Accenture Interactive Boutique

Accenture Interactive

Boutique (prototype)

eCommerce Forum

Milano, 21 Aprile 2015

Copyright © 2015 Accenture. All rights reserved. 2

Agenda

• Milan eCommerce Centre of Excellence

• The digitalization of fashion

• A new approach for Fashion

– Experience Driven Commerce

– Personalization

– OmniChannel

– Business @ scale

• Accelerator

• Business Model


eCommerce Center of Excellence: Global Presence


How

Where

23,000+ Accenture Digital professionals

34 Accenture Interactive Design

Studios, R&D locations & centers

of excellence

Milan eCommerce Center

Who

Accenture Interactive, as part of Accenture Digital, taps over 23,000

professionals dedicated to serving marketing and digital clients by

offering digital transformation and marketing services.

• Australia • Brazil • China • Costa Rica • Finland • France •

Germany • Greece • India • Italy • Philippines • Slovakia• Spain •

Sweden • Turkey • UK • USA

Thanks to a mix of functional and technical capabilities concerning

different industries, the Milanese center has been recognized as a

Center of Excellence for eCommerce solution Design,

Implementation and Support within the delivery network in Europe

Accenture Interactive helps the world’s leading brands delight their

customers and drive superior digital business performance.

Introducing Accenture Interactive


• Global and all-round OmniChannel, digital business knowledge

• Cross-channel and multi-channel commercial strategies definitions, including

trading, category, pricing and assortment planning.

• Digital Marketing planning and performance driven strategies, including

Analytics Strategy

• Combine digital knowledge with deep technical background

• Lead for Solution Definition, including Solution Blueprint, implementation plan,

delivery model and project management procedures

• Manage large Accenture business and technical teams and multiples external

providers, across different on\off-shore delivery centres

Solution

Architects

eCommerce

Strategists

Technical

Architects

• Specialized and comprehensive technical background and skills

• Be responsible for Technical Architecture design, implementation and

management, plus design of Facility Management processes

• Lead and Support application management and infrastructure development

teams on high-end eCommerce platforms.

eCommerce Center of Excellence: Key Figures


Commercial Managing the purchasing

funnel

Content Manage and Localize

product information

Digital Marketing Increase traffic and

conversion rate

Physical Store Integration from the Brick

to the Click

CRM Establish loyal and

satisfactory attitudes

Customer Care End-to-end support

services

Supply Chain Fulfil storage and

dispatch

Finance & Payment Provide certainty and

reliability

OmniChannel Commerce Framework

Econometric Model

Technology

User Experience and Creativity

Commerce Strategy Process model and governance

Digital platform, infrastructure and application

Deliver excellent experience

Planning, metrics and analytics


Agenda





– Personalization

– OmniChannel


• Accelerator

• Business Model


The Digitalization of Fashion and Luxury

“This (digital) is how customers live. They wake up with a device in their

hands and life begins. The onus is on us to change everything we do to

keep pace with the speed society is moving”

Angela Ahrendts

Digital Digital

Exclusive Accessible


Digital influence in Fashion and Luxury industry

Billions

€ 138,6 € 126,4

€ 111,5 € 104,6 € 96,8 € 87,8

€ 65,7 € 82,8 € 100,4 € 117,1 € 135,2 € 154,9

€ 7,7 € 8,7 € 11,2 € 12,4

€ 13,9 € 15,5

€-

€50

€100

€150

€200

€250

€300

2012 2013 2014 2015 2016 2017

Non-Web Influenced Offline Sales Web-Influenced Offline Sales Online Sales

67%

30%

0,3%

58,4%

38%

0,4%

52%

47%

0,5%

47%

52%

Web-Influenced

sales represents more than 50% of global

luxury personal goods total sales !

40%

56%

0,58%

33%

60%

0,6%

Source: Fondazione Altagamma, Contactlab, Accenture Reaserch

0,55%


The Luxury Digitalization

The Affluent Customer has the highest attitude to interact digitally with the brand

using different devices across all the customer-journeys, even in the Boutiques .

The client is living a “new normal”” reality pervaded by a seamless digital,

interacting.

