Adobe Digital Strategy Group | Olivia Kwon Best (Practice Director, Retail … · 2018-11-13 ·...

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© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Personalization @ Scale Adobe Digital Strategy Group | Olivia Kwon Best (Practice Director, Retail & CPG)

Transcript of Adobe Digital Strategy Group | Olivia Kwon Best (Practice Director, Retail … · 2018-11-13 ·...

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Personalization @ ScaleAdobe Digital Strategy Group | Olivia Kwon Best (Practice Director, Retail & CPG)

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Objectives

2

Share strategic POV on achieving Personalization

@ Scale

An overview of the Adobe's Personalization at Scale perspective that can help you drive engagement, loyalty and sales

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Personalization is: delivering the right message & content to the right customer in the right context & through the right vehicles

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Experience

Data & Analytics▪ Enabled by 360 holistic omnichannel view of

customer data & preferences▪ Machine learning and predictive models/algorithms

Content▪ Personalized content that is

dynamically assembled (automatically)

Message or Offer▪ Optimize across competing messages/offers to select

the most relevant for the customer

Context▪ Behavior-triggered messages/offers, based on real-

time contextual interactions

Channels▪ Preferred contact channel and

frequency

Customer▪ Shift from mass marketing to personalization @

microsegment/individual level

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

These leading practices capabilities drive a best-in-class personalization program

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Cap

abili

tyLe

adin

g P

ract

ice

s

Leverage centralized, decisioning engine to

arbitrate which messages/offers should go to which customers

over which channels

Digital messages are dynamically assembled

in real time

Online and offline teams are consolidated

(at all levels)

Org incentives are shared/common and

aligned to drive omnichannel goals

Creative production workflow is produced

by content block so content is created once and then applied across

channels

Content blocks are attributed with relevant metadata using AI/ML

Unified view of omnichannel customer

data

Robust predictive models/algorithms

(e.g., purchase propensity,

product/brand affinity, price sensitivity, etc)

Advanced digital tactics such as: tailored

content layout/sequence, dynamic promos,

behavior-triggered messages in store

Advanced offline tactics such as tailored POS

offers, clienteling, and associate/call center

enablement

Personalization & Decisioning Experience

Creative & Content ManagementData &

AnalyticsCreative &

Content MgmtData &

AnalyticsPersonalization & Decisioning

Customer Experience

Org & Operating Model

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Adobe’s maturity model outlines business capabilities needed to deliver personalized omnichannel experiences

55

PER

SON

ALI

ZATI

ON

MA

TUR

ITY

MO

DEL

Customer Experience

Data management

Customer data captured

Data platform& integration

Data quality

Data reporting

Channel & campaign performance

Customer analytics & modeling

Segmentation

Predictive models& pznalgorithms

Scalable content production

Creative production workflow

Content/asset attribution

Digital asset management

Content management

Testing & experimenting

Campaign/Offer optimization

Omnichannel campaign mgmt.

Next best message/action

Contact optimization

Dynamic content assembly

Org structure & alignment

Operating model

Resources & Skillsets

Personalized websitePersonalized mobile app

Personalized emailPersonalized display ads

Personalized direct mail

Personalized in store

Personalization & Decisioning Experience

Creative & Content ManagementData &

AnalyticsCreative &

Content MgmtData &

Analytics

Customer Experience

Personalization & Decisioning

Org & Operating Model

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

The decision engine provides the “personalization recipe”, which is assembled automatically across digital media, pulling content from the DAM

Content Blocks(DAM)

Campaign Optimization/ Decision Engine

Dynamic Content Assembly

Output: Offer/Message

Asset Asset Metadata

A

B

C

D

E

• Boho style• Promo offer 5%• Women’s• Spring Dresses

• Street style• Full price• Flat sandals• Silver color

• Floral pattern• 30% off• Long sleeves• Soft woven fabric

• Casual style• Full price• Kid’s• Spring t-shirt

• Designer’s fashion• Full price• Balloon sleeves• Silk

Content blocks tagged with metadata

Personalization recipe based on predictive models

Dynamic template is used to automatically assemble final digital media according to the “recipe” from the decision engine

Claudia’s Personalization Recipe

Priority 1: Spring dresses

Priority 2: Floral pattern

Priority 3: Street style

Victoria’s Personalization RecipePriority 1: Flat sandals

Priority 2: Kid’s

Priority 3: Designer’s fashion

Email Template

Priority 2

Priority 3

Priority1 C B

A

D E

B

Email to Claudia

Email to Victoria

Personalization& Decisioning

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© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Personalization can drive significant lift in omnichannel engagement and sales

Increase CTR by

10-30% (email, push, display, social)

Increase site conversion rates by

5-15%

Increase site AOV by

5-10%

Sources: Econsultancy

Increase store sales by

1-5% (digital influence on offline sales)

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© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Objectives

8

Share market perspective on who’s doing it well

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

SITE

Homepage Cat page Search PDP EMAIL APP

Nascent Basic Emerging Advanced Cutting Edge

Retailers are still building personalization capabilities across all customer touchpoints

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Objectives

10

Discuss recommended approach – where to get

started

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Recommended approach – high level plan to get started

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Establish program org structure with c-level support1.a

Identify solutions/platform and define required tech architecture3

Define roadmap, prioritize projects based on value & implementation complexity4

Prepare data platform to provide a single omnichannel view of customer 5

Redesign processes & identify organizational requirements6

Develop personalization strategy, prioritize desired capabilities & build business case1.b

Measure & monitor results and omnichannel KPIs7

Implement quick wins to deliver value immediately2

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Nordstrom Shopper:A shopper who expresses interest in brands like Madewell, Topshop and Free People via Nordstrom’s interactive brand quiz

Nordstrom uses explicit customer preferences to create personalized digital experiences Category

Page

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Designer preference CTA is prominent at the top of the homepage; authentication is not

required

Expression of interest in designers is aided by visuals and allows for liking as well as disliking

for more accurate sequencing results

Category page is automatically filtered by “Sorted just for you” and makes it easy to re-

express preferences

Nordstrom’s Women’s Clothing Category PageNordstrom’s Designer Preference QuizNordstrom’s Homepage

1 2 3

© 2017 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Shopper 1:Frequently shops hair products and recently browsed Fenty Beauty line

Sephora’s app deploys 100% personalized, geo-targeted content near- and in-store in “store companion mode” App

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Shopper 2:Frequently shops powder makeup products (eyeshadow, blush, highlighter)

Shopper receives pop up that leads to store companion mode

Sephora sends real time push when shoppers walk near the store

Store companion showcases 100% tailored content: samples & new arrivals in store personalized to shopper’s past

behavior. Shoppers can easily view whether past purchases are in stock

1

2

3

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Sample roadmap to achieve personalization at scale

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Phase 4Phase 1 Phase 2 Phase 3

Data & Analytics(setup for transformation)1

Omnichannel orchestration & messaging(optimize omnichannel campaigns)

2

Activate site & email personalization(prioritize initiatives based on value)

3

Optimize decisioning & dynamic contentassembly(Efficiently enable personalization

at scale)

4

1A: Develop data platform that enables single omnichannel view of the customer views

1B: Develop predictive models & analytics