Things you didn't know about digital marketing

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Waldo Smeets

Highlights of 3 Adobe Digital Index reports as presented on the Digital Marketing Forum in Brussels, Februari 2013.

About Adobe Digital Index Reports

Adobe Digital Index publishes research on digital marketing and
other topics of interest to senior marketing and e-commerce executives
across industries. Research is based
on the analysis of select,
anonymous, and aggregated data across trillions of
transactions and more than 5,000 companies
worldwide that use the Adobe Marketing Cloud, to obtain real-
time data and analysis of activity on their websites.

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 2

Insights

ROI of existing Impact of tablets
Customers on retailers

Giving credits
to social

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

The ROI from Marketing to Existing Online Customers

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Site visitors broken into 3 segments

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 5

Majority of all visitors are first time shoppers

Notes: Shoppers – up to and including first purchase on site.
Return Purchasers - consumer with a previous registered purchase
Repeat Purchasers – consumer with 2 or more lifetime purchases
Sample: 33 billion visits in 180 U.S. and Europe
© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 6 websites

Experience breeds confidence

 Repeat purchasers are 9X more likely to purchase
an item than new shoppers.
 Return purchasers are 5X more likely to purchase
an item than new shoppers.

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 7

Digital Index: ROI from Marketing to Existing Online Customers

Selected Highlights

The ROI from Marketing to
Existing Online Customers
• 40% of revenue comes from returning or repeat purchasers,
who represent only 8% of all visitors.

• Marketers in Europe must bring in 5 and 7 shoppers,
respectively, to equal the revenue of 1 repeat purchaser.

• Most of the revenue improvement in purchaser segments
can be attributed to increased conversion rates which are
up to 9 times those of shoppers.
Adobe®Digital Index

Notes – Shoppers – up to and including first purchase on site.
Return Purchasers - consumer with a previous registered purchase
Repeat Purchasers – consumer with 2 or more lifetime purchases

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 8

Tablet visitors have the golden touch for online retailers
The impact of tablet visitors on retail websites

In over 16.2 billion visits in 2011 to
150 of the largest retailers on the
© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.
internet

Know the tablet habits

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 10

Purchasing habits of tablet users

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 11

Report Showcases Value of “Tablet Visitors” for Retailers

Selected Highlights
• 77% of tablet owners use
it to shop with estimated
300% increase in tablet
visitors in 2013

• Compared to Smartphone
Visitors, 3X more likely to
buy and spend 54% more

• Compared to Traditional
Visitors, similar
conversion rates and
spend 21% more

• Companies need a distinct
tablet and
mobile/smartphone
strategies
© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 12

Build your marketing plan across devices and become tablet friendly

Segment
Measure &
Optimize

Target

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 13

Why marketers aren’t giving social the credit it deserves

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Last click traffic sources

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 15

Attribution Models Matter

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 16

Search, meet Social

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 17

Adobe Digital Index - Conclusions

1. Attribution models • Marketers can and should use different attribution
models, including first-click attribution, to more
matter accurately measure social’s impact on their websites.

2. Improve media • Increased use of first-click attribution can change
how much marketers invest in social media versus
investments by using first- other channels and the social media sites in which
click attribution they invest.

3. Improve investment
allocations to social • Increased use of first-click attribution can change the
perceived ROI and the marketing investment for each
media sites by using first- of the different social media sites.
click attribution

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 18

© 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

The document discusses how retailers can deliver a smarter shopping experience for consumers. It notes that consumers are redefining shopping to fit their needs through omnipresent connectivity. Retailers need to provide a seamless experience across channels using an enterprise customer interaction platform. This allows them to maintain a consistent brand while offering choices in research, purchase, delivery, and service. Implementing cross-channel order management and delivery scheduling helps optimize the customer experience.

IBM IT Lead Innovation

Retailers Association of India

SolidMedia: QwikBonus Program - Conversation Starter

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The document describes a "one-stop-shop" mobile marketing solution called QwikBonus for convenience stores. QwikBonus provides a complete mobile solution including a branded mobile app, turnkey mobile marketing capabilities, loyalty programs, and data analytics. It aims to increase customer acquisition and retention through rewards programs, drive more store visits from loyal customers, and increase customer response to offers. The system works by targeting customers with a location-aware mobile app and using geofences to deliver promotions to customers both outside and within the store area.

