Hayder Assam: IBM Commerce Client Solutions ProfessionalAlly Scott: Solutions Consultant IBM ExperienceOne12/03/2015

Targeted Marketing on the Commerce Targeted Marketing on the Commerce Platform

Agenda

• IBM Commerce solution overview• Green wheels• Precision Marketing

Commerce Solution Components.

MarketingSelling and Fulfillment

B2B IntegrationProcurement

Create a Cycle of Continuous Engagement

Is the customer in market now?What is the right product for

this customer?

Does the customer have

enough information to make a

decision?

Will the customer act if

we make an offer now?

Is the customer willing to

What is the potential of this

customer?

How should I differentiate my

treatment of this brand advocate?

4

Is my product delivering

value to the customer?

Does the customer

need help now?

How does the customer

perceive my brand?

What price should I

charge?

Is the customer using my

product effectively?

Is the customer willing to

advocate for my brand?

Greenwheels

Story of Katie and her bike purchase

High level logical architecture

WebSphereCommerce

WebSpherePortal

Mobile App

WCM

Social Media

Reviews

DMO

Digital Analytics

Product Recs

Forms

PageRedirect

MobileFirst

SDKs

DDCREST

Order Management

Get pricingGet pricingCatalog Inventory Sterling Store

Marketing Platform

Notifications (Xtify)

Silverpop

TAM

LDAPInteract

Product Recs

OffersOrder, Catalog,

InventorySync

Direct API

Lookup

SMTP

Websphere Commerce Precision Marketing

© Copyright IBM Corp. 2014. All Rights Reserved.

10

Customer behaviors that can be used to DYNAMICALLY assign

segments

• Precision Marketing provides automated, one-to-one, dynamic merchandising

and marketing based on individual preferences and shopping intentions

• WC processes triggers and based on previously-defined flexible rules, it

initiates an action that can be routed through any WC-controlled touchpoint

• WebSphere Commerce Marketing Engine handles on-going dialog with

customers, over time, across channels as customer's behavior changes

Customer Centricity: Cross-Channel Precision Marketing

Triggers• Pages viewed• Location• Past purchases• Clicks• Social Participation• Segment/Persona membership

• Open/un-open email• Web / kiosk / mobile / call center / POS

• Other

WebSphere CommerceMarketing Engine

Actions• Custom landing page• Custom Email or SMS • Custom product or category page

• Targeted Cross-sells & Up-sells

• Promotion • Marketing campaign• Web / mobile / kiosk• Other

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Two types of Activities

Precision Marketing – Overview

• Web Activity

� Control what displays in predefined e-Marketing Spots on your store pages

• Dialog Activity

� Automate marketing actions based on the specific behavior

of your customers over time

Empower Business Users and Reduce IT Involvement

• Scenario: Create a new page

– Business user creates a page

– Business user selects a template to use

– Business user adds content by selecting and configuring apps

– Enhanced in-context page preview

Select/Build a layout Select apps &

configure content

Create new page.

Assign URL.

Assign meta-data.

IBM Interact

Different approaches:

• Deterministic: the user programs the logic that makes the selection

• Predictive: algorithms make the selection

DETERMINISTIC

Strengths:

• Gives marketers more control over results

PREDICTIVE

Strengths:

• Models do the work

• Self-learning/ self-

How are real-time decisions made ?

control over results

• Expected results are easy to see

Weaknesses:

• Time-consuming to build and maintain

• Limited by marketers’ intuition

improving over time

Weaknesses:

• Takes control from marketers’ – “black box”

• Performance can be slowed by processing requirements

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DETAILS

http://www.voluptatem.quia/maliquam.html

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HOME PAGE

http://www.voluptatem.quia

Interact enables “inbound marketing”

WWWOFFER

!OFFER

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“Greetings”reason

for callresolution[authentication]

hold time…

? ?

CALL CENTER

WWW

OFFER OFFER !

What Is IBM Interact?

