Retail’s Digital Transformation
- 1. 1© 2016 SAP SE or an SAP affiliate company. All rights reserved. NRF BIG SHOW 2016 R E TA I L . D I G I TA L . I N F I N I T E O P P O RT U N I T Y. J A N U A R Y 1 7 – 2 0 2 0 1 6 | N E W Y O R K C I T Y
- 2. 2© 2016 SAP SE or an SAP affiliate company. All rights reserved. NRF BIG SHOW 2016 J A N U A R Y 1 7 – 2 0 2 0 1 6 | N E W Y O R K C I T Y R E TA I L . D I G I TA L . I N F I N I T E O P P O R T U N I T Y.
- 3. ©2015 SAP SE or an SAP affiliate company. All rights reserved. 3 The World is Digital and Networked Last 2 years 90% Of the world’s data has been generated1 Last 2 years 40% Growth in adoption of business networks2 1 ScienceDaily, May 22, 2013. 2 Technology Adoption Report on Business Networks, Ardent Partners, 2014. 3 Internet of Things (IoT) 2013 to 2020 Market Forecast: Billions of Things, Trillions of Dollars, IDC, 2013. 4 Statista, 2014. 212 billion End of 2020 “Things” will be connected3 By 2020 9 billion Mobile users in the world4 In 2014 51% Of workloads processed in the cloud5 5 Cisco Global Cloud Index: Forecast and Methodology for 2013–2018, Cisco Systems Inc., November 11, 2014.
- 4. ©2015 SAP SE or an SAP affiliate company. All rights reserved. 4 Contextual Personalized Cross-channel Digitally empowered consumers shop differently
- 5. ©2015 SAP SE or an SAP affiliate company. All rights reserved. 5 Retail Omni Commerce Strategic Drivers Increase conversion rates Reduce returns Improve shopping experience Rapidly implement new marketing initiatives and promotional offer types in all channels Provide consistent pricing across all channels Buy, fulfill, return anywhere Real-time inventory visibility Flexible use of inventory Reduce delivery time and cost Reduce zero picks and cancelled orders Consolidate customer data Track all customer interactions Connect interactions across touch points Understand preferences, customer profiles Product Data Quality Consistent Pricing 360 View of Customer Reliable Inventory Availability Increase Sales Drive Revenue /Margin Reduce Cost Customer Insight Differentiate Strategic Drivers Provide contextual, personalized, and consistent experience across channels Online and in store Personalized experience
- 7. Merchandising Merchandising Merchandising Supply chain Supply chain Supply chain Stores Customer touch points Marketing Marketing Marketing E-com Mobile Channels Put customer at the center of decision making Align business processes (merchandising, marketing, supply chain, …) Engage customers consistently across all touch points Product centric Organizational silos Scattered and inconsistent data Managing this digital transformation requires a new retail mindset
- 8. Integrated Marketing & Personalized Promotions NorthAmericanGroceryRetailerCasestudy • TransitioningfromPhysicalto DigitalWorld • PersonalizingOffersand PredictingProfits • MeasuringMarketing& PromotionEffectiveness
- 9. Brookshires Grocery SAP CAR Powers Loyalty and Promotions Transformation Watch the Sapphire Presentation and hear directly from Brookshire Grocery: http://events.sap.com/sapphirenow/en/sessions.aspx Reinvigorate Customer Experiences with Innovation in the Grocery Business + $600 / year 21% more likely to stay Core Digitally Engaged CORE SHOPPERS + $675 / year 23% more likely to stay Opportunity 156% more likely to move up to Core Digitally Engaged OPPORTUNITY SHOPPERS
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- 18. Hybris marketing and Facebook: Personalized Marketing at Scale Predictive Analytics Scoring Golden Segment and Custom Audience Personalized Offer / Engagement Campaign Analytics Marketing • Extend your “golden” customer segments by finding look-alikes on Facebook • Create highly personalized offers with closed-loop commerce integration • Manage end-to-end budget and campaign planning as part of the broader marketing mix Facebook Ads Campaign Planning Budgeting
- 19. ©2016 SAP SE or an SAP affiliate company. All rights reserved. 19Internal Thank you Contact information: Paul Donovan [email protected]