Attention Retail innovations Q2 Report

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The document discusses innovations in retail as consumer behavior shifts towards digital and mobile commerce. It outlines how retailers must adapt to an omni-channel approach, using technology to engage customers across multiple touchpoints. Specifically, it explores trends in mobile in-store shopping, tablet and mobile apps, virtual stores, and social/visual discovery platforms to enhance the customer experience across channels.

Shifting Shopper Preferences: Analyzing The Latest Data on Cross-Channel Trends

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The document summarizes key findings from the 2010 Cross-Channel Brand Interaction Consumer Preference Survey. It discusses how consumer expectations have changed since 2007 to demand a more seamless cross-channel experience. Retailers need capabilities like in-store pickup notifications and maintaining a cross-channel customer history. The survey also found that UK and US consumers have similar but not identical expectations. Sterling Commerce and Demandware then each provide their perspective on how retailers can meet rising consumer demands through cross-channel technology and transformation.

Smarter commerce overview

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Mobile and social technologies are reshaping commerce by influencing customer expectations and behaviors. Customers want personalized, seamless experiences across all channels. Leading companies are taking an integrated approach to commerce that places the customer at the center and uses insights to optimize processes across the entire value chain from procurement to marketing to sales to customer service. IBM's Smarter Commerce solutions use analytics and cloud technologies to help companies anticipate customer needs, drive efficiencies, and deliver superior experiences that strengthen engagement and loyalty.

Smarter Planet: Retail

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Web Strategy for Retail

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The document discusses web strategy for retail businesses. It provides an overview of Intergen, a company that provides IT solutions based on Microsoft technologies. It then discusses how the retail consumer and shopping channels have changed in recent years. Specifically, it notes consumers now spend more time online and via mobile compared to in physical stores. This has led retailers to shift their focus from individual channels to providing converged, multi-channel experiences. The document proposes mapping "customer journeys" across channels to understand how consumers research and purchase products. Understanding these journeys can help retailers improve processes and solutions to enhance the customer experience.

North America. They are using Gold Mobile is a mobile marketing and loyalty firm that provides mobile GoMo Directory to: solutions to help large companies engage customers through their mobile devices. It offers several proprietary mobile tools including GoMo Campaign for mobile advertising, GoMo Chat for customer service text messaging, GoMo Promo for mobile coupons, and GoMo Directory for - Drive traffic to concessions mobile websites and apps. These tools have driven increased sales, - Provide location based content customer loyalty, and other business benefits for Fortune 1000 clients. - Distribute mobile coupons - Capture consumer data

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Seamless Cross-Channel Retail Execution, Thomas Møller Jensen, IBM

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This document discusses cross-channel retail execution and the benefits of a seamless cross-channel experience. It outlines how consumers now expect to shop across channels in a unified way. Retailers that implement cross-channel capabilities see increased sales, with 40% of online orders picked up in store resulting in additional purchases. Cross-channel order management allows a single view of customers and fulfills expectations of seamless experiences.

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Stores Under Siege: Balancing Sales, Service and Execution in an All-Channel ...

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Traditional bricks-and-mortar stores are still the primary way people acquire merchandise. As physical retailers’ extension into a multi-channel world grows – along with consumers’ expectations – the pressure on retail stores to be the heartbeat of an all-channel customer experience has never been greater. Making the most of every dollar invested in labor is critical to ensuring optimal service levels, timely task execution, maximum revenue and loyalty-building store visits. In this presentation, Dave Bruno, Director of Commerce Studies for RedPrairie, explores the latest research into the challenges facing modern retail workforce managers and discusses modern techniques that many leading companies leverage to engage, empower and mobilize their workforce to deliver optimal all-channel store experiences.

Successfully Conquering New Markets Using E-Commerce

Moritz Koch

The document discusses how e-commerce can help companies conquer new markets. It outlines both opportunities like finding new customers and promoting new products, as well as challenges such as understanding foreign behaviors and managing costs effectively. A three-step process for international e-commerce projects is then presented: research the market potential and competitors, build a multi-lingual and multi-regional platform, and rollout and optimize the platform locally. Outsourcing e-commerce to a company like next commerce can help manage these complexities.

Constant consideration-study research-studies

Jérémy Jeremy

Most vehicle shoppers form an initial consideration set before actively researching brands online or in-market. While in-market, many shoppers switch to or discover the brand they ultimately purchase, with digital tools becoming the primary research sources. Those considering multiple brands are younger, wealthier, and more likely to research across devices and locations. Reaching these open-minded shoppers requires meeting them across screens with engaging content like video.

