The Magento Marketplace Mission: Make the discovery, purchase & use of high- quality Magento extensions a delightful experience for Magento customers. This presentation by Kevin Hwa, Sr. Product Manager for Magento Marketplace was delivered to the San Francisco Magento User Group on October 19, 2016. Learn more about the SFMUG at http://www.meetup.com/San-Francisco-Magento-Users-group & please consider joining the SFMUG at one of our Monthly Meetups. This is the first of what we hope will be an ongoing dialog and productive conversation away from the hype and fanfare of big trade shows or conferences and focused exclusively on the tough conversations that we must have to be successful and deliver a product that solves our clients problems. Additional information about this meetup event is available at http://www.meetup.com/San-Francisco-Magento-Users-group/events/234536674/ Learn more about the SFMUG at http://www.meetup.com/San-Francisco-Magento-Users-group Find out more about Magento, Inc at https://magento.com Kevin Hwa shares more about his his professional career on LinkedIn at https://www.linkedin.com/in/kevinhwa Check back soon, we should be updating this presentation with video from Kevin's Talk soon!

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Magento Marketplace +
Xcelerate Partner Program
October 19, 2016

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Agenda 1 Magento’s Reach and Presence
2 Marketplace Updates & Momentum
3 Xcelerate Partner Program
4 Extension Quality Program
5 Policies & Programs
6 Resources
7 Q&A

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260K
Merchants
300
Top-Tier Solution &
Technology Partners
130K+
Developers
5,800 Certified
$50B+
Enabled
Commerce
3100+
Enterprise Customers
1000+
Solution
Implementers
#1
Platform
in B2B & B2C
Magento’s Reach
Is Unequaled
Magento’s open
platform allows us to
build an ecosystem
that no competitor can
replicate

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#1 Global Digital Commerce Platform
MAGENTO HAS 25% GLOBAL MARKET SHARE
Source: Magento global penetration, 262,000 active Magento sites across 145 countries; source: BuiltWith, June 2016.

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We Serve Every Major Industry/Vertical
Retail&
Fashion
Media&
Publishing
Travel&
Hospitality
Consumer
Services
Branded
Manufacturers
FinServices
Government
Education
Software
Healthcare
Utilities
Telco
CPG
Grocery
Wholesale
LifeSciences/
Pharma
HighTech
Industrial
Manufacturing
Energy
Agriculture
Business
Services
B2C B2C & B2B B2B
OUR PARTNER ECO-SYSTEM GIVES US UNRIVALED VERTICAL EXPERTISE AND DEPTH

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Marketplace Mission
Make the discovery, purchase & use of high-
quality Magento extensions a delightful
experience for Magento customers.

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Accelerating Magento, one extension at a time…
Extension
Builders
Extension
Curators
The official extension store.
Opportunity &
ROI
Build
Recommendati-
ons
Tools &
Resources
Approval
without
surprises!
Demand
Generation
Dashboard &
Insights
Extension
Buyers
Delightful
Storefront
Personalized
Discovery
Curated
Collections
Reviews &
Ratings
Try, Buy & Love
Manage
Recommendati-
ons
Design
Excellence
Increase
Awareness
Process
Optimization
Support &
Engagement
Extension
Quality
Program
Insights &
Billing
+

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Marketplace Momentum Key Milestones
April 2016 June 2016 July 2016 August 2016 September 2016 October 2016
Launched Magento
Marketplace with 150
Magento 2 extensions
200 M2 Extensions
on Marketplace
300 M2
Extensions on
Marketplace
Launch
Magento 1
Extension
May 2016
Launched new
Categories
Improved
search
experience
500 M2
Extensions on
Marketplace
Increased traffic
to site by 45%
Automatic
Payouts &
Reports for
developers
Launched
Xcelerate Partner
Program
New
Marketplace
homepage
Top Quality
Badge
Added Business
Review in L1
400 M2 Extensions
on Marketplace
Improvements
to Review
Process
Improvements to
Code Validation

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Marketplace Momentum: Growth Since Launch
2x Daily traffic to
Marketplace
Visitors
10x Sales volume
growth
Sales
4x Extensions
live in
Marketplace
Extensions
10x Revenue Share
for Marketplace
and Developers
Rev Share
$185 Average
sales price for
one-time paid
extensions
ASP
582 Extensions live
in Marketplace
Extensions
10%Marketplace
visitors
converted into
Marketplace
buyers
Conversion
70% Extensions on
Marketplace are
one-time paid
extensions
Paid Extensions

