This deck is from an InformationWeek 2013 Internet Trends webinar. Summary: There's no such thing as a standalone ecommerce site – today, this function cannot be a bolt-on. Companies must go broad and think holistically, looping in ERP, suppliers, security, marketing automation packages and more. There are multiple ecommerce instances geared for specific partners. But it's a big, ongoing development challenge, and customers demand a seamless experience, whether interacting on PCs, tablets or smartphones. Yet, there are no standards to lean on. In this webcast we'll discuss state-of-the-art back-end infrastructure and automation, ways to overcome gaps in transaction processes, and services-based options. You'll learn: Technical hurdles and design considerations Major challenges and opportunities to improve Examples of companies using best practices to get this right

1. Future-State Ecommerce
Growth, Integration, and Transformation Challenges
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3. Featured Presenters
Our knowledgeable speakers today are:
Mike Healey Jon Gettinger
Senior Contributing Editor Senior Vice President
InformationWeek Marketing, Aria
Systems
President Yeoman
Technology Group

4. Goals of Today
• Share Research & Trending Results
– Macro Level Shifts
– End User Evolution
– Information and Channel Fragmentation
• Outline Critical Tasks for Enterprise
– Integration
– Data Analysis
– Org Structure and Leadership

5. Question of the Day
• Who Owns Your Ecommerce?
– Several Models tends to exist Common Retail
• IT: Original champions Ecommerce
• Marketing: Messaging
focused Offline Group Ecommerce Silo
• Accounting: Administrative
• Separate Group: 100% silo‟d
(common in retail) Sales / Mkt Sales / Mkt
– Rarely
Purch Purch
• Integrated into organization
as part of overall strategy that
includes
– Direct Sales Team IT IT
– Service Strategy
– Customer Support
Inv Inv

6. E-commerce Revenue is $800 billion Today
3% 3% 1%
4%
B2C
29% B2B
Services
Subscr
Licenses
60% Other
Source: Combined forecast points for 2013 Ecommerce revenue (US Dept of Commerce, Forrester,
Internet Retailer, IDC, & Gartner) Yeoman team removed double counts and established service
percentages for the different service elements using industry standard benchmarks.

7. Customers Simply do Things Online Now
Source: Pew Internet Trends Data: 2000 - 2011

8. E-Commerce Doesn’t Exist as a Silo
2012 US Enterprise Sales Audit • Every organizations online
influence is higher, most just
Ecommerce don‟t track it:
10% – Retail now full understands
Traced to „show rooming‟
Online
40% – Direct correlations seen
25% Dist/Marketpl between site traffic and
aces Online catalogs, phone sales, and
Dist. Offline offline events
– 60% of B2B purchasers
10% 15%
Offline Order research products before
Direct calling sales (HBR)
Source: US Publishers audit of 2012 transactions
linking data points for distribution and marketing to
end sales source

9. Major Challenges for Growth
• Highly fragmented user
behavior
– Only 30-40% of users go
„direct‟ to a site
– Huge reliance on search
engines
– Home page is typically less
than 35% of landing pages
• “Where” they buy is almost
uncontrollable
– Can‟t control perceived
distribution channels
– Lack of management
encourages anarchy

10. Rapid Mobile and Tablet Adoption
US Device Ownership Trends 2006-2015
100%
80%
60%
Mobile Phones
40%
Desktops
Laptops
20%
Tablets
0%
-20%
Source: Pew Internet Device Usage Data Studies 2006-2012
were used to create trend forecasts to 2015

11. Even the Desktop Has Changed
Desktop/Laptop Resolution Change 08-13
70.0%
60.0%
50.0%
40.0%
30.0%
20.0%
10.0%
0.0%
2008 2009 2010 2011 2012 2013
Large Screen (1280x1024) Medium Screen (1024x768)
Small Screen (800x600)
Source: Actual visitor screen size trends from US Enterprise Ecommerce Site 2008-2013
No organization can succeed without a major ecommerce revision

12. Take an Expanded View of Ecommerce Platform
Tablet
Experience
Broader Presence Online
Mobile Market
Experience Places
Specialty Social
Brands Commerce
Corporate Ecommerce “Search”
Site Hub Commerce
Required Integration
Real Time
Supply Offline Sales Customer BI / Data
Finance
Chain Marketing Force Service Whse

13. E-Commerce Future State
Current State Future State
• Single Primary Site • Multiple Sites
– Limited mobile/tablet feature – Unique experiences for
sets devices
• Limited Offering • Complete Offering
– Gaps between online and – Additional services (re-order,
offline subscriptions, more variants)
• Fragmented Channel • Expanded Marketplace
Relations relationships
– Don‟t ask, don‟t tell, don‟t – Amazon / 3rd party markets
care, don‟t worry – Evolving Google role
• Social Marketing only • Social Commerce (?)
• Splintered Demand Gen • Integrated Demand Gen
Puts massive pressure on data integration plans

14. You Need Big Data to Succeed
• Gathering and using big data is
the most critical element for
success online
• Reshapes the entire approach
to sales
• “Go Deep” into the behavior of
the customer
– Reshapes all ROI models
– Impacts offline sales and
compensation
– You can measure influence,
relationships, and channel
• Explodes the traditional models
Actual Source Traffic Revenue mix for 30 Day
window of $150m B2B E-Commerce Site