Customer Centricity

Business @ Scale

OmniChannel

Experience Driven 1 3

4 2


Agenda





– Personalization

– OmniChannel


• Accelerator

• Business Model


Customer Centricity

Business @ Scale

OmniChannel


4 2


Market specific decision lever mix

• The greatest level of a Fashion

brand is the value perception

that the customer is awarding

to the Brand

• The typical fashion purchase is

impulsive and the levers that

drive the customer decision

are emotional transmitted with

a tidy mix of actions across the

overall Customer Experience

• The OmniChannel strategy of

a Fashion company needs to

support and empower the

Brand Ceremony to engage

and delight the customer (even

the fussiest)

Fashion

Rational Emotional

Cu

sto

me

r J

ou

rney

Info

rma

tional

Exp

erie

ntia

l

Purchase decision lever

Luxury

Design

Automotive

Retail

Consumer

Electronics

Consumer Goods

Emotional choice

Rational choice

Comparison

Travel

Experiential/Emotional Rational/Commerce

Sources: Forrester 2014, Accenture Analysis

Experience Driven1


Experience and Commerce strategy

enabling tools

• The eCommerce solutions are

usually composed by two kind

of platforms:

the Content Management

that drives experience and

interaction with the clients

the Commerce engine

that manages the

catalogue and the

transactions

• The Commerce engines are

usually designed for Retailers

with a rational price-driven site,

a Fashion eCom needs to be

driven by great experience and

empowered with a exceptional

WCM

WCM Commerce

Content Services

Rich media

Management

Social/Communities

A/B Testing

Email Marketing

Authoring Tools

Workflow/Approval

Web Analytics

Engagement

Features

Back-office

features

Cart/Checkout

Catalog/PIM

Pricing

Payments/tax/fraud

Promotions/coupons

Customer account

management

Fulfillment Inventory

Order management

Customer Service

Presentation

Management

Navigation Site search

Content targeting

Personalisation

Mobile

Landing Pages

Globalization/localization

Merchandizing

Reporting

Recommendations



Experience Driven1


Farfetch

Case History – Best Practices Experience Driven

1

Burberry Mulberry


PROS

• Time-to-market

• Cost efficiency

CONS

• Segregated experiences (commerce / content)

• Multiple rendering engines and template

• Duplication of site experience tools

• Difficult to integrate (personalization, search etc.)

Hybrid delivery model

Commerce Approach: Side-by-Side

• This is the old, widely adopted approach

preferred by the full-outsourcer

• Integrations between the marketing site

and the Commerce store are tied

together at the front end and use the

HTML rendering engines of each system.

Front-end integrations



WCM Platform

Content targeting

Recommendations

Site Search

Personalization

Navigation

Content services

Rich media enrichment

Commerce Platform

Content targeting

Recommendations

Site Search

Personalization

Navigation

Inventory

Catalog/PIM

Pricing

Payments/tax/fraud

Cart/checkout

Rendering

engine

(HTML)

Rendering

engine

(HTML)

Experience Driven1


eCommerce-driven delivery

Commerce Approach: eCommerce-driven

• This is an alternative approach

encouraged by the eCommerce software

vendor to exhaust the eCom capabilities

• This approach uses the Commerce

platform as the front end, and the WCM

merely as a content repository

Rendering

engine

(HTML)

Commerce Platform

Content targeting Recommendations Site Search

Personalization Navigation Inventory Catalog/PIM

Pricing Payments/tax/fraud Cart/checkout

WCM Platform

Content services Rich media management

Restful

Web service



PROS

• Integrated customer experience

• Clear separation between structured and

unstructured content

CONS

• WCM acts simply as a content repository

• Complex and costly integration

• Difficult to justify the investment

Experience Driven1


CMS-driven delivery

Accenture Approach: Experience-driven

• This is the new, recommended, approach

that enhance all the presentation, the

branding and experiential elements.

• CMS is the front end, the Commerce

engine provides its capabilities up

through a set of restful web services.



PROS

• Integrated customer experience

• Single tool set for experience management

• Clear separation between structured and

unstructured content

CONS

• Complex and costly integration

RECOMMENDED

Rendering

engine

(HTML)

WCM Platform

Content targeting Recommendations Site Search

Personalization Navigation Content services Rich

media management

Commerce Platform

Inventory Catalog/PIM Pricing Payments/tax/fraud Cart/

Checkout

Restful

Web service

Experience Driven1


What happens today? Experience Driven

1


We designed few components to illustrate the Experience Driven key pillars:

Experience Driven is the best approach

• Correlated Products: Main product image with information and possibility to buy

correlated products

• Shoppable Collection Catalogue: campaign image with product highlight and possibility to

buy single products

• Essential Look: image of the look with product insights and possibility to shop the entire

look

Pro

du

ct

Pro

du

ct

Product

Editorial Content Pro

du

ct

Pro

du

ct

Pro

du

ct

Campaign Image Product

Editorial Content

Editorial Content

Editorial Content


Correlated Products Shoppable Collection Catalogue Essential Look

Experience Driven1


We designed few components to illustrate the Experience Driven key pillars:

Experience Driven Example

• Correlated Products: Main product image with information and possibility to buy

correlated products

• Shoppable Collection Catalogue: campaign image with product highlight and possibility to

buy single products

• Essential Look: image of the look with product insights and possibility to shop the entire

look

Correlated Products Shoppable Collection Catalogue Essential Look

Experience Driven1


Customer Centricity

Business @ Scale

OmniChannel


4 2


Integrate marketing mngmt of Pull and

Push channels

Content and Asset

Personalization

Analysis & Interaction

Product Information

CRM Boutique

Customer Centricity2


Integrate Experience and personalized

customer management Customer Centricity

2

Content and Asset

Personalization

Analysis & Interaction

Product Information

Assortment Boutique


Multiscreen as a single source of information Customer Centricity

2


Customer-Centricity drives personalization

Customer Data /

Taxonomy

Catalogue / Product

information

Target / Personas

Customer Data

• Age: -

• Gender: -

• Country: UK

• Source:‘Superstellaheros’

Editiorial Article

Purchase History

• Size: -

• Product size: -

• Product fitting: -

• Spending: -

Style

• Fabric: -

• Style: -



Customer-Centricity drives personalization Customer Centricity

2

Customer Data /

Taxonomy

Catalogue / Product

information

Target / Personas

Customer Data

• Age: 23

• Gender: Female

• Country: Germany - Berlin

• Ethnicity Profile:

Mediterranean

Purchase History

• Size: Extra Small

• Product size: 38(ita)

• Product fitting: skinny

• Spending: 1000 – 2000€

Style

• Fabric: not specified

• Style: Elegant


Target / Personas

Customer-Centricity drives personalization

Customer Data

• Age: 23

• Gender: Female

• Country: Germany - Berlin

• Ethnicity Profile:

Mediterranean

Purchase History

• Size: Medium

• Product size: 44 (ita)

• Product fitting: standard

• Spending: 600– 900€

Style

• Fabric: printed fabric

• Style: Ready to wear; Casual

Customer Data /

Taxonomy

Catalogue / Product

information



Context 1

Context 1

Personalization as Contextualization

Context 2 Context 3



Customer Centricity

Business @ Scale

OmniChannel


4 2


Commerical and Logistic network Online Revenues and

Growth Potential

Priority Map

Globalization approach:

Digital Market Archetype

eCommerce potential vs opportunity

High Mid Low

Business @ Scale3

ILLUSTRATIVE

Sources: emarketer Report Online Sales 2014,

Distribution

Direct

Indirect

Boutiques / Retail

Sales

Franchising /

Wholesale

Central

Warehouse

Distribution center


Central WH

eCom. Virtual WH

eCom. Logistic

Support

Retail Boutique

Wholesale

Franchising Boutique

Carrier

eCom. Logistic

Provider

Market archetypes:

one Global Template Solution

Archetype A

Full OmniChannel (i.e IT, FR, DE)

Archetype B

Multichannel *

(i.e EA, US, RU)

Archetype C

Powered By 3rd Party

(i.e CN)

Archetype D

Just Shipment

(i.e PL, HU, BU)

Business @ Scale3

*Countries with entry barriers

ILLUSTRATIVE


Stock

Showrooming

Pricing

Reserve &

Collect Pay & Collect Online Sale Dropshipment

eCommerce

Online

eCommerce &

Store Store

eCommerce &

Store

eCommerce

Store

Assortment Online Store Online 3rd party

Online

Online

Delivery Customer Store Customer &

Store Store Customer

Decision Online Store eCommerce &

Store Online Online

Purchase Online Online Online Store eCommerce &

Store

eCommerce &

Store

3rd party

How to succeed in OmniChannel

competitive scenario

Online Mix Offline

Business @ Scale3


Customer Centricity

Business @ Scale

OmniChannel


4 2


Overview of all available distribution channels

• Companies have to decide which distribution channel to address and the desidered

integration level

• According to overall strategy, a subset of all available can be choosen and integrated

• Channels can assume different priority in different geographies and in different time

periods

Offline

Online

Mono brand store

(My brand)

Franchising

(franchisee,

dept stores corner)

Retail chain

(John Lewis,

Neiman

Marcus,Tesco)

Outlet

(factory outlet,

barters,…)

Direct eCommerce

(mysite.com)

Site managed

by third party

Marketplace

(eBay, Amazon,

Ozon, Asos)

Stock clearance/

Flash-sales

(Vente-Privee,

Privalia)

Outlet Wholesale

multibrand

Wholesale

monobrand Retail

OmniChannel4


eCommerce Assortment is narrowly

focused on top-sellers

From local assortment view to

Global Catalogue Experience

Global Catalogue: a must have

Global Catalogue

Retail Assortment

Online Assortment

Wholesale Assortment

Cash

cows

Stars

Top seller Niche product with higher margin

Sa

les

vo

lum

e

Product variety

OmniChannel4


OmniChannel redefines functions role and platforms.

