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IBM Software
White Paper




Incorporating Mobile
Commerce in Your
Multi-Channel Strategy
By: Luis E Rodriguez and Michael Au
2   Incorporating Mobile Commerce into Your Multi-Channel Strategy




                                                                     Market Drivers
                                                                     Independent reports from the ITU World Telecommunication,
“By 2014, more than three billion of the                             the United Nations and eMarketer show that there are more
world’s adult population will be able to                             than 4.6 billion mobile subscribers worldwide (ITU World
transact electronically via mobile and Internet                      Telecommunication). This means more than half the world
                                                                     population has a mobile phone today; and close to a billion of
technology”                                                          these mobile users are accessing the Internet with their smart
– Gartner, Gartner’s Top Predictions for IT                          phones. This represents a 191% growth rate from 2006, with a
Organizations and Users, 2010 and Beyond:                            Cumulative Average Growth Rate of 24% from 2006 through
A New Balance, December 2009                                         2011 (IBM Institute for Business Value. 2009).

                                                                     In the USA, the mobile market penetration is higher than
Introduction                                                         90%; where the average USA household has 1.7 mobile phones
The number of mobile web sites, mobile applications and              per person and this number is higher if there are GenY users at
mobile applications stores are growing at a staggering pace. By      home. Penetration will near 100% by 2013, assuming a modest
the end of 2010, consumers will have downloaded almost 6             2.7% annual growth rate in the number of mobile users
billion mobile apps; up from 2.4 billion in 2009 (Mobile             through 2013 (“USA Mobile Phone Subscribers and
Applications Market Data, ABI Research, April 2010). This            Penetration, 2008-2013”, eMarketer, May 2009). Mobile is
rapid adoption of mobile applications is being fueled by the         quickly becoming a ubiquitous platform for messaging, music,
increasing selection, brands, capabilities and storage capacity of   video, social networking, web access and cross-channel
smart phones, which had a 20% sales growth in 2009.                  shopping.


Consumers are upgrading their ordinary phones to Internet-           Worldwide Mobile Internet Users.

enabled smart phones to make use of the new capabilities
offered by mobile applications. Retailers are trying to meet              1200
                                                                                                                               011
                                                                                                                                  E
                                                                                                                          to 2
customer demands for information and services, and seek                                                            2006                  982.4
                                                                                                                om
                                                                          1000                             th fr
opportunities to generate additional sales across all the                                           g   row
                                                                                               191%
                                                                           800                                                   757.1
channels; at the same time, they need to also understand the
                                                                                                                       596.4
value and cost among mobile commerce implementation                        600
                                                                                                         489.6
options, and determine how to best link new mobile initiatives                               405.5
                                                                           400      337.3
to their overall customer strategy to avoid disjointed mobile
efforts.                                                                    200

                                                                              0
This white paper discusses the market opportunity in mobile                        2006      2007E      2008E      2009E         2010E   2011E
commerce, the emerging mobile shopping scenarios, different
mobile implementation options to provide a smarter shopping                                          CAGR 2006-2011E: 24%

experience across channels and an overview of mobile                 Source: IBM Institute for Business Value, 2009
commerce capabilities in IBM® WebSphere® Commerce
Version 7.                                                           The adoption and usage of the mobile Internet has reached a
                                                                     critical mass with the advent of the Apple® iPhone, Research In
                                                                     Motion® Blackberry, and smart phones running on Google®
                                                                     Android, Microsoft® Windows Mobile, or other mobile
IBM Software     3




operating systems. These devices are now delivering a                    phone, such as the Motorola® Razr; or is it a voice-only
compelling and user friendly mobile Internet experience.                 phone, such as the TracFone®?
According to the Pew Research Center, every day more than
57 million Americans are accessing the web with their mobile           Since consumers replace their mobile phone on average every
handsets, and it will grow to 134 million by 2013. This “Mobile        1.5 to 2 years; retailers need to continually monitor the market
Momentum” has been possible thanks to ubiquitous wireless              share of mobile platforms in different geographies in order to
broadband coverage, affordable mobile data plans and                   adjust their mobile implementation plan over time. Many
hundreds of brands embracing the mobile channel.                       analysts expect consumers will replace their existing phones to
                                                                       newer and feature-richer 3G devices, in the next couple years.
In today’s digital, always connected and on-the-go age,                An independent research report predicts that by 2014, over
consumers want to shop whenever and wherever they choose,              80% of the mobile phones being manufactured will be 3G
and they expect to experience a consistent, relevant and timely        smart phones, 18% will be feature-phones, and only 1% will be
interaction with their brand of choice, regardless of the              voice-only phones (“US Mobile Forecasts, 2009 To 2014,”
channel they use. While social and mobile commerce channels            Forrester Research, Inc., November 6, 2009). In fact, many
have been gaining momentum in the past few years, they are             studies have shown that users are now using their mobile
not usually well integrated to provide a seamless shopping             devices to send/receive text messages in their social
experience to consumers. Hence, retailers face the challenge to        communities, and are accessing the Internet to find
optimize their cross channel processes and deliver a single            information much more frequently than talking on their
brand experience to their customers.                                   mobile phones.

Understanding Mobile Users                                             US Mobile Phones By Technology
                                                                       Source: Forrester. US Mobile Forecast, 2009 to 2014. Nov 6, 2009
Before selecting mobile platforms for deployment, retailers
need to better understand how consumers are using their                2014
                                                                                                                                                                     3G
                                                                                             2.5G
mobile phones; as well as the handsets and its capabilities.                   2G

Finding the answers to the following questions will help               2013
                                                                                                    2.5G
                                                                                                                                                                3G

formulate your mobile commerce strategy:                                       2G
                                                                       2012                                                                                3G
                                                                                                           2.5G
                                                                               2G
•	   Do our most valuable consumers use mobile for voice, data, or                                                                                  3G
                                                                       2011
     web browsing?                                                             2G
                                                                                                                  2.5G

•	   What percentage of consumers use each of the above?                                                                                    3G
                                                                       2010
•	   How frequently do they use text messaging (SMS)?                          2G
                                                                                                                           2.5G

•	   Do they prefer to read their email in their mobile while
                                                                                                                                  3G
                                                                       2009
     on-the-go, or in their desktop at home?                                                                                                2.5G
                                                                               2G
•	   How often do they use the mobile web, and what activities do
                                                                                                              3G
                                                                       2008
     they do while browsing?                                                                                                                       2.5G
                                                                                2G
•	   Do they visit social networks, such as Facebook or MySpace,                    10%    20%        30%           40%         50%         60%       70%       80%
     from their mobile phone?
•	   What type of built-in mobile features do they use: GPS,                          2008    2009         2010          2011      2012      2013        2014

     Wi-Fi, built-in camera?                                                  3G      32%     46%          57%           65%       71%       77%         81%
•	   What type of handset they own? Is it a smart-phone, such as              2.5G    65%     52%          42%           34%       28%       23%         18%
     the Apple iPhone, or the Blackberry® Curve; or is it a feature-          2G      3%       2%           1%           1%            1%     1%          1%
4    Incorporating Mobile Commerce into Your Multi-Channel Strategy




