail list. Without a prominent, easy-to-use “subscribe button” that functions smoothly, Petco.com would not have the robust list of customers to e-mail. So, the first priority for Petco.com e-mail best practices should focus on the start of the relationship and where the e-mail address is acquired.
The second e-mail best practices priority is to Create a Segmentation of the List. Since Petco offers products and services for variety of different pet types (dog, cat, bird, reptile, aquatic, squirrel, etc.), it is very important for customer loyal and retention that Petco properly segments the list from the source of names (the subscribe button/MyPetco member profiles), so a bird pet parent does not receive a dog-specific e-mail newsletter on accident. Also, Petco.com should also further segment the list by open rate, and open, click through to conversion to develop a targeted strategy to drive conversion from consumers who are at different stages in the buyer’s journey. List segmentation should be continually tested by comparing different groups to gather insights and key learnings from each e-mail deployment to ensure the CTA is getting the best conversion results from each segment.
The third e-mail best practices priority is Create Compelling Subject Lines. Maintaining share of voice in the pet industry is very competitive. While a simple, clean and legible e-mail template that features the main message and CTA above the fold is important, it is more important to get the customer to notice the e-mail in their in-box and be excited to open the e-mail so they can read the content. Also, focusing on creating compelling subject lines provides a great opportunity for better brand consistency and integration across all marketing vehicles. Adopting the most attention-driving content from Petco.com social media channels and the most effective keywords used in search to create compelling subject lines will result in the ideal hook for better open rates, and higher conversion.
The right website optimization and personalization project to start with is to work on increasing the average order value by improving the “your pet might also like” feature at the check-out page. Running tests to improve the functionality and flexibility to include a wider-array of options that are personalized to the shopper’s purchase (i.e., treats, wet food, fashion, beds, and toys, etc.).
Petco.com has a history of low average order value is due to the shopper’s challenge of adding multiple items to their cart, especially if they items that are from a different category. Historically, the “your pet might also like” feature has been visible on the product description page, but “below the fold” and only suggests four related items within the same category for each pet type (i.e., if the shopper selected a food item, only other related food items will appear). Also, the “your pet might also like” feature appears as a pop-up window as the consumer clicks on “add to cart” to go to the checkout page. The pop-up window on does not include functionality to add to cart, so if they would like to add any of these additional items to the cart, the consumer has to back-track two steps, which adds additional time the shopper does not want to spend. The shopper gets frustrated, and abandons the check-out site all together. Or they purchase different items on separate visits. Plus, only four options appear in the pop-up window, and are often from duplicates categories – i.e., two types of leashes. and two types of foods. It would be useful to run several A/B Split and Multivariate tests to learn what is most valuable and convenient for the customer, such as presenting four or more distinct category options (i.e., bedding, food, leash, treat, toys, and a grooming product), showcase the top rated or most popular, test an “add to cart” feature build-in so the customer doesn’t have to back-track to select additional items, test placement within the check-out page instead of a pop-up, test placement right below the original item the shopper wants to purchase (i.e., in place of the current donate box).
This is the right project choice because it is measurable, and the impact can be seen immediately. Also, it can be changed back quickly, if needed. Also, the ““your pet might also like” feature can be tested in one business unit (i.e., Ferret section under Small Animals), and not disrupt the entire site. Also, is has the potential to positively impact revenue growth by increasing average order value.
An Agile Marketing process will be used to implement the initial project. The Agile Marketing process is a sprint involving cross-functional involvement in a series of short projects lasting only two to four weeks. There is empowerment, knowing everyone in the team plays a part in the negotiation of what get down and how it gets done. Knowing the project starts small makes it easy to implement. The fast-paced nature of the Agile Marketing process is exciting. The reward of continuous feedback and the flexibility of constantly experimenting and adjusting to understand what the customer thinks and wants will help the team feel productive and results-oriented. Also, the fact that there is less paperwork due to the short story format and more communication makes the Agile Marketing process less burdensome to the team.
Petco’s digital marketing team will also utilize vendors, such as Tealium, to manage all of their mission-critical online solutions, so they don’t have to rely on ongoing assistance from JavaScript-trained IT personnel. The team will be more nimble and efficient, while freeing up valuable IT resources. The team will be able to launch more revenue-generating campaigns faster than ever, as well as improve web site performance, helping to increase conversions and provide a better online customer experience.