Mobile is the New Retail

Webinar: Mobile in Retail
> The State of Mobile Commerce
> Shaping the Mobile Retail Experience
© 2016 Swrve Inc.

Today’s Speakers
Sucharita Mulpuru
VP & Principal Analyst
Forrester
Martin Doettling
Chief Marketing Officer
Swrve
@mdoettling@smulpuru

email
desktop
location
car
offers
mailers
wallet
wearable
pos
tv
In a mobile first world,
the future of marketing is
about orchestrating
a great mobile experience.

The State of Mobile Commerce
Sucharita Mulpuru, VP & Principal Analyst
March 9, 2016

Smartphones now influence a significant percent of
overall sales
$35 $299
$977
$244
Smartphone online Non-phone online (eg
desktop)
Smartphone-influenced
offline
Other web-influenced
offline (eg desktop)
Source: Forrester Research Forecasts; approximately an additional $1.5 trillion is not web-influenced retail at all
$1.6T
Total web-influenced retail sales ($B) in 2015(F), excludes auto and travel
Web sales Web-influenced store sales

As a result, retailers are focusing more on mobile than
anything else now
2013 2014 2015
Mobile #2 #1 #1
Omnichannel #5 #4 #2
Marketing #7 #3 #3
Site merchandising #1 #2 #4
International
expansion
#4 #7 #5
Site replatform #9 #5 #6
Rank of priorities for online merchants
Source: State of Retailing Online 2013-2015 (Forrester/Shop.org)

Shoppers shop in many ways on their phones
In the PAST 3 MONTHS, have you used your mobile phone for any
of the following while you were NOT in a physical store?
Source: North American Consumer Technographics Retail Survey, 2015 (US)
37%
20%
20%
22%
24%
24%
29%
30%
30%
None of these
To check availability of a product in a physical store
To take picture of a product to share with friends or ask
for their opinion
To search for a coupon
To read customer reviews of a product
To purchase a product
To look up product information
To compare prices
To locate a nearby store or to check store hours

In-store shopping is very research-based
In the PAST 3 MONTHS, have you used your mobile phone for any of
the following while shopping in a physical store?
11%
13%
14%
15%
15%
16%
17%
20%
21%
To check out coupons sent to me by a
retailer/manufacture
To read customer reviews of a product
To access my shopping list
To locate a nearby store or to check store hours
To access the Internet via guest Wi-Fi
To search for a coupon
To look up product information
To redeem a coupon
To compare prices

That said, more consumers are buying on phones
Phone shopping breakout of smartphone
owners
39%
60%
27%
17%
34%
23%
2011 2015
Buyers
Browsers
Non-buyers
% of shoppers owning
smartphones
54% 86%
• Balanced between
genders
• Heaviest buying
among Gen Y and
Gen X (under 44)
• $150k+ incomes
slightly more than
average
Source: Bizrate Insights/Forrester Mobile Commerce Studies

Buying on phones is a challenge for many
What is your biggest frustration, if any, when shopping online from
your smartphone/small screen mobile device?
20%
10%
14%
16%
17%
19%
I have not been frustrated
Graphics and information are not sized
correctly
Pages load slowly
It is difficult to click on exactly what I want
It is difficult to enter information
The shopping experience is limited, unlike
on my computer
Source: Bizrate Insights/Forrester Mobile Commerce Studies (2015)

Devices are more fragmented than ever
Base: 9,081 online shoppers
Source: Bizrate Insights/Connexity Flash Study, Mobile Apps, September 2015
Apple
52%Android
34%
Other
3%
No data
service
11%
iPhone 6 models
48%iPhone 5 models
40%
iPhone 4 or earlier
12%
Other Android
smartphone
41%
Samsung Note
14%
Samsung S6 models
13%
Samsung S5 or
earlier
32%
Percent of consumers owning various devices

Shoppers use the mobile-optimized web for most mobile
retail sites
When you have interacted with retailers on your smartphone/small
screen mobile device, then which experience do you prefer?
6%
12%
14%
17%
19%
32%
I don't know
The mobile version of the site (i.e. the site may have less
content, but is easier and faster to navigate on the phone)
Using an app
I don't have a preference
The mobile optimized version of the standard site (i.e. the
site has the same content as the standard website, but is…
The standard website (i.e. the same view you would see
on your computer)
Base: 5,439 recent mobile shoppers
Source: Bizrate Insights/Forrester Mobile Commerce Studies