During last year’s holiday season, more than half of mobile           channels, thereby increasing sales opportunities and customer
users around the world used their mobile phone as part of their       loyalty. Scenarios supported by emerging mobile technologies
shopping activities. Furthermore, GenY users were ahead of            may include (“Mobile in Retail. Getting your retail
any other segment in their mobile use for shopping activities.        environment ready for mobile,” GS1 MobileCom, 2010):
They accessed mobile coupons 6.5 times more than Baby
Boomers; and were 3 times more likely to have made a mobile           •	   Location-Based Services – Leverage GPS, Wi-Fi, Bluetooth,
purchase.                                                                  RFID, or other technologies to detect the shopper’s location,
                                                                           with his/her permission, to find the nearest store, receive
Most Common Mobile Shopping Activities                                     promotion information or coupons (via notification services)
and Emerging Mobile Technologies                                           when passing by the store. These Geo-Web capabilities can
The mobile channel provides a new venue for consumers to                   not only be defined around stores, but they can also be defined
make their shopping experience more engaging and easier, and               inside a store to promote products within the store.
it provides retailers an opportunity to increase sales, customer      •	   Self-Scanning - Uses the camera in the phone to scan
satisfaction and loyalty. Today, the most common multi-                    barcodes in 1D (UPC) or 2D (QR, Datamatrix, or other)
channel mobile shopping activities include (“Mobile Shopping               formats on the store shelf, in-store signage, or printed catalog
Takes Hold Worldwide,” eMarketer, January 20, 2010):                       to connect directly to the retailer’s web site for product
                                                                           information, promotions, or marketing campaigns.
•	   Call to ask someone about a product I may purchase               •	   Notification – Consumers receive order status, product
•	   Text someone to get advice before purchasing a product                availability, marketing and promotion information via SMS,
•	   Send a picture of a product I may purchase                            MMS, or direct mobile messaging such as the iPhone or
•	   Access the mobile web to read product reviews or other                Blackberry push notification services.
     product information                                              •	   Digital Wallet – Consumers can manage the following digital
•	   Access the Internet from mobile phone to compare prices               content on their mobile phones:
•	   Use mobile phone to access the Internet to get coupons and                –– Shopping Lists – Add items by browsing the mobile
     special offers while shopping                                                website or by scanning 1D or 2D barcodes on the
•	   Check status of an order                                                     product label, and possibly share the list with others
                                                                               –– Gift Lists – View and update a gift registry on the
Shoppers engaging most often in mobile shopping are in                            mobile phone while shopping in the store or online
Asia-Pacific, particularly in Japan and South Korea, where 8                   –– Coupons – Organize coupons by issuers and expiration
out of 10 shoppers have used their mobile phones for at least                     dates; and redeem them in the store or online
one of the above activities and are the most avid users of                     –– Flyers – Receive and manage weekly flyers in the digital
coupons, barcode scanning and mobile payment; while                               wallet
increasing numbers of shoppers in Europe and America are              •	   Mobile Payment – Pay by direct mobile billing, contactless
using their mobile phones for social activities, product                   Near Field Communications, pre-filled credit card or other
research, and online and in-store purchases.                               payment information stored in the user profile.

As consumers adopt the emerging mobile technologies for               Once retailers decide to embrace the mobile channel, they face
cross-channel shopping, retailers can capture the market              the challenging decision to select the mobile platforms they
opportunity by providing mobile commerce applications to              will support. Should it be the Apple iPhone, or the RIM
promote their brands and products to consumers across all             Blackberry, or an Android-based smart phone like the
IBM Software   5




T-Mobile® myTouch, Motorola® Backflip or Droid, or the
                                                                                                        Market Share of Top Smart Phone Platforms
HTC® Hero.
                                                                                                                  5.4%
Although the iPhone is very successful in the USA, “it still                                          9.0%                                    RIM

currently represents less than 5% of the European mobile                                                                          42.1%       Apple
                                                                                                15.1%
population” (“Mobile Strategy: Frequently Asked Questions,”                                                                                   MicroSoft

Forrester Research, Inc., October, 2009) and the Blackberry                                                                                   Google

market share in the USA has remained unchanged in spite of                                                                                    Palm

the impressive 23% growth rate the iPhone had in 2009. In the
                                                                                                        25.4%
USA, at the end of 2009, the Blackberry had almost double
market share than iPhone; 42.1% vs. 25.4%, respectively
(ComScore MobiLens. February 2010).                                                  Source: comScore MobiLens, Feb. 2010.


However, the number of ad requests coming from Apple
                                                                                     mobile consumers retailers will be able to reach will depend on
devices (iPhone, iTouch, and now iPad) are almost 6 times
                                                                                     the mobile platform selected; so choosing the right mobile
what they are from Blackberry devices (“Mobile Internet:
                                                                                     platforms is critical.
Where is Your Audience,” Forrester Research, Inc., May 6,
2009) and this is in spite of Blackberry having more than
double as many handsets in the market. The type and breath of


           Characteristics                    Mobile Web                     Mobile Hybrid                        Mobile Native              Mobile Transcoder
                                              Application                     Application                          Application                   Services
Distribution Model                             Internet,                  App store download                    App store download               Internet,
                                             Mobile browser                                                                                    Mobile browser
Programming model & skills                        Web                         Web + Native                            Native                           N/A
Application Portability                           High                          Medium                                   None                          N/A
Maintenance                                       Low                           Medium                                   High                          Low
Ability to Leverage Device features:
• Geo-location                                   HTML5                    HTML5, API mapping                        Native API                         No
• Offline storage                                HTML5                    HTML5, API mapping                        Native API                         No
• Address Book                                    No                         API mapping                            Native API                         No
• Camera                                          No                         API mapping                            Native API                         No
• Calendar                                        No                         API mapping                            Native API                         No
• Accelerometer                                   No                         API mapping                            Native API                         No

UI layout & Navigation                 Common, or device unique         Device unique via CSS                Native to mobile device      Common across all mobile
                                         via device recognition         control + Native UI shell                                               devices
Application Review by third party                  No                     Depends on provider                 Depends on provider                      No
vendor
Application awareness                  Internet search, Advertising   App Store search, Advertising      App Store search, Advertising         Internet search
Application icon                       No. Access via bookmark            Yes, after download                   Yes, after download       No. Access via bookmark

Application update                        Transparent to users              Download by users                   Download by users           Transparent to users
                                                                        (less frequent than Native
                                                                                applications)
6   Incorporating Mobile Commerce into Your Multi-Channel Strategy




