Don “eCommerce” Brett’s Post

eCommerce: Strategy Frameworks (6) Great summary by Kevin Box🚀 below: 👇 📈 𝗠𝗰𝗞𝗶𝗻𝘀𝗲𝘆’𝘀 𝗧𝗵𝗿𝗲𝗲 𝗛𝗼𝗿𝗶𝘇𝗼𝗻𝘀 𝗼𝗳 𝗚𝗿𝗼𝘄𝘁𝗵: ↳ This model offers a longitudinal view, guiding leaders to balance immediate performance with long-term innovation. 🌟 𝗧𝗵𝗲 𝗕𝗖𝗚 𝗚𝗿𝗼𝘄𝘁𝗵-𝗦𝗵𝗮𝗿𝗲 𝗠𝗮𝘁𝗿𝗶𝘅: ↳ This model stands as a testament to portfolio analysis, where 70% of companies using it have reportedly seen improvements in growth. 📊 𝗕𝗮𝗶𝗻 & 𝗖𝗼𝗺𝗽𝗮𝗻𝘆'𝘀 𝗡𝗲𝘁 𝗣𝗿𝗼𝗺𝗼𝘁𝗲𝗿 𝗦𝗰𝗼𝗿𝗲: ↳ This model focuses on real-time customer feedback. 🌐 𝗗𝗲𝗹𝗼𝗶𝘁𝘁𝗲’𝘀 𝗗𝗶𝗴𝗶𝘁𝗮𝗹 𝗠𝗮𝘁𝘂𝗿𝗶𝘁𝘆 𝗠𝗼𝗱𝗲𝗹: ↳ This model guides organizations through digital transformation. 🔗 𝗔𝗰𝗰𝗲𝗻𝘁𝘂𝗿𝗲’𝘀 𝗩𝗮𝗹𝘂𝗲 𝗖𝗵𝗮𝗶𝗻 𝗔𝗻𝗮𝗹𝘆𝘀𝗶𝘀: ↳ Is a critical model in restructuring operations for efficiency. 🔄 𝗧𝗵𝗲 𝗣𝘄𝗖 𝗦𝗔𝗥𝗔𝗛 𝗠𝗼𝗱𝗲𝗹: ↳ Aids leaders in navigating change. #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin

eCommerce: Flywheels ⚙️ Great write up by Timothy Timur Tiryaki below: 👇🏼 “A flywheel is a mechanical device that uses the conservation of momentum to store rotational energy. In business, a "flywheel" is a powerful concept that describes how companies can create self-reinforcing cycles of growth. Unlike a traditional funnel model, a flywheel gains momentum over time, leading to compounding returns. Key aspects of a business flywheel: ◦ Interconnected components that feed into each other ◦ Builds momentum gradually, then accelerates ◦ Aligns with core business model and strategy A well-designed flywheel turns your strategic advantages into a virtuous cycle. For example, Amazon's flywheel leverages low prices to drive volume, enabling further cost reductions. How does your business model create reinforcing loops? Identifying and optimizing your flywheel can be a game-changer for long-term success. Notable examples of flywheels at work are: Amazon: Lower prices → More customers → More sellers join platform More sellers → Increased selection → More customers More customers → Economies of scale → Lower costs → Lower prices Netflix: More content → More subscribers → More revenue More revenue → Invest in better content → Attract more subscribers Spotify: More users → More data → Better recommendations Better recommendations → Improved user experience → More users and listening time More listening time → More ad revenue and subscriptions → Ability to license more content LinkedIn: More professionals join → More valuable network → Attracts more professionals More user data → Better job matches and content → Increased user engagement Uber: More riders → Attracts more drivers → Reduced wait times Reduced wait times → Better user experience → More riders More rides → Lower prices → More riders Google: More searches → Better search results → More users More users → More ad revenue → Invest in better technology Better technology → Improved user experience → More searches Each flywheel is closely tied to the company's business model and competitive advantage. Connecting the flywheel to an organization's North Star Canvas©, Strategy Sketch© are very powerful exercises.” #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin

eCommerce: Doordash (from 16% share to 53%) As a fan of DoorDash and a friend to many of the team at the company, this makes me smile. GO team GO. Great summary by Tom Alder below: 👇 DoorDash pulled off one of the most under appreciated market share robberies of all time. In just 3 years, they exploded from 16% to 53% share of the US delivery app market. Here’s 4 strategies they used to crush Uber Eats, Grubhub and Postmates by Uber. 1. Avoiding the competition DoorDash targeted restaurants without delivery services, often with pre-existing customer bases, rather than competing for newer restaurants with multiple other providers. 2. Empowering restaurants DoorDash acquired restaurants by providing them with not just delivery services, but insights they never had before: popular dishes in the area, customer demographics, local delivery times, and more. 3. Maximising AOV DoorDash focussed on winning outer suburbs with large family homes - an underserved segment with a much higher average-order-value (AOV) than urban regions. 4. Brand positioning When Covid hit, DoorDash supported its Dashers and restaurants by offering payment advances and other benefits, creating significant supply growth for their marketplace. Doordash saw the opportunity, developed a plan... and they delivered. 🔥🔥🔥: A. Toby Espinosa Katie Daleo Glory (Goodman) Linsley #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin

eCommerce: Omni channel for Consumer Products (10 Ways to Build Consumer Engagement) Great eBook by the SAP Emarsys team. If you are a marketer building Direct Engagement and Omnichannel in our community today, you will likely find value in these practical tips. Fun Facts: (3) 🎉 76% — Global consumer loyalty dropped from 76% to 66% in 2023* ushered in by price hikes & volatility 🎉 68% — 68% of Consumer companies surveyed are set to increase advertising & marketing spending 🎉 20% — By 2028, 1 in 5 ad dollars in the US will be spent on retail media presenting major opportunities to access first-party data Questions for consideration: (2) 1️⃣ Are you just starting out with omnichannel personalization -- are you starting by determining your first-party data strategy to make sure you’re maximizing your current customer engagement solution? 2️⃣ Are you able to identify and offer consumers a relevant value exchange in exchange for their valuable data? Happy to share (27 pgs). Be sure to catch the replay with my esteemed executive CPG panelists from Del Monte Foods, Inc., Colgate-Palmolive, American Greetings & Kellanova as we discuss how CPG brands build direct-to-consumer engagement -- August 6th. Register here: https://lnkd.in/eDRWHzge #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin #emarsys #sap #thecpgview

eCommerce: Middle of Funnel Great visual by the Semrush team. The Marketing Funnel: (3) ToFu: Top of funnel MoFu: Middle of funnel BoFu: Bottom of funnel Key Questions: (5) 🙌🏼 What content works best for generating leads? 🙌🏼 What content works best for lead nurturing? 🙌🏼 What are the most efficient channels for generating leads? 🙌🏼 What are the most efficient channels for nurturing leads? 🙌🏼 What metrics do you use to measure the effectiveness of content at the MOFU stage? #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin #thecpgview

eCommerce & CPG: Publicis vs. Omnicom Stellar write up by Joshua Novick below: 👇🏼 📈 Publicis Groupe has experienced a remarkable surge in the past couple of years, growing revenue by 26% from 2021 to 2023 and doubling its market cap from 12 billion euros in early 2021 to over 25 billion euros currently. 🥊 Omnicom is now its closest competitor, slightly trailing behind in revenue and EBITDA, essentially tied in net income, but trailing by 50% in market cap. 💼 Gone are the days when WPP still the leader in revenue, led the pack of the big five advertising groups. However, it now lags far behind in profitability and value. But let's compare the two current leaders in the advertising service industry (2023): 💰 Market Cap on May 2nd, 2024: Publicis: €26B Omnicom: €17B 💸 Revenue: Publicis leads Omnicom by 11%: €14.8B versus €13.3B 📊 EBITDA margin: Publicis 18%, Omnicom 16% 💹 EBITDA: Publicis leads Omnicom by 26%: €2659M versus €2101M 💵 Net Profit: Publicis leads Omnicom by 4%: €1312M versus €1260M 💰 Free Cash Flow: Publicis leads with €1796M vs Omnicom €1134M 💼 Revenue per Employee: Omnicom here is more efficient: €177k versus €146k (Publicis) 💰 Cost per Employee: Publicis here is more efficient: €83k versus €89k (Omnicom) Publicis also reports compensation costs without social security. Average compensation of the French multinational: €67k 📊 Net revenue by client's industry: Publicis: 🔸Auto 15% 🔸Financial 14% 🔸Healthcare 14% 🔸Food & Beverages 13% Omnicom: 🔸Pharmaceuticals and Healthcare 16% 🔸Food and Beverage 15% 🔸Auto 12% 🔸Technology 8% 💼 Service split of revenue: Publicis (according to investor presentation): 🔸1/3 of net revenue is media, 🔸1/3 Data and Tech (Epsilon, Publicis Sapient), 🔸1/3 Creative Omnicom (reports more specific data): 🔸Advertising and Media 54% 🔸Precision Marketing 10% 🔸Commerce & Branding 6% 🔸Experiential 4% 🔸Execution and Support 6% 🔸Public Relations 11% 🔸Healthcare 9% The advertising world has dramatically shifted over the past decade 📈: 🌐 Google (Alphabet Inc.) leads with a near €2 trillion market cap, about 28 times the combined market cap of Omnicom, Publicis, WPP, IPG, and Dentsu, which totals just €70 billion. 📘 Meta, the second top player, has a market cap of about €1 trillion—14 times the combined market cap of those top 5 traditional ad giants. Revenue insights 📊: 💰 Google generated €280 billion, while Meta brought in €122 billion. 📉 In contrast, the top 5 traditional ad groups together generated €63 billion. Profit comparison 💸: 🚀 Google's net income of €82 billion exceeds the total revenue of the top 5 advertising groups combined ( €63 billion.) Ways to reach us: Pattern® The CPG View The Retail eCommerce Club #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin #thecpgview