Each channel is driving the technology and the process definition.

From sylos …(1/2) OmniChannel

4

Hea

dq

uart

er

Warehouse Replenishment

Sto

re

Planning

Store Cash Register Collect in store

eC

om

me

rce

Warehouse

Marketing

Cu

sto

me

r

Planning Warehouse eCommerce PSP Home delivery Marketing


OmniChannel means integration of objectives, methods and platforms.

… to an OmniChannel model (2/2) O

mn

iCh

an

ne

l

Replenishment Drop shipment Warehouses

Store

Mobile

Collect in store

Shared stock

Marketing

eCommerce PSP Home delivery

Planning

Shared stock Cash Register

OmniChannel4

Cu

sto

me

r

Hea

dq

uart

er

S

tore

e

Co

mm

erc

e


Agenda





– Personalization

– OmniChannel


• Accelerator

• Business Model


Commercial Managing the purchasing

funnel

Content Manage and Localize

product information

Digital Marketing Increase traffic and

conversion rate

Physical Store Integration from the Brick

to the Click

CRM Establish loyal and

satisfactory attitudes

Customer Care End-to-end support

services

Supply Chain Fulfil storage and

dispatch

Finance & Payment Provide certainty and

reliability

OmniChannel Commerce Framework

Econometric Model

Technology

User Experience and Creativity

Commerce Strategy Process model and governance

Digital platform, infrastructure and application

Deliver excellent experience

Planning, metrics and analytics


Starting from the Accenture Interactive commerce framework we can

design the Platform as a Service depending on brand’s necessities

ensuring:

End-to-end OmniChannel services

• End-to-end OmniChannel services

• Modular offering proposition

• Cutting Edge Alliances, Assets

and Technologies

• Flexibility to buy back licenses fee

• Low set-up cost

• Variable fee based on scaling

factors Customer Care

Finance &

Payments

Supply

Chain

Commercial

CRM

Digital

Marketing

Content

Physical Store

eCommerce

Strategy

User Experience

Analytics

Technology


Interactive Boutique hi-level architecture

Adobe

Marketing

Cloud

Support services integration

Global courier

management

and advanced

logistic services

(Metapack)

eCommerce Platform

eCommerce Back End

Back Office

eCommerce operations

eCommerce Front End

Order & back-order management

Customer

Services

Content

& Assets

Management

Product &

Catalogue

Management

eCommerce Integration Services

Corporate

Back-end

Systems

(HQ +

Regional)

Global, local

and central

integration

Integration

layer

JBOSS FUSE

Payment and

global taxes

calculation

(CyberSource)

Consumer

database

ACN

Connector

User Experience Channel management

(Web, app, mobile …)

Web Analytics & Targeting

Email Marketing

and customer

centric services

(Contact Lab)

Digital

marketing &

acquisition

channel

connectors

eCommerce

Platform


Accenture Interactive Boutique Business Model

(*) Values are illustrative

A) Set-up Fee B1) Fixed Monthly Fee B2) Variable Monthly Fee

(*) Values are illustrative

Market Benchmark

iBoutique set-up

(based on # of countries) Pilot

(1 market)

1 Region+

Archetype

Up to 4

Regions

Up X mio

visits

Up Y mio

visits

Up Z mio

visits

visits/year included

More than

Z mio

ILLUSTRATIVE

C) Exit At the End of the 3 years contract period the client will be able to choose between two options: 1) extend the contract 2)

buy-back the solution with a small fee

A) Digital transformation support The iBoutique implementation include the support of a experienced set of consultants expert of all the aspect needed for

an OmniChannel business implementation


Thank You

www.accenture.com/fashioncommerce

Federico Gasparotto eCommerce Strategy Lead

[email protected]

Michele Raballo Managing Director and Accenture Interactive eCommerce Lead

[email protected]

Claudio Bianchi Managing Director and Accenture Interactive Milan Commerce Center of Excellence Lead

[email protected]

http://www.accenture.com/fashioncommerce

mailto:[email protected]



Accenture Interactive Boutique

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Transcript of Accenture Interactive Boutique