2010 Best of the Web Performers: What Makes Them Great?

Matt Poepsel, VP Performance Strategies, Compuware

Jonathan Ranger, Gomez Benchmarks Director, Compuware

Agenda

• Why Web Performance Matters

• The Business Case for Benchmarking

• Announcing…the 2010 Winners!

• Winners’ Best Practices

Why Does Performance Matter?

Everyone hates waiting.

Why Web Performance Matters: Customer Expectations

Consumer expectations for howquickly a web page should load

0% 10% 20% 30% 40%

More than 4 seconds

3 seconds

2 seconds

1 second

less than 1 second 5%

12%

30%

36%

17%

0% 20% 40% 60% 80%

More than 4 seconds

3 seconds

2 seconds

1 second

less than 1 second

How long consumers will wait for a page to load before abandoning

1%

2%

10%

27%

60%

40% of Consumers will abandon a site if made to wait

• Lost revenues• Increased costs• Reduced customer satisfaction• LOB dissatisfaction with IT

“eCommerce Web Site Performance Today” white paper August 2009

Why Web Performance Matters: Customer Expectations Growing

33%

“What are your expectations for how quickly a web site

should load?” About online shoppers

“eCommerce Web Site Performance Today” white paper August 2009

who abandoned a recent shopping

session were dissatisfied with site performance

stated that quick page loading is

important to their site loyalty52%

who experience a dissatisfying visit are

likely to no longer buy from that site

0

1

2

3

4

5

50% reduction

seconds 79%

2006 2009

Expectations for Mobile Experience = Web Experience

-11%

-7%

-16%-18%

-16%

-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

Why Performance Matters: Slow Websites Hurt Business

Average impact of 1 second delay in response time for Web users

*Online business doing $100K/day = $2.5M/year in lost revenue

• Lost revenues*• Brand damage• More support calls• Increase costs• LOB dissatisfaction with IT

Page Views ConversionsCustomer

Satisfaction

Poor Web/Mobile Performance Hurts Business

0

5

10

15

20

25

30

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

Ab

and

on

me

nt

Rat

e (

%)

Page Load Time Band (sec.)

Abandonment Rate - All Browsers

Abandonment Rate - iPhone Safari

Source: Gomez real user monitoring

Abandonment Rate Across 200+ Web Sites / 177+ Million Page

• Slower pages = higher abandonment• Reduces revenue• Increases costs• Damages brand

Search Conversion Rate increases 74% when page load time improves from 8 to 2 seconds

3.36%

5.85% 74%

Source: Gomez real user monitoring

How fast is fast enough?

Benchmarking Provides Context

0 2 4 6 8

Homepage Response Time in Seconds

Your homepage currently downloads in 5 seconds on average.

How do you feel about that?

Before some recent hardware upgrades, it downloaded in 7 seconds on average.

Now how do you feel?

Your competitors’ homepages all download in 3 seconds on average.

Now how do you feel?

Context provides a basis for decision-making and prioritization.

How fast is fast enough? Benchmarking can answer this

• Track performance against the best and your competition

• Baseline performance and track it over time

• Use benchmarks to measure success for IT and business stakeholders

And the 2010 winners are…

One Web Award

• Website Transaction Benchmark, Home Page from Internet Backbone on IE, Home Page on Last Mile, Mobile Site Performance

• Banking, Retail

Gold, Silver, Bronze Awards

• Best performance on Transaction or Home Page Benchmark

• All industries

Most Improved

• Average Response Time higher than Benchmark Average

• Most Improved in the second half of 2010 vs. the first half

Mobile Leader

• Best performance on home page across top four carrier / device combinations

• Banking, Retail, Travel

Banking

Brokerage

Airlines

Hotels

Winners’ Best Practices

A Culture of Performance Excellence

Cooperation Across Disciplines Committed to Evaluation Accept Change

Pervasive Strategy with Common Goals

LOB Top Line Revenue Customer

Satisfaction

IT Cost Containment Site Management Quality of Service

Goals Profitability Impact

Analysis In ContextBaseline Investigate Innovate

Continually Assess vs. Baseline

Leaders vs. Laggards

Site RT AV

Leader 6.007 99.78

Laggard 24.589 93.70

BMK 15.453 93.54

Site Consistency

Leader < 20% variation

Laggard > 25% variation

BMK ~ 20% variation

Last Mile as a Complement to Backbone

Backbone Demographics• Mirrored machines• Select browsers• Consistent ISPs• 12 select locations• Strong baselining

Last Mile Demographics• End user machine• End user browser• End user ISP• End user locations• Real time end user

comparisons

The Application Delivery Chain

Cloud

Private Public

Employees

Mainframe

Storage

Data Center

Web Services

Mobile Components

Web Servers

App Servers

DB Servers

Load Balancers

WANOptimization

Virtual/Physical Environment

Network

LocalISP

Mobile Carrier

Content Delivery Networks

3rd Party/Cloud Services

Browsers

Devices

MajorISP

Customers

Employees

Optimize for your end users’ experience

Customer/user point of view

Employees

Customers

Employees

Significant Performance Differences Across Browsers

Source: Gomez Real-User MonitoringReal users around the worldBroadband

466M pages over 30 days200+ sites

0

5

10

15

20

25

Seco

nd

s

Load Time Perceived Render

Think Mobile

• By end of 2011 Nielsen expects more smartphonesin U.S. than feature phones

• Keep the end users’ experience in mind

• Don’t sacrifice speed

Benchmarking Best Practices

1. Develop a culture of performance excellence

2. Align business & IT on common goals

3. Baseline, investigate, innovate

4. Optimize for all customers no matter where they are located

5. Monitor your end users’ experience from the Last Mile

6. Benchmark across browsers

7. Think Mobile

Q & ASend questions via ‘chat’

Additional Resources

Full Report Mailed to Registrants Available on Gomez.com 3/21

Free Custom Benchmarkhttp://www.gomez.com/my-benchmark/