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2016 Holiday Retail Tech Recap

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As the 2016 shopping season comes to a close, take time to re-group and ramp up for 2017. We will share key industry observations on digital experience performance, technology trends and top retailers' best practices. Join a panel of experts from Neiman Marcus, IBM and Dynatrace for a discussion about:

2016 holiday technology trends – what are the new requirements to best serve digital customers?

Leading retailers like Neiman Marcus and what made their performance great.

How to assess your holiday performance and prepare for the year ahead.

Start the New Year right by looking back at 2016 and getting ready for your next big sales event of 2017.

Veröffentlicht in: Technologie
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2016 Holiday Retail Tech Recap

  1. 1. 2016 Holiday Retail Tech Recap DON DAVIS Editor-in-Chief Internet Retailer & B2BecNews MODERATOR VENKAT RAYAPUDI Manager, eCommerce Operations Neiman Marcus ARTHUR VIENTE Program Director, IBM Watson Commerce Strategy IBM Watson Commerce DAVID JONES Practice Director Dynatrace
  2. 2. A strong holiday season for online retailers $73.6 $83.0 $91.7 $0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0 $90.0 $100.0 2014 2015 2016 Online holiday sales (in billions) 11% Source: Adobe Digital Insights
  3. 3. Web growth may have been even stronger 11% 12% 16% 20% Estimated increase in 2016 online holiday sales • Store sales increased 2.4%in November-December 2016 over same months in 2015. Source: U.S. Commerce Department
  4. 4. Stores made a comeback • Store traffic declined 4.4% during the five days from Thanksgiving and sales were down 4.2%. • Source: RetailNext • Online sales during those five days were up 15.2%. • Source: Adobe Digital Insights 50% 45% 31% 38% 52% 61% Where consumers planned to shop Stores Online Source: Market Track
  5. 5. Amazon dominates Thanksgiving weekend (sales)…
  6. 6. …and the holiday season (traffic) 1.30% 1.53% 1.61% 2.10% 2.93% 3.25% 6.69% 33.88% Lowe's Macy's Kohl's Home Depot Best Buy Target Wal-Mart Amazon Percentage of traffic to retail websites Source: Hitwise, a division of Connexity
  7. 7. Amazon dominates the last week Amazon’s percentage of web sales 33% 38% 44% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Nov. 1- Cyber Monday 2016 season Dec. 15- 25 The Prime Now effect • Prime Now (2-hour delivery) accounted for 13% of Amazon’s late-season sales, versus 10% in 2015. • Source: Slice Intelligence
  8. 8. More email, and more sales from email Black Friday/Cyber Monday campaigns 0 10000 20000 30000 40000 50000 Black Friday Cyber Monday Number of email campaigns 2016 2015 Read rates above 20% 20% 19% 13% 12% Black Friday Cyber Monday 2016 2015 41.9% 28.2% Source: eDataSource
  9. 9. Search drive most sales • But ads on social networks are driving more traffic: 3.6% in 2016 versus only 0.25% in 2015. Source: Hitwise, a division of Connexity
  10. 10. Consumers browse on smartphones… 2016 2015 2014 50% 50% 56% 9% 11% 14% 41% 39% 30% Percentage of visits, by device, 2014-16 Desktop Tablet Smartphone Source: Adobe Digital Insights
  11. 11. …and they buy on smartphones 2016 2015 2014 69% 73% 78% 10% 11% 12%21% 17% 9% Percentage of sales, by device, 2014-16 Desktop Tablet Smartphone Source: Adobe Digital Insights
  12. 12. Poll Question:
  13. 13. • Six luxury retailers — Neiman Marcus, Bergdorf Goodman, Last Call, Horchow, CUSP and mytheresa.com — make up the Neiman Marcus Group. • Founded in 1907 • 42 Neiman Marcus stores across the United States • Two Bergdorf Goodman stores in Manhattan • 29 Last Call clearance centers • 3 Last Call Studios • four CUSP stores • Serving online customers including mobile through ecommerce websites for the last 16 years
  14. 14. Key Takeaways • Focus: • Unique and personal online shopping experience • Complexity: • Backend integration • Product filters, pricing, availability, checkout/delivery • Gift registry • Mobile • Achieving high performance and stability • Load testing • Team readiness—anticipate and rehearsing mitigation processes
  15. 15. Confidential, Dynatrace, LLC
  16. 16. Confidential, Dynatrace, LLC
  17. 17. Confidential, Dynatrace, LLC
  18. 18. Confidential, Dynatrace, LLC Key Takeaways  Dynatrace US Retail Performance Benchmarks  Remarkable alignment to poll results— Good/OK/Poor distribution by end to end Page Load Time about 60%/30%/10%  Industry trends  Better performance! More reliable sites!  …despite increasing complexity  More third party connections, larger images, heavier scripting and interactivity  On the frontend, interactivity and mobile adaption  On the backend, cloud, new application frameworks and services-based approaches  Can’t forget the impact on the customer!
  19. 19. 20 We’re drowning in a tidal wave of data… Every day we create 2,500,000,000,000,000,000 bytes of data That’s 2.5 QUINTILLION 1/25/2017World of Watson 2016
  20. 20. IBM Cognitive Engagement: Watson Marketing | Watson Commerce | Watson Supply Chain21 Working towards clarity across channels… …through visibility across data points.
  21. 21. 1/25/2017World of Watson 201622 Trying to create a seamless experience…
  22. 22. • Retailers don’t suffer from a lack of data • Challenge: how to leverage it! • Channel multiplicity • Exacerbates the data challenge • Hard to connect around the customer • Technology can sometimes get in the way of multi-channel journeys • Customers expect seamless, often get bumpy • Cognitive is emerging to help smooth this out Key Takeaways
  23. 23. Removing performance friction from the experience • A journey • Getting the entire business on-board • Performance #1 feature Boarding Plane by NinaZed on flickr
  24. 24. Looking ahead What to think about in 2017 • Artificial intelligence is becoming practical and useful in helping simplify business decisions • AI also advancing on the IT front— simplify technical complexity • Cloud platforms will drive increased personalization and agility and Innovation will accelerate • Anticipate more sophisticated digital experiences Curves Ahead by Jeremy Bronson on flickr
  25. 25. Confidential, Dynatrace, LLC Q & A VENKAT RAYAPUDI Manager, eCommerce Operations ARTHUR VIENTE Program Director, IBM Watson Commerce Strategy DAVID JONES Practice Director Learn More: www.dynatrace.com/trial/
  26. 26. Connect with us! Participate in our Forum : community.dynatrace.com Like us on Facebook : facebook.com/dynatrace Follow us on LinkedIn : linkedin.com/company/dynatrace Follow us on Twitter : twitter.com/dynatrace Watch our Videos & Demos : youtube.com/dynatrace Read our Blog : application-performance-blog.com

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