Mobile Applications Support                                          submit their finished applications to the platform provider for
Retailers can choose from a variety of mobile technologies to        review to ensure that the applications follow the programming
deploy a mobile store. They include: mobile web application,         guidelines and the license agreement for the mobile platform.
mobile hybrid application, mobile native application, or mobile
transcoder solution.                                                 These applications are called native applications as they are
                                                                     typically developed with the programming model and device
The table on page 5 provides a summary of the characteristics        specific functions for each mobile platform such as
among these options.                                                 Objective C on iPhone, or Java on Blackberry and Android.
                                                                     The native applications can leverage all the device capabilities
Mobile Web Application                                               with unique UI look and feel for the platforms and access
A mobile web application is developed with the standard web          information in the server through web services. Native
programming model, such as JavaScript, HTML, or Cascading            applications can perform better than Web applications, as data
Style Sheets (CSS). The programming artifacts are the same as        retrieval can be optimized for the device and network
the main website for the desktop users, except that the content,     characteristics. Nevertheless, the start time or page rendering
UI layout and navigation flow are tailored for mobile users          performance will be affected by the amount of data required by
with smaller screen size and a subset of browser capabilities on     the application.
the smart phones. For example, Flash animation is not
recommended in the mobile store as the plug-in is not                The problem with Native applications is that they are tied to a
supported by some of the mobile browsers such as the iPhone          particular platform and must thus be written specifically for the
Safari.                                                              target platform. Writing a native application requires
                                                                     specialized skills, which may not be transferable from one
As the emerging W3C HTML5 standard is implemented in                 mobile platform to another. As the mobile platforms evolve
mobile browsers, mobile web applications will be able to             and diversify over time, the development and maintenance cost
leverage rich Internet applications (RIA) technologies such as       can become significant.
GPS location detection, offline storage, drag & drop, native
media playback, and 2D as well as 3D animation—which are             A Hybrid application is an approach which takes advantages of
otherwise supported by native mobile applications today.             both web and native applications. The idea is to deliver the
However, other device features, such as camera, accelerometer        web content in ‘web views’ through HTML, CSS and
and address book information would still not be able to be           JavaScript and access the device capabilities, such as the
provided in mobile web applications.                                 address book or camera, via JavaScript to device API mapping.
                                                                     In addition, an application shell is developed to provide a
Mobile Native and Hybrid Applications                                platform-unique UI layout and navigation flow and to wrap
As the App Store distribution model becomes popular among            around the web content in the application. All of the leading
the smart phone users, most of the mobile platform providers         mobile platforms support this hybrid approach for the types of
have now enabled their users to download device specific             applications which would need frequent access to the Internet
applications from the Internet, such as iPhone App Store,            server for dynamic content.
Android Market, Blackberry App World, Nokia Ovi Store, and
                                                                     The content of the application should determine the type of
others, with various degree of success in the market.
                                                                     application that works best. Obviously, games work best as
With this distribution model, application developers have to         native applications as they often use heavy graphics and benefit
IBM Software    7




from not having to access Internet resources frequently.                         capabilities; these are commonly called feature phones. This
However, mobile commerce should be supported by mobile                           solution is typically employed by the retailers as a tactical
web or hybrid applications as the majority of the application                    quick-to-market implementation.
content, such as product information and order status, are
relatively dynamic and should be delivered as web content                        Because the regular web content is not written specifically for
rendered by the eCommerce server.                                                mobile phones, it might not display properly on the mobile
                                                                                 phones. Hence, the third party managed services help solve the
The following diagram illustrates a sample hybrid application                    problem by converting selected areas of desktop web store
for WebSphere Commerce:                                                          content to a mobile-ready format for the selected mobile
                                                                                 devices, including feature phones with limited browser
                                                                                 capabilities and other protocol support such as WAP or
Customizable                                                                     i-mode. Some other third party managed services may simply
branding, color,
theme                                                                            re-direct all mobile requests to a separate system, and therefore
Scrolling feature
                                                                                 require the retailer to provide the web service interface for the
                                                               Smart phone
products.
                                                               UI shell
                                                                                 third party managed mobile server to access the product
Users tap product
image to view                                                                    catalog information and other transactional data, such as order
details                                                                          status, from the retailer’s main website.
                                                               Common
Users tap to view                                              business logic
products by category                                           & JSP templates   The major limitation with this approach is that the transcoder
                                                               across multiple
                                                               smart phones      services would not leverage the advanced capabilities and user
Tap bar to access
common functions                                                                 experience offered by the latest generation of smart phones. In
(Home, Store Locator,
Wish List, Shopping Cart)
                                                                                 addition, the marketing and merchandising managers would
                                                                                 not be able to use integrated business tools to manage
                                                               Smart phone
                                                               UI shell
                                                                                 marketing campaigns and sales catalog across channels, but
                                                                                 instead rely on the third party services to manage the business
                                                                                 rules for their mobile users which may result in disjointed
“More” to access
additional functions                                                             views of the same cross channel customers.
(Search, Product
Comparison, My
Account, etc.)                                                                   Another consideration is the Service Level of Agreement for
                                                                                 the third party managed services provider. As the mobile
Hybrid applications take advantage of both web and native applications. It       Internet traffic increases exponentially, the third party system
leverages common logic in web views, while also leveraging smart phone           infrastructure system must be able to handle the mobile
hardware and software capabilities
                                                                                 browsing and transaction volume experienced by the retailers.

                                                                                 WebSphere Commerce Mobile Solution
Mobile Transcoding Services                                                      Foreseeing the growth in mobile Internet users and the
Alternatively, retailers may engage third party managed                          importance of mobile commerce, IBM introduced an
services to extend (‘transcode’) the output of their main Web                    integrated mobile commerce solution as part of WebSphere
site to other display formats to cover a broader set of non                      Commerce Version 7. The mobile commerce solution extends
smart phones with limited browser or native device                               WebSphere Commerce vision of being the customer
8   Incorporating Mobile Commerce into Your Multi-Channel Strategy




                                                                     The mobile starter store provided in WebSphere Commerce
                                                                     Version 7 is a mobile web application which is optimized for
                                                                     common mobile HTML Web browsers with a minimum
                                                                     display resolution of 240 x 320 pixels, which are typically
                                                                     supported by the latest mobile platforms, such as smart phones
                                                                     from RIM, Apple, Motorola, HTC, and Nokia. The mobile
                                                                     web store model also leverages some of the emerging HTML5
                                                                     features, such as Geo-location API to provide GPS-based store
                                                                     locator capability. The mobile starter store can also be used as
                                                                     the common base to develop WebSphere Commerce mobile
                                                                     hybrid applications for the popular mobile platforms, such as
                                                                     iPhone, Android and others.

                                                                     The mobile commerce solution provides a rich set of features,
                                                                     which include:

WebSphere Commerce – Customer Interaction Platform                   •	   Sales catalog, marketing & promotion targeted to mobile
                                                                          users
                                                                     •	   Persistent shopping cart which follows the shopper, regardless
interaction platform to provide a single view of customers                of touch point being used
across all channels and touch points. So shoppers can buy,           •	   Mobile Store homepage with eMarketing Spots with ability to
fulfill and service anytime and anywhere, online, in-the-store            display content targeted to mobile users
or call center, and now on their mobile phones.                      •	   Side-by-side product comparison
                                                                     •	   Wish list and email to contacts in the mobile address book
The mobile commerce solution in WebSphere Commerce                   •	   Buy on mobile / pickup in store with inventory visibility
extends the customer profile, purchase history, order                     across channels; available through integration to a Distributed
information, catalog, business user tooling and Precision                 Order Management system
Marketing available to the web channel; thus, creating a tight       •	   Store locator via ZIP code, city, or current GPS coordinates;
relationship between mCommerce and eCommerce. This                        as well as map with directions from current location to
allows retailers to deliver consistent product and pricing                selected store location; available through a common API to
information, as well as inventory visibility across channels.             integrate with Google Maps, MapQuest, Blackberry Map, and
Furthermore, marketers can target catalog content, marketing              others
campaigns, and promotions specifically to mobile consumers.          •	   User Registration with opt-in feature for marketing and
                                                                          coupons via SMS or email
The mobile solution leverages the power of WebSphere                 •	   SMS text messaging to deliver personalized marketing and
Commerce mobile application framework with intelligent                    coupon promotions, order confirmation and status, alerts,
device and browser detection and routing capability; i.e., a              store events and more
shopper will enter the same web store address in his mobile          •	   Digital Wallet and Coupons to redeem online or at the store
phone as she would do in her desktop computer and it will
correctly access and render the store in the device.
IBM Software   9




