Online revenue. Every millisecond counts

Here are some amazing website performance statistics highlighted by Joshua Bixby at Strangeloop in his recent 1 to 1 Media blog post.

I’m calling out a few of the statistics here, but read his entire post for all the glorious detail and links to the research that he has provided.  As Joshua points out, “when it comes to online revenue, every millisecond counts.”

  • A recent Akamai study found that 57 percent of site visitors will bounce after waiting 3 seconds or less for a page to load
  • Microsoft deliberately slowed down its Bing site by two seconds, which led to a 4.3 percent loss in revenue per visitor
  • Shopzilla famously sped up site, accelerating its average page load time from 6 seconds to 1.2 seconds. Without making any other outward changes to the site, Shopzilla experienced a 12 percent increase in revenue and a 25 percent increase in page views
  • Amazon performed its own page speed optimization and announced that, for every 100 milliseconds of improvement, revenues increased by 1 percent.

I love that last one.

Bookmark this content with:

JC Penney + Facebook = eCommerce $’s

I was really excited to see that JC Penney launched a Facebook store this week, a move that will be replicated by many merchants in 2011, as they clamour to increase sales as a result of the social networking sites huge popularity.

I only had time to take a quick glance, and I can’t say that I bothered to go too far through the buying process, but a few things jumped out at me immediately, both good and bad.  On the whole though, I think this type of Facebook application is a sure sign of things to come – so fair play to JC Penney being the first major US retailer to offer proper online shopping on Facebook as opposed to a simple fan page with links.

(Click on images to enlarge)

JC Penney Facebook Homepage

I’ll start with the negative stuff.  As an embedded application, the navigation is slightly ‘awkward’ feeling compared to a conventional eCommerce website.  That’s fairly understandable, plus I believe that as applications like this grow in popularity, users will learn that this is the way apps ‘work’ inside facebook on a desktop.  But the app also felt very ‘mobile-like’ and I wasn’t so keen on this.  I assume it’s this way because of the way the application needs to be served, plus the fact that Facebook is assessed so readily on mobile and smart phones already (so it’s been optimised for these users first and foremost).  But the downside is that content is pretty minimal and simple, and I have to be honest it feels a little strange when I’m on a beefy laptop as opposed to my Smart phone.

JC Penney Category Page

The JC Penney Facebook store claims to be ‘fully integrated’.  I am not sure what that means other than the application is fully ‘enclosed’, i.e. you don’t leave Facebook to browse, register, purchase or recommend or review items.  This is great – and not to be underestimated as an approach – as personally I am not so keen on the hand-off to another domain part way through a transaction and I’d guess I am not alone.

JC Penney Product Details Page

I did spot a few glitches (again possibly understandable given this is very new?) that suggest the ‘integration’ isn’t as complete as many customers might desire.  For instance, a few items I browsed and selected to purchase were not available to buy, although I wasn’t made aware of this when browsing.  That’s frustrating and doesn’t happen on decent conventional eCommerce stores.  And a few images are missing here and there, which combined with the skinny, ‘mobile-feel’ means that the experience isn’t amazing.  Plus I also noticed that with Google Chrome, a few of the alert messages appeared over the application navigation which was a little bit annoying.

But to be fair that’s all sour grapes.  On a positive note what I liked was the proposition consistency – ‘free shipping’ on overs over $69, ‘free shipping to store’, and ‘store returns’ supported.  This is a great confidence booster and possibly hints at further multi-channel integration to follow.  And I also liked the search capability and the faceted / filtered navigation facilities provided.  This gave me confidence and felt natural – a useful combination of a standard eCommerce site and a proper mobile website.   And the way you skip through pages was simple and pretty usable in my opinion (I’d much rather this approach than a page a mile long).  And furthermore a simple, but effective, solution for customer’s on the move is that it’s easy to find a traditional store with the ‘find a store’ facility.

JC Penney Shopping Bag

All in all I liked what I saw.  I’ve been waiting for Facebook to be more than a fan-page festival in terms of eCommerce – and here it is.  There is no doubt that M&S, ASOS, Arcadia Group and the like, will be following with their own facebook stores in the very near future simply because there are more than 550M facebookers out there.

Facebook is a channel that won’t be ignored.  And JC Penney is there at the forefront of it all.  Already with 1.3 million fans, they should be about to truly benefit from social commerce in the way that makes most businesses sit up and take notice.  Dollars in the cash register.  All hail f-Commerce!

Bookmark this content with:

Halfords: First mass UK retailer to offer PayPal as a mobile payment method

We were delighted to announce earlier today that Halfords (the UK’s leading specialist retailer for automotive parts and accessories, cycling and leisure) has launched its first ever transactional mobile website, a project we have been planning and working on since the summer.  The project builds on the success of Halfords’ dotmobile site, which went live in August 2010 and is reported on here.


