On its surface, Amazon.com just seems like a large e-commerce site, albeit a successful one. Its design isn't flashy, nor is it much to write home about. But deep within its pages are hidden secrets -- secrets that every designer should know about. If one looks closely at what the team at Amazon has built, it's filled with innovative functionality and clever designs, all of which creates a delightful experience for its users and directly produces regular profits for its shareholders. But not all is perfect. Some design changes in the last few years have not been the success that the team had hoped for. Amazon's exceptional qualities and imperfections are critical knowledge for any designer that wants to dig deep into what makes the site tick. In this entertaining presentation, Jared will share some of UIE's latest research into the hidden treasures of (the) Amazon. You'll learn: + The simple Yes/No question that increased revenues by more than $1 billion + The elegant subtlety of Amazon's security system + Why Amazon's business model is more than meets the eye (and why designers need to care) + The wins and losses that Amazon has had with social media functionality

1. Jared M. Spool
@jmspool
#JaredRamblesOnAndOnAndOnAndOn

2. Amazon

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11. Visitors in December, 2008:
Rank of all websites in traffic: 8

12. Revenue in 2008:
Increase over 2007: 29%

13. 2008 Foresee Customer Satisfaction Rating:
Rank in customer satisfaction ratings: 3

14. Unique Customers Since Launch:
Ranking in World Population: 17

15. Orders placed in 2008:
Orders processed every second: 24

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19. Amazon Treasure #1

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21. Amazon

22. Harry Potter and the
Deathly Hallows

23. Harry Potter and the
Sorcerer’s Stone

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25. Amazon

26. Caution

27. Target

29. Harry Potter 7 Reviews One Month after Release
Barnes & Noble (BN.com)
Walmart.com

30. Harry Potter 7 Reviews One Month after Release
Amazon.com
Target.com

31. Ratio of Reviewers to Purchasers:
Purchases required for 20 reviews: 26,000
Viewers required at 2% conversion rate: 1,300,000

32. Amazon Treasure #2

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42. Caution

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53. If every customer spent $5 more per order,
it would make Amazon an additional

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57. Amazon Treasure #3

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62. Amazon’s Security Levels
Level 0: Amazon doesn’t know who you are (no cookie)
Level 1: Amazon knows you from a cookie
It’s how they know what books to recommend or
if you’re a 1-click customer
Level 2: Amazon wants to reveal something only you should
know
Such as your address or shipping history

63. Amazon

64. Goal Time vs. Tool Time
Goal Time: When the user is improving the outcome of the
experience
When the user is considering the product they wish to purchase
Tool Time: When the user is moving forward without any
improvement in the outcome of the experience
When the user is struggling with the security system
When the user is dealing with redesigned elements

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68. Facebook

69. Facebook

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73. Amazon 2007 Navigation
Phase-In Plan
Phase 1: Non-cookied visitors - 5,000 per day
Phase II: Non-cookied visitors - 1 per every 5
Phase III: Cookied customers - 5,000 per day
Phase IV: Cookied customers - 1 per every 5
Phase V: Everyone
Total time: 12 weeks

74. Caution

75. Items Easy To Find
with Search
The Princess Bride
Books by Tom Clancy
Movies with Téa Leoni
A Canon SD1100
Mario Kart for the Wii

76. Items Difficult to Find
with Search
The first Tom Clancy book featuring Jack Ryan
An inexpensive, but high quality SLR camera
A good toy for my six-year-old niece
Novels written by Nobel Prize for Literature winners

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78. Amazon

79. CD Baby

80. Amazon Treasure #4

82. Apple

83. BestBuy

84. Target

85. Site

86. Amazon’s “Negative
Operating Cycle”
Amazon turns its inventory every 20 days
Best Buy turns its inventory every 74 days
}
Standard retail payment terms: 45 days
Day
Best Buy
Cash Debt
0 44 74 76
Product Product Customer Customer
Ordered Paid For Buys Pays
}
Day
Amazon
Cash Float
0 20 22 44
Product Customer Customer Product
Ordered Buys Pays Paid For

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89. Amazon

90. Revealing Treasures from
The Amazon
Engage your users by delivering great content
Don’t fear trying out new ideas
Eliminate while delivering confidence
Never forget the business
Caution is warranted
Be careful when emulating features
Some experiments don’t pan out
Not all use cases are equal

91. More Info from User
Interface Engineering
Newsletter: UIEtips (FREE)
UIE Virtual Seminars
Reports
Conferences:
UIE Roadshow: Seattle, Denver, and DC
User Interface Conference: www.uiconf.com
Blog: www.uie.com/brainsparks
Site: www.uie.com