The document summarizes challenges facing e-commerce businesses and introduces Mozu as a solution. It discusses how legacy e-commerce platforms struggle with mobile purchases, omni-channel experiences, and sales tax compliance. Mozu is presented as a modern, multi-tenant SaaS platform that provides responsive design, seamless shopping, integration with Avalara for tax, and empowers innovation through frequent updates and flexible customization.

1. Confidential and Proprietary Information
Transcending the Limits of
Legacy eCommerce Solutions

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Introductions
Today’s Host
Matt Winn, Marketing Communications Manager, Volusion, Inc.
Presenters
Jason Wallis, Chief Technologist and VP of Architecture, Volusion, Inc.
Jim Bernardo, Channel Development Director, Avalara

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Today’s Agenda
The History of Ecommerce
Challenges and Opportunities for Enterprise Businesses
Enterprise Sales Tax Automation with Avalara
1
2
3
Questions and Comments4

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History of Ecommerce
ECOMMERCE IS BORN
Early vendors supplied the
basics of ecommerce: listing
products and accepting
payments
1990’s
MOBILE RISES
Rapid adoption of mobile devices
forced retailers to maintain both
traditional and mobile-friendly sites
2000’s
MULTI-CHANNEL EXPLODES
Proliferating sales channels require
retailers to create a seamless
experience both on and offline
2010’s
LIMITLESS COMMERCE
Today’s business is truly omni-channel,
requiring a modern platform that
provides limitless extensions
TODAY

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Challenge 1: Proliferation of Mobile Purchases
• Consumers now demand mobile-optimized experiences
• 56% of smartphone owners and 76% of tablet owners use their device to shop online
• Most eCommerce platforms were built before the advent of mobile technologies

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Mozu Solution: Responsive Design & Mobile APIs
• Modern architecture with responsive design for any device
• Single code base and site for all web experiences
• Reduction in maintenance risks and release cycle times
• Consistent and optimized experience across all web-enabled touch points
• Designed for emerging and future devices

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Challenge 2: Omni-Channel Shopping Experience
• Consumers don’t see channels, only brands
• Shoppers expectations are rising:
• What products are available
• Where are they available
• Why this product
• When can I get it
• Businesses must reflect a seamless, omni-channel experience
with no distinguishable channels

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Mozu Solution: Seamless Shopping Experiences
• Brand experience not limited by devices,
channels, locations, or operations
• Holistic view of product, search, inventory
and transactions
• Unified and central content catalog
• Ability to reuse and override product
or content elements from one location

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Challenge 3: The Limits of Legacy Solutions
• Patchwork of systems are expensive to maintain
• Legacy platforms don’t support innovation and
marketplace changes
• Legacy platforms struggle to provide a seamless
experience across devices and channels

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Mozu Solution: Modern and Open Platform
• Everyone has access to the same API
used to build the Mozu platform
• As features are added to the platform,
they are available in the public API
• Open source SDKs for innovation in
the language of your choice

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Confidential and Proprietary |

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End-to-End Compliance

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The Problem: Sales Tax is Hard!
• 11,000+ distinct tax jurisdictions in North America
• 100,000+ distinct taxability rules
• Exempt Products
• Exempt Organizations
• Tax Holidays
• Thousands of changes each year
• State-provided info often missing, misleading, or wrong
• Sourcing rules
• Nexus rules
• And many, many more complexities

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Why ZIP Codes don’t help…

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STATUTES
BUSINESS
SCIENTIFIC/CULTURAL
REGION TRANSIT DISTRICT
FOOTBALL DISTRICT
COUNTY
STATE
TOTAL
1
2
3
4
56
CITY
LOCATION
0.1%
0.0%
0.0%
0.0%
1.0%
2.9%
1
4.0%
0.0%
0.0%
0.0%
3.6%
1.0%
2.9%
2
7.5%
0.1%
1.0%
0.1%
0.0%
1.0%
2.9%
3
5.1%
0.1%
0.0%
0.0%
3.0%
1.0%
2.9%
4
7.0%
0.1%
1.0%
0.1%
3.0%
1.0%
2.9%
5
8.1%
0.1%
1.0%
0.1%
1.5%
1.0%
2.9%
6
6.6%
ZIP Codes don’t mean zip

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Let’s sum it all up
• Sales tax compliance is an ever-changing landscape.
• Accuracy and solid record keeping are critical.
• Keeping up is, for all practical purposes, impossible.
• Doing it manually will fail, and failure has real, financial implications for the
viability of your business.
• You can substantially shift the odds in your favor by taking advantage of the
partnership and integration between Mozu and Avalara!

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You should:
1. Do a nexus study
2. Stay up-to-date with rate, rule,
and boundary changes
3. Report consumers’ use tax
4. Be compliant from the
beginning, and always
5. Automate with technology
Make sure you:
6. Know your filing requirements
7. Calculate accurately using
geospatial mapping
8. Know product taxability
9. Keep comprehensive sales
records
10. Automate certificate
management
More resources available at: www.avalara.com/resources
10 Tips to Limit Audit Exposure

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Open API in Action: Integration with Avalara
• 1 Hour: Had basic communication running
• 2 Weeks: Design to Develop to Certification
• Easily passed certification
• Integration free to all Mozu customers and
partners with an Avalara subscription

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Challenge 4: Outdated Platforms Limit Innovation
• Many retailers are encumbered by their
current commerce platform
• Building on legacy platforms leads to costly
initiatives that fall short of goals
• Technology adoption by shoppers is moving
faster than legacy platforms can adapt
• Majority of retailers cite organizational
barriers caused by their current platform as
major innovation inhibitor

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Mozu Solution: Multi-tenant SaaS Platform
On-Premise
+ Large upfront capital expenditure
+ Long lead time between product upgrades
+ Heavy IT investment in maintenance and
integrations
SaaS
+ IT resources focused on innovation
+ Predictable feature release cycle
+ Vendor managed hosting, hardware
infrastructure and security
Traditional SaaS
+ Punishes success with revenue share
+ On-Demand, or Single-Tenant
+ Inability to customize
+ Locked into vendor’s roadmap and timelines
Benefits of SaaS You Expect
Benefits of Even Smarter SaaS
Smarter SaaS
+ Encourages innovation with usage based pricing
+ Multi-Tenant SaaS designed to be highly
configurable and customizable
+ Instant access to infinite number of sandbox
development environments

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Challenge 5: Falling further and further behind
• The cost and time involved in implementations and upgrades on legacy platforms is a
major deterrent to innovation
• Revenue share-based pricing creates a disincentive to closely integrate all order streams
with a single platform

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Mozu Solution: Empower Innovation
• Easy and frequent updates
• Extremely open and flexible platform
• Open source SDKs and reference application to accelerate creativity
• Unlimited sandboxes
• Usage-based pricing removes artificial barriers to innovation

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Ready to get Started?
Continue the conversation on Twitter
@mozucommerce
Visit www.mozu.com or request a demo at
www.mozu.com/request-demo
Call us at 1-800-965-5040 to speak with
a Solution Consultant