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Today’s Tablets Mean Bigger Consumer Engagement Connected Customer Strategies Track Linda Brown, Wolverine World Wide Joaquín Ruiz, Catalog Spree

Today's Tablets Mean Bigger Consumer Engagement

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Today’s Tablets Mean Bigger

Consumer Engagement

Connected Customer Strategies Track

Linda Brown, Wolverine World WideJoaquín Ruiz, Catalog Spree

Who is Wolverine World Wide?APPAREL

& ACCESSORIES

CONSUMER

DIRECT

FOOTWEAR

WHOLESALE

2

Over 150 retail brands including: L.L. Bean Nordstrom West Elm Horchow Boston Proper Merrell Bare Necessities Coldwater Creek Woolrich Hanna Andersson

What is Catalog Spree?iPad and Mobile Web “Digital Mall”

• Digital window shopping• Brand & product discovery• Fun

• Customer prospecting• Path-to-purchase funnel• Asset leveraging

Points of View

3

Media Disruptions

Music Books Magazines

Past

Pre

sen

t

4

A Tidal Wave of Tablets

• Tablets growing 19 times

faster than PCs.

• Tablets growing 60% faster

than the smartphone.

• By 2016, 126m tablets will

be in use by US consumers.

5

Unbelievable (but true) Forecast

NPD Group: Tablets to overtake notebooks in 2016

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0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

PC Mobile

Dec-11 Apr-12

0%

1%

2%

3%

4%

5%

6%

7%

8%

iPad iPhone Other (Android)

Dec-11 Apr-12

The iPad alone accounts for half of traffic from mobile devices

Source: Catalog Spree Retailer Survey, April 2012

Mobile Share of E-commerce Traffic Doubled in Less Than 6 Months

7

Total Web Traffic Mobile Web Traffic

Yet Again: Omni-Channel

• Be where your customers are... and tie it all togetherDiscover NurtureEngage SellIncent RewardSurprise Re-engageLink, link, linkTrack, track, track

• Build to and measure your company’s Path-to-Purchase

• Offline meets Online

Mostly Online, 42

%

Combined,45%

Mostly Stores, 12

%

Primarily Mobile, 1

%

Methods US Online Shoppers Plan to Use to Shop in 2012% of respondents

Source: PriceGrabber, “2012 Shopping Outlook”

8

• Highest value retail customers are– iPad owners– Shop in stores– Use catalogs

• Design for mobile first… at the very least test on mobile

– 40%-60% of retail email opened on smartphone

– Optimize “first click”

• Leveraging and integrating all your channels is vital to the consumer experience.

3 Key Implications to Omnichannel

9

Regarding Mobile:

“Not since the dot-com boom has a

consumer trend single-handedly turned

the retail industry upside down…

Customers are demanding mobile-

centric solutions that personalize and

improve the shopping experience.”

Source: NRF Stores, Nov 2011

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Product Demo: iOS & Web

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Monday, 12%

Tuesday, 12%

Wednesday, 13%

Thursday, 14%Friday, 15%

Saturday, 17%

Sunday, 17%

00.10.20.30.40.50.60.70.80.9

1Monday 0:00

Monday 12:00

Tuesday 0:00

Tuesday 12:00

Wednesday 0:00

Wednesday 12:00

Thursday 0:00

Thursday 12:00

Friday 0:00

Friday 12:00

Saturday 0:00

Saturday 12:00

Sunday 0:00

Sunday 12:00

Data: Shoppers spend 95+ minutes/month on Catalog Spree

traffic breakdown by day Usage per time and day of the week

• Saturday/Sunday are biggest shopping days• Peak shopping time is between 6-9 PM PST

Source: Catalog Spree data, April 201212

What does mobile mean to WWW?

