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iMedia Online Retail Summit
      Mobile Strategy & Gamification

Presenters:
Mark Neely                Kate Linton
Head of Strategy          User Experience Principal
mneely@thoughtworks.com   klinton@thoughtworks.com
About ThoughtWorks
About ThoughtWorks
Role of Mobile in Omni-Channel Retailing
Your mobile experience



      Show of hands - who has a mobile store experience?
Your mobile experience




 Source: Are you giving your customers what they really, really want? (WorldPay, 2012)
Your mobile experience




 Source: Are you giving your customers what they really, really want? (WorldPay, 2012)
All commerce is digital




 Source: Forrester, EuroMonitor, Economist Intelligence Unit
Effective Omni-Channel Retailing
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience



     Connection                                   Consistency

                                                                   All Consumer Touch Points
                                                                   The 7 C’s are relevant to all consumer
                                                                   touch points.
                             Elements(
                                                                   For the sake of today’s session,
  Control                                                Clarity
                                                                   however, we’ll focus on the role of
                                                                   mobile devices in achieving the 7 C’s.



             Communication               Choice
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience
                                                                   Convenience
                                                                   Convenience is all about letting
                                                                   consumers initiate, advance or complete
     Connection                                   Consistency      the shopping journey at a time or
                                                                   location that suits them.

                                                                   Role of Mobile

                             Elements(                             Mobile is a ubiquitous, always
                                                                   on device. It creates the opportunity for
  Control                                                Clarity
                                                                   mobile is to create the bridge between
                                                                   focussed desktop research and
                                                                   serendipitous window shopping.

                                                                   Mobile is always the right
             Communication               Choice
                                                                   location and channel.
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience                               Consistency
                                                                   Consistency has always been a key
                                                                   element in retail - particularly delivering
     Connection                                   Consistency
                                                                   the same retail experience at each site,
                                                                   as this fosters the development of
                                                                   ‘habitual’ behaviours, which are often
                                                                   subconscious and difficult for
                             Elements(
                                                                   consumers to break.

  Control                                                Clarity   Role of Mobile

                                                                   It is increasingly important to ensure the
                                                                   mobile experience is consistent when it
                                                                   comes to branding, image and design as
             Communication               Choice                    well as promotions and offer pricing.
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience                               Clarity
                                                                   The form-factor limitations of mobile
                                                                   devices, combined with the
     Connection                                   Consistency      consumption context (on the move,
                                                                   partial attention etc.) mean that clarity is
                                                                   imperative.

                                                                   Role of Mobile
                             Elements(

  Control                                                Clarity   Give consumers what they need to
                                                                   complete or progress the purchase
                                                                   journey - product details, pricing,
                                                                   availability etc. - in concise,
                                                                   contextually-relevant bite-sized
             Communication               Choice
                                                                   chunks that are easy to navigate.
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience

                                                                   Choice
     Connection                                   Consistency      Individuals do not “belong” to a
                                                                   channel, but certain transactions have a
                                                                   natural domicile.

                                                                   Role of Mobile
                             Elements(
                                                                   Give consumers the choice of channel
  Control                                                Clarity
                                                                   at all times, and recognise that they
                                                                   may wish to migrate between
                                                                   channels as part of their purchase
                                                                   journey.
             Communication               Choice
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience                               Communication
                                                                   Consumers have long expected to be
                                                                   able to have a dialogue with retailers via
     Connection                                   Consistency
                                                                   the digital channel.

                                                                   Role of Mobile

                             Elements(
                                                                   Given the inherent role of the mobile as
                                                                   a communication device, consumers
  Control                                                Clarity   are particularly sensitive about
                                                                   communication options.