Responsive design is popular with many retailers
Which of the following best describe your company’s
smartphone and tablet device presence?
2%
11%
14%
40%
43%
Other smartphone app
An Android smartphone app
An iPhone app
Some or all pages use a responsive design approach
A special mobile site optimized for smartphones
Appfocus
Browser
focus
Source: The State of Retailing Online 2015 (Forrester-Shop.org)

Mobile spend is still modest
*

Shoppers gather a lot of content on other 3rd party sites
and resources
<10%
Your mobile site(s)
Search engines,
maps, 3rd party
apps, other retailer
sites
Your mobile app(s)
~20%
~70%+
Your API
strategy can
support this
traffic
Source: Forrester Research estimates

Mobile marketing programs are therefore an area of
focus
3%
4%
13%
15%
22%
30%
30%
37%
46%
52%
5%
3%
8%
5%
2%
12%
14%
6%
16%
11%
11%
5%
10%
7%
3%
8%
7%
5%
6%
10%
46%
54%
47%
37%
46%
24%
24%
21%
13%
12%
33%
33%
22%
36%
26%
25%
26%
31%
19%
16%
Beacon technology
Check-ins
Mobile messaging (SMS, MMS, push)
Other location based marketing (e.g. NFC)
QR codes or other barcode scanning
Smartphone display ad (banner ads)
Tablet display ad (banner ads)
Paid search campaigns to drive traffic to stores
Mobile email optimization
Paid search campaigns to drive mobile shopping
Currently Use Implement 2nd Half 2015 Implement 2016 or later
No Implementation Plans NA/Don't know
Do you currently or do you plan to use any of the following mobile marketing
tools (i.e. for smartphones or tablet shoppers)?
Source: State of Retailing Online 2015 (Forrester/Shop.org)

85% of time on a mobile phone is spent on apps
84% of customers spend time on one of five
apps

What apps people use varies by consumer

A few companies dominate apps

“Borrowing” mobile moments is the best course of
action for many

Retailers need to keep in mind how shoppers need
information and in what ways
When shopping in a store which source of help would you prefer to use when doing
the following?
23%
19%
21%
27%
20%
34%
24%
33%
45%
38%
36%
33%
28%
24%
22%
12%
15%
23%
23%
19%
26%
16%
24%
17%
17%
20%
20%
21%
25%
27%
31%
38%
Checkout/make a payment
Product availability in store
Product availability in other locations
Navigate to a product in the store
Look up price
Product recommendations
Look up product information
Product reviews
No preference Store associate Store device My own device

Store associate support is a good use case for apps
What would you expect [store associates] to be able to do for you with the mobile
device?
13%
17%
18%
24%
37%
45%
47%
55%
59%
60%
Know that I've entered the store and greet me personally
I do not have any expectations of sales associates equipped…
Look up my past purchases and make product recommendations
Look up trend recommendations and product reviews
Perform a checkout for me
Reserve products for me to pick-up at a nearby store
Provide basic information such as return policy or warranty…
Look up inventory at nearby store
Check additional store inventory (when the shelf is empty)
Look up product information

Younger customers also skew more favorably to apps
Source: North American Consumer Technographics Retail Online Benchmark Recontact Survey, 2015
9%
20%
17% 16%
6%
32%
5%
16% 17%
13%
4%
46%
1% 4% 5% 7%
2%
80%
I use apps
exclusively
I use apps mostly I use nearly an
even mix of apps
and browser
I use browser
mostly
I use browser
exclusively
I have never made
any purchases on
my mobile phone
18-24 25-34 35-44 45-54 55-64 65 and older
Thinking about how you make purchases on your mobile phone in general,
which of the following best describes your use of app versus browser?
Apps dominate for
shopping