                                                               The Management Center catalog tool allows merchandisers to
                                                               use a common product catalog across all customer touch
                                                               points, or optionally create a sales catalog specifically for the
                                                               mobile channel to promote products targeted to mobile users.

                                                               The Management Center marketing tool allows marketers to
                                                               create rules for the mobile store to promote products targeted
                                                               to mobile shoppers on predefined screen areas, called
                                                               e-Marketing Spots.

                                                               The Cross-Channel Precision Marketing engine allows
                                                               marketers to build and follow a dialog with a customer
                                                               segment, or individual shoppers, by delivering contextual,
     Mobile Web Store                 Mobile Web Store
                                                               targeted marketing messages to keep consumers loyal to the
                                                               brand as they cross multiple channels. It can sense trigger
Mobile Catalog, Marketing and                                  events like abandoned cart, order placement, social media
Promotions                                                     participation, and take actions to target shoppers with offers
Business users manage their catalog, Precision Marketing and   such as mobile SMS text messages or targeted product cross-
promotions for diverse touch points (including web, mobile,    sells and up-sells.
contact center, kiosk and POS) via a common business user
tooling; namely, the IBM Management Center for WebSphere
Commerce. This greatly reduces the overhead, learning curve,
                                                                                                SMS
and deployment time, while also creating a consistent brand                                    Message
image across multiple touch points and channels.




                                                                   WebSphere Commerce
                            Marketing &                               Marketing Tool
                            Promotions




     WebSphere Commerce
        Marketing Tool
10   Incorporating Mobile Commerce into Your Multi-Channel Strategy




 WebSphere Commerce Mobile Application Framework
                                                                               1. Mobile Web                       2. Mobile Hybrid
 The mobile application framework in WebSphere Commerce                          Browser Applications                 Applications

 Version 7 enables retailers to deliver dynamic web content
 through JavaScript, HTML and CSS via a mobile web
 application. Furthermore, it is also able to leverage native
 smart phone functions by invoking the device API in mobile
 hybrid applications.
 The mobile runtime framework provides configuration                                             Common Business
                                                                                                 logics and JSP
 settings to identify device types and user agents in order to          Mobile WebApp            templates
                                                                        CSS Layout
 load the mobile store pages with device specific layout and                                                                    Mobile Hybrid
                                                                                                                                CSS layout
 navigation flow provided in CSS. As a result, shoppers can                                   Mobile
                                                                                              Device
 bookmark the same retailer web site URL address regardless                                   Detection
 of whether the shoppers are accessing the site via desktop
 or mobile browsers.                                                                          WebSphere Commerce
                                                                              Mobile applications support - UI layout, catalog content,
 As shown in the following diagram, when a mobile shopper                                   marketing, promotion, SMS

 types the URL address of the retailer’s website (1), the
 runtime framework detects the incoming request and renders            implement their mobile strategy to meet consumer demand
 the mobile store pages for the mobile browser. If the shopper         for mobile solutions.
 downloads the retailer’s hybrid application from an App Store
                                                                       There can be potentially significant development and
 (2), the runtime framework will recognize this and load a
                                                                       maintenance cost savings with this approach because
 different CSS to provide the UI layout and navigational flow
                                                                       majority of the code assets can be shared across the mobile
 specific to that device.
                                                                       web application and the hybrid application, and it is important
 Using the WebSphere Commerce Mobile Application                       to note that WebSphere Commerce can also support native
 Framework, retailers can develop a common mobile store for            mobile applications if retailers choose to develop native
 a mobile web application and a hybrid application as they             applications for their customers.




Summary                                                               However, in spite of the popularity of Apple’s App Store and its
The mobile channel is the most personal touch point available         native apps, a brand will be able to reach a larger number of its
to retailers and can be used effectively to strengthen the bond       customers with a mobile web application solution due to its
between a brand and its consumers; and a smart phone is the           portability and compatibility across multiple smart phones, its
only device that delivers always-on web access with a                 ease of discovery by consumers through Internet searches and
personalized experience leveraging identity, purchase history,        its ease of publishing since a mobile web application does not
time and location. Hence, it is the ideal device to deliver           typically require App Store distribution, and updating the
relevant content and marketing messages to the selected               application does not require consumer action.
consumers, at the right time, and at the right location, when
leveraging location-based technologies.                               The mobile commerce solution introduced by IBM as part of
                                                                      WebSphere Commerce Version 7, provides a seamless
IBM Software   11




integration between the Mobile channel and other channels           For the technical details on developing WebSphere Commerce
supported by retailers; such as the Web, Contact Center, Kiosk,     mobile applications, please refer to “Building mobile
or Point-of-Sale. The versatility and power of the IBM mobile       applications for WebSphere Commerce using the hybrid
commerce solution stems from its ability to leverage the            application programming model” in the IBM DeveloperWorks.
customer profile, purchase history, order information, catalog,
business user tooling and precision marketing available to the      About the Authors
web channel; thus, creating a tight relationship between
mCommerce and eCommerce without having to replicate
catalogs, promotions, or marketing campaigns. This allows           Luis E Rodriguez                      Michael Au
retailers to deliver consistent brand experience with uniform
                                                                    Luis is a Product Manager for         Michael is a development
product and pricing information, as well as inventory visibility    IBM WebSphere Commerce. He            manager for WebSphere
across channels. Furthermore, retailers have the flexibility to     is responsible for understanding      Commerce at IBM Toronto
target catalog content, campaigns or promotions only to             market trends and customer            Laboratory. He is responsible for
                                                                    needs in the areas of mobile          the design and development of
consumers using the mobile channel.                                 commerce, Precision Marketing,        the foundation components,
                                                                    business user tooling, and            including mobile and cross
The impressive growth and adoption rate experienced by              emerging Latin American               channel solutions, in WebSphere
                                                                    markets; and for translating this     Commerce. Michael holds an
mobile commerce will continue for the next five years. This
                                                                    knowledge into requirements to        MBA from University of Toronto,
growth is being fueled by the ubiquitous wireless broadband         guide product direction. Luis has     and Bachelors Degree in
coverage and affordable “all you can eat” wireless data plans; as   over twelve years of Product          Mathematics, with a major in
well as by the success of the Apple iPhone, the Android-based       Management experience. Prior          Computer Science, from
                                                                    to joining IBM, Luis managed          University of Waterloo in
smart phones, and the availability of application stores being      mobile handsets at Ericsson;          Canada. He can be reached at:
deployed by smart phone vendors, wireless carriers and              and earlier in his career, he was a   au@ca.ibm.com.
operating system providers.                                         software engineer at AT&T Bell
                                                                    Laboratories. Luis holds an MBA
                                                                    from Cornell University, an
The power of mobile commerce lies in its ability to influence       MSEE from the University of
multichannel transactions with a device that is always on and       Connecticut, and a BSEE from
always with us, and the IBM WebSphere Commerce mobile               the University of the Americas in
                                                                    Mexico. He can be reached at:
commerce solution allows retailers to develop relevant and          lurodrig@us.ibm.com
intimate relationships with its customers as they seamlessly
traverse channels.