                                                                   In addition to email, live chat and click-
                                                                   to-call, ensure social channels (Twitter,
             Communication               Choice                    Facebook etc.) are also linked.
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience
                                                                   Control
                                                                   The Web and Apps now provide
     Connection                                   Consistency      consumers with myriad data about
                                                                   product, pricing, brand perceptions,
                                                                   availability etc., which gives consumers
                                                                   a sense of control over the buying
                                                                   experience.
                             Elements(
                                                                   Role of Mobile
  Control                                                Clarity

                                                                   Customers expect to opt in and define
                                                                   how they interact with the retailer,
                                                                   including what brands, products and
                                                                   locations they want to have specific
             Communication               Choice                    interactions with.
The 7 C’s of Effective Omni-Channel Retailing


                         Convenience
                                                                   Connection
                                                                   Many retailers and brands have jumped
                                                                   onto the social web to enhance
     Connection                                   Consistency
                                                                   customer service and drive word-of-
                                                                   mouth.

                                                                   Role of Mobile

                             Elements(                             But these platforms provide a unique
                                                                   opportunity to build an emotional
  Control                                                Clarity   connection with customers.

                                                                   No single strategy for building
                                                                   connection, but it starts with an
                                                                   outside-in view of customer needs, and
             Communication               Choice                    fitting in - and simplifying - their
                                                                   lives.
The 7 C’s of Effective Omni-Channel Retailing

                                                             Connection
                                                             Many retailers and brands have
                                                             jumped onto the social web to
                                                             enhance customer service and
                                                             drive word-of-mouth.

                                                             But these platforms provide a
                                                             unique opportunity to build an
                                                             emotional connection with
                                                             customers.




 Source: Motista Study of 10 Major US Retail Brands (2011)
Mobile Web Site v. App?
M-site or App?
                         Data from the Top 5 US Retailers
                         (for Web/App usage) - Amazon,
                         Best Buy, eBay, Target and Walmart
                         - show that mSites are still the
                         dominant access point.

                         Why?
                         • No need to download App
                         • Often no functionality
                           differentiation between App +
                           mSite
                         • Serendipitous interest


                         Lessons?
                         • Make sure your website is mobile
                           optimised
                         • Understand your customer
                           behaviours before investing in
                           Apps


Source: Nielsen (2012)
Responsive Web Design


                        As a minimum, organisations
                        should ensure their web site
                        content is mobile optimised.

                        Ideally, they should start
                        adopting “responsive” web
                        design approaches.

                        • Fluid proportion-based   grids
                        • Flexible images
                        • Priority logic
Responsive Web Design
Design Considerations
Design for Customer Context




      Focussed                   Browsing      Partial Attention
   (goal-oriented)            (on the couch)    (on the move)
Seamless Customer Experience


                               Unified Experience
                               Traditional approach is to design
                               different experiences for different
                               channels.

                               Consumers are increasingly
                               looking for a seamless
                               experience across all channels,
                               both to create a comforting
                               sense of consistency and as a
                               demonstration of authenticity.
Closing Thoughts
Closing Thoughts



1. Mobile is in a state of flux.
Mobile platform is yet to decide what it wants to become when it grows up. We are still
 at year 5 of a 10 year maturation cycle. Mobile and tablet offerings will evolve
 through several more iterations until things settle down.



2. Let go of Web thinking
Every new media has suffered from being “trapped” in the previous paradigm. We
 need to let go of the Web paradigm to understand the unique capabilities and
 applications of the mobile platform.
Closing Thoughts


3. Take a portfolio approach.
Avoid making “big bets”. Think of mobile as more “here today, gone tomorrow” rather than as a
  traditional software application. Also, don’t get distracted by product-as-a-company start-ups
  (Pinterest, Instagram, DrawSomething) - few are sustainable and have short life-cycles.


4. Start with utility, not sexy.
Map your customers’ experience from end-to-end, and understand the pain points and “moments
 of truth”. Define the experience in a way that addresses a real need to make it captive. Layer
 social elements around utility, as they are more transient.
Closing Thoughts


5. Simplify value propositions.
Consumers’ desire for personalisation increases the degree to which consumers expect niche,
clearly defined products or services. It is not about customised propositions (market of one), but
defining simple, clear product propositions that consumers can understand fit-for-need with
minimal effort.


