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Setting Up Your Team for Digital
Commerce Success
WRITTEN BY
Steve Jones, VP Sr. Consultant
Kathy Kimple, SVP Sr. Consultant
FITFORCOMMERCE WHITEPAPER SERIES
January 2016
2
Contents
Introduction 3
Delivering the Optimal Shopping Experience 3
Why Traditional Digital Commerce Teams Fall Short 4
Taking Inspiration from Agile 4
Using Cross-Functional Metrics to Achieve a Common Goal 6
Tools that Empower Agile Digital Commerce Teams to Succeed 7
Conclusion: Advancing Digital Commerce with an Agile Approach 9
3
Introduction
The evolution of digital commerce has given rise to a growing set of customer expectations for the digital
experience, both within and across channels. That experience is enabled by a combination of strategy,
technology, content and features, all of which require an investment of time and resources. Those resources
must work collaboratively – often across functional silos including marketing, merchandising, creative,
technology and more – to deliver an optimal experience.
Recognizing the need to reduce friction in the path to purchase in order to drive as many sales as possible,
forward-thinking retailers, brands and digital merchants are taking new steps to do so with efficiency and
skill. Often constrained by limited resources, these companies are finding it critical to assess and align
organizational design while also leveraging the most fitting technology to enable a seamless, collaborative
workflow.
This paper explores how successful retailers, brands and digital merchants structure their digital
organizations, leveraging technology where appropriate, to achieve maximum effectiveness while operating
under resource constraints. We examine the advantages of aligning organizational design, technologies,
tools and work processes to empower internal teams to work together more effectively.
Delivering the Optimal Shopping Experience
Shoppers don’t think in terms of “channels.” Rather, they simply care about their shopping experience. And
in the digital experience equation, shoppers only see themselves and the brand, retailer or digital merchant.
Everything else that truly comprises that equation is meaningless to the shopper – yet absolutely critical to
the success of the business.
Shoppers want an engaging experience that is, above all, fast and convenient. Those businesses winning
in the digital realm are taking measures to ensure a seamless experience, start to finish, within and across
channels, supporting shopper needs wherever, however, and whenever they shop.
But seamless is just the price of entry. Businesses must immerse shoppers in an experience that draws them
in, commanding their attention in a world of seemingly never-ending distractions. This is no small feat,
requiring retailers, brands and digital merchants to harness site content, messages, promotions, marketing,
and merchandising in just the right combination, often tailored by segment or personalized to specific
shoppers. The end goal is for these elements to converge, appropriately matching shopper needs or desires
with the most relevant retail experience, assortment and message.
Keeping the experience fresh and engaging, from initial interest through purchase and beyond, requires the
engineering and orchestration of many complex, interdependent and moving parts. While the thought may
be daunting, approaching the shopping experience in a strategic, holistic manner is the only way to satisfy
shopper’s high expectations. And it begins with an internal foundation built on the right organizational
structure and the technology needed to power it all.
4
Why Traditional Digital Commerce Teams Fall Short
Because digital commerce happens virtually, it’s easy to underestimate the effort required to make it happen.
The experience is virtual; the work required to create it is real. It takes a cross-functional team of contributors
working collaboratively and in alignment to plan, produce, manage and curate a digital customer experience.
This team includes merchandisers, marketers, designers, writers and technology staff. The way a business
develops, staffs, incents and evaluates these functions can mean all the difference between failure and success.
Businesses hire people to manage each distinct area associated with digital commerce, leading to functional
silos. It’s quite common to see someone running the analytics platform, gathering and sharing insights
with marketers and merchandisers. Such a setup perpetuates the maintenance of separate work streams,
responsibilities and platforms to support each specialty. This frequently leads to communication breakdowns,
inefficiencies and missed opportunities. For example, if the marketing department is working on a major
holiday promotion and wrongly assumes the company’s e-commerce technology can support it, the entire
campaign could flop – at great cost.
By breaking down the barriers between the different areas of the digital commerce team, retailers, brands and
digital merchants are better positioned to deliver compelling, engaging content and promotions. This can, in
turn, ensure a standout shopping experience that converts.
