Download pdf - Rise of The Hyper Connected Shopper

Rise of The Hyper Connected Shopper Harish Menon

Head – Web Experience Products, Asia Pacific & Japan

@harishmenon

©2013 AKAMAI | FASTER FORWARDTM

Agenda

• Rise of Hyper Connectivity

• What do Hyper-Connected Shoppers Want?

• …And why do we need to give it to them?

• The Roadblocks..and Solutions

• Who is Akamai?


Digital Commerce Has Become HyperConnected…


Huge upside for online retailers and commerce companies

Source: KPCB

43%

137Mn Users Online in

2012, 26% YoY Growth

STILL only 11% pop

penetration!!


E-Commerce In India

2009 2012

Expected to be

Rs. 64,000 Crores

in 2013!

Figures in INR ‘000 Crores

Source: Business Standard, Sep 2013


Grow revenue opportunities with fast, personalized

web experiences and manage complexity from peak

demand, mobile devices and data collection.

Source: Mary Meeker, KPCB, Dec. 2012

Mobile Traffic has already Surpassed Desktop in India


Mobile Revenues Keep Growing

Source: InMobi

“…20 per cent revenue from mobile

phone transactions by 2013-end and 40

per cent in the next two years…"

Mukesh Bansal, Myntra.com

“30%of all orders are now being placed

over mobile phones. This trend has

witnessed a 10 times growth in the last

12 months”

SnapDeal Statement

“India is all set to see a wave of new web

businesses, which will entirely leap frog

to the mobile and not even touch the PC.”

Phanindra Sharma, Co-Founder, RedBus.com





3 out of 4 internet users in rural

India

access it on a mobile network


But Mobile Doesn’t Exist In A Vacuum

Source: Ipsos OTX/Google, Nielsen

51% Research online and then

visit store to purchase

89% Use smartphones

while shopping in

stores

+ 17%

Visit a store and

then purchase

online

Lines between offline & online shopping experiences are blurring


“Shoppers who shop on our website as well

as in our stores spend four times as much;

throw smartphones into the mix and they

spend eight times as much”

Laura Wade-Gery, Executive Director, Multi-channel E-

commerce, Marks & Spencer

Engaging HyperConnected Shopper Is Key To Success

Source: Guardian.co.uk; Deloitte

According to recent survey HyperConnected

shoppers spend 71% more than single channel

consumers

1 Channel 2 Channels 3 Channels

8X

4X

1X


What Hyper Connected Shoppers Want

Source: Google and Sterling Commerce, 2013

Ability to Purchase

or Place an order

Product Information

Store Directions or Operating

Hours

Sites Loading in 3 Seconds

or Less

50%

61%

74%

81%


If dissatisfied with website performance

• 49.3% of tablet & 40.3% of smartphone users are unlikely to visit the site again

• 33.1% of tablet & 26.8% of smartphone users are less likely to purchase from that company –

across all channels

And Why Do We Need To Give It To Them?

Abandonment Rate Across 280+ Websites/271 Million Page Views

0

5

10

15

20

25

30

0-0

.5

0.5

-1

1-1

.5

1.5

-2

2-2

.5

2.5

-3

3-3

.5

3.5

-4

4-4

.5

4.5

-5

5-5

.5

5.5

-6

6-6

.5

6.5

-7

7-7

.5

7.5

-8

8-8

.5

8.5

-9

9-9

.5

9.5

-10

10

-10.5

10

.5-1

1

11

-11.5

11

.5-1

2

12

-12.5

12

.5-1

3

13

-13.5

13

.5-1

4

14

-14.5

Ab

an

do

nm

en

t R

ate

(%

)

Page Load Time Band (sec)

iPhone

0

2

4

6

8

10

12

14

16

18

0-0

.5

0.5

-1

1-1

.5

1.5

-2

2-2

.5

2.5

-3

3-3

.5

3.5

-4

4-4

.5

4.5

-5

5-5

.5

5.5

-6

6-6

.5

6.5

-7

7-7

.5

7.5

-8

8-8

.5

8.5

-9

9-9

.5

9.5

-10

10

-10.5

10

.5-1

1

11

-11.5

11

.5-1

2

12

-12.5

12

.5-1

3

13

-13.5

13

.5-1

4

14

-14.5

Ab

an

do

nm

en

t R

ate

(%

)

Page Load Time Band (sec)

iPad

Slower pages =

higher abandonment

Source: Gomez UEM


Speed Matters: Conversion Rates

CONVERSION

RATE VERSUS

LOAD TIME

POPULATION PERCENTAGE CONVERSION PERCENTAGE

LOAD TIME (SECONDS)

Page Performance & Site Conversion – Feb 2012

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


Performance means business

Bounce Rates Increase

Conversion Declines

2012 Wal-Mart Performance Case Study:

• For every 1 second of improvement, 2% increase in conversions

• For every 100 ms of improvement incremental revenue grew by up to 1%

• SEO benefits for entry pages and reduced bounces SF Web Performance Group – February 16, 2012

Slides available at http://min.us/rrmTFI0

As response time increases …

http://min.us/rrmTFI0


Avoid data theft and downtime by extending the

security perimeter outside the data-center and

protect from increasing frequency, scale and

sophistication of web attacks.