6. Focus on job, not technology.
Understand the job customers will use your mobile service to achieve, without being distracted
 by technology issues. Are your customers hiring your site/App to buy something, seek service
 or support, ask for help or for distraction? Understand this and you will have greater clarity
 around mobile requirements.
Break Time!
What is Gamification?
What is gamification?




                        The idea of using
                        game-thinking and
                        game mechanics in
                        non-game contexts to
                        engage customers/
                        audiences and solve
                        problems.
What is gamification?

                        Engagement is comprised of a series
                        of (largely) interrelated metrics:

                        • Recency - Time since usage
                        • Frequency - Regularity of usage
                        • Duration - Time spent viewing/doing
                        • Virality - Positive word-of-mouth
                        • Ratings - Providing usable feedback

                        Gamification is about driving
                        engagement, which in turn creates (or
                        nurtures) loyalty.
What is gamification?


                         Gamification elements rely
                         heavily on behavioural
                         economics.

                        Elements typically allow players
                        to visualise progress, while also
                        satisfying fundamental needs
                        and desires - status,
                        achievement, self-expression,
                        competition, collaboration and
                        rewards.
What is gamification?

                        At its heart, gamification
                        is about creating an
                        engaging experience that
                        allows an organisation to
                        move from “push”
                        marketing towards
                        customer “pull”, and
                        tapping into peer-to-peer,
                        viral and social (“earned”)
                        marketing environments.
What is gamification?



That said, gamification is no panacea.

Where products, price or place are grossly unequal,
attempts at gamification (and the loyalty it engenders) is
much less meaningful.

Nor can gamification overcome poor products, poor
market fits, or poor digital customer experiences.
Getting Started
Getting started

 Starting point is accepting that everything has the
 potential to be fun.




 It is the mechanics of the game - not the theme - that
 make it fun.
1.
Identify Engagement Targets
Getting started



     “What behaviours do we want to encourage?”

     “What experiences do we want to amplify?”


     Identify moments in the customer journey where
     we want to increase engagement.
2.
Identify Engagement Options
“An engaging experience thats kinda fun &
addictive - tying into an existing passion and
extending and enhancing it”


Customer Journey Scenario - MicroBrewery
Map out the customer journey
Envision the product with gamification baked in
Identify engagement options

    Strategies for increasing engagement




                Influencing people’s behaviour through design
Identify engagement options

     Adjust your game mechanics for your
                   audience
Applying Gamification Thinking
Applying gamification thinking




  Desired Behaviours
                                 Game Mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Game mechanics
Categories of Game Mechanics
Categories of game mechanics


                Challenges & targets

   What happens if you set people a challenge, or give them
   a target to reach through what they’re doing?
Categories of game mechanics

           Unpredictable reinforcement

    What happens if you give rewards or feedback on an
    unpredictable schedule, so users keep playing or
    interacting?
Categories of game mechanics

                           Scores

   Can you give users feedback on their actions as a score
   or rating allowing comparison to a reference point?
Categories of game mechanics

                               Levels

   Can you split your system up into achievable levels
   which help users feel like they’re making progress?
Categories of game mechanics

                         Rewards

   Can you encourage users to take up or continue a
   behaviour by rewarding it, through the design of the
   system?
Categories of game mechanics

                        Playfulness

  Can you design something which ‘plays’ with its users,
  provoking curiosity or making interactions into a game?
Categories of game mechanics

                        Storytelling

   Can you tell a story via your design, which interests users
   and keeps them engaged?
Categories of game mechanics


                    Leave gaps to fill

   Can you leave deliberate gaps (in a design, message,
   etc) which users will want to fill, becoming engaged in
   the process?
Categories of game mechanics


                      Role-playing

   What happens if your system gives users particular roles
   to play, or makes them feel like they’re playing a role?
Categories of game mechanics


                       Collections

   What happens if you encourage users to collect a set of
   things (friends, activities, places, objects, etc) through
   using your system?
Categories of game mechanics


                    Make it a meme

What happens if you plan your design to be something
people want to spread, and make it easy for them to do so?
Workshop Scenario
Workshop Scenario


              Jumbuck MicroBrewery

   The client is an Australian "micro brewery" - a small scale
   brewery that makes a dozen or so craft beers with limited
   volumes.