Halfords mCommerce Solution

Since the launch of the dotmobile site, Halfords has seen mobile visitor numbers increase to 8% of Halfords’ dotcom total. Conversion levels have also doubled.  However, the announced enhancements enable customers to pay for orders via their mobile phone.

Chris Corbin, Head of Multichannel at Halfords said:

“More and more of our customers are accessing our site via mobile and we want them to have the same experience as they have from a computer. Smartphones point to how trends in shopping habits are changing fast.”

What was pioneering about this project was that the initiative makes Halfords the first retailer in the UK to offer such a variety of delivery options via a smartphone.

To support true cross channel shopping habits, mobile customers have access to Halfords’ extended range of products – but importantly the same fulfilment options that are offered on the main Halfords.com site, offering a compelling and ultimately valuable shopping experience. This means that mobile customers can choose from a variety of ways to shop;

  • Home/Work Delivery
  • Order & Collect (Free delivery of any item to any store of customers choice)
  • Reserve & Collect (Free reservation of an in-stock item for store collection)

In addition, mobile customers can search for products, read customer reviews, compare products, and find their nearest store with stock.

Payment for goods, a hot topic in mCommerce circles, also saw the Halfords and Salmon teams provide customer choice.  Shoppers can pay by credit/debit card, or by using PayPal; the same payment methods supported by Halfords.com.  In another first, Halfords is the first mass UK retailer to offer PayPal as a mobile payment method.

For those readers who like even more detail, the mobile platform was developed using the same underlying architecture as Halfords.com, namely IBM WebSphere Commerce. Developing the transactional capability involved complex integration by Salmon between the mobile site, DataCash and PayPal to offer 3-D Secure.  Salmon also integrated the mobile site with Multimap (now Bing Maps) , SAP and Store6.

Bookmark this content with:

Endsleigh – eBusiness Award winners!

Endsleigh Award Winners

Congratulations to our client, Endsleigh Insurance Services, who scooped the Insurance Times E Business Award at last night’s gala ceremony.

The winning project, delivered by Salmon and detailed here, ensures Endsleigh’s customers benefit from a truly exceptional online experience that includes the ability to purchase insurance & financial products and services directly via the internet.

The awards, in association with Global Reinsurance and StrategicRisk, hosted more than 100 different companies including some of the biggest international insurers and brokers in addition to a host of regional independent brokers, reinsurers and corporates.  The other award winners are listed here.

Congratulations to Allianz Commercial general manager Chris Hanks, who scooped the Industry Achiever of the Year award.  The much anticipated Insurer Chief Exec’s Chief Exec of the year award was handed to Barry Smith of Ageas. Oval’s Phillip Hodson won the vote in Broker Chief Exec’s Chief Exec equivalent.

And finally, congratulations to both Jennifer Day, the Online Sales Manager at Endsleigh Insurance Services  and our entire project team, who all worked so hard on the pioneering project.

Jennifer Day, Online Sales Manager, Endsleigh with Chris Harvey, CEO, Salmon

Bookmark this content with:

City Beach Case Study Video

Earlier this year, Salmon implemented a new online store for City Beach, Australia’s largest surf, skate and lifestyle fashion retailer, which has over 60 stores across Australia.

And at last we have a video testimonial to describe the work undertaken with the brand.

Now customers have the choice to buy City Beach products and engage with the City Beach brand online whenever it suits them, making CityBeach.com.au one of Australia’s hottest online destinations.  And it was all delivered in less than 100 days, using IBM WebSphere Commerce.  You can read more here.

Bookmark this content with:

M-Retailing video interview with Halfords and Salmon

M-Retailing’s editor Paul Skeldon talks to Chris Corbin, Head of Multi-channel at Halfords and Sue Pratt, Account Director at global commerce systems integrator Salmon, about the drivers behind extending Halfords’ online presence into mobile and why mobile is the future both in and out of store.

Bookmark this content with:

Salmon help Halfords.com go Mobile as smart phone access soars

***Update: 14:22 PM Aug 24th – Halfords: Mobile Site Review by eConsultancy
***Update:  2:52 PM Aug 16th - Since Friday’s launch mobile conversion has doubled!***

Today we announced the successful development and launch of Halfords’ mobile platform, enhancing the retailer’s multi-channel proposition and delivering a unique and compelling mobile shopping experience for its customers.

A staggering 5% of traffic to www.halfords.com is from internet enabled mobile phones, and Halfords have reacted by having us develop a mobile platform such that visitors to Halfords.com using a mobile device will automatically be directed to the new mobile platform.

Halfords.mobi Screengrab

The solution allows visitors to;

  • Search for products
  • Read customer reviews
  • Make product comparisons
  • Locate their nearest store that stocks the desired product
  • “Reserve and Collect” the item.