Smarter Customer Analytics - Customer DNA

Jerry J. Stam

This document summarizes a case study of how a major US retailer used customer analytics to optimize their marketing budget. It involved (1) building a data-driven customer profile, (2) applying customer insights to optimize spending across channels, regions, and customers. Advanced customer clustering analyzed over 30 variables to segment customers into 12 highly differentiated groups with tailored marketing strategies, such as a "Brand Fanatics" group that represented 9% of customers but 30% of revenue.

Multichannel Customer Journeys

Contact Centre Management Group

This document discusses multichannel customer journeys and engagement. It begins with an agenda that covers why customer engagement is important, the results of a survey on customer journeys, and real world examples. The survey found that social media recommendations influence younger consumers' purchasing decisions. It also found that responses to emails, good websites, phone calls, and recommendations on social media can influence customers to complete or abandon purchases. Customers prefer different channels for help, with younger consumers more likely to use online channels like chat.

Commerce Anywhere

Wirehead Technology

The debate and doubt is long over. Gone are the days when an e-commerce division was the lonely stepchild of a merchant’s business, clamoring to prove its value. e-Commerce has fully stepped up to assume its rightful place as a critical growth channel for businesses in just about every industry. And now, with the emergence of social and mobile commerce, and the continuing integration of these channels with physical stores and contact centers, the e-commerce infrastructure has gone from fringe to foundation. e-Commerce platforms are becoming cross-channel platforms, serving as the core engine powering an entire cross-channel commerce operation. With this evolution business managers need to think strategically about how to engage, sell to, and serve customers across all established and emerging channels and devices.

REimaginging the Retail Store: GlobalShop 2011 Presentation

Leo Burnett

Alan Treadgold (Head of Retail Strategy for the Leo Burnett Group) and Bryan Gailey (Retail Design Director for Arc Worldwide) recently presented at GlobalShop 2011 in Las Vegas the headline findings from Leo Burnett / Arc's REimagining the Retail Store research program. This keynote presentation was delivered to over 600 conference delegates, and was recognized as one of the most impressive presentations at the event.

[Executive summary] Digital Shopper Relevancy

Capgemini

Digital shoppers can be segmented into six distinct groups based on their behaviors and attitudes toward digital channels. The largest segments vary by country and product category. Digital Shopaholics and Social Digital Shoppers dominate in developing markets like India and China, while Rational Online Shoppers are most common in mature markets. Significant differences also exist between developing and mature markets, as digital channels play a greater role across all shopping phases in developing areas.

Digital shopper relevancy__Executive_Summary_

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Digital shoppers can be segmented into six distinct groups based on their behaviors and attitudes toward digital technologies. The segments range from Techno-Shy Shoppers who are not interested in digital channels, to Digital Shopaholics who are early adopters that actively use digital across all shopping phases. Differences exist between developing and mature markets, with developing markets having more Digital Shopaholics and Social Digital Shoppers. The document provides insights into each segment and how they vary by demographics, geography, and shopping preferences.

Social Shop Research Overview

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42 percent of Americans are using social media to shop – this equates to nearly 95 million social shoppers in the U.S. – and that number continues to rise. In fact, when asked how often social media is used to shop today versus a year ago, almost 73 percent of people confirmed they are using it more. SocialShop – a national quantitative and qualitative research study – looks at social media usage from the eyes of a shopper to understand the influence each respective platform has on a person’s buying behavior. From Facebook and Twitter to YouTube and Groupon, people of all ages are using social networking sites and other user-generated content platforms as shopping tools. In fact, SocialShop found 42 percent of social shoppers are using Facebook more than they were a year ago, while 55 percent of shoppers are utilizing daily deals more and 46 percent of shoppers have increased engagement on review sites and forums. With rapid expansion of social channels and the frequent launch of new platforms, brands and marketers are trying to figure out how to successfully use social media to connect with shoppers. According to the research, success is not measured by visibility on all social media channels, but by leveraging the strengths of platforms that cater to your shoppers’ needs.

Acolyte

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Acolyte is a startup that serves buyers and retailers. For buyers, it notifies them about deals on items they are interested in based on their wish lists. For retailers, it provides market dynamics at a lower cost than traditional market research and helps maximize profits by converting individual orders into bulk orders. Acolyte's goal is to create deals by connecting buyers and retailers in a way that benefits both parties.