Further Reading
For more information on IBM WebSphere Commerce, please
visit www.ibm.com/websphere/commerce/ or contact your
IBM sales representative.

For additional details on developing a cross-channel solution
with WebSphere Commerce, please refer to the redbook:
“Building Multichannel Applications with WebSphere
Commerce”
© Copyright IBM Corporation 2010

IBM Global Services
Route 100
Somers, NY 10589
U.S.A.

Produced in the United States of America
June 2010
All Rights Reserved

IBM, the IBM logo, ibm.com, developerWorks and WebSphere are
trademarks or registered trademarks of International Business Machines
Corporation in the United States, other countries, or both. If these and
other IBM trademarked terms are marked on their first occurrence in this
information with a trademark symbol (® or ™), these symbols indicate U.S.
registered or common law trademarks owned by IBM at the time this
information was published. Such trademarks may also be registered or
common law trademarks in other countries. A current list of IBM
trademarks is available on the Web at “Copyright and trademark
information” at ibm.com/legal/copytrade.shtml

Microsoft, Windows, Windows NT, and the Windows logo are trademarks
of Microsoft Corporation in the United States, other countries, or both.

Java and all Java-based trademarks and logos are trademarks of Sun
Microsystems, Inc. in the United States, other countries, or both.

Other product and service names might be trademarks of IBM or other
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                                                   BCE-01565-USEN-00

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Incorporating Mobile Commerce in your Multi-Channel strategy