Customers benefit from the same common design elements and features that make Halfords.com so successful.  Here is what the Head of Halfords.com had to say this afternoon;

The internet enabled mobile is becoming the essential tool for shoppers. We are seeing a huge increase in customers who are researching products and making shopping decisions while on the move.  We see a huge opportunity for growth of our online business by improving the shopping experience for mobile visitors. So we are aiming to make our site more relevant to the way people want to shop.
Chris Corbin, Head of Halfords.com

Halfords.com is already growing fast, with online revenues up 70% year on year in the first quarter, with visitor numbers now running at over one million people a week.  Early results from the Halfords mobile platform show that visitors really appreciate the new lay out and easier access to essential information and conversion rates are significantly up.

We’ve been helping Halfords implement their eCommerce and multi-channel strategy since 2005, delivering “Reserve and Collect”, “Home/Work Delivery”, “Text and Reserve” and more recently “Free Delivery To Store”; all of which leverage Halfords’ existing IBM WebSphere Commerce based architecture.

Bookmark this content with:

Honesty in service delivery

Prompted by reading Seth Godin’s post on the paradox of promises in the age of word of mouth recently, I have been thinking about the issue of honesty in the selling and delivery of services.

We do an awful lot of eCommerce platform replacement projects.  During the initial pre-sales conversations most of our prospective clients have fixed expectations on go-live dates.  Some of these are overly-optimistic.  We are faced with the dilemma of either telling them the truth (with the risk of losing the work) or saying that the project can be done and finding a way to extend the deadline afterwards.

From the projects we’ve rescued and the stories we have heard, honesty is always best.  Yes, we may lose some work (which is always painful) but I believe that the alternative is worse.  Starting out with dishonesty (in this case an unachievable deadline) only causes a very costly, painful implementation and lack of trust between supplier and customer.

And let’s face it.  These projects are always challenging enough anyway.  They are complex, involve many stakeholders (internal and external), and affect many business process and IT systems.  Customer and supplier are going to be working closely together for extended periods, often under pressure.  The overall chances of success are much, much higher if we are honest with each other right from the start.

As an aside, and on the specific point of timescales, some suppliers may reply that they started out thinking that the overly short time scale was achievable – only to discover after they’ve won the project that it’s not.  My view on this is that these kind of responses should be a warning flag to prospective customers because it demonstrates naivety.  An experienced supplier knows what is likely to go wrong or take longer than envisaged and so only makes promises that they know they can deliver against.  That same experience is what will help ensure the overall success both of any initial projects and the ongoing relationship.

Bookmark this content with:

Customer In Focus : Endsleigh Insurance

Salmon have been working with Endsleigh Insurance to deliver a truly exceptional online experience.

To reflect the way its customers want to receive quotes and buy insurance products and services, Endsleigh Insurance – the #1 student insurance provider in the UK – chose Salmon to build an intelligent online quote and buy platform.

Here are some written details on the project:

Overview:
Salmon implemented a new intelligent eCommerce website for Endsleigh Insurance Services Ltd, ensuring its customers benefit from a truly exceptional online experience that includes the ability to purchase insurance & financial products and services directly.

Business Need:
Endsleigh prides itself on understanding customers and their needs. The solution needed to be designed to allow Endsleigh to display relevant and targeted propositions, and additionally allow underwriters to develop competitive propositions and offers.

Solution:
The new website’s design and experience based architecture is centered wholly on customer needs. The innovative solution leverages a unique “recognition system” conceived by Endsleigh and developed, implemented and integrated by Salmon, which intelligently determines which content to display to any given customer segment. Salmon have developed Endsleigh’s new eCommerce platform leveraging Microsoft Office SharePoint Server and Microsoft Web Content Management.

Benefits:
Endsleigh’s diverse customer content including documents, web pages, video, photos and reviews are now managed via a central repository. This ensures better knowledge sharing, improved customer communications and increased process efficiency. For returning visitors, the solution automatically checks what knowledge Endsleigh already holds. Importantly this ensures visitors are not only given access to the detail of their cover and claims advice, but also visibility of complementary products and offers or discounts applicable. Other benefits include;

  • Capability to implement affinity partner strategy in areas such as co-branded landing pages and white labeled services.
  • Access to business tools that allow Endsleigh staff to manage and update the entire online solution themselves, whilst following approval cycles to meet FSA regulation.
  • Personalisation that allows Endsleigh to promote tailored products and advice designed to suit each individual and complementary products, offers or discounts.

Salmon demonstrated a high level of technical expertise and a comprehensive understanding of the insurance market and their passion and skills have helped us meet our vision to make endsleigh.co.uk an eCommerce website which can exceed customer expectation and help us lead the market when it comes to purchasing insurance online. Ian Passmore, Managing Director, Endsleigh Insurance

Bookmark this content with:

HTML5 Infographic

Further to our recent post about HTML5 : And what it means for eCommerce development this incredible infographic came to my attention [click to enlarge]

HTML5 Infographic

HTML5 Infographic

Bookmark this content with:

Bookmark and Share

Salmon on Twitter