   Their only retail presence is online and at-premises sales. 90%
   of their sales comes via their digital channel with home delivery.
   They do not currently sell via pubs/restaurants/bars, but they
   would like to if they can find the right kind of distributors.
Workshop Scenario


                 Jumbuck MicroBrewery

   They currently have a website:
   - Product area: explanation of their range of craft beers
   - Sales area: where customers can order beers for home delivery
   - Club member area: where regular customers can learn more about their brewing
   process, see special offers etc.
   - Home brew forums: where brewing enthusiasts can swap ideas, recipes and
   ingredient recommendations among each other and with the microbrewery's brewing
   staff


   They currently have a mobile site, with a subset of functionality.

   They are considering a mobile app.

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Mobile Strategy & Gamification - iMedia Online Retail Summit

  • 1. iMedia Online Retail Summit Mobile Strategy & Gamification Presenters: Mark Neely Kate Linton Head of Strategy User Experience Principal mneely@thoughtworks.com klinton@thoughtworks.com
  • 4. Role of Mobile in Omni-Channel Retailing
  • 5. Your mobile experience Show of hands - who has a mobile store experience?
  • 6. Your mobile experience Source: Are you giving your customers what they really, really want? (WorldPay, 2012)
  • 7. Your mobile experience Source: Are you giving your customers what they really, really want? (WorldPay, 2012)
  • 8. All commerce is digital Source: Forrester, EuroMonitor, Economist Intelligence Unit
  • 10. The 7 C’s of Effective Omni-Channel Retailing Convenience Connection Consistency All Consumer Touch Points The 7 C’s are relevant to all consumer touch points. Elements( For the sake of today’s session, Control Clarity however, we’ll focus on the role of mobile devices in achieving the 7 C’s. Communication Choice
  • 11. The 7 C’s of Effective Omni-Channel Retailing Convenience Convenience Convenience is all about letting consumers initiate, advance or complete Connection Consistency the shopping journey at a time or location that suits them. Role of Mobile Elements( Mobile is a ubiquitous, always on device. It creates the opportunity for Control Clarity mobile is to create the bridge between focussed desktop research and serendipitous window shopping. Mobile is always the right Communication Choice location and channel.
  • 12. The 7 C’s of Effective Omni-Channel Retailing Convenience Consistency Consistency has always been a key element in retail - particularly delivering Connection Consistency the same retail experience at each site, as this fosters the development of ‘habitual’ behaviours, which are often subconscious and difficult for Elements( consumers to break. Control Clarity Role of Mobile It is increasingly important to ensure the mobile experience is consistent when it comes to branding, image and design as Communication Choice well as promotions and offer pricing.
  • 13. The 7 C’s of Effective Omni-Channel Retailing Convenience Clarity The form-factor limitations of mobile devices, combined with the Connection Consistency consumption context (on the move, partial attention etc.) mean that clarity is imperative. Role of Mobile Elements( Control Clarity Give consumers what they need to complete or progress the purchase journey - product details, pricing, availability etc. - in concise, contextually-relevant bite-sized Communication Choice chunks that are easy to navigate.
  • 14. The 7 C’s of Effective Omni-Channel Retailing Convenience Choice Connection Consistency Individuals do not “belong” to a channel, but certain transactions have a natural domicile. Role of Mobile Elements( Give consumers the choice of channel Control Clarity at all times, and recognise that they may wish to migrate between channels as part of their purchase journey. Communication Choice
  • 15. The 7 C’s of Effective Omni-Channel Retailing Convenience Communication Consumers have long expected to be able to have a dialogue with retailers via Connection Consistency the digital channel. Role of Mobile Elements( Given the inherent role of the mobile as a communication device, consumers Control Clarity are particularly sensitive about communication options. In addition to email, live chat and click- to-call, ensure social channels (Twitter, Communication Choice Facebook etc.) are also linked.
