1. 26 May 2010
picture source: nrf
MOBILE FUTURE
location & context influences frictionless purchases
twitter @johnbatistich

2. Why do more than 70% of smartphone owners
sleep within arms reach of their mobiles?

3. wall
Why would we rather lose our
wallet or purse than our mobile?

4. SO THINK ABOUT…“mobile is the most
important technology
in your lifetime”
kevin bloch cisco

6. mobile disrupts everything: communications,
gaming, entertainment, banking & retail

7. “there will be more change in how
consumers shop & pay in the next 3
years than we have seen in the last 20”
john donahue ceo ebay

8. 1. ubiquitous mobile connectivity
2. democratisation of production tools
3. access to higher data speed/more storage
technology enabled connectivity
1 billion pcs & 4 billion mobiles
location-based services
mobile & social payments
intelligent vending
3d screens
rising transparency & amplification
increasing collaboration
personalisation
acceleration of everything
hunger for real shared experiences
source: richard watson

9. takeaways

10. mobile disrupting behaviour, payment & stores
mobile is the big influencer on purchase
location profiling matters for contextual content
frictionless payment & gifting emerging
learning from nike & burberry
design for mobile first…learn fast/cheap/first

11. mobile disrupts behaviour
the most powerful influencer on purchases

12. Reach PurchaseInfluence
understanding channels
Acquire
Click & collect
Click & return
Buy in-store home delivery
In Store
Online
In store only
Web to store
Store to web
Online only
Any owned,
bought or earned
communication
channel(s)
Share
Share
moments
that influence
reach

13. Influence In-Store
Purchase In-Store
Eg: Groceries/Services
~50%
Influence Online
Purchase In-Store
Eg: Apparel/Homewares
~44%
Influence Online
Purchase Online
Eg: Music/Books/Travel
~5%
Influence In-Store
Purchase Online
Eg: Consumer Electronics/Footwear
~1%
total retail: influence and purchase

14. Customers have gone beyond multi-channel.
They shop their way in authentic experiences
across your brand across any device anytime
Ian Jindal Internet Retailing UK

15. Acquiring
Using &
Sharing
How does a customer become aware
with your products or services? How
do they gain inspiration?
How does a customer gain knowledge
about our products and those of your
competitors?
Where do they go to learn and compare?
How does a customer
transact with your
company? What are the
dynamics of the
purchase process?
How does a customer
take delivery of our
product or service?
What are logistics of
getting it?
How does a customer use our product in daily life?
What do they have to do to take advantage of its
benefits? What are the components of the in-use
experience?
How does a customer
interact with our company
post purchase? What are the
interactions that promote
loyalty and advocacy rather
than frustration and rejection?
Buying
Find
Relationship
(If you want it!)
Discovery
a mobile enabled shopper journey

16. new paths have multi-screen touchpoints

17. 17.9%
68.4%
9.8%
3.9%
0.0%
9.3%
41.8%
38.3%
7.2%
3.4%
1 2 3 4 5
2002
2012
source: conlumino
Channels
% of Shoppers
more channels used during
shopping for fashion

18. technology is slowing things down with more
browsing time driven by more choice
neil saunders conlumino

19. source: conlumino
52
23
5 3
89
16
4 2
Discovery Search Purchase Acquire
2002
2012
Duration of Purchase Time Spent on
Process Purchasing
0.5 days 83 minutes
3.4 days 111 minutes
Minutes
Shopper Journey Stage
more time in discovery with more
content whilst search has got better

20. mobiles’ influence closest to
the offline point of purchase
60% 58%
source: deloitte

21. mobile influenced store sales
exceed m & e commerce

22. mobile influence factor to boom
60% 58%
source: deloitte

23. mobile is the most powerful shopping tool

24. access reviews, pricing, content,
community & buy anytime anywhere

25. mobile helps us get the right deal
Source: Monetate
61%
51%
47%
34%
25%
19%
14%
compare prices
promotions/coupons
read reviews
scan barcode
take product photos
call friends/family
contact a business
What do we do on our smartphones

26. get real time price reviews

27. BUY
access coupons

28. enable an app to get an location based incentive
source: shopkick

29. earn rewards for
purchases or just
for turning up
picture source: square

30. give and receive gifts
picture source: square

31. mobile applications are driving
the bulk of engagement
source: monetate
81.5%
18.5%
Smartphone users
who spend time
using mobile apps
Smartphone users
who spend time using
web browsers

32. despite an explosion in mobile traffic many
retailers’ website are not mobile optimised
source: monetate
48% retailers who have a mobile
optimised website

33. mobile optimised user experience

34. picture source: psfk
location matters
influencing nearby customers

35. “our coordinates, has the potential to
change all the outputs…where we shop,
who we talk to, what we read, what we
search for, where we go, they all change
once we merge location and the web”
matthew honan wired magazine

