Adobe Digital Insights -- 2017 U.S. Best Of The Best

2. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Best of the Best: 2017 03 What is Best of the Best 04 Better Mobile Experiences Everywhere 05 Mobile Growth: Raising Some Higher Than Others 06 As Competition Heats up Time Spent is Cooling 07 Everyone is Becoming More Dependent on Search 08 Social, Finally, Driving Traffic Growth 09 Mixed Results for the Share of Return Traffic 10 Desktop Learning From Mobile on Conversion 11 Methodology 12 Glossary Table of Contents 2

3. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. What is Best of the Best The Best of the Best 2017 report refers to companies using the Adobe Analytics Cloud who rank in the top 20% of fellow Adobe clients in their industry on various key performance metrics. It is called the Best of the Best because Adobe Analytics Cloud customers are already ahead of the masses through their investment in excellence. 3 How to Read the Best of the Best: Industry being measured Overall average for sites in this industry Overall average for the Top 20% of sites in this industry Year-over-year change. This is the percent change in the average for the industry Gap between Top 20% and average from 2016 to 2017. Narrower means the gap is closing. Wider means it’s increasing.

4. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Better Mobile Experiences Everywhere 4  All industries saw higher relative engagement rates for smartphones in 2017.  Smartphone relative engagement is used to compare a website’s mobile experience to the traditional or desktop experience. During 2017 the average visitor engaged with about 80% as much content on a smartphone as they did when using a desktop/laptop.  At about 95%, the best websites are finding little room for improvement, causing the gap to narrow.

5. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Mobile Growth: Raising Some Higher Than Others 5  Double-digit percent growth in the share of traffic should quiet anyone expecting mobile to slow down.  Not everyone is benefiting equally from mobile growth. The gap between the best and the average is widening in most industries.  Marketers looking for an example on how to attract mobile traffic should look at websites where it matters most, like Wireless Providers in the Telco industry.

6. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. As Competition Heats up Time Spent is Cooling 6  Despite higher mobile engagement scores, time spent per visitor continues to decline emphasizing the importance of a smooth experience. Spoiled consumers are showing less patience with slow and confusing websites.  Media & Entertainment is the one exception. The best M&E websites are now seeing nearly 11 minutes spent per visitor, and even this high mark doesn’t fairly represent the wide range in the distribution of time spent for the best websites.

7. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Everyone is Becoming More Dependent on Search 7  Some thought the tide had turned, but search engines may be benefiting more from mobile than expected.  All industries, except travel, saw a higher share of traffic from search in 2017 compared to 2016. And in most cases the gap between the average and those most dependent on search is widening.  Auto websites, despite an abundance of linear and display advertising, are finding that consumers would rather search than type domains for these well-known brands.

8. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Social, Finally, Driving Traffic Growth 8  30% social referral growth for the average industry.  Media & Entertainment websites can’t overlook this important source of eyeballs, but weary of their growing dependence on social networks, will be glad to be the only industry with a declining average share of traffic from social.  Retail and Auto may have finally cracked the nut on converting social awareness into web visitors, with 4- 5% of traffic from social for the best websites.

9. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Mixed Results for the Share of Return Traffic 9  Website Affinity, or the share of visitors that have visited before, remains flat at about 20% for the average industry.  However, Auto and Financial Services companies should pay careful attention to this metric, as the average share of return traffic is falling sharply for those two industries.

10. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 10 Desktop Learning From Mobile on Conversion  As mobile conversion increases so does desktop. The best marketers seem to be applying to the traditional experience what they have learned from simplifying the mobile conversion process.  Mobile conversion is still about a third of desktop but growing at 13% and 30% respectively for Retail and Travel. Mobile won’t be a sore spot for conversion for much longer.

11. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Methodology 11 Consists of aggregated and anonymous data from 200 billion visits to 10,000+ U.S. websites during the 2017 calendar year. Data from different Adobe Experience Cloud solutions: Visit our website: https://adobe.ly/AdobeInsights Sign up for email alerts: http://www.cmo.com/adiregister.html Follow us: @adobeinsights Adobe Analytics Cloud

12. © 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Glossary 12  Share of Visits: Share of visits to a website by device  Stickiness: Percent of traffic that stays and engages with a site  Visit Rate: Average monthly website visits per visitor, overall and by device  Smartphone Traffic: Percent of visits to a website originating on a smartphone  Time Spent: Average minutes per visitor  Conversion: Average orders or bookings per visit, overall and by device