  • 16. The 7 C’s of Effective Omni-Channel Retailing Convenience Control The Web and Apps now provide Connection Consistency consumers with myriad data about product, pricing, brand perceptions, availability etc., which gives consumers a sense of control over the buying experience. Elements( Role of Mobile Control Clarity Customers expect to opt in and define how they interact with the retailer, including what brands, products and locations they want to have specific Communication Choice interactions with.
  • 17. The 7 C’s of Effective Omni-Channel Retailing Convenience Connection Many retailers and brands have jumped onto the social web to enhance Connection Consistency customer service and drive word-of- mouth. Role of Mobile Elements( But these platforms provide a unique opportunity to build an emotional Control Clarity connection with customers. No single strategy for building connection, but it starts with an outside-in view of customer needs, and Communication Choice fitting in - and simplifying - their lives.
  • 18. The 7 C’s of Effective Omni-Channel Retailing Connection Many retailers and brands have jumped onto the social web to enhance customer service and drive word-of-mouth. But these platforms provide a unique opportunity to build an emotional connection with customers. Source: Motista Study of 10 Major US Retail Brands (2011)
  • 19. Mobile Web Site v. App?
  • 20. M-site or App? Data from the Top 5 US Retailers (for Web/App usage) - Amazon, Best Buy, eBay, Target and Walmart - show that mSites are still the dominant access point. Why? • No need to download App • Often no functionality differentiation between App + mSite • Serendipitous interest Lessons? • Make sure your website is mobile optimised • Understand your customer behaviours before investing in Apps Source: Nielsen (2012)
  • 21. Responsive Web Design As a minimum, organisations should ensure their web site content is mobile optimised. Ideally, they should start adopting “responsive” web design approaches. • Fluid proportion-based grids • Flexible images • Priority logic
  • 24. Design for Customer Context Focussed Browsing Partial Attention (goal-oriented) (on the couch) (on the move)
  • 25. Seamless Customer Experience Unified Experience Traditional approach is to design different experiences for different channels. Consumers are increasingly looking for a seamless experience across all channels, both to create a comforting sense of consistency and as a demonstration of authenticity.
  • 27. Closing Thoughts 1. Mobile is in a state of flux. Mobile platform is yet to decide what it wants to become when it grows up. We are still at year 5 of a 10 year maturation cycle. Mobile and tablet offerings will evolve through several more iterations until things settle down. 2. Let go of Web thinking Every new media has suffered from being “trapped” in the previous paradigm. We need to let go of the Web paradigm to understand the unique capabilities and applications of the mobile platform.
  • 28. Closing Thoughts 3. Take a portfolio approach. Avoid making “big bets”. Think of mobile as more “here today, gone tomorrow” rather than as a traditional software application. Also, don’t get distracted by product-as-a-company start-ups (Pinterest, Instagram, DrawSomething) - few are sustainable and have short life-cycles. 4. Start with utility, not sexy. Map your customers’ experience from end-to-end, and understand the pain points and “moments of truth”. Define the experience in a way that addresses a real need to make it captive. Layer social elements around utility, as they are more transient.
  • 29. Closing Thoughts 5. Simplify value propositions. Consumers’ desire for personalisation increases the degree to which consumers expect niche, clearly defined products or services. It is not about customised propositions (market of one), but defining simple, clear product propositions that consumers can understand fit-for-need with minimal effort. 6. Focus on job, not technology. Understand the job customers will use your mobile service to achieve, without being distracted by technology issues. Are your customers hiring your site/App to buy something, seek service or support, ask for help or for distraction? Understand this and you will have greater clarity around mobile requirements.
  • 32. What is gamification? The idea of using game-thinking and game mechanics in non-game contexts to engage customers/ audiences and solve problems.
  • 33. What is gamification? Engagement is comprised of a series of (largely) interrelated metrics: • Recency - Time since usage • Frequency - Regularity of usage • Duration - Time spent viewing/doing • Virality - Positive word-of-mouth • Ratings - Providing usable feedback Gamification is about driving engagement, which in turn creates (or nurtures) loyalty.