Considerations
› Significant, loyal user bases are conducive to proprietary apps
› Store associates can be one of those user bases; monitoring activities and
providing customer information can be valuable use cases for stores
› Unique functionality needed for specific events or activities are well-suited for
apps
› Accuracy of data, real-time context and constantly refreshed information are
essential for making apps useful
› Speed of retrieving information can be a key value for retail apps
› Richer engagement can happen in-app; better data comes from app usage
› Businesses targeting younger shoppers are likely to benefit more with apps

forrester.com
Thank you
Sucharita Mulpuru
smulpuru@forrester.com
@smulpuru

In a first-screen world, your most
valuable customers are really never
offline.
Now imagine what’s possible.
Add period after possible.
“Our customers are always online. In fact,
they are on their mobiles even in the store.
For all practical purposes, in a mobile
world, there really is no more offline.”
Joe Megibow, Chief Digital Officer

email
desktop
location
car
offers
mailers
wallet
wearable
pos
tv
It’s a mobile first world,
brands must focus on shaping
the mobile customer
experience.

Mobile success is to reimagine
the mobile experience from the consumer’s perspective.

To shape the mobile experience and
to deliver mobile moments
by nurturing, converting and growing
each customer relationship
through personalized optimized
communications.

Real-time Segmentation & Targeting
Marketing Intelligence Dashboard
Conversation Management
Automation
Dynamic Optimization (A/B & Predictive Marketing)
Monetizatio
n
LTV
UI/UX
Native Content
In-app
Messaging
In-app
Inbox
Push
Notifications
THIRD
PARTY
SYSTEMS
USER
PROFILE
Amplify
ChurnEngagemen
t
The Swrve Platform

Instant Multichannel Integration

Swrve Powers the
Mobile Experience
of Global Brands.

Shape your customers’ mobile
experience and nurture, convert
and grow every mobile
relationship.
Retail

59%
41%60% of purchases
decisions combine web
and mobile use.
http://www.criteo.com/resources/mobile-commerce-report/
MOBILE IS ESSENTIAL IN ALL
STAGES OF THE CUSTOMER
JOURNEY

“Smartphones played a major role as more
people shopped online than in physical
stores
on Black Friday and over the weekend."
Mobile ruled the
2015 Holiday Retail
Season
 14% - year-over-year surge of online
shopping
 27% - mobile percentage of total online
sales
 57% - mobile percentage of total online
traffic
 103 million - used their phones to shopSources: IBM, Adobe, NRF, MMA (Nov.
2015)

40
DISCOVERY
BROWSING
PURCHASE
RETENTION
LOYALTY
Mobile Web and Mobile Apps
complement each other in the customer journey.

0
4
8
12
16
20
24
Mobile Web Mobile App
Products viewed per
user
0
4
8
12
16
20
24
Add to Basket (%)
0
10
20
30
40
50
60
Purchase (%)
http://www.criteo.com/resources/mobile-commerce-report/
Mobile Apps convert better than Mobile Web

42
Native Experience
+
Personalization
+
Context and Location
+
Control of Customer
Journey
=
Higher Conversion
APPS CONVERT 20%
HIGHER THAN
DESKTOP

Swrve helps create, deliver and test
onboarding messages to activate and engage
first-time users.
ONBOARDING
Most of new users abandon
your app in days.

Through Swrve, the marketing team can create,
deliver and test a range of first-time user
experiences to increase the activation of new
users.
It is the quickest way to grow your app business.
Onboard and Activate each new user

Welcome Introductory Tours
Create welcome tour of the app.
Change on the fly without having to update
on the App Store.
Video messaging is especially effective.

Tip-Overlays
Tip overlay tutorials delivered to users as
they first explore the app.
They point out key features right in the
context of their use of the app.
Or deliver in the native language of the
user.
Welcome
Tour

Ask for Permission
Most retail apps need
permissions such as push and
location to be effective.
Swrve helps you explain to
users the value of permissions
and lets them make the
decision (before calling on the
OS).
Welcome
Tour
Tip
Tutorials

Day +1 Messaging
In the first days after install,
Swrve will reach out to new
users yet to be activated.
Welcome
Tour
Tip
Tutorials
Permission
Requests

In-App
Message
If a user hasn’t taken
a core action - e.g.
account creation -
have Swrve prompt
them with in-app
messages.
Welcome
Tour
Tip
Tutorials
Permission
Requests
Push
Messaging

Onboarding Variant 1
Onboarding Variant 2
Iterate, A/B Test and Track different onboarding strategie
Funnel Reports track conversion
Campaign Reports track outcomes

Personalization is at the heart of successful
relationships.
KNOW
each and every customer
at mobile scale.

