Here’s What We’re Reading…

Wearable tech gets personalThe race is on to create the de-facto wearable device, one that promises

to become the ultimate form of personalization. User experience experts

anticipate that as mobile continues to infiltrate daily life, it will do so by

way of an adaptive operating system that offers real-time suggestions and

feedback based on an aggregation of the wearer’s personal history and

habits. Google’s recent release of its wearable tech line confirms this – the

devices will operate based on a gradual learning – and adapting to – the

user’s daily habits. Read more about the mobile operating systems of the

future at VentureBeat.

User behavior insights: mobile travelers offer brands big tipsTrip Advisor’s recent mobile and social study found that 85% of vacationers

remain connected while on-the-go. At a time when users are ostensibly

unplugged, it turns out they are just as connected as ever, making it

imperative that leisure and hospitality brands seek innovative new ways to

engage the mobile crowd. The most popular user behaviors of connected

travelers offer brands valuable tips. For instance, marketers can ramp up

social media outreach to connect their brand with guests’ travel narratives.

Marriott is working toward this in a big way, working to turn its 330,000-odd

employees into global content creators and brand ambassadors. Tourism

marketers are seizing on the popularity and exclusivity of drones to create

stunning, one-of-a-kind trendy travel videos that can go viral socially. Click

through for all the user behavior insights from Trip Advisor’s study.

Interactive omnichannel takes center stage at March’s Retail shows The big takeaway centered on how all elements of a successful omnichannel

mix should be consumer-centric. At Retail Business Technology Expo,

the focus was on maturing mobile strategies. Samsung’s presentation

underscored the potential of mobile to transform the in-store experience,

using the example of an intelligent, optimized grocery experience. The

variety of solutions covered a range of practical enhancements, including:

Industry BitesMarch 2014

USABLENET // INDUSTRY BITES — MARCH 2014 PAGE 1

How travelers use their smartphones and tablets on holiday

mobile POS solutions that eliminate long lunchtime queues and make mobile payments a reality; and kiosks that conveniently

remember past purchases, augment in-store loyalty programs, and suggest recipes along with ingredient lists and their specific

locations in aisle. Deepening personalization via strategic social experiences across omnichannel was also a big theme, and added

dimension to how mobile magic can turn one-time buyers into brand loyalists. To view the whole infographic, visit Visually.

Forecast: All eyes on tabletTOmnichannel is imperative, but when it comes to certain longer-form interactions, consumers are more frequently turning to

tablet. After 9 PM, when shoppers have time to discover and browse, they power on their tablets. European retailers noted that 40%

of online purchases came from these “twilight shoppers” on tablet. When it comes to video consumption, users also prefer tablets

– interest in streaming via the device has doubled in the past year. These consumer behavior shifts reflect a growing appetite for

unique experiences on the newest screen. Analysts expect that all sorts of interactions will follow; according to Goldman Sachs,

most mcommerce will be tablet-based by 2018.

Usablenet Coverage and Conversation

Opinion piece: does your tablet strategy avoid these pitfalls? Tablet is such an interesting channel to design for because of all the freedom granted by its larger

screen and touch UI. But with all of these advanced options come common stumbling blocks that

keep brands from designing truly optimized tablet experiences. Our CMO recently weighed in,

sharing four tips on how to create a unique and delightful tablet experience, including the cost of

poor user experiences on conversion and customer retention. To read about how to avoid this and

the other three typical mistakes brands make, head over to the eConsultancy blog.

What’s Next: Five Key Mobile TrendsOur latest blog post explores how brands can keep ahead of the mobile curve by watching five key mobile trends. The piece covers:

cross channel shopping on the increasingly “visual web,” the various ways of introducing location into the omnichannel mix, and

helping customers help themselves with mobile experiences that are truly interactive — all of which help drive sales. For specific

examples and a deep-dive into marketing and mobile strategy, head over to the Usablenet Blog.

Infographic: the state of mobileWith mobile’s explosion has come an eruption of statistics, mind-boggling

data points and factoids to capture new behaviors and predict what is to

come. So, it seemed a good idea to take a step back, assess mobile usage

and consumer behavior, and admire the progress in mobile. To do so, we

created two companion infographics that portray the state of mobile. Check

out our insights on the US infographic here and the UK version here, both

available on the new Usablenet Knowledge Center.

PAGE 2USABLENET // INDUSTRY BITES — MARCH 2014

SOURCE: QUANTITATIVE US/UK CONSUMER RESEARCH STUDY 2013

Over(526 million)

mobile devices and connections were added in 2013.

Global mobile devices and connections in 2013 grew to

6.5 billion in 2012.

up from

Smartphones accounted for

of that growth,

with 406 millionnet additions in 2013.

2012 2013

77%

79%

77%

of US shoppers use their smartphone for browsing and shopping on websites and apps.

Checkout

ABI Research predicts that mobile app revenue will reach

$46 billionby 2016, up from about $8.5 billion in 2011. 2011 2016

7 billionhalf a billion

The State of Mobile in the US

Mobile Usage by the Numbers

Time spent shopping on Mobile and Tablet

Consumers spend more than

per week on mobile researchhours per week mobile web time

hours per week mobile app time

7.3 hours

8 hours

15 hours

In June 2013 more than half (55%) of all ‘retail related’ time spent online originated on smartphones and tablet devices combined, compared with just 45% coming from desktop devices.