  • 1. IBM Software White Paper Incorporating Mobile Commerce in Your Multi-Channel Strategy By: Luis E Rodriguez and Michael Au
  • 2. 2 Incorporating Mobile Commerce into Your Multi-Channel Strategy Market Drivers Independent reports from the ITU World Telecommunication, “By 2014, more than three billion of the the United Nations and eMarketer show that there are more world’s adult population will be able to than 4.6 billion mobile subscribers worldwide (ITU World transact electronically via mobile and Internet Telecommunication). This means more than half the world population has a mobile phone today; and close to a billion of technology” these mobile users are accessing the Internet with their smart – Gartner, Gartner’s Top Predictions for IT phones. This represents a 191% growth rate from 2006, with a Organizations and Users, 2010 and Beyond: Cumulative Average Growth Rate of 24% from 2006 through A New Balance, December 2009 2011 (IBM Institute for Business Value. 2009). In the USA, the mobile market penetration is higher than Introduction 90%; where the average USA household has 1.7 mobile phones The number of mobile web sites, mobile applications and per person and this number is higher if there are GenY users at mobile applications stores are growing at a staggering pace. By home. Penetration will near 100% by 2013, assuming a modest the end of 2010, consumers will have downloaded almost 6 2.7% annual growth rate in the number of mobile users billion mobile apps; up from 2.4 billion in 2009 (Mobile through 2013 (“USA Mobile Phone Subscribers and Applications Market Data, ABI Research, April 2010). This Penetration, 2008-2013”, eMarketer, May 2009). Mobile is rapid adoption of mobile applications is being fueled by the quickly becoming a ubiquitous platform for messaging, music, increasing selection, brands, capabilities and storage capacity of video, social networking, web access and cross-channel smart phones, which had a 20% sales growth in 2009. shopping. Consumers are upgrading their ordinary phones to Internet- Worldwide Mobile Internet Users. enabled smart phones to make use of the new capabilities offered by mobile applications. Retailers are trying to meet 1200 011 E to 2 customer demands for information and services, and seek 2006 982.4 om 1000 th fr opportunities to generate additional sales across all the g row 191% 800 757.1 channels; at the same time, they need to also understand the 596.4 value and cost among mobile commerce implementation 600 489.6 options, and determine how to best link new mobile initiatives 405.5 400 337.3 to their overall customer strategy to avoid disjointed mobile efforts. 200 0 This white paper discusses the market opportunity in mobile 2006 2007E 2008E 2009E 2010E 2011E commerce, the emerging mobile shopping scenarios, different mobile implementation options to provide a smarter shopping CAGR 2006-2011E: 24% experience across channels and an overview of mobile Source: IBM Institute for Business Value, 2009 commerce capabilities in IBM® WebSphere® Commerce Version 7. The adoption and usage of the mobile Internet has reached a critical mass with the advent of the Apple® iPhone, Research In Motion® Blackberry, and smart phones running on Google® Android, Microsoft® Windows Mobile, or other mobile
  • 3. IBM Software 3 operating systems. These devices are now delivering a phone, such as the Motorola® Razr; or is it a voice-only compelling and user friendly mobile Internet experience. phone, such as the TracFone®? According to the Pew Research Center, every day more than 57 million Americans are accessing the web with their mobile Since consumers replace their mobile phone on average every handsets, and it will grow to 134 million by 2013. This “Mobile 1.5 to 2 years; retailers need to continually monitor the market Momentum” has been possible thanks to ubiquitous wireless share of mobile platforms in different geographies in order to broadband coverage, affordable mobile data plans and adjust their mobile implementation plan over time. Many hundreds of brands embracing the mobile channel. analysts expect consumers will replace their existing phones to newer and feature-richer 3G devices, in the next couple years. In today’s digital, always connected and on-the-go age, An independent research report predicts that by 2014, over consumers want to shop whenever and wherever they choose, 80% of the mobile phones being manufactured will be 3G and they expect to experience a consistent, relevant and timely smart phones, 18% will be feature-phones, and only 1% will be interaction with their brand of choice, regardless of the voice-only phones (“US Mobile Forecasts, 2009 To 2014,” channel they use. While social and mobile commerce channels Forrester Research, Inc., November 6, 2009). In fact, many have been gaining momentum in the past few years, they are studies have shown that users are now using their mobile not usually well integrated to provide a seamless shopping devices to send/receive text messages in their social experience to consumers. Hence, retailers face the challenge to communities, and are accessing the Internet to find optimize their cross channel processes and deliver a single information much more frequently than talking on their brand experience to their customers. mobile phones. Understanding Mobile Users US Mobile Phones By Technology Source: Forrester. US Mobile Forecast, 2009 to 2014. Nov 6, 2009 Before selecting mobile platforms for deployment, retailers need to better understand how consumers are using their 2014 3G 2.5G mobile phones; as well as the handsets and its capabilities. 2G Finding the answers to the following questions will help 2013 2.5G 3G formulate your mobile commerce strategy: 2G 2012 3G 2.5G 2G • Do our most valuable consumers use mobile for voice, data, or 3G 2011 web browsing? 2G 2.5G • What percentage of consumers use each of the above? 3G 2010 • How frequently do they use text messaging (SMS)? 2G 2.5G • Do they prefer to read their email in their mobile while 3G 2009 on-the-go, or in their desktop at home? 2.5G 2G • How often do they use the mobile web, and what activities do 3G 2008 they do while browsing? 2.5G 2G • Do they visit social networks, such as Facebook or MySpace, 10% 20% 30% 40% 50% 60% 70% 80% from their mobile phone? • What type of built-in mobile features do they use: GPS, 2008 2009 2010 2011 2012 2013 2014 Wi-Fi, built-in camera? 3G 32% 46% 57% 65% 71% 77% 81% • What type of handset they own? Is it a smart-phone, such as 2.5G 65% 52% 42% 34% 28% 23% 18% the Apple iPhone, or the Blackberry® Curve; or is it a feature- 2G 3% 2% 1% 1% 1% 1% 1%
  • 4. 4 Incorporating Mobile Commerce into Your Multi-Channel Strategy During last year’s holiday season, more than half of mobile channels, thereby increasing sales opportunities and customer users around the world used their mobile phone as part of their loyalty. Scenarios supported by emerging mobile technologies shopping activities. Furthermore, GenY users were ahead of may include (“Mobile in Retail. Getting your retail any other segment in their mobile use for shopping activities. environment ready for mobile,” GS1 MobileCom, 2010): They accessed mobile coupons 6.5 times more than Baby Boomers; and were 3 times more likely to have made a mobile • Location-Based Services – Leverage GPS, Wi-Fi, Bluetooth, purchase. RFID, or other technologies to detect the shopper’s location, with his/her permission, to find the nearest store, receive Most Common Mobile Shopping Activities promotion information or coupons (via notification services) and Emerging Mobile Technologies when passing by the store. These Geo-Web capabilities can The mobile channel provides a new venue for consumers to not only be defined around stores, but they can also be defined make their shopping experience more engaging and easier, and inside a store to promote products within the store. it provides retailers an opportunity to increase sales, customer • Self-Scanning - Uses the camera in the phone to scan satisfaction and loyalty. Today, the most common multi- barcodes in 1D (UPC) or 2D (QR, Datamatrix, or other) channel mobile shopping activities include (“Mobile Shopping formats on the store shelf, in-store signage, or printed catalog Takes Hold Worldwide,” eMarketer, January 20, 2010): to connect directly to the retailer’s web site for product information, promotions, or marketing campaigns. • Call to ask someone about a product I may purchase • Notification – Consumers receive order status, product • Text someone to get advice before purchasing a product availability, marketing and promotion information via SMS, • Send a picture of a product I may purchase MMS, or direct mobile messaging such as the iPhone or • Access the mobile web to read product reviews or other Blackberry push notification services. product information • Digital Wallet – Consumers can manage the following digital • Access the Internet from mobile phone to compare prices content on their mobile phones: • Use mobile phone to access the Internet to get coupons and –– Shopping Lists – Add items by browsing the mobile special offers while shopping website or by scanning 1D or 2D barcodes on the • Check status of an order product label, and possibly share the list with others –– Gift Lists – View and update a gift registry on the Shoppers engaging most often in mobile shopping are in mobile phone while shopping in the store or online Asia-Pacific, particularly in Japan and South Korea, where 8 –– Coupons – Organize coupons by issuers and expiration out of 10 shoppers have used their mobile phones for at least dates; and redeem them in the store or online one of the above activities and are the most avid users of –– Flyers – Receive and manage weekly flyers in the digital coupons, barcode scanning and mobile payment; while wallet increasing numbers of shoppers in Europe and America are • Mobile Payment – Pay by direct mobile billing, contactless using their mobile phones for social activities, product Near Field Communications, pre-filled credit card or other research, and online and in-store purchases. payment information stored in the user profile. As consumers adopt the emerging mobile technologies for Once retailers decide to embrace the mobile channel, they face cross-channel shopping, retailers can capture the market the challenging decision to select the mobile platforms they opportunity by providing mobile commerce applications to will support. Should it be the Apple iPhone, or the RIM promote their brands and products to consumers across all Blackberry, or an Android-based smart phone like the