Taking Inspiration from Agile
Simply put, to thrive in today’s commerce world and satisfy the new – and ever-fickle – digital consumer,
digital commerce teams must become agile. Many are taking their cues from people in a range of functions
and industries that are embracing Agile project management methodologies and concepts born out of
manufacturing and software development. The Agile framework and approaches were designed to help cross-
functional teams get their jobs done better, faster and at higher success rates.
The Agile philosophy can be traced back to the lean manufacturing principles developed in the 1950s.
Its primary goal is to maximize efficiency during manufacturing in order to boost productivity and lower
costs. Software developers adopted this approach to manage projects requiring teams to work in parallel
and alignment as they quickly produced a cohesive software release building upon the sum of each team’s
contributions.
Agile teams tend to be lean teams. Lean teams benefit from momentum and speed – and, in turn, the ability to
operate at an unprecedented pace. These are the teams that help their businesses achieve an advantage and
grow. To be leaner, they are cross-functional and multi-disciplinary.
“Managing with a focus on the horizontal flow of the work process through highly empowered and
effective teams is the key to competitive organizations.” – Lean Teams: Developing the Team-Based
Organization
5
Embracing a cross-functional, multi-discipline organizational approach is the logical and proven way to
create the necessary cohesion across the digital commerce team. Rather than assign a single person to own
responsibility for a single area – such as digital marketing, creative, content, or merchandising – businesses
could hire with multi-discipline and cross-functional in mind. This manifests itself in hybrid roles such as those
focused on both SEO and content, or on both merchandising and marketing.
The benefits of this organizational design are palpable. With a flatter hierarchy, communication happens more
rapidly, collaboration is more effective, and it takes less effort to get ideas off the ground.
CAPABILITIES NEEDED TO SUPPORT DIGITAL COMMERCE
MERCHANDISING DIGITAL
MARKETING
CREATIVE FULFILLMENT INVENTORY
MANAGEMENT
SITE
OPTIMIZATION
CONTENT TECHNOLOGY 3RD
PARTY
PROVIDERS
FLUID ROLES OF A HYBRID TEAM
CREATIVE
CONTENT
Marketer Website Manager
INVENTORYMERCHANDISING
6
In an ideal world, everyone on the digital team would be knowledgeable in all areas associated with
digital commerce. When each person is able to wear multiple hats, the result is a superstar generalist.
As digital commerce teams adopt agile principles and mindsets, they will progress along a maturity curve from
occupying silos to excelling in a multi-discipline, cross-functional manner.
Using Cross-Functional Metrics to Achieve a Common Goal
To effectively make use of an Agile approach, retailers, brands and digital merchants need to select and apply
the appropriate performance metrics. The work required to support digital commerce, by its collaborative
nature, can lead to confusion regarding individual responsibilities. Or it can result in a bunker mentality with
individuals working as hard as possible to achieve their own goals, which aren’t aligned across the organization.
Clearly defining responsibilities is the first step to success. The next step is ensuring key performance indicators
across functions align to support a cohesive shopper experience.
Performance measurements should combine function-specific and cross-functional factors, engineered to
address the interdependencies required for digital commerce. For example, a digital marketer may be measured
on the amount of traffic driven to a website, while the digital merchandiser might be measured on products sold.
But they both impact site conversion positively or negatively. If the marketer drives unqualified traffic, conversion
suffers. If the merchandiser doesn’t present product in a compelling and relevant manner, shoppers won’t buy. If
the traffic and assortment offered don’t converge in a relevant manner, conversion will be impacted.
ADOPTION OF AGILE PRINCIPLES AND MINDSETS
SILO APPROACH
CROSS FUNCTIONAL APPROACH
7
The argument can be made that the performance measurement of both functions should include conversion
(a cross-functional goal) in addition to function-specific goals.
Tools that Empower Agile Digital Commerce Teams to Succeed
Nearly everyone in digital commerce feels they have more work than the resources to complete it successfully.
To achieve all this, digital commerce teams need the right technologies and tools, ones that make cross-
functional/multi-discipline organizations function effectively. Specifically, these tools should be built to support
an Agile workflow and collaboration so disparate roles can more readily work together.
