Etail West 2013 Akamai CEO Tom Leighton_Final

Transforming Experiences Across the Omnichannel

Dr. Tom Leighton, CEO and Co-Founder, Akamai Technologies

©2013 AKAMAI | FASTER FORWARDTM

Grow revenue opportunities with fast, personalized web experiences and manage complexity from peak demand, mobile devices and data collection.

1 in 4 visits to a

U.S. retail site today is from a smartphone

Source: IBM Digital Analytics Benchmark, November 2012


Massive Growth Predicted

Source: Mobile Traffic to the Top 500 North American E-Retailers, Branding Brand, 2012

Smartphones will account for over 50% of North American visits to a Commerce site within 2 years

2010 2011 2012 2013 2015

13.4%

53.2%

39%

24.6%

3.8%

60.6%

2014


What Mobile Users Want

Source: Google and Sterling Commerce, 2012

Ability to Purchase or Place an order

Product Information

Store Contact Information

Store Directions or Operating Hours

Sites Loading in 5 Seconds or Less

50%

61%

54%

74%

81%


Avoid data theft and downtime by extending the security perimeter outside the data-center and protect from increasing frequency, scale and sophistication of web attacks.

Keynote Commerce Index: Desktop vs. Mobile

Seconds to load

Seconds to load

Top 30 Desktop Commerce Sites Top 30 Mobile Commerce Sites

2 9We haven't seen 9 seconds since 2001!


The Performance Challenge

Tim

e to

Dow

nloa

d

Heavier Content

Chatty Protocols

Inefficient Web Code

3rd Party Content

Mobile Congestion


Challenge: Mobile Internet Access is SLOW because…

…the mobile network architecture was not designed for the Web


Speed Matters: Abandonment Rates

Source: Gomez Real User Monitoring

0

5

10

15

20

25

30

Page Load Time (sec.)

Ab

an

do

nm

en

t R

ate

(%

)

Ab

and

on

men

t R

ate

(%)

Slower pages = higher abandonment

• Damages brand • Increases costs• Reduces revenue


Speed Matters: Conversion Rates

CONVERSION RATE VERSUS LOAD TIME

POPULATION PERCENTAGE CONVERSION PERCENTAGE

LOAD TIME (SECONDS)

Page Performance & Site Conversion – Feb 2012

0−1 1−2 2−3 3−4 4−5 5−6 6−7 7−8 8−9 9−10 10−11 11−12 12−13 13−14 14−15 >15


Akamai has a Solution: Aqua Ion

Customer Infrastructure Akamai Intelligent Platform™Local ISP / Mobile Network Operator

• Traffic Offload• Connection Offload• Persistent Connections• Attack Traffic Filtering

Akamai Optimizations

First Mile

• Akamai Routing Protocol• Akamai Communication Protocol• Akamai Compression• Akamai Pre-Fetching

Middle Mile

• Adaptive Image Compression• Above-the-fold Prioritization• JavaScript Rescheduling• Content Pre-Fetching

Last Mile


Deliver Better Experiences To Mobile Users

1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9 9 10

10

11

11

12

12

13

13

14

14

15

15+

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

DSA Aqua Ion

Seconds



It’s not just about your mobile site

Source: Ipsos OTX/Google, Nielsen

+ 89% use smartphones while shopping in stores


Omnichannel shoppers spend 71% more than single channel consumers*

Navigation Promos Information Checkout

In-Store Uses of Mobile Devices

Navigation

Find products easily

Promos

Help your customers find your products and take advantage of special promotions

Information

QR codes for immediate information

Checkout

Simple, fast, one-click checkout

Mobile Alert

Head on over to

aisle 18 to take

advantage of

a $100 instant

savings coupon!

X

X

Source: Guardian.co.uk; Deloitte


Engaging Omnichannel Consumers is Key

“Shoppers who shop on our website as well as in our stores spend four times as much; throw smartphones into the mix and they spend eight times as much”

— Laura Wade-Gery, Executive Director, Multi-channel E-commerce, Marks & Spencer

1 Channel 2 Channels 3 Channels

8X

4X

1X

Source: Guardian.co.uk; Deloitte


Stores Are Moving Online

“The next five years will bring more change to retail than the last 100 years.”

— Cyriac Roeding, CEO, Shopkick


Stores Are Moving Online

THE CHALLENGE:

Cost andPerformance


Akamai software in the store optimizes performance and

offloads last mile pipes

Akamai is Developing a Solution


Optimizing the Retail Store Experience

Seconds to load

Second to load

Without AkamaiWith Akamai Hybrid Cloud Optimization

8 1<BETA AVAILABILITY SCHEDULED JULY 1, 2013


Possible Future Channels: Shopping Walls


Possible Future Channels: Couch Commerce

88% of tablet owners use their device

while watching TV

Imagine if product placement becomes

“click to buy”

“Couch Commerce” is closer than you

may think


Participate in the “Couch Commerce” Demo

www.akamai.com/couchcommerce

http://www.akamai.com/solademo

http://www.akamai.com/solademo


Best Practices to Maximize the Omnichannel Opportunity

• Make it fast regardless of touchpoint

• Take advantage of opportunities afforded by simultaneous use of multiple channels

• Engage in-store shoppers with quality digital experiences



Find out why 96 of the top 100 retailers trust Akamai to accelerate their sites

Live Mobitest Demos

Please visit the Akamai Booth

#506 & 508See the “Couch

Commerce” DemoPick up “Retail’s Omnichannel

Imperative” Whitepaper


Grow revenue opportunities with fast, personalized web experiences and manage complexity from peak demand, mobile devices and data collection.Q&A

Etail West 2013 Akamai CEO Tom Leighton_Final

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