Losing Loyalty: The Consumer Defection Dilemma

Todd Morris

The document discusses a study on consumer brand loyalty and defection in the consumer packaged goods industry. Some key findings include: 1) Over half of highly loyal consumers reduced loyalty or defected to other brands the following year, costing brands significantly. 2) On average, a third of a brand's highly loyal consumers defected to other category brands. 3) Precision marketing that engages at-risk consumers can help improve loyalty and retention. The study suggests brands must work to understand and prevent defections, especially of high-value consumers, in order to remain profitable.

Online Proposition & Sales Flow Automotive | Douglas & Breitner

Stephan Schroeders (+31 645600507)

Acolyte

Nikhil Nandagopal

Acolyte is a platform that connects buyers and retailers. It allows buyers to create wish lists of products they want to track for deals. Retailers can then view demand for products and create targeted offers. Acolyte notifies buyers of deals that match their desired prices and wait periods. It also provides retailers with market data and helps maximize profits by converting individual orders into bulk orders. Acolyte aims to serve both buyers seeking discounts and retailers seeking to target customers effectively.

February 11, 2016 - Adobe Marketing Cloud User Group - Concordia's AEM Story ...

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How Digital Drives Impact, and What it Means for Business

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The document discusses the rise of connected customers known as Generation C and how their behaviors are changing how businesses must adapt. It notes that Generation C expects born digital experiences across all screens and scenarios. The key aspects are that customers now have greater social influence, businesses must focus on attention and relevance, and the customer journey is more dynamic with multiple moments of truth influenced by shared experiences.

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The Reinvention of Digital Marketing with Adobe

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Things you didn't know about digital marketing

1. Three things you (maybe) didn't know about Digital Marketing | Sr. Solution Consultant, Digital Marketing | Adobe Waldo Smeets © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

2. About Adobe Digital Index Reports Adobe Digital Index publishes research on digital marketing and other topics of interest to senior marketing and e-commerce executives across industries. Research is based on the analysis of select, anonymous, and aggregated data across trillions of transactions and more than 5,000 companies worldwide that use the Adobe Marketing Cloud, to obtain real- time data and analysis of activity on their websites. © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 2

6. Majority of all visitors are first time shoppers Notes: Shoppers – up to and including first purchase on site. Return Purchasers - consumer with a previous registered purchase Repeat Purchasers – consumer with 2 or more lifetime purchases Sample: 33 billion visits in 180 U.S. and Europe © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 6 websites

7. Experience breeds confidence  Repeat purchasers are 9X more likely to purchase an item than new shoppers.  Return purchasers are 5X more likely to purchase an item than new shoppers. © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 7

8. Digital Index: ROI from Marketing to Existing Online Customers Selected Highlights The ROI from Marketing to Existing Online Customers • 40% of revenue comes from returning or repeat purchasers, who represent only 8% of all visitors. • Marketers in Europe must bring in 5 and 7 shoppers, respectively, to equal the revenue of 1 repeat purchaser. • Most of the revenue improvement in purchaser segments can be attributed to increased conversion rates which are up to 9 times those of shoppers. Adobe®Digital Index Notes – Shoppers – up to and including first purchase on site. Return Purchasers - consumer with a previous registered purchase Repeat Purchasers – consumer with 2 or more lifetime purchases © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 8

9. Tablet visitors have the golden touch for online retailers The impact of tablet visitors on retail websites In over 16.2 billion visits in 2011 to 150 of the largest retailers on the © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. internet

12. Report Showcases Value of “Tablet Visitors” for Retailers Selected Highlights • 77% of tablet owners use it to shop with estimated 300% increase in tablet visitors in 2013 • Compared to Smartphone Visitors, 3X more likely to buy and spend 54% more • Compared to Traditional Visitors, similar conversion rates and spend 21% more • Companies need a distinct tablet and mobile/smartphone strategies © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 12

18. Adobe Digital Index - Conclusions 1. Attribution models • Marketers can and should use different attribution models, including first-click attribution, to more matter accurately measure social’s impact on their websites. 2. Improve media • Increased use of first-click attribution can change how much marketers invest in social media versus investments by using first- other channels and the social media sites in which click attribution they invest. 3. Improve investment allocations to social • Increased use of first-click attribution can change the perceived ROI and the marketing investment for each media sites by using first- of the different social media sites. click attribution © 2013 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 18

Editor's Notes

Only 1% of shoppers actually make a purchase, whilst 78% of retail marketing budget is spend on search and display primarely to bring this type of visitors to the site
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