Fortunately, as technology advances, e-commerce platforms are evolving to anticipate and facilitate the
collaborative work required to support digital commerce, including:
•	 Rapidly pushing fresh content
•	 Gaining and maintaining a cognitive, data-based understanding of shopper behaviors
•	 Making data-driven decisions
•	 Moving quickly from creative ideation to execution
Pushing fresh content
Even a lean (e.g., 4-person) digital commerce team can operate effectively with the right tools. In keeping with
a strategy to use branded content to drive the shopping experience, a digital commerce team should make
significant site changes weekly. With the right processes and technology in place, a small team can easily
and effectively communicate and collaborate around orchestrated changes and then time the changes to
go live. For instance, while the merchandiser handpicks selections for that week’s collection, the content and
marketing staff work on copy and visual design.
The team then organizes all changes in a “release,” which it can schedule for any given date and time, completely
eliminating the staging concept for significant workflow and efficiency gains.
Gaining cognitive data-driven understanding of customer behaviors
Big Data and analytics are important to all retailers, brands and digital merchants. Unfortunately, we have
found that most retailers don’t employ full-time analysts, so most of the data they collect goes largely unused.
In an ideal world, everyone on the cross-functional, multi-disciplinary team would be data savvy and have
access to a single repository of relevant data. This would enable each member to easily see data about trends
8
(such as declining interest in a promotion), categories (such as large movement of a certain product) and more.
With the right digital commerce solution, the team could also pinpoint intent from onsite search. This helps
identify quick-win opportunities, allowing retailers to target better terms in real time for optimal merchandising
and promotions.
Making data-driven decisions
Hand in hand with the understanding of customer behaviors and intents comes the need to make data-driven
decisions. If everyone on the digital commerce team is on some level an analyst and understand how to make
data-driven decisions, the organization can move faster. This is in sharp contrast to relying on a single data
analyst who sits alone and must serve all data-related needs across the retailer. By pairing this proclivity for
data with the ideal technology, retailers can focus on the right and most meaningful data and even be fed
suggestions for next best steps.
vs.
9
Moving quickly from creative ideation to execution
The technology and tools used to enable digital commerce are no longer the purview of technical power users.
Advanced platforms empower everyone – even those with creative functions – to deploy their ideas directly by
bypassing both limiting templates and the often backlogged IT group. As a result, they can more efficiently
and quickly shape the shopping experience.
Streamlined, collaborative workflows and automation can greatly extend the work capacity of a lean digital
commerce team, making it easy to:
•	 Collaborate and release all site-related changes in an orchestrated manner
•	 Know who worked on an activity or asset last
•	 Communicate asynchronously about all site-related elements
•	 Notify and alert teams and individuals about site changes or issues (such as missing images for a product
being prepared for publication)
•	 See data insights in the context of actions and tasks
Just as mobile content management has become part of everyone’s role on the digital commerce team,
the same is holding true of data analysis.
Conclusion: Advancing Digital Commerce with an Agile Approach
The key to digital commerce success is to avoid monolithic, slow-moving teams, rigid processes, and
cumbersome technologies. Successful retailers, brands and digital merchants are embracing a multi-discipline,
cross-functional approach to building their teams. And they are empowering them to succeed by equipping
them with a technology platform and tools designed with Agile in mind to improve implementation, ease
collaboration and encourage rapid innovation.
10
This white paper is made possible by the support of:
WebLinc is the commerce and operations management platform for fast growing online retailers. Mid to
large-size retailers consistently outpace their competition with the modern, agile technologies of the WebLinc
Commerce Platform and the company’s strategic expertise. Based in Philadelphia with satellite offices in
New York, Los Angeles, Vancouver and Toronto, WebLinc powers commerce sites for dynamic, high-growth
retailers including Sanrio/Hello Kitty, Urban Outfitters, Inc.’s brands Terrain and BHLDN, U.S. Polo Assn., Stila
Cosmetics, Rachel Roy, and others.
To learn more, visit www.weblinc.com.
