Building e-commerce solutions for retail and preparing for transactions spikes on big shopping days was never easy. Preparing for the frequent and sporadic transaction spikes–launching a new game, e-book, or an online video release–in the digital world is even more difficult. There are great benefits to a “Own the Core” strategy to maintain control and efficiencies since commerce systems are so central and connect with so many internal systems. However, to remain cost-effective and not have to build out all the capacity for peak loads, an associated “Rent the Spikes” strategy allows controlled dynamic expansion out into the cloud.

1. Elastic Digital Commerce
Own the Core, Rent the Peaks
Sal Visca
Chief Technology Officer
Elastic Path Software
Cloud Expo Conference
Santa Clara, CA
Nov 8th 2012
Confidential and Proprietary

2. Agenda
• One minute overview of Elastic Path
• Characteristics of Digital (e)Commerce and
infrastructure requirements
• Traditional On-premise Deployments
• Hybrid Elastic Cloud Infrastructure
o Own the Core
o Rent the Peaks
• Summary
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

3. Introducing Elastic Path Software
Commerce Everywhere
• We help the world’s biggest brands sell digital goods and services
• We provide a flexible digital commerce platform and expertise in commerce
strategy and implementation
• Over 150+ employees, 200+ customers, and offices in Vancouver, Canada
and London, UK
• With over 15,000 subscribers we also produce the #1 ecommerce blog in
the world www.getelastic.com
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

4. Elastic Path helps the world’s most successful
brands monetize their content
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

5. Megatrends in Digital Commerce
• Multi-device, Commerce Everywhere, APIs
• Socialization  exploding volume of content
• Media convergence  explosion of video
• Big Data – capture every event, interaction, etc.
• Post-sale interactions (e.g. follow-on sales,
micro-transactions, downloadable content, social chatter,
Digital Relationship Management, etc..)
Requires powerful, flexible, elastic infrastructure
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

6. Selling digital content is different
• Digital content providers are in a perpetual interactive
relationship with customers
• Continuous Engagement with the Consumer
• It is all about the experience not the one-time sales
transaction
• Customer Lifetime Value (CLV)
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

7. Digital Commerce is a Perpetual Relationship
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© Copyright 2012, Elastic Path Software Inc. All rights reserved.
author site

8. Enterprise Software Deployments
Offer Exploration and Presentation
Search Faceted Navigation
Digital Commerce Software
Product Associations Catalog Browsing
Personalization Promotions
solution deployed to:
Eligibility Coupons
Targeted Selling Inventory
Cross-sell, Up-Sell
Product Comparison
Bundles
Pricelists
1 On-premise
Digital Content Management
Digital PIM Subscription Capture 2 Managed Service Provider
Order Capture and Management
Order History Order Status 3 Private or Public Cloud
Customer Administration
Provide integrations with Elastic Path Digital Commerce Engine
other on-premise solutions
(e.g.: ERP, CRM, Fulfilment
systems, etc.) 2
1 3
On-Premise Customer Data Center Infrastructure as a
Enterprise Deployment Managed Service Provider Service (IaaS)
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

9. Elastic Path + Elastic Computing = Extreme Scalability
In-App /
In-Game
Rent the Peaks
Social Unpredictable
Multi-device
Spikey traffic
Media
from UIs and
Market
APIs
Consumer
Electronic Cloud
(CE) Device Bursting into
Cloud Private or
Load Public Cloud
POS, Balancer
M2M
App Store
Offer Exploration and Presentation
Offer Exploration and Presentation
Offer Exploration and Presentation
Search Faceted Navigation
Product Associations
Personalization
Catalog Browsing
Promotions
ERP
Search
Search
Eligibility Coupons
Personalization
Personalization
OTT / B2C/B2B Targeted Selling
Cross-sell, Up-Sell
Personalization
Personalization
Inventory
Bundles
Catalog Browsing
Catalog Browsing
Product Comparison Pricelists
Game Storefronts Digital Content Management
Digital PIM Subscription Capture
CRM
Console Order Capture and Management
Order Capture and Management
Order Capture and Management
Order History Order Status
Predictable Traffic Order Customer
Order History
History Administration
Order Status
Order Status
Elastic Path Digital Commerce Engine
Other
Mobile / NFC
??
Primary Enterprise Deployment
B2C/B2B
Storefronts
Own the Core
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

10. Demands on the Infrastructure
• Fluid, unpredictable demands on the infrastructure
• Viral spread can bring huge traffic in short bursts
• Difference between steady state and high-peak periods
could be 10x to 1000x or higher
• Like “Black Friday” or pre-Christmas shopping that could
come unexpectedly at any time
• As Application Programming Interfaces (APIs) open up new
consumption models, traffic will come from anywhere and
everywhere
• Requires highly Elastic environment that can stretch to the
ever-changing demands
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

11. Hybrid Cloud: Own the Core, Rent the Peaks
• On-premise deployments can provide tighter integrations to
other on-premise software (e.g.: ERP, CRM)
• A capacity service monitor can keep cloud extension instances
“warm” and can spin up additional services as needed to
accommodate higher traffic loads
• A cloud load balancer / orchestration broker directs incoming
traffic to the services in the cloud or on-premise based on
utilization load
• Expected Peaks: E.g.: Launch of new game (e.g.: Battlefield,
Call Of Duty), system can spin up new cloud instances in
expectation of the increased traffic
• Unexpected Peaks: system automatically spins up new cloud
instances as trending analysis indicates increasing traffic
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

12. Summary
• Unlike retail ecommerce that has expected
(seasonal) peaks, digital commerce can experience
very “spikey” traffic with unexpected peaks due to
various external factors (eg: social viral interest)
• A hybrid elastic environment provides the benefits of
on-premise integration and control with the benefits
of a purely elastic environment that can grow or
shrink with the actual traffic
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

13. Check out the #1 ecommerce blog in
the world at:
www.getelastic.com
© Copyright 2012, Elastic Path Software Inc. All rights reserved.

14. Questions
Sal Visca
Chief Technology Officer
Elastic Path Software
sal.visca@elasticpath.com
www.elasticpath.com
© Copyright 2012, Elastic Path Software Inc. All rights reserved.