Rising tides… Congrats Irina Demian.

eCommerce: EBITDA Explained 🙌🏼 What is EBITDA, and what you can do to leverage this metric? Terrific summary by Nicolas Boucher below: 👇🏼 EBITDA is the acronym for: - Earnings - Before - Interest - Taxes - Depreciation - Amortisation It's a financial metric that shows how much money a business makes before taking into consideration non-operational expenses like interest and taxes and non-cash expenses like depreciation and amortisation. Why is EBITDA important for businesses? EBITDA is important because it gives businesses an estimate of how much money is being generated from their operations. This is useful for investors and lenders who want to know a company's profitability. You use it like a scorecard to know how much money a company is making. How is EBITDA calculated? You need to start with a company's revenue and subtract its cost of goods sold to calculate EBITDA Then, you subtract its operating expenses (like salaries and other fixed costs). Another way to calculate it: Net Income + Interest Expense + Taxes + Depreciation + Amortization EBITDA vs. Net Income EBITDA: In EBITDA, you don’t take into consideration expenses like Depreciation, Taxes, or Interest. Net Income: Net income is what remains as actual profit after depreciation, interest, and taxes are taken into consideration. Ways to reach us: Pattern® The CPG View The Retail eCommerce Club #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin

eCommerce & CPG: Prime Day + TikTok Great summary by Juozas Kaziukėnas below: 👇🏼 Fun Facts: (3) 🔥 500m+ views = Prime Day and adjacent terms 🔥 223m views = Prime Day 🔥 #2 = second watched hashtag in the US “The biggest social commerce event in the US is Prime Day. Prime Day was again huge on TikTok, despite TikTok building out TikTok Shop, which it didn’t have last year. Prime Day got 223 million views from tens of thousands of videos in 7 days and is the second most-watched hashtag in the US this week. Plus, there is Prime Day and others. All combined, Amazon got 500m+ views, all from user-posted content and influencers.” #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin

eCommerce: How to optimize PDP conversion 🙌🏼 Great summary by Stuti Kathuria 👇🏼: 80% of your PDP visitors will never see the add to cart CTA. Here's why: - your price seems too high - your product does not look attractive - your PDP has too much info in initial folds This impacts your add to cart rate. And your conversions, revenue, profit. A visible add to cart CTA is key to a successful online business. Visible. But not placed "too early". Not before your visitor is ready to click on it. In this example, using Cetaphil's PDP, I've made 10 changes that make the add to cart CTA more visible and increase the conversion rate. 1. Add the "use case" of your product above the product name. What purpose it solves. Helps the visitor quickly understand if it's for them. 2. Add a 1-2 line benefit-driven summary of the product under the product name. This gets the user interested and reading further. 3. Optimize the price area by mentioning quantity, ml, units (if this is applicable to your product). This shows them value for money and justifies price. 4. Highlight a result the user can expect with numbers on the image. This should be proven by an actual study. 5. Add image thumbnails. Make sure the image gallery in a one-stop place to get all key information about the product. 6. Add a short summary in bullets before the add to cart. Keep the bullet points to 1 line on mobile. 7. Show the quantity and their price upfront and not under a drop-down. If you have more than 4 options, you can consider having a drop-down. Highlight savings for all options. 8. Optimize the add to cart area by highlighting the delivery time and rate. 9. Highlight product USPs or brand USPs below the add to cart in a visual format using icons. Make sure this info is unique and not repeated above. 10. Add an upsell section like "Complete your routine" or "Complete your look". This increases your AOV and helps the shopper find relevant products easily. Other UX/UI and CRO changes I did: - Added an information bar with shipping info - Added a cart icon in the logo bar - Reduced the image height Found this useful? Let me know in the comments! P.S. If you want to maximize your PDP’s potential, start by understanding your visitor's behavior and the gaps. Start with one change, measure impact, and iterate for continuous improvement. Ways to reach us: Pattern® The CPG View The Retail eCommerce Club #ecommerce #digital #omnichannel #strategy #cmo #cdo #ceo #cro #leadership #retailecommerceclub #cpg #privateequity #playtowin #thecpgview