Sociomantic at DRS: The Customer Conversion Conundrum

THE CUSTOMER CONVERSION CONUNDRUM

SIX SIGNIFICANT iCONSUMER TRENDS

Source: McKinsey&Company, 2012 | iConsumer: Digital Consumers Altering the Value Chain

FOCUSON THE

CUSTOMER

= RETAIL 3.0MOBILE RETAILING

Source: McKinsey&Company, 2012 | iConsumer: Digital Consumers Altering the Value Chain

MULTICHANNEL INTEGRATION

+

TOP 5 MERCHANDISING INITIATIVESAND PRIORITIES FOR ONLINE BUSINESS

DISPLAY ADVERTISING CONTINUES TO SEE GAINS

DRIVEN BY RETAIL

Source: “U.S. Digital Future in Focus, 2013” by comScore

Enhanced targeting and personalization is making display

more accountable.

OF RETAILERS WILL SPEND MORE

ON RETARGETING IN 2013

Source: “The State of Retailing Online, 2013” a Shop.org study conducted by Forrester Research

63%

LEVERAGE CRM DATA TO GET FROM1st to 2nd PURCHASE

RECOMMENDATION

Initiate one-to-one marketing in display

like all other channels, e.g. email,

search & loyalty

• Customers Expect Experiences

• Mobile is a key part of their Journey

• Personalize as much of the Experience

• Leverage More Data in Advertising

SUMMARY

Thank YouRob Sopkic VP of Sales, North [email protected] T 415.637.5233

Social Media and Innovation in Online ShoppingCarrie WhiteheadZappos.com

24%34%

48%52% 56%

62%

% Who Currently Have a Profile on Any Social Network

Six in Ten Americans Have a Profile on a Social Networking Site

2008 2009 2010 2011 2012 2013

Edison Research and Arbitron, Infinite Dial 2013 research

Lady Gaga, Justin Bieber and Katy Perry have more Twitter followers than the entire populations of Germany, Turkey, South Africa, Egypt, United Kingdom, Canada, and Argentina

Social Media has overtaken porn

#1 activity on the Webth

e

Every minute 72 hours of video is

uploaded to YouTube

“We don’t have a choice on whether we DO social media, the question is how well we DO it.” – Erik Qualman

@BronxZoosCobra

186,800FOLLOWERS

75,650 followers in the first 24 hours

One to one One to many Many to many

Everything.com/technology

http://community.secondlife.com/t5/image/serverpage/image-id/40433i91CE7E110D0F82A4/image-size/original?v=mpbl-1&px=-1

Create deeper connections. See the person behind the profile.

Reciprocity: People tend to return favors.

Commitment and Consistency: People committing orally or in writing to ideas or goals are more likely to honor those commitments for self-image congruity.

Social Proof: People will do things they see other people doing.

Authority: People tend to obey authority figures, even when asked to perform objectionable acts.

Liking: People are easily persuaded by other people they like.

Scarcity: Perceived scarcity generates demand.

People are still people.

CONTENT

The opportunity for innovation lies in the intersection of Content, Context and Conversation.

CONTEXT

CONVERSATION

INNOVATION

CONTENT

It must be a good story, one that resonates with human emotions.

It should be fun and authentic. And can take on many different forms.

GlanceA simple and fun shopping experience bringing curated collections of the most exciting products from Zappos.

The Glance average order value is more than 50% higher than Zappos

Make the story relevant and memorable.

Make it discoverable. Be at the right place at the right time.

CONTEXT

Social BuzzDisplaying social activity on product pages to help support purchase decisions

50/50 AB Test

Those who clicked on tab were more engaged

Make the conversation popular. Get people to continue telling the story for true reach and frequency.

With a passionate enough audience, the people will close the sale.

CONVERSATION

ROI is great, but social media is an investment.

Continue to experiment, learn and evolve to look ahead and affect change.

Play, experiment and be human.

Thank you!

[email protected]@whitehead

Zappos.com/Expo