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Marketplace Roadmap
Leads
Sharing
to/from
Partners
Developer
Portal -
Submissions,
Approvals &
Dashboards
Re-imagined
Marketplace
Experience
on Magento
Cloud
Marketplace
@ M2.x
Admin
Security
Scanning by
Veracode
Recurring
Billing for
Partners
Rev Share
Payout
Automation
Top
Extensions
Connect EOL Sandbox
A/B Tests &
Optimizations
Discounts &
Bundles

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Marketplace – Future Experiences

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2 Xcelerate - Technology Partner Program

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Who Are Our Technology Partners?
Premier
Select
Registered
Deeply integrated with
Magento, for merchant
ease of implementation
and choice Top tier partner
technology within
strategic categories,
for merchant flexibility
and growth
Marketplace
partner extensions
vetted for quality,
for merchant
confidence and
security

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What Benefits Do the Partners Get?
Premier
Select
Registered
• Marketplace Listing
• Level 1 Quality Check
• Marketplace Promotion
• Levels 1 & 2 Quality
Checks
• Select Partner Badge
• Joint Marketing
Activities
• Internal Magento
Activities
• Priority Sponsor
Bookings
• Magento Referrals
• Merchant Admin Panel
Listing
• Dedicated Magento.com
Landing Page
• Premier Partner Badge
• Deeper Co-Marketing
Opportunities
• Magento Referrals

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What Partner Level Is Right For You?
Premier
Select
Registered
Developers who want to
leverage the Magento
Marketplace and promote
their extensions
ISVs, payment and hosting
companies, and top
developers who want to
partner with Magento
Global technology
companies who want to
deepen their Magento
product integrations and co-
marketing activities

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Premier Technology Partners

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Select Technology Partners

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Driving Demand for Developers
Featured Partners & Promos
Tip Blogs
Marketplace Emails

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What Partners Can Contribute
• Guest Blog Posts (Premier & Select)
• Co-Branded White Papers (Premier & Select)
• Webinars (Premier, Select Pending Availability)
• Customer Success Stories (Premier, Select & Registered)

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3 Extension Quality Program (EQP)

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Extension Quality Program
1
Submit
Extension
2
Level 1
Review
3
Welcome to
Marketplace
4
Level 2
Review
5
Top Quality
Badge

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Extension Quality Program
Level 2 Quality CheckLevel 1 Quality Check
Auto Check for All Extensions
Technical Review
Package validation
Essential coding standards
Antivirus and malware
Plagiarism check
Security check
Verification for Premier & Select
Partners
Documentation review
Deep code review
Security check
Q A check
Business Review
Marketing Review Level 2 Partners receive a
Top Quality banner
Contact: Marketplace@magento.com

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4 Marketplace Policies

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Refunds
• Most refunds are due to failed extension
installation processes and confusion as to
whether or not it is the latest version
available
• Best way to avoid refunds are by providing:
– Installation guides
– Demo videos
– Quick responses to support inquiries
• Developers will be notified of refund
requests and consulted on resolutions

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Developing for Magento Enterprise Edition
• CAN sell Extensions for EE
• Must pass L2 Review
Premier & Select Partners
• CANNOT sell Extensions for EE
• Unless approved for dev EE license (for a fee) via the Xcelerate Partner
Program
• Must pass L2 Review
Registered Partners
Contact: TechnologyPartnerProgram@magento.com

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Reasons for Rejecting Extensions
✗ Plagiarism
✗ Security Issues (Malware)
✗ Violation of Magento coding standards
✗ Lack of functionality enhancements
✗ Having a $0 (free) extension does not qualify as functionally different
✗ Surplus of extensions in a specific collection
✗ Adherence to marketing guidelines
✗ Missing required business information
Approximately 20 extensions are rejected per week

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How to be Successful on Marketplace
• Demo Videos
• Success Stories
• Content
• SEO
• SEM
• Pricing Extensions Appropriately

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5 Resources

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Resources
§ Marketplace User Guide
§ FAQs
§ Revenue Share
§ Xcelerate Partner Program
§ Extension Quality Program
§ Submission Guidelines

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Thank you!
marketplace@magento.com

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Q & A