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0%

2%

4%

6%

8%

10%

12%

14%

P1 P2 P3 P4 P5 P6 P7 P8 P9 P10 P11 P12 P13 P1 P2 P3 P4 P5 P6 P7 P8

eCommerce Mobile Revenue Share by Period

Europe United States

2011 2012

What does mobile mean to WWW?

eCommerce Distribution of Mobile Visits & Sales by Device

0%

10%

20%

30%

40%

50%

60%

70%

80%

Apple iPad Apple iPhone Droid (Any) Other Apple iPod

Touch

% o

f e

Co

mm

erc

e B

usi

ne

ss

% Visits % Revenue

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Community vs. Affinity

Own Apps+ Drive Community

+ Brand-immersed

+ Loyalty Builder

– Costly

– Maintenance Commitment

– Platform choice

± Awareness

± User experience

Aggregation Apps+ Drive Affinity

+ Branded experience

+ Large Distribution

+ Easy MultiChannel: Web, App, Own-site

+ Ease of social integration

+ Scaled expense

± One of a crowd

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Sierra Nevada Pale Ale Drives Community

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Crocs Uses an Easy Catalog App

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IKEA’s Super Catalog App

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Dick’s Increases Engagement with App

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Merrell Leverages Affinity App• Objectives

– Prospecting

– Participating

– Positioning

• Challenges

– Low Awareness

– User-Experience Limits

• Cost Structure

– 3-15% Commission per Sale

– Other fees• Setup Charge

• Cost Per View

• Cost Per Lead/Subscription

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Vendor Selection

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Leverage your assets to provide a unified point of view.

Meet expectations before you exceed them.

Don’t overcomplicate things.

Make it easy to use.

Design

http://thoughtleadershipleverage.com/wp-content/uploads/2011/09/leverage11.jpg

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Design

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Page Processing Systems:

Single pages (not spreads)

• Deliver hi-res pdf

• CMYK or RGB

• 300 x 300 dpi

• Editable to allow search on

text functionality.

“Design for Mobile”

• Landscape to portrait

• Fold out spreads to singles

• Products that cross spreads may need adjusting

• Avoid distortion by translating to a uniform page size.

The Nitty-Gritty

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Data Feed Systems

Before “go live”

• May use GAN feed

• May use your own web site for sales or separate channel.

• Be proactive

• Determine all needed fields

• Provide test files for review

• Confirm meets specifications

After ‘go live’

• Babysit

• Changes cause “Item Not Available”

• Coordinate updates around catalog publishing cycles

The Nitty-Gritty

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Beyond Response: KPIs

Catalog Spree Calculated KPIs Merrell Spring x100Unique Viewers 2,718 271,800Total View Time 155 hours 15,500View Time per Person 2 min 2 min

Time per page 5-6 seconds 5-6 secAvg # Products Zoomed 2.25 2.25

% of Zoomed to See More Button 8% 8%Number of Viewers to Website 225 people 22,500Actual Direct Conversion 1 person 100Actual Direct Revenue $125 $12,500

Potential 2% Conversion 5 people 500Potential Revenue $625 $62,500

26Spring ’12 Added Indirect Contribution = $190,000

External Promotion

• Ongoing promotion on all channels:– B&M signs including driver QR codes

– Social Media including contests

– Emails regularly as primary story

– Emails always in footer

Internal Promotion

• Who owns it?

• Small team focus

• Report KPIs

Be the Cheerleader

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• Cookie tracking

• Social Shopping

• Use eCatalog sweepstakes for email growth

• More brands / more creative look & feel

The Future: WWW Perspective

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Electronic Omni-channel:

• “Social Shopping”• Tight integration with social

and interest networks• Community annotations

• Demographic prospecting & VIP services

• Targeted recommendations• Targeted promotions• In-store services• Phone-centric offers & updates

• HTML5 distribution• More platforms

The Future: Spree’s Perspective

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Conclusions

• The acceleration of digital space creates opportunity.

• The tablet creates a unique marketing opportunity.

• Enter the digital catalog space with enthusiasm

– Experiment on multiple platforms

– Make sure user-experience fits your brand

– Set up a data and learning discipline

– Use 1 or more of the community apps

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Q&A

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