Determines next best offer for inbound channels in real-time

– Part of the IBM Marketing Platform

– Presents personalisedpersonalised messagesmessages in real-time

– Personalisation based on:

–– BehaviouralBehavioural targeting targeting of anonymous visitors

– Combined with customer targeting based on profile and behavioural data

– Decision based on segmentation and rules defined by the marketer

–– AND scores from existing models tempered by AND scores from existing models tempered by self learningself learning

– Meets the most rigorous performancerigorous performance requirements. Up to:

– 1,000s of transactions per second

– 50-150ms average response time

Part of a single, centralised marketing decision engine

Facilitates continuous customer engagement

segments

offers

contact & responsehistory

real-time interaction management

SPSS Modeler

Decision

Managementresponsehistory

attribution

reporting

outbound campaign management

Customer DB

Operational

Systems

How Interact works

Context

ProfileData

Real-time decisionWELCOME

http://www.voluptatem.quia

SPSS Models

BehaviourPatterns

IBMInteract

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Offer(s)

• Blends segmentation, rules & algorithms• Coordinates with outbound/batch

Real-time decision

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WELCOME

OFFER

WSC widget raises API calls to Interact and requests two Offers

Interact Flowchart assigns visitor to

segments

IBM Interact Offer Delivery Steps with Websphere Commerce

Personalisation Segments

- Info

- Clothing

Eligible Segment Recommended OfferInfo Mountain Biking 101

Clothing Aurora Biking KitAltura Kit 50% offGore Bike Wear 35% off

Score

91

756081

Score73

684254

Self learning (Bayesian model)

modifies Offer Score

based on overall offer

acceptance / rejection

Campaign Strategy assigns offers to

segments and scores to offers, using rules

Initial score set by Marketer

?

Interact sends response across

API to WSC

widget.

IBM Interact Advanced Features

Interact with Omni-Channel Message OrchestratorDelivers offers / promotions / messages in real-time across multiple channels

1.

Pages viewed(DDX tag)

Interact

OMOCalls

Interact to get an offer

Customer’s daughter has recently had her 17th birthday & looking at car insurance. Target

for Young Driver policies.

2.

Get OfferDDX tag data

Interact

OMODispatcher

sends offers to the

channels

API call response

?

Young Driver Offer

3.

Offe

r P

ara

mete

rs

4.

Young Driver Offer

Offer parameters from Interact sent to Silverpop to drive

personalisation and conditional content.

Interact Omni-Channel Message Orchestrator (OMO) Online web purchase, In-Store pick-up notification with Offer sent via Silverpop Transact

Omni-channel Offer

Orchestrator

SilverpopXtify / Xtify /

Silverpop(cloud/sdk)

DDX/DA / Tealeaf

2

1

Event trigger received

Call Interact to get best offer

Event triggeredProduct purchasedonline

Requests in-storepickup

1 – DA/DDX triggered event calls Interact.

2 – OOO Config files

checked to determine if

event is configured to send

offers, and how many

3 - calls getOffers and

getProfile

4 - determines the right Interact

Custo

mer

Fire

wall

(cloud/sdk)Tealeaf

Digital Messaging ServicesGateway

hi

3

Send offers

Notification alerts sent to both mobile & email

Personalized Offers for

in-store merchandise

4 - determines the right

outbound channel by

calling the configured

ChannelSelector

5 - in new thread, send

offers and profile record to

offer dispatcher

6 – dispatcher sends offer

by calling gateway API and

passes offer attributes.

IBM Interact Advanced Patterns:Using cross session behaviour to drive next best action in real-time

Visits Fitted Kitchen then next day runs “Room � Customer thinking of having a new kitchen

� If Retailer does not react customer likely go elsewhere

Views Men’s Shavers 3x in 1 day

� Customer wants to but a men’s shaver

� If Retailer does not react customer likely to buy elsewhere

Views Televisions then next day runs “Find your perfect television”

� Customer shopping for TVs

� If Retailerdoes not react customer likely to buy elsewhere

next day runs “Room Planner”

� If Retailer does not react customer likely go elsewhere

Viewed men’s

shaver

Post Event

Interact Advanced Patterns Cross session behavioural triggers – monitored in real-time

Day 1 a.m. Day 1 p.m. Day 2 a.m.

