How to become an exceptionally successful e-retailer Internet World 2008 April 30th, 2008 London Pingki Houang, Pixmania.com Jean-Marc Noel, Trusted Shops

How to become an exceptionally successful e-retailer

Internet World 2008April 30th, 2008London

Pingki Houang, Pixmania.comJean-Marc Noel, Trusted Shops

April 30th, 2008 | Internet World 2008 | Trusted Shops & Pixmania.com 2

Do you wish more of your visitors would actually buy?


Trusted Shops The European E-Commerce Quality Seal

Created 1999 in Germany

+2,730 active accredited retailers.

over 5,600 audit reports.

3.1 million guaranteed transactions…

…totaling £ 590 m.

over 66,000 consumer complaints resolved.

about 2.1 million registered consumers.


+ 2,700 Members in Europe and Growing …

5 to 10 new members join Trusted Shops each day


Almost 60% of online buyers abandon their shopping cart. And the trend continues…

59.8%65%

2006 2007

In a survey conducted among 1100 e-retailers in 2006, MarketingSherpa found that the rate of shopping cart abandonment was 59.8 percent.

A report by Boston Consulting Group (BCG) in 2007 estimated that some 65 percent of online consumers back out of a transaction and abandon their shopping carts before making the final purchase.

Shopping cart abandonment rate 2006 - 2007


Online shopOnline buyer

TRUST ?

64.1% of Internet buyers say lack of trust is a reason for shopping cart clearance

W3B survey among 87.528 Internet users

Non-deliveryNo refund

Credit card fraudPrivacy

Lack of trust contributes to shopping cart abandonment


OK

Seal + buyer protection + dispute settlement

E-commerce quality seal + buyer protection = increased trust = more buyers!

Online shopOnline buyer


Trusted Shops impact on sales + 16.2%*

+ 9.8%*Web-based retailers accredited by Trusted Shops go further to provide the security and convenience that let consumers feel comfortable buying on the Net. Impartial assessment, guarantee and dispute settlement services contribute to turning more shoppers into buyers.

Improved conversion rate1.

+ 3.7%*Retailers accredited by Trusted Shops offer their customers a financial guarantee against non-delivery, non-refund and credit card fraud. With this ultimate peace of mind, customers are inclined to spend more.

Enhanced shopping cart value 2.

+ 4.2%*Online stores which have successfully passed the Trusted Shops accreditation process are recognized as high-quality e-retailers and benefit from Trusted Shops listing, promotion and press coverage.

More visitors each day3.

+ 16,2%*

* Average result based on a survey among 800 Trusted Shops members


Where does the impact come from?

Step 1 : display the seal on the homepage

The Trusted Shops seal is a strong trust signal for online shoppers.

Online shoppers click on the Trusted Shops seal to check its validity.

Accredited online stores recognized as high-quality e-retailers !



Step 2 : display the seal during checkout

The Trusted Shops seal re-assure online shoppers during checkout.

The seal and the money-back guarantee are strong trust

signals for online shoppers.

Accredited online stores minimize shopping cart

abandonment rate !



Step 3 : The money-back guarantee

Online shoppers benefit from the financial guarantee against non-delivery, non-refund and credit card fraud.

With the money-back guarantee, online buyers have no financial risk while buying at a trusted shop.

Ideal to convince the most sceptical online shopper !


Pixmania is Europe’s leading e-tailer of digital photographic and consumer electronic goods

• Division of DSG International plc

• Present in 26 European markets

• Created in 2000 in France

• 1,050 Employees

• 45,000 brand name products

• More than 6 million online customers

• Pixmania promises to find products at low prices and delivers them throughout Europe within 48hrs

• 15 million unique visitors per month with an estimated peak of 25 million in December

• Market leading in France, Italy, Spain, Portugal


Pixmania Development from 2000 till Today

TODAY


PixPlace, the market place of Pixmania

PixPlace is PIXmania.com’s market place

• Pixmania gives you the chance to sell your products directly on its site

An offer destined for professional traders selling new and second-hand products

Covers several countries, languages and categories

Win-win model (monthly fee+% on sales)

Already launched in France, Germany, Spain, Italy.


Pixmania in UK

• The UK market is the 2nd pixmania’s market in terms of turnover

• 2 million online customers

• A part of DSGi (1,400 stores in Europe, 40,000 staff)

• Pixmania, the e-commerce expert for DSGi (reshapes dixons.co.uk, currys.co.uk, PCCity, …)


Trust & safety are key success factors for Pixmania

• Pixmania sells sensitive and pricy products

• One of the biggest shopping barriers on the Internet is still the mistrust of customers

• Thanks to the Trusted Shops seal we could increase the consumer confidence and improve the conversion rate on the website significantly


Trusted Shops Member Since 2003

• In Germany, we estimate that we’ve made +/- 30% sales thanks to Trusted Shops

• Business went up and we use the seal for marketing purposes

• TS checks the website every year, like that we assure constant legal compliance with local consumer laws

• Through the free of charge “money back guarantee” we offer our customers an extra service

• The dispute resolution service acts as a mediator for “difficult clients”


Further Development Pixmania

• Continue to widen our range of products with Pixmania and Pixplace

• Keep the same strategy:

– best selection of products,

– lowest prices,

– quick and convenient delivery

– To be customer-centric

• To hit Min. +40% growth

• Become the masters of multi-channel retailing with DSGi

• Become the Europe’s leading Marketplace with Pixplace


Trusted Shops membership from £ 29.90 per month*

• One-off application fee only £ 49.00

• Internet World 2008 special: no application fee!

• Start, Pro & Premium membership options


Thank You

Visit us at E445

Documents

How to become an exceptionally successful e-retailer Internet World 2008 April 30th, 2008 London Pingki Houang, Pixmania.com Jean-Marc Noel, Trusted Shops