Mobile web vs Mobile apps

0

10

20

30

40

50

60

70

80

Mobile web Apps

GamesMaps/directionsCheck bank account

Research for travel

Product reviews

22%

78%

25%

75%

58%

42%

48%52%

39%

61%

55% 45%smartphones and

tablet devicesdesktop devices

Online Shopping Holidays

Average order value $115.63on smartphone

on tablet $132.75

Tra�c from63.66%smartphones

tablets 36.34%

Sales on33.44%smartphones

tablets 66.56%

2013

Average order value $106.49on smartphone

on tablet $126.30

Tra�c from63.07%smartphones

tablets 36.93%

Sales on31.87%smartphones

tablets 68.13%

2013

Tablets convert 3 times the rate of smartphones.

Holiday Shopping November - December 2013

% of Online Site Tra�csmartphone

tablet

% of Online Sales5.4%smartphone

tablet

Conversion Rate 0.9%smartphone

tablet 3.2%

21.9%

13.2%

12.3%

Average Session Lengthsmartphone

tablet 6:26

Average Page Views5.5smartphone

tablet 7.6

Average Order Value$106.36smartphone

tablet $118.92

3:58

Tablets drove 11.5% of all online sales in Q4 2013. Tablet users also averaged $118.09 per order.

Sources1 Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update, 2013–20182 Usablenet Research – In store Experience Whitepaper3 ABI research4 Google Think Insights - Mobile Path to Purchase: Five Key Findings5 NRF Article - Shop.Org/ComScore Report Finds Consumers Increasingly Turning To Their Smartphones

6 Statistic Brain - Mobile Browser vs Application Preferences7 IBM 2013 Holiday Benchmark Report - Black Friday Results 20138 IBM 2013 Holiday Benchmark Report - Cyber Monday Results 20139 IBM - U.S. Online Retail Holiday Shopping Recap Report 201310 IBM Digital Analytics Benchmark

Usablenet helps leading companies in multiple industries to create unique experiences for their customers on smartphones, tablets, apps and kiosks.

Visit our website www.usablenet.com and follow us on Twitter @Usablenet.

Holiday Shopping November - December 2013

search for product information

buy goods buy services search/use online vouchers

Shopping by smartphone and tablet in UK increases by

Total online sales rose year-on-year in December to

18%.£11.1bn

The State of Mobile in the UK

Mobile Usage by the Numbers: Mobile

Online Shopping

Sources1 Deloitte: Digital evolution – Where next for the consumer facing business?2 The Guardian: Shopping by smartphone and tablet in UK increases by 18%3 Mobile Marketing: 7 in 10 People in the UK Now Own a Smartphone4 Intelligent Positioning Blog: Mcommerce will explode to over £17 billion a year in the UK by 20175 eMarketer: One-Third of UK Population Now Use Tablets

6 Mobile Marketing: 2014: Year of the Tablet Slump 7 Deloitte: Digital evolution – Where next for the consumer facing business?8 Digital Strategy Consulting: Cyber Monday in the UK9 The Guardian: Ten things Christmas taught us about the UK retail revolution

Usablenet helps leading companies in multiple industries to create unique experiences for their customers on smartphones, tablets, apps and kiosks.

Visit our website www.usablenet.com and follow us on Twitter @Usablenet.

57% 50% 42% 46%

and tablets used for nearly of all retail sales

6%with mobiles

Mobile payments are increasingly perceived as more convenient by shoppers.

31%.an online wallet, with venturing into contactless payments.

have already used

12%

UK m-commerce, currently valued at

£6.6bn, will explode to a massive

£17.2bn by 2017.

2014 2015 2016 2017

Mobile Usage by the Numbers: Tablet

By 2017, more than half of the UK population will use at least one tablet regularly.

20142013 2015 2016 2017

Tablets sold

17mn in 2013; 14mn in 2014; and 20mn in 2017.

tablets will be sold for every

smartphones in 2017.

23 65%

of tablets sold in 2017 will have screens below 9 inches .

< 9 inches

2.2bntotal

Tablets in use will grow from

tablet market

2011 2017

27mn55mn

in 2013 to

in 2017.revenue in 2017.

Mobile web vs Mobile apps

0

5

10

15

20

25

30

35

40 Mobile webApps

Online bankingStream video content

GPS/location services

Research products /services

Purchase services

Buy goods

14%

26%

11%

24%

37%

11%

17%

31%

19%

24%

21%21%

2013

Checkout

94%Mobile Shopping up

Mobile traffic grew to of all online traffic, an increase of over 2012.

44.3%

67%

Sales completed via mobile devices were also strong, growingyear over year, and exceeding

94.3%

33% of total online sales.

On mobile phones the AOV was £82.24,demonstrating increased consumer confidence in using mobiles for shopping.

Tesco said more than a third of its online grocery orders were placed on a mobile device in the run-up to Christmas.

Marks&Spencer said orders from tablet computers had more than doubled, while sales via phones were up

80%

Willingness to Recommend

No33%

Yes67%

Q. If you have a poor or unsatisfying experience when trying to use a website on tablet, does that affect your willingness to recommend that brand to friends and family?

Quantitative US/UK Consumer Research Study 2013