  • 5. IBM Software 5 T-Mobile® myTouch, Motorola® Backflip or Droid, or the Market Share of Top Smart Phone Platforms HTC® Hero. 5.4% Although the iPhone is very successful in the USA, “it still 9.0% RIM currently represents less than 5% of the European mobile 42.1% Apple 15.1% population” (“Mobile Strategy: Frequently Asked Questions,” MicroSoft Forrester Research, Inc., October, 2009) and the Blackberry Google market share in the USA has remained unchanged in spite of Palm the impressive 23% growth rate the iPhone had in 2009. In the 25.4% USA, at the end of 2009, the Blackberry had almost double market share than iPhone; 42.1% vs. 25.4%, respectively (ComScore MobiLens. February 2010). Source: comScore MobiLens, Feb. 2010. However, the number of ad requests coming from Apple mobile consumers retailers will be able to reach will depend on devices (iPhone, iTouch, and now iPad) are almost 6 times the mobile platform selected; so choosing the right mobile what they are from Blackberry devices (“Mobile Internet: platforms is critical. Where is Your Audience,” Forrester Research, Inc., May 6, 2009) and this is in spite of Blackberry having more than double as many handsets in the market. The type and breath of Characteristics Mobile Web Mobile Hybrid Mobile Native Mobile Transcoder Application Application Application Services Distribution Model Internet, App store download App store download Internet, Mobile browser Mobile browser Programming model & skills Web Web + Native Native N/A Application Portability High Medium None N/A Maintenance Low Medium High Low Ability to Leverage Device features: • Geo-location HTML5 HTML5, API mapping Native API No • Offline storage HTML5 HTML5, API mapping Native API No • Address Book No API mapping Native API No • Camera No API mapping Native API No • Calendar No API mapping Native API No • Accelerometer No API mapping Native API No UI layout & Navigation Common, or device unique Device unique via CSS Native to mobile device Common across all mobile via device recognition control + Native UI shell devices Application Review by third party No Depends on provider Depends on provider No vendor Application awareness Internet search, Advertising App Store search, Advertising App Store search, Advertising Internet search Application icon No. Access via bookmark Yes, after download Yes, after download No. Access via bookmark Application update Transparent to users Download by users Download by users Transparent to users (less frequent than Native applications)
  • 6. 6 Incorporating Mobile Commerce into Your Multi-Channel Strategy Mobile Applications Support submit their finished applications to the platform provider for Retailers can choose from a variety of mobile technologies to review to ensure that the applications follow the programming deploy a mobile store. They include: mobile web application, guidelines and the license agreement for the mobile platform. mobile hybrid application, mobile native application, or mobile transcoder solution. These applications are called native applications as they are typically developed with the programming model and device The table on page 5 provides a summary of the characteristics specific functions for each mobile platform such as among these options. Objective C on iPhone, or Java on Blackberry and Android. The native applications can leverage all the device capabilities Mobile Web Application with unique UI look and feel for the platforms and access A mobile web application is developed with the standard web information in the server through web services. Native programming model, such as JavaScript, HTML, or Cascading applications can perform better than Web applications, as data Style Sheets (CSS). The programming artifacts are the same as retrieval can be optimized for the device and network the main website for the desktop users, except that the content, characteristics. Nevertheless, the start time or page rendering UI layout and navigation flow are tailored for mobile users performance will be affected by the amount of data required by with smaller screen size and a subset of browser capabilities on the application. the smart phones. For example, Flash animation is not recommended in the mobile store as the plug-in is not The problem with Native applications is that they are tied to a supported by some of the mobile browsers such as the iPhone particular platform and must thus be written specifically for the Safari. target platform. Writing a native application requires specialized skills, which may not be transferable from one As the emerging W3C HTML5 standard is implemented in mobile platform to another. As the mobile platforms evolve mobile browsers, mobile web applications will be able to and diversify over time, the development and maintenance cost leverage rich Internet applications (RIA) technologies such as can become significant. GPS location detection, offline storage, drag & drop, native media playback, and 2D as well as 3D animation—which are A Hybrid application is an approach which takes advantages of otherwise supported by native mobile applications today. both web and native applications. The idea is to deliver the However, other device features, such as camera, accelerometer web content in ‘web views’ through HTML, CSS and and address book information would still not be able to be JavaScript and access the device capabilities, such as the provided in mobile web applications. address book or camera, via JavaScript to device API mapping. In addition, an application shell is developed to provide a Mobile Native and Hybrid Applications platform-unique UI layout and navigation flow and to wrap As the App Store distribution model becomes popular among around the web content in the application. All of the leading the smart phone users, most of the mobile platform providers mobile platforms support this hybrid approach for the types of have now enabled their users to download device specific applications which would need frequent access to the Internet applications from the Internet, such as iPhone App Store, server for dynamic content. Android Market, Blackberry App World, Nokia Ovi Store, and The content of the application should determine the type of others, with various degree of success in the market. application that works best. Obviously, games work best as With this distribution model, application developers have to native applications as they often use heavy graphics and benefit
  • 7. IBM Software 7 from not having to access Internet resources frequently. capabilities; these are commonly called feature phones. This However, mobile commerce should be supported by mobile solution is typically employed by the retailers as a tactical web or hybrid applications as the majority of the application quick-to-market implementation. content, such as product information and order status, are relatively dynamic and should be delivered as web content Because the regular web content is not written specifically for rendered by the eCommerce server. mobile phones, it might not display properly on the mobile phones. Hence, the third party managed services help solve the The following diagram illustrates a sample hybrid application problem by converting selected areas of desktop web store for WebSphere Commerce: content to a mobile-ready format for the selected mobile devices, including feature phones with limited browser capabilities and other protocol support such as WAP or Customizable i-mode. Some other third party managed services may simply branding, color, theme re-direct all mobile requests to a separate system, and therefore Scrolling feature require the retailer to provide the web service interface for the Smart phone products. UI shell third party managed mobile server to access the product Users tap product image to view catalog information and other transactional data, such as order details status, from the retailer’s main website. Common Users tap to view business logic products by category & JSP templates The major limitation with this approach is that the transcoder across multiple smart phones services would not leverage the advanced capabilities and user Tap bar to access common functions experience offered by the latest generation of smart phones. In (Home, Store Locator, Wish List, Shopping Cart) addition, the marketing and merchandising managers would not be able to use integrated business tools to manage Smart phone UI shell marketing campaigns and sales catalog across channels, but instead rely on the third party services to manage the business rules for their mobile users which may result in disjointed “More” to access additional functions views of the same cross channel customers. (Search, Product Comparison, My Account, etc.) Another consideration is the Service Level of Agreement for the third party managed services provider. As the mobile Hybrid applications take advantage of both web and native applications. It Internet traffic increases exponentially, the third party system leverages common logic in web views, while also leveraging smart phone infrastructure system must be able to handle the mobile hardware and software capabilities browsing and transaction volume experienced by the retailers. WebSphere Commerce Mobile Solution Mobile Transcoding Services Foreseeing the growth in mobile Internet users and the Alternatively, retailers may engage third party managed importance of mobile commerce, IBM introduced an services to extend (‘transcode’) the output of their main Web integrated mobile commerce solution as part of WebSphere site to other display formats to cover a broader set of non Commerce Version 7. The mobile commerce solution extends smart phones with limited browser or native device WebSphere Commerce vision of being the customer