Other page

viewed

Interact

Viewed men’s

shavers -

Post Event

Other page

viewedViewed men’s

shaver

Post Event

Fire Men’s Shaver

Pattern as “True”

Men’s

Shaver

Day 2 p.m.

Other page viewedOther page

viewed

Other page

viewed

Other page viewed

• Define “Events” in Interact

• Define Patterns in Interact

• Interact sends Events to Advanced Patterns as they occur

• Advanced Patterns fires a “True” state when the pattern is met

• Pattern remains “True” for a predefined period

• Pattern state used in Interact flowchart for segmentation

Interact

Interact

Advanced

Patterns

View category 3 times in one day

Pattern as “True” Shaver

Offer

Inbound journeys with Interact Advanced Patterns:Trigger ’follow-up targeting’ based on accept, reject, contact activity

Men’s Shaver

001

Men’s Shaver

001

EVENT PATTERN 2 Men’s

Shaver 002

Men’s

Shaver 002

Reject (Men’s Shaver 001)

EVENT PATTERN 1

EVENT PATTERN 3

Accept (Men’s Shaver 002)

Men’s Aftershave

001

Men’s Aftershave

001

EVENT PATTERN 4

EVENT PATTERN 5

EVENT PATTERN 6

Related OfferB

Related OfferC

Related OfferA

Using Interact your customers make the most of every opportunity to sell

Coupon at

Till

Web:

personalise

Home Page

Reinforce

Web:

Incentivise

return Updates,

information

Mobile:

Service

messages Reinforce

offline

promotions

Mobile:

Deliver

coupons

Bring into

store (geo-

location)

Web: Cross-

sell at check-

out

Real-time

Offers in

email

Websphere Commerce / Interact Integration

Omni-Channel Marketing Integration:

Interact � WebSphere CommerceBrings intelligent offer management to WSC via simple UI widget

WebSphere

Commerce

Pre-built integrations make

deployment reliable + quick

Personalised offers from Interact

per zone – event feedback on

offers – promotion code linkage

IBMIBM

WEBSPHERE

IBM Interact and WebSphere Commerce Widget Adding Omni Channel Offers to Commerce Website Channel

context

Fired

Patterns

Profile

Data

IBM

INTERACTWEBSPHERE

COMMERCE

37

offer(s) &

promotion

code(s)• Blends segmentation, rules

and learning algorithms to

determine Next Best Offer

• Links Promotions to Offers

• Logs offer presentation and

response

• Coordinates across multiple

channels (OMO)

• Set-up Promotion

• Include spot on website

• Render offer / promotion

• Redeem Promotion at

checkout

• Return purchase response to

Interact

IBM Interact and WebSphere Commerce Widget

Runtime data flow for offer / promotion presentation

Purchase – logging offer acceptance in Interact

1. Create a Promotion in WSC

2. Build an Offer in Interact, add Promotion Name as an attribute

3. Add a script in the Widget HTML to create a cookie with Promotion Code as its name and Treatment Code as the value.

4. Accepting the Offer by using the Promotion Code to make the

purchase.

1. During the purchase transaction capture the <Promo Code Used> by the 1. During the purchase transaction capture the <Promo Code Used> by the

customer and set to a cookie.

2. Check that the <Promo Code Used> during checkout is the same as the

<Promo Code> from Interact. This value is the Treatment Code

3. If the Treatment Code exists then send an “Accept” Interact Post Event

through the Interact JavaScript SDK.

Inbound journeys with Interact Advanced Patterns:Trigger ’follow-up targeting’ based on accept, reject, contact activity

EVENT PATTERN 2

Men’s Shaver

001

Men’s Shaver

001

Men’s

Shaver 002

Men’s

Shaver 002

Reject Men’s Shaver 001)

Accept (Men’s Shaver 002)

Reject (Men’s Aftershave 001)

EVENT PATTERN 1

EVENT PATTERN 3 Men’s Aftershave

001

Men’s Aftershave

001

Related OfferB

Related OfferC

Reject (Men’s Aftershave 001)

EVENT PATTERN 4

EVENT PATTERN 5

EVENT PATTERN 6

Related OfferA