1. Behavioral Merchandising
Presentation Cloud Nine Jan 30 2013

2. Apptus The Company
• Founded in 2000
• Head quarter in Lund, Sweden
• Sales office in UK
• Number of employees: 45
• Turnover 2012: ~50 MSEK
2011 2012 2005

3. Easy to Work With = Happy Customers

4. Challenges
1 Marketing to the online shopper

5. Evolution of marketing
Face to face
Local
Mass

6. Customer experience using segmentation
Used to deliver limited
personalisation

7. But today’s customer is more demanding
A tailored shopping
experience for me for
now!

8. Challenges
1 Marketing to the online shopper
2 Information is power, but context is key

9. Using multi-dimensional context to improve results
Sales numbers
Timeframe
Conversion
Related sales
Stock level
Price
Trends
..
Sold: 125 Sold: 90 Sold: 25 Sold: 110 Sold: 100
Over: 6 months Over: 1 week Over: 3 weeks Over: 1,5 week
Displays: 240 Displays: 200 Displays: 600
Related: 10 connections Related: 4 connections

10. Challenges
1 Marketing to the online shopper
2 Information is power, but context is key
3 Getting use of all behavioral data

11. How Apptus delivers “intuitively human” content
Ʃ Actions = 3 Ʃ Non-actions = 31
Universe of actions Universe of non-actions

12. Customer Lifetime Value
Relevance Relevance Relevance
££
Attract Convert Repeat

13. Detaching Marketing From IT

14. eSales Main Features
• Search including Autocomplete and Did you mean
• Faceted navigation
• Product recommendations
• Context sensitive banner ad management
• Tools to optimize merchandising
• Reports and analytics with actionable results
• Site overlay with performance rates
• Available as on premise and as cloud service (SaaS)

15. Search – Find What You Are Looking For
Match Self-learning
Behavior Relevance
Auto-optimized
Error tolerant
-50%
€ 7,50 (€15)
€ 15

16. Autocomplete – Predicts Visitors Intent
Guide visitors
Less errors
No non-hits

17. Did You Mean – Understands What Visitors Mean
Guide visitors
Error correction
Remove non-hits

18. Faceted Navigation
Auto-optimized
Improved findability
Increase sales in longtail

19. Optimizing Search & Navigation
Optimizes
Same with Faceted panel order
Navigation

20. Recommendations
Present the panel most
likely to result in sale Recommendation zone

21. Ads on Start Page
Static Ads
3 specific ads
Behavior Driven
Format specific
Carousel
Behavior Driven
Format specific

22. Ads on Search Page, ’high heels’
Search Driven
Search specific

23. Ads - Live Banner
BOOTS Banner background
static. Live products
placed on top.

24. Dash board and metrics

25. eSales Manager
Web based toolkit for merchandisers
Folder-like system
Drag and drop

26. eSales Manager
Site overlay with live performance rates
See how your
merchandising zones are
performing

27. Search statistics with suggestions for improvement
There should be a
synonym for
’ripassa’
See your top and
worst performing
search phrases and
act on suggestions
for improving your
conversion
Proposal for words to Proposal of
buy from Google products that
could be valuable
to have in stock

28. Information from behavioral data
Self-learning business intelligence driven by realtime behavioral data:
• What products/ads/campaigns/content am I not showing enough – right now?
• What products/ads/campaigns/content am I exposing too much – right now?
• What is the persona/profile of this user – based on observed history/behavior?
• Which micro-segments are boosting/lowering my conversion rate – right now?

29. eSales Manager
Synonym editor
Synonyms can be added
globally or for each
language

30. Channel Independent

31. Example of What eSales Can Do
My page / Personalized start page
Personalized recommendations based on visitor
history. New products that have been added
since last visit. Recently viewed products and
recommendations based on this.

32. Example of What eSales Can Do
Price range depending on shipping rules
You get free shipping if you spend
an additional 21kr so let’s show
recommendations based on cart
within a range of 30-130kr.

33. Example of What eSales Can Do
Search also for other than products
Search also for other content besides products.
This example from IKEA.com where you get
search results from Customer service, About
IKEA, Newsroom etc.

34. Testimonials

35. Nelly – The Fashion Giant
Challenges
• Extreme growth
• Continuously need of expanding assortment
• Rapid expansion to new markets
• Low conversion rate
Results with Apptus eSales
• Almost unlimited scalability
• Great language support has helped expand to Sweden, Norway, Finland,
Denmark, Germany, Holland, Austria, England and EU Mikael Olander, CEO
• Increased conversion and lowered return rate by relevant presentation and
filtered navigation
Jarno - Founder
• 4.000% growth 2007-2011
• Over 800 brands
• 3rd fastest growing company in Sweden

36. IKEA
EKTORP Armchair €259
Challenges
• One solution to handle 42 different countries
• Overloaded IT organization with long release cycles
• Need for customized functionality for Colour Search
• Performance issues in both queries and update flows
Results with Apptus eSales
• Outsourced solution that offloads internal IT and speeds up
time to market for new business critical functionality
• A uniform solution for managing colours in all 42 countries
• Better accessibility to relevant product exposures through
a simple API accessed by numerous satellite applications
in a multi-channel environment
• 210.000 base products
• Over 20.000.000 visits per day
• Over 7 million queries per day, with
a peak of 85 concurrent queries/sec

37. CDON – The Amazon of the Nordics
Challenges
• Slow response times
• Unstable IT environment and service disruptions at peak load
• Irrelevant products shown to visitors
Results with Apptus eSales
• Lightning fast response time regardless of load
• 99.97% uptime and excellent reliability during peak hours
• Record sales thanks to relevant products exposed to the
visitors in different contexts Mikael Olander, CEO
• 12 million products
• 4.2 million searches/day;
peak 2,000 searches/sec
• 5 million attribute updates/day

38. Said about Apptus and eSales
"When you decide to outsource a critical part of the system, you need to find a partner that is as passionate about
your business as yourself. For CDON, Apptus has proven to be that partner.“
CDON.COM - Mikael Olander, CEO
"Being the Scandinavian leader in e-commerce solution development for retailers, we needed a partner with
technology that we could rely upon to deliver exceptional performance and functionality, regardless of the size of
the client. After extensive market research we selected Apptus as our ideal partner. Since joining forces we have
implemented several online stores together and our clients really appreciate their superior technology and
professional commitment. The results speak for themselves as our clients are now experiencing higher
conversion rates, increased order values, reliable performance, intuitive navigation and happy customers.“
Avensia - Robin Gustafsson, CEO
”Apptus technology help customers to get a unique and personalized shopping experience where they instantly
find what they are looking for.”
Nelly.com - Peter Rosvall, CEO
“With more than 7.000 of our own products and 5.000 external products we provide accessories for, it is extremely
important that customers immediately find what they’re looking for. We chose Apptus because it gives our
customers fast, accurate responses: it shortens their search by suggesting relevant products based on what other
consumers with similar interests have bought. Apptus reinforces Kjell & Company as Sweden’s best site for home
electronics accessories.”
Kjell & Company - Ulrika Klinkert, Head of Marketing

39. For more information contact:
Louise Burman
louise.burman@apptus.com
Partner Manager, Apptus
THANK YOU!