36. 70% of mobile searches for shopping
resulted in a purchase within the hour

37. mobile used to discover what’s nearby
source: monetate
96%
researched a
product or service
on their phones
94%
searched for
local information
90%
acted within
24 hours
70%
called businesses
after searching
66%
visited stores
in person

38. mobile enabled local shopping will explode when
store inventory data become available
mobile enabled local shopping will explode when
store inventory data becomes widely available

39. source: contagious
location aware apps providing new utility
Neiman Marcus Alaskan Airlines

40. but shoppers undecided about sharing
their location to get offers/content
source: monetate
74%
use their devices
to find location
information such
as directions
38%
report interest in
receiving
promotional
messages on their
location
18%
check-in to
locations using
apps like
foursquare

41. Which area did people spend time at? Peak times in the store? New or repeat customers?
Most frequently used paths in the venue % of shoppers who walk by without entering
location profiling has a big future
source: cisco

42. connected consumers connected guests connected travelers
 Better in-store
experiences
 Context rich
promotions
 Better informed
purchase decisions
 Wayfinding - Indoor
maps with featured
attractions
 Personalized 3rd party
advertising
 Special promotions
 Better planning for
high traffic areas
 Transportation updates
and indoor directions
 Dwell times-based
promotions
retail hospitality transportation
wide of usages for connected customers
source: cisco

43. mobile disrupting payment
frictionless mobile payment & gifting

44. http://www.mobilemag.com/2012/08/06/google-wallet-update-pushes-your-cards-to-the-cloud/
http://www.geeky-gadgets.com/square-iphone-credit-card-
payment-system-arrives-in-apple-stores-21-04-2011/
online payment experience
setting new offline expectations

45. http://www.google.com.au/imgres?q=apple+passbook&num=10&hl=en&tbo=d&biw=1920&bih=1019&tbm=isch&tbnid=HSbYouI6Fz4xgM:&imgrefurl=http://www.paymentobserver.com/tag/passbook&docid=H0r19kQMvg0RvM&imgurl=http://www.paymentobserver.com/wp-
content/uploads/2012/06/Apple_Passbook-paymentobserver.jpg&w=2211&h=1545&ei=PPbEUN-
OJcuZiQfWjoHACA&zoom=1&iact=hc&vpx=445&vpy=129&dur=877&hovh=188&hovw=269&tx=163&ty=133&sig=117778829446237125984&page=1&tbnh=141&tbnw=202&start=0&ndsp=58&ved=1t:429,r:3,s:0,i:93
passbook complies rewards & services

46. frictionless mobile payment systems

47. mobile payment ecosystem
is still yet to be defined

48. mobile redefines stores
store design, merchandising & service are being redefined by mobile
picture source: frog design

49. “WE ARE LOSING SHARE OF RETAIL”
Context is everything
http://www.theage.com.au/technology/technology-news/virtual-shop-perfect-for-the-young-and-upwardly-mobile-20120215-1t6qa.html#ixzz1mZuBOUuz
''retailers need to
understand that online
shopping isn't
something we just do at
our desktops any more.
we now do it out in the
real world, out on the
streets and often while
we're in-store.‘’ sportsgirl

50. mobile brings retail to you

51. Source: Jon Bird
helps you shop your way

52. mobile is completely destroying our
notion of retail. your customer is now
more knowledgeable than your staff
ian jindal internet retailing uk

53. Can I help you sir?
No…I have a mobile!

54. mobile makes sales
staff more informed

55. mobile enables social connectivity

56. Burberry
the store designed for mobile to enrich the experience

57. Our new flagship store is trying to recreate the
experience on burberry.com
Burberry

60. Nike
creating a mobile enabled product ecosystem

61. The purchase of a Nike product needs to be the
beginning of the relationship… So when they buy,
they go home, sign up and they’ve created a link
much stronger than anything we could ever say in
communication. Because it’s the emotional
connection to myself and my friends and we have
now created an entire ecosystem of services that
complement the product
Stefan Olander Vice President Digital Sport Nike

66. Stores
Nike Flagship Stores
Nike Pop Ups
Nike Custom Stores
Nike Category Stores
Nike Factory Stores
Nike Collaborations
Salvation
Converse
Mobile Enabled Digital Services
Nike Fuel
Nike+ Running
Nike+ Training
Nike Basketball

68. conclusions

69. mobile disrupting behaviour, payment & stores
mobile is the big influencer on purchase
location profiling matters for contextual content
frictionless payment & gifting emerging
learning from nike & burberry
design for mobile first…learn fast/cheap/first

70. Photo: Reuters
sources

71. cisco
conlumino
contagious
deloitte
econsultancy
forester
google
internet retailer
monetate
psfk
square

72. twitter @johnbatistich

73. 26 May 2010
picture source: nrf
MOBILE FUTURE
location & context influences frictionless purchases
twitter @johnbatistich