  • 34. What is gamification? Gamification elements rely heavily on behavioural economics. Elements typically allow players to visualise progress, while also satisfying fundamental needs and desires - status, achievement, self-expression, competition, collaboration and rewards.
  • 35. What is gamification? At its heart, gamification is about creating an engaging experience that allows an organisation to move from “push” marketing towards customer “pull”, and tapping into peer-to-peer, viral and social (“earned”) marketing environments.
  • 36. What is gamification? That said, gamification is no panacea. Where products, price or place are grossly unequal, attempts at gamification (and the loyalty it engenders) is much less meaningful. Nor can gamification overcome poor products, poor market fits, or poor digital customer experiences.
  • 38. Getting started Starting point is accepting that everything has the potential to be fun. It is the mechanics of the game - not the theme - that make it fun.
  • 40. Getting started “What behaviours do we want to encourage?” “What experiences do we want to amplify?” Identify moments in the customer journey where we want to increase engagement.
  • 42. “An engaging experience thats kinda fun & addictive - tying into an existing passion and extending and enhancing it” Customer Journey Scenario - MicroBrewery Map out the customer journey Envision the product with gamification baked in
  • 43. Identify engagement options Strategies for increasing engagement Influencing people’s behaviour through design
  • 44. Identify engagement options Adjust your game mechanics for your audience
  • 46. Applying gamification thinking Desired Behaviours Game Mechanics
  • 49.
  • 57. Categories of Game Mechanics
  • 58. Categories of game mechanics Challenges & targets What happens if you set people a challenge, or give them a target to reach through what they’re doing?
  • 59. Categories of game mechanics Unpredictable reinforcement What happens if you give rewards or feedback on an unpredictable schedule, so users keep playing or interacting?
  • 60. Categories of game mechanics Scores Can you give users feedback on their actions as a score or rating allowing comparison to a reference point?
  • 61. Categories of game mechanics Levels Can you split your system up into achievable levels which help users feel like they’re making progress?
  • 62. Categories of game mechanics Rewards Can you encourage users to take up or continue a behaviour by rewarding it, through the design of the system?
  • 63. Categories of game mechanics Playfulness Can you design something which ‘plays’ with its users, provoking curiosity or making interactions into a game?
  • 64. Categories of game mechanics Storytelling Can you tell a story via your design, which interests users and keeps them engaged?
  • 65. Categories of game mechanics Leave gaps to fill Can you leave deliberate gaps (in a design, message, etc) which users will want to fill, becoming engaged in the process?
  • 66. Categories of game mechanics Role-playing What happens if your system gives users particular roles to play, or makes them feel like they’re playing a role?
  • 67. Categories of game mechanics Collections What happens if you encourage users to collect a set of things (friends, activities, places, objects, etc) through using your system?
  • 68. Categories of game mechanics Make it a meme What happens if you plan your design to be something people want to spread, and make it easy for them to do so?
  • 70. Workshop Scenario Jumbuck MicroBrewery The client is an Australian "micro brewery" - a small scale brewery that makes a dozen or so craft beers with limited volumes. Their only retail presence is online and at-premises sales. 90% of their sales comes via their digital channel with home delivery. They do not currently sell via pubs/restaurants/bars, but they would like to if they can find the right kind of distributors.
  • 71. Workshop Scenario Jumbuck MicroBrewery They currently have a website: - Product area: explanation of their range of craft beers - Sales area: where customers can order beers for home delivery - Club member area: where regular customers can learn more about their brewing process, see special offers etc. - Home brew forums: where brewing enthusiasts can swap ideas, recipes and ingredient recommendations among each other and with the microbrewery's brewing staff They currently have a mobile site, with a subset of functionality. They are considering a mobile app.