Devices

Browsers

Networks

Pages

Different Android devices accessing OpenSignal App

7,000+ different types

of mobile devices

access Facebook

every day

Source: OpenSignal; TechCrunch

Delivering Fast, Quality Experiences To HyperConnected Shoppers Is Difficult







Devices

Browsers

Networks

Pages

Source: www.evolutionoftheweb.com/; Netmarketshare & Wikimedia Traffic Analysis Report, Aug 2012

2005

• IE had over 80% of the browser market

2012

• No browser has more than 28% share

• 4 browsers have more than 10% share



Devices

Browsers

Networks

Pages

0

20

40

60

80

100

120

140

160

0

5

10

15

20

25

30

3G (HSPA) 4G (LTE) Wifi Cable

Late

ncy (

ms)

Do

wn

load

(M

bp

s)

Download (Mbps) Latency (ms)







Devices

Browsers

Networks

Pages

Source: httparchive.org

Larger pages More JS

More images More CSS

More 3rd parties


Also, keep Security At The Top Of Mind

DDoS attacks by vertical

– 32% travel sites

– 16% retail sites

Threats to retailers under DDoS attack

– Customer experience impact

– Negative brand impact

– Revenue loss

Source: DDoS Survey: Q1 2012 When Business Go Dark, 2012

When your site goes down, what does it cost in

revenue?

82%

18%

44%

56%

50%

50%

53%

47%

33%

67%

Over $10K Per Hour Over $100K Per Hour

Finance Telecom Travel IT Retail


Complexity in Protecting Online Retailers

Attacks have become more sophisticated…

Source: hackmageddon.com/, Neustar Insights DDoS Survey Q1 2013

… and easier to carry out


Flash Crowds Can Be A Reason For Concern Too


Many Retailers Fail To Deliver Fast, Quality Experiences

Source: Keynote Commerce Index, Gomez Benchmarks

Average Website Response Time Of The Top 20 Retailers

Wifi

9.5 seconds

3G

9.3 seconds

Broadband

2.1 seconds





Which device?

Which browser?

Which version?

Which network type?

What latency?

IPv4 or v6?

How To Deliver Quality Web & Mobile Experiences

Across All Digital Channels

Identify your end-users’ situation


Top 5 “Easy Wins” For Response Time Improvement

Cache Aggressively and Granularly

Long Expires on Static objects Dynamic Page Caching and AJAX

Minimize the number of Requests **

Consolidation of JS and CSS files CSS Sprites

Minimize Content Size **

Compression and Minification Image Optimization

Load Stylesheets First

As CSS applies the design, content is readable more quickly

3rd Party Content

Move javascript to the end of the page, after the core content loads

** Critical for Mobile Delivery!!


Real User

Monitoring (RUM)

• Real world

• All wireless carriers/local ISPs

• All end-users’ locations, pages visited & browsers/devices

End User Experience Fidelity

Synthetic

Monitoring -

Backbone

• Clean room environment

• Over Internet backbone

• Limited # of pages, locations & browsers/devices

Synthetic

Monitoring - Last

Mile / Mobile

• Clean room environment

• Over limited # of wireless carriers/local ISPs

• Limited # of pages, locations & browsers/devices

How Fast Is My Website?

Major

ISPs

Real Customers /

Employees

Operational Experiential

Local

ISPs

Mobile

Carriers


Akamai — Faster Forward

We remove the complexities of technology so our

customers can capture the opportunity and meet the

demands of the hyperconnected world.


Akamai Powers The Commerce Internet


Optimize Omnichannel Experiences End-To-End

Customer Infrastructure

Akamai Intelligent Platform™ Local ISP / Mobile Network Operator

• Traffic Offload

• Connection Offload

• Persistent Connections

• Attack Traffic Filtering

First Mile

• Akamai Routing Protocol

• Akamai Communication Protocol

• Akamai Compression

• Akamai Pre-Fetching

Middle Mile

• Adaptive Image Compression

• Above-the-fold Prioritization

• JavaScript Rescheduling

• Round trip Reductions

Last Mile


Akamai Kona Security Solutions

Akamai Web Site Security

Massively scalable solution

Coordinated response

Highly differentiated

Proven

Traditional Data Center Security

Limited scalability

Self-managed or MSSP

Off the shelf solution

Customer

Database

Web

Application

Firewall

Web

Server

(Origin)

Application

or Database

Server

Network

Firewall

DDoS Protection (Network and Application Layers);

Web Application; Direct-to-Origin; and DNS attacks

Stand-alone or Augment Existing Infrastructure





Any experience. Any device. Anywhere.

@harishmenon [email protected]

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