How Macy's does Mobile: Deepening Retail Engagement with Salesforce

1. How Macy's does Mobile: Deepening Retail Engagement with Salesforce Yasir Anwar, GVP, Macys.com & Bloomingdales.com @yasiranwar79 Margaret Francis Senior Director Product Management margaret@heroku.com @margaretfrancis

2. Retail@ Featured Retail Sessions 17 Leading Retailers across 23 Sessions TODAY Innovation Showcase with Amazon 11:00am - 11:40am European Wax Fuels Growth with Salesforce 2:30pm - 3:10pm Design Within Reach: Retail Disruption 2:30pm - 3:10pm Macy's does Mobile 3:30pm - 4:10pm TOMORROW TOMS Engages Customers While Doing Good 8:30am - 9:10am Key Innovation Trends with Ocado 9:30am - 10:10am Highly Scalable Apps with Macy’s 3:30pm - 4:10pm Shopper Engagement with Suit Supply 3:30pm - 4:10pm George Zimmer: His Next Big Innovation Thursday 12:30pm - 1:10pm Spotlight Session

3. Salesforce for Retail TOMS’ Pop-up Experience All Week! Customer Success Showcase Bloomingdale’s at Westfield Mall Wednesday, 9/16/15 6:30 pm Check the Session Chatter Page Store Innovation Tour & Reception featuring Design Within Reach & Retail End to End Demo Westfield Mall Bespoke Area, 4th floor Moscone West: Sponsored by

4. • Introductions • Business Challenges: Retail Innovation in an Omnichannel World • The Mobile Imperative • The Innovation Challenge • The Customer Centered Future • Q & A How Macy’s Does Mobile: Deepening Engagement with Salesforce Agenda

5. Introductions

6. • Founder of Macy’s Labs • Formerly Director of Engineering with WalMart Labs • Passion for innovation & entrepreneurship- from inside the enterprise • Experience building delivery teams • Experience building great products • Launched multiple consumer facing products, both new product and business transformation initiatives • Look for him on Twitter @yasiranwar79 • Recent Sponsor of the AT&T Hackathon • Upcoming attendee at the Grace Hopper event for women in technology GVP, All Customer Applications & Platforms @ Macys.com & Bloomingdales.com Yasir Anwar

7. Macy's is the largest department store and the 14th largest retailer in the US by sales Macy's operates both the Macy's and Bloomingdale’s brands, and generated $27.9 billion in sales in 2014, with 800+ stores globally and 170,000+ employees The Macys.com division operates Macy’s digital experiences, including web, mobile, and exploring the next generation of engagement with customers Macy’s: Storied Brand, Leading Retailer Macy’s was awarded 2014 Mobile Retailer of the Year

8. Business Challenges • Consumer shift to mobile • Better omnichannel customer experiences • Increasing customer satisfaction and deepening engagement • Improving business agility to keep up customer & market trends • Driving online revenue growth Retail Innovation in an Evolving Industry

9. The Mobile Imperative

10. Shopping is MultiChannel http://services.google.com/fh/files/misc/multiscreenworld_final.pdf

11. The Mobile First World is Here Desktop 49% Mobile 51% Users Spend More Time on Mobile than Desktop comScore Media Metrix Multi-Platform Total Desktop Audience and Mobile Audience http://www.telegraph.co.uk/technology/google/11549615/Google-search- overhaul-could-cause-Mobilegeddon.html

12. Macy’s Mobile Responsive Ecommerce Experiences • m.macys.com & m.bloomingdales.com • No brochureware; mobile ecommerce properties • Omnichannel integrations including Buy Online, Pickup in Store; My Wallet; Push notifications for sales and promotions Awarded 2014 Mobile Retailer of the Year

13. Integrate with Back End Systems Via Unified Services Layer Business Agility with Customer Engagement Apps on Heroku Macys.com (Node.js) Bloomingdales.com (Node.js) Inventory Systems (Domain Services) Product Catalog (Domain Services) Payments (Domain Services) Customer Data (Domain Services) Experimentation Framework (Java) macysbackstage.com UnifiedAPIManagement (Java) Macy’s Back End Systems

14. Where We Started Macy’s Journey on Heroku Where We Are Now • Mission critical, highly strategic, revenue generating properties • Small applications and services, non mission-critical applications • Leveraging Heroku to meet peak annual traffic levels on Thanksgiving, Black Friday & Cyber Monday • Limited volumes of traffic • Platform for retail innovation, customer engagement apps, internal services and emerging concepts • Experimental services for new apps

15. The True Test for Scalability: Black Friday & Cyber Monday • Thanksgiving Day 2014: First day that smartphones and tablets accounted for majority (52.1%) of all online traffic • 9.5 % YOY growth in internet traffic from mobile devices • Mobile devices accounted for one-in-four of all online purchases

16. The Innovation Challenge

17. Customer Behavior

18. Innovate with the customer

19. How do we build an innovation culture that is focused on:

20. Output Outcome Culture

21. The strategy: “More, Better, Faster!” …in doing so, we’re: Developed a methodology to evaluate, prioritize, and productionalize some of the millions of good ideas that we have within the company

22. Candidate Vendor Employee Idea Lab

23. Lean Dev Teams

26. The Impact: More Better Faster Ideation to working code| 9 months to to 2 ½ Weeks Ideation to production| 12 months to 1 month Average feature cost| reduced to ½ 2 Lean Dev Team in 2014| 10 Lean Dev Teams in 2015

27. the sandbox VENDOR i-Challenge sourcingtestingscaling How it all works together Domains MacysLabs

28. The Customer Centered Future

29. • Buy online, pick up in store • Digital Coupon Wallets • Virtual fitting room events • Digital signage in stores • Mobile navigation • iBeacons • Thanksgiving Parade App • Star Gifts • Believe-o-Magic (App for Kids) • Visual search (mobile app) Macy’s Continues to Drive Omnichannel Retail Innovation

30. Q & A

31. The flexibility and scalability of Heroku enabled Macy’s to test, learn, and move forward quickly with their ideas. Macy’s built an experience that makes shopping more convenient and fun for their customers. “Heroku gives us a powerful, flexible platform that enables us to test, learn and proceed aggressively with new mobile ideas that excite our customers, making shopping more convenient and fun.” – Shawn L. Morrissey, VP, Mobile Engineering, Macys.com & Bloomingdales.com Macy's sought greater innovation and agility for their online business and built a shopping experience on Heroku that grows with their customers. heroku.com/customers/LEARN MORE AT: macysC L O U D A P P L I C A T I O N P L A T F O R M

32. Shopper Acquisition & Engagement Connected Shoppers & Associates Omnichannel Customer Service Clienteling 1-to-1 Shopper Journeys Smart Service Customer Experience Industry Experience Partner Experience Visit the Design Within Reach Shopper Success Experience Everyday from 9 until 5 Moscone West

33. 1 After each session, open the Dreamforce App to ‘My Agenda’ 2 Tap the bell to see your surveys to be completed 3 Get entered to win a GoPro for each survey you complete Dreamforce ‘15 Mobile App Share Your Feedback, and Win a GoPro!

34. Free Gift Card

35. thank y u