52
Know your customers because
personalization matters
78%
buy more often
76%
buy more products

53
Every second Swrve tracks
92,592 user behaviours and decisions,
segments and actions in real time.
Just liked
Avatars on
website
Opened
app just
once
Lifetime
Value
$458
Lapsing.
Not seen
>1 month
Abandone
d Cart:
2 items
Near
Piccadilly
store now

Swrve lets you learn everything
you need to know about each
customer, and make it actionable
to marketing.
Data can come from any source,
and is up to the second live.
Ingest customer data
from any source.

Simple, personal, touch-interactive
messaging.
ENGAGE
The best engagement campaigns
are ones that add value to the
customer.

Two weeks ago Kate liked
Aviator Distressed
sunglasses on the website.

Optimal
Swrve applies the optimal time to
reach each customer based on
past engagement.
Personal
Personally address each
customer by first name.
Contextual
Knows what each customer
likes.
Swrve makes it simple to
reach out to each
customer.

Swrve makes it simple
to reach out to each.
customer
A/B test which
message is most
effective.

Swrve makes it simple
to reach out to each.
customer
Or send in the
customer’s native
language.

Or you could always
leave a message in-
app.

Swrve tracks how well each
campaign converts.

This one automated campaign will have more
impact on your revenues than any other.
RE-ENGAGE
68% of people abandon shopping
carts before purchase.

Automated abandoned cart
notifications are very effective
in
re-engaging customers.
Day
+1
Day
+7
Day
+3
Swrve automatically sends to customers who
have added products to their cart but failed to
check out.

Personalizing abandoned cart
messages really transforms
conversion.
- Optimal time push
- Personalize with first name
- Insert the abandoned product
name
Set them up once and Swrve will
message each person by push
or email.

Combine with in-
app messages to
users with
abandoned carts.
Deeplink straight to
checkout page.

Winning
Variant
A/B test call to action to improve conversion.
Variant 2 - 10% off
promotion
Variant 1 - Triggered
prompt

Use it intelligently and you’ll be rewarded.
LOCATION
One of the most powerful tools
available to retail marketers.

Creative use of location
marketing.
Personalized messaging to
drive customers to your store.

69
As soon as the consumer
enters the store, they
receive the voucher in-app.

70
Combine with
CRM and
personalization
engine of the
retailer, with
location triggers
to deliver
contextual
campaigns.

71
Alternatively target customers who dwell at
nearby establishments - e.g restaurants.

Three examples of Swrve surveying
the right customers in the mobile-moment.
CUSTOMER SAT/NPS
Measure and respond to
customer satisfaction at the
moment it matters.

Trigger:
On leaving the store
Track
Customer
Satisfaction
Survey just the
right users, at the
right time.
Swrve compiles
all the results.

Trigger:
Trigger:
> 30mins use or 1st purchase
Track
Customer
Satisfaction
Survey just the
right users, at the
right time.
Swrve compiles
all the results

Trigger:
Trigger:
> 30mins use or 1st purchase
Trigger:
> 1 month registered user
Track
Customer
Satisfaction
Survey just the
right users, at the
right time.
Swrve compiles
all the results

A/B Test native UX, purchase flows, pricing,
buttons and call-to-action.
OPTIMIZE
Understand which mobile
interactions perform best.

A/B Test different native elements of your app.
Swrve will tell you which UX drives more
sessions, time in-app, purchases.
Hamburger menu?
Tabbed menu?

• Change the color of
a button.
• Edit marketing copy.
• Deliver language-
specific call-to-
actions.
A/B Test
See what converts
best

Know and personally interact
with every customer
in one

Meet Swrve Mobile Strategists
at these industry Events
Learn
More…
Mobile World Congress
Barcelona | Feb 22-25
eTail West
Palm Springs | Feb 22-25
Mobile Moments London
| March 9
GDC 2016
San Francisco | March 16-18
Adobe Summit Las

Download your eBook today!
 Rich conversational interactions
 Real-time notifications at scale
 Ready for your mobile business
 Built for today’s agile marketer
 Connects to your marketing
cloud
Learn
More…

Mobile is the New Retail

More Related Content

What's hot

Viewers also liked

Similar to Mobile is the New Retail

More from Swrve_Inc

Mobile is the New Retail