  • 8. 8 Incorporating Mobile Commerce into Your Multi-Channel Strategy The mobile starter store provided in WebSphere Commerce Version 7 is a mobile web application which is optimized for common mobile HTML Web browsers with a minimum display resolution of 240 x 320 pixels, which are typically supported by the latest mobile platforms, such as smart phones from RIM, Apple, Motorola, HTC, and Nokia. The mobile web store model also leverages some of the emerging HTML5 features, such as Geo-location API to provide GPS-based store locator capability. The mobile starter store can also be used as the common base to develop WebSphere Commerce mobile hybrid applications for the popular mobile platforms, such as iPhone, Android and others. The mobile commerce solution provides a rich set of features, which include: WebSphere Commerce – Customer Interaction Platform • Sales catalog, marketing & promotion targeted to mobile users • Persistent shopping cart which follows the shopper, regardless interaction platform to provide a single view of customers of touch point being used across all channels and touch points. So shoppers can buy, • Mobile Store homepage with eMarketing Spots with ability to fulfill and service anytime and anywhere, online, in-the-store display content targeted to mobile users or call center, and now on their mobile phones. • Side-by-side product comparison • Wish list and email to contacts in the mobile address book The mobile commerce solution in WebSphere Commerce • Buy on mobile / pickup in store with inventory visibility extends the customer profile, purchase history, order across channels; available through integration to a Distributed information, catalog, business user tooling and Precision Order Management system Marketing available to the web channel; thus, creating a tight • Store locator via ZIP code, city, or current GPS coordinates; relationship between mCommerce and eCommerce. This as well as map with directions from current location to allows retailers to deliver consistent product and pricing selected store location; available through a common API to information, as well as inventory visibility across channels. integrate with Google Maps, MapQuest, Blackberry Map, and Furthermore, marketers can target catalog content, marketing others campaigns, and promotions specifically to mobile consumers. • User Registration with opt-in feature for marketing and coupons via SMS or email The mobile solution leverages the power of WebSphere • SMS text messaging to deliver personalized marketing and Commerce mobile application framework with intelligent coupon promotions, order confirmation and status, alerts, device and browser detection and routing capability; i.e., a store events and more shopper will enter the same web store address in his mobile • Digital Wallet and Coupons to redeem online or at the store phone as she would do in her desktop computer and it will correctly access and render the store in the device.
  • 9. IBM Software 9 The Management Center catalog tool allows merchandisers to use a common product catalog across all customer touch points, or optionally create a sales catalog specifically for the mobile channel to promote products targeted to mobile users. The Management Center marketing tool allows marketers to create rules for the mobile store to promote products targeted to mobile shoppers on predefined screen areas, called e-Marketing Spots. The Cross-Channel Precision Marketing engine allows marketers to build and follow a dialog with a customer segment, or individual shoppers, by delivering contextual, Mobile Web Store Mobile Web Store targeted marketing messages to keep consumers loyal to the brand as they cross multiple channels. It can sense trigger Mobile Catalog, Marketing and events like abandoned cart, order placement, social media Promotions participation, and take actions to target shoppers with offers Business users manage their catalog, Precision Marketing and such as mobile SMS text messages or targeted product cross- promotions for diverse touch points (including web, mobile, sells and up-sells. contact center, kiosk and POS) via a common business user tooling; namely, the IBM Management Center for WebSphere Commerce. This greatly reduces the overhead, learning curve, SMS and deployment time, while also creating a consistent brand Message image across multiple touch points and channels. WebSphere Commerce Marketing & Marketing Tool Promotions WebSphere Commerce Marketing Tool
  • 10. 10 Incorporating Mobile Commerce into Your Multi-Channel Strategy WebSphere Commerce Mobile Application Framework 1. Mobile Web 2. Mobile Hybrid The mobile application framework in WebSphere Commerce Browser Applications Applications Version 7 enables retailers to deliver dynamic web content through JavaScript, HTML and CSS via a mobile web application. Furthermore, it is also able to leverage native smart phone functions by invoking the device API in mobile hybrid applications. The mobile runtime framework provides configuration Common Business logics and JSP settings to identify device types and user agents in order to Mobile WebApp templates CSS Layout load the mobile store pages with device specific layout and Mobile Hybrid CSS layout navigation flow provided in CSS. As a result, shoppers can Mobile Device bookmark the same retailer web site URL address regardless Detection of whether the shoppers are accessing the site via desktop or mobile browsers. WebSphere Commerce Mobile applications support - UI layout, catalog content, As shown in the following diagram, when a mobile shopper marketing, promotion, SMS types the URL address of the retailer’s website (1), the runtime framework detects the incoming request and renders implement their mobile strategy to meet consumer demand the mobile store pages for the mobile browser. If the shopper for mobile solutions. downloads the retailer’s hybrid application from an App Store There can be potentially significant development and (2), the runtime framework will recognize this and load a maintenance cost savings with this approach because different CSS to provide the UI layout and navigational flow majority of the code assets can be shared across the mobile specific to that device. web application and the hybrid application, and it is important Using the WebSphere Commerce Mobile Application to note that WebSphere Commerce can also support native Framework, retailers can develop a common mobile store for mobile applications if retailers choose to develop native a mobile web application and a hybrid application as they applications for their customers. Summary However, in spite of the popularity of Apple’s App Store and its The mobile channel is the most personal touch point available native apps, a brand will be able to reach a larger number of its to retailers and can be used effectively to strengthen the bond customers with a mobile web application solution due to its between a brand and its consumers; and a smart phone is the portability and compatibility across multiple smart phones, its only device that delivers always-on web access with a ease of discovery by consumers through Internet searches and personalized experience leveraging identity, purchase history, its ease of publishing since a mobile web application does not time and location. Hence, it is the ideal device to deliver typically require App Store distribution, and updating the relevant content and marketing messages to the selected application does not require consumer action. consumers, at the right time, and at the right location, when leveraging location-based technologies. The mobile commerce solution introduced by IBM as part of WebSphere Commerce Version 7, provides a seamless
  • 11. IBM Software 11 integration between the Mobile channel and other channels For the technical details on developing WebSphere Commerce supported by retailers; such as the Web, Contact Center, Kiosk, mobile applications, please refer to “Building mobile or Point-of-Sale. The versatility and power of the IBM mobile applications for WebSphere Commerce using the hybrid commerce solution stems from its ability to leverage the application programming model” in the IBM DeveloperWorks. customer profile, purchase history, order information, catalog, business user tooling and precision marketing available to the About the Authors web channel; thus, creating a tight relationship between mCommerce and eCommerce without having to replicate catalogs, promotions, or marketing campaigns. This allows Luis E Rodriguez Michael Au retailers to deliver consistent brand experience with uniform Luis is a Product Manager for Michael is a development product and pricing information, as well as inventory visibility IBM WebSphere Commerce. He manager for WebSphere across channels. Furthermore, retailers have the flexibility to is responsible for understanding Commerce at IBM Toronto target catalog content, campaigns or promotions only to market trends and customer Laboratory. He is responsible for needs in the areas of mobile the design and development of consumers using the mobile channel. commerce, Precision Marketing, the foundation components, business user tooling, and including mobile and cross The impressive growth and adoption rate experienced by emerging Latin American channel solutions, in WebSphere markets; and for translating this Commerce. Michael holds an mobile commerce will continue for the next five years. This knowledge into requirements to MBA from University of Toronto, growth is being fueled by the ubiquitous wireless broadband guide product direction. Luis has and Bachelors Degree in coverage and affordable “all you can eat” wireless data plans; as over twelve years of Product Mathematics, with a major in well as by the success of the Apple iPhone, the Android-based Management experience. Prior Computer Science, from to joining IBM, Luis managed University of Waterloo in smart phones, and the availability of application stores being mobile handsets at Ericsson; Canada. He can be reached at: deployed by smart phone vendors, wireless carriers and and earlier in his career, he was a au@ca.ibm.com. operating system providers. software engineer at AT&T Bell Laboratories. Luis holds an MBA from Cornell University, an The power of mobile commerce lies in its ability to influence MSEE from the University of multichannel transactions with a device that is always on and Connecticut, and a BSEE from always with us, and the IBM WebSphere Commerce mobile the University of the Americas in Mexico. He can be reached at: commerce solution allows retailers to develop relevant and lurodrig@us.ibm.com intimate relationships with its customers as they seamlessly traverse channels. Further Reading For more information on IBM WebSphere Commerce, please visit www.ibm.com/websphere/commerce/ or contact your IBM sales representative. For additional details on developing a cross-channel solution with WebSphere Commerce, please refer to the redbook: “Building Multichannel Applications with WebSphere Commerce”
  • 12. © Copyright IBM Corporation 2010 IBM Global Services Route 100 Somers, NY 10589 U.S.A. Produced in the United States of America June 2010 All Rights Reserved IBM, the IBM logo, ibm.com, developerWorks and WebSphere are trademarks or registered trademarks of International Business Machines Corporation in the United States, other countries, or both. If these and other IBM trademarked terms are marked on their first occurrence in this information with a trademark symbol (® or ™), these symbols indicate U.S. registered or common law trademarks owned by IBM at the time this information was published. Such trademarks may also be registered or common law trademarks in other countries. A current list of IBM trademarks is available on the Web at “Copyright and trademark information” at ibm.com/legal/copytrade.shtml Microsoft, Windows, Windows NT, and the Windows logo are trademarks of Microsoft Corporation in the United States, other countries, or both. Java and all Java-based trademarks and logos are trademarks of Sun Microsystems, Inc. in the United States, other countries, or both. Other product and service names might be trademarks of IBM or other companies. BCE-01565-USEN-00