15. Example – Classic Market Basket versus Online Basket
• Classic Market Basket • E-commerce Behavior
– “Back end” analysis – Classic Market Basket, but
– Find the items that are includes
typically sold together (diapers – Web visits
and beer) • Items viewed
– Not really „big‟ data: • Removed from cart
• 10,000 SKUs produces 50m 2 – How visitor found site
item combos & 100b 3 combos • First visit
• Second visit
Transaction
• Repeat purchase
• Influences and events
Offline Browsing
Touches Behavior
– Beyond a single site
• Multiple direct sites
Customer
• Reseller/partner analytics
Marketing Visit data
Touches Sources
External
Channel
Sales

16. Organizational Change Required
Admin Revelation Operational Entrepreneurial
• Order taking • Net new sales • Longer ROI model • Advantage Seeking
• Minimalist Approach • New channels questioned • Spec investment
• Avoidance of data • Competitive Awareness • Dramatic shift in • Integrated Sales
• Required sales • Data overload marketing spend • Integrated product /
• Begins of sales reorg service development
• 15-25% of rev • Moving beyond • Major driver of growth
spreadsheets and EDI • Live the data…
• 0-15% of revenue • Some breakout
• Follows sales patterns opportunities
• 50+ % of rev
• 25-45% of rev • How we exists
• New drivers of revenue,
new comp drivers
Critical Period to Focus on People, Process, and
Technology Required

17. Needs to be a Part of Core Business Strategy
Who is the Primary Driver of Your Web Strategy?
6%
15% 29%
Marketing
IT Team
Collaborative Effort
ExecutiveTeam
26% Other
24%
Source: InformationWeek 2011 Web Strategy Survey

18. Create an Integrated Sales Model
Multi-channel Marketing
Demand
Gen
Sales
(Inside/Outside)
Customer Set 1
Predictive
Delivery
Insight
Customer Set 2 Web
Catalogs
(multiple)
Customer Set 3
Customer Set 4
Bids & RFPs
Product
Lines
Educational Resources
Multi-use Product / Service Portfolio

19. Action Steps for the Enterprise
Organizational / CEO IT / CIO
1. Map your entire sales process 1. Take a critical eye to your
by channel, by product, existing ecommerce platform,
include services assess with the best of breed
2. Deep dive into the online only 2. Review gaps in what‟s sold
competitive environment online
3. Start the discussion of „who – Custom items, subscriptions,
owns‟ E-Commerce and services likely lagging
(fix it)
– Likely different roles for IT and
Marketing 3. Build out true data map of all
– Force Bigger roles for Sales data points in the sales
and Support process

20. Need Something to Motivate You?
• Ecommerce will have less new growth,
more transitioned revenue
– Sales/Catalog/Retail/Traditional
Distribution is simply not as effective
versus 5 years ago
– Sales will continue to decline as folks
move online
– New „growth‟ is now more about new
Internet adoption, 1995-2012
services and new markets % of American adults who use the internet, over time
90%
• The “Online” guys are moving backwards. 80%
70%
– The “New” Enterprises created since 60%
1998 aren‟t new anymore (Ebay, 50%
Alibaba, Amazon, Esurance, etc,) 40%
30%
– They‟re „integrating backwards‟ into
20%
the online world looking for growth 10%
– They‟re coming for you….. 0%
Percentage of U.S. Adults Online

21. Delivering Subscription
Commerce
Jon Gettinger, Aria Systems

22. A High Stakes
Monetize Competitive
Business Customer Advantage
Relationships
Market
Expansion
New Product
Introduction
New
Business
Models

23. A High Stakes
Monetize Competitive
Business Customer Advantage
Relationships
Market
Expansion
New Product
Introduction
New
Business
Models The Billing Cycle

24. Aria Takes a Strategic View of your Business
• Terms
• Direct SALES • Penalties
• Tiered MARKETING • Amortization
• Line of Business • Renewals
• Dunning
EXECUTIVE
Channel Contract
CUSTOMER
Entitlement SERVICE
Product Monetize
• One time
• Recurring
• Usage
• Freemium
• Hybrid
• Limited Time
• Prepay/Postpay
• Pay as you go
• Rating
• Editions Finance
• Coupon

25. Rock Solid Cloud
•Event Driven Integration
•Business Rules Engine
•LiveRelease
•Audit Grade Logging
• Thresholds & Alerts
•Connectors - ERP, CRM, FinOps
•Deployment Options
•PCI Level 1 Security
•99.999% Reliability
25

26. Recurring Revenue Success with Aria
Social Media Consumer Media & Cloud Services
Technology
& Collaboration & Retail Entertainment & Telecom

27. Thank You

28. Questions?
Submit questions to the presenters via the on-screen text box
Mike Healey Jon Gettinger
Senior Contributing Editor Senior Vice President
InformationWeek Marketing, Aria
Systems
President Yeoman
Technology Group

29. Thank you for attending
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