11
FitForCommerce is a leading consulting firm, helping ecommerce and multichannel retailers and manufacturers
grow their online retail operations. Our consultants bring decades of practical, hands-on experience to guide
merchants in defining ecommerce strategy, selecting the right technologies, and building online marketing,
merchandising and best-in-class website experiences — all using a rigorous ecommerce Diligence process and
a vast knowledge base built on our work with hundreds of leading retailers.
973.379.7399 | info@fitforcommerce.com | www.fitforcommerce.com

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WP35 Digital Commerce Success

  • 1. Setting Up Your Team for Digital Commerce Success WRITTEN BY Steve Jones, VP Sr. Consultant Kathy Kimple, SVP Sr. Consultant FITFORCOMMERCE WHITEPAPER SERIES January 2016
  • 2. 2 Contents Introduction 3 Delivering the Optimal Shopping Experience 3 Why Traditional Digital Commerce Teams Fall Short 4 Taking Inspiration from Agile 4 Using Cross-Functional Metrics to Achieve a Common Goal 6 Tools that Empower Agile Digital Commerce Teams to Succeed 7 Conclusion: Advancing Digital Commerce with an Agile Approach 9
  • 3. 3 Introduction The evolution of digital commerce has given rise to a growing set of customer expectations for the digital experience, both within and across channels. That experience is enabled by a combination of strategy, technology, content and features, all of which require an investment of time and resources. Those resources must work collaboratively – often across functional silos including marketing, merchandising, creative, technology and more – to deliver an optimal experience. Recognizing the need to reduce friction in the path to purchase in order to drive as many sales as possible, forward-thinking retailers, brands and digital merchants are taking new steps to do so with efficiency and skill. Often constrained by limited resources, these companies are finding it critical to assess and align organizational design while also leveraging the most fitting technology to enable a seamless, collaborative workflow. This paper explores how successful retailers, brands and digital merchants structure their digital organizations, leveraging technology where appropriate, to achieve maximum effectiveness while operating under resource constraints. We examine the advantages of aligning organizational design, technologies, tools and work processes to empower internal teams to work together more effectively. Delivering the Optimal Shopping Experience Shoppers don’t think in terms of “channels.” Rather, they simply care about their shopping experience. And in the digital experience equation, shoppers only see themselves and the brand, retailer or digital merchant. Everything else that truly comprises that equation is meaningless to the shopper – yet absolutely critical to the success of the business. Shoppers want an engaging experience that is, above all, fast and convenient. Those businesses winning in the digital realm are taking measures to ensure a seamless experience, start to finish, within and across channels, supporting shopper needs wherever, however, and whenever they shop. But seamless is just the price of entry. Businesses must immerse shoppers in an experience that draws them in, commanding their attention in a world of seemingly never-ending distractions. This is no small feat, requiring retailers, brands and digital merchants to harness site content, messages, promotions, marketing, and merchandising in just the right combination, often tailored by segment or personalized to specific shoppers. The end goal is for these elements to converge, appropriately matching shopper needs or desires with the most relevant retail experience, assortment and message. Keeping the experience fresh and engaging, from initial interest through purchase and beyond, requires the engineering and orchestration of many complex, interdependent and moving parts. While the thought may be daunting, approaching the shopping experience in a strategic, holistic manner is the only way to satisfy shopper’s high expectations. And it begins with an internal foundation built on the right organizational structure and the technology needed to power it all.
  • 4. 4 Why Traditional Digital Commerce Teams Fall Short Because digital commerce happens virtually, it’s easy to underestimate the effort required to make it happen. The experience is virtual; the work required to create it is real. It takes a cross-functional team of contributors working collaboratively and in alignment to plan, produce, manage and curate a digital customer experience. This team includes merchandisers, marketers, designers, writers and technology staff. The way a business develops, staffs, incents and evaluates these functions can mean all the difference between failure and success. Businesses hire people to manage each distinct area associated with digital commerce, leading to functional silos. It’s quite common to see someone running the analytics platform, gathering and sharing insights with marketers and merchandisers. Such a setup perpetuates the maintenance of separate work streams, responsibilities and platforms to support each specialty. This frequently leads to communication breakdowns, inefficiencies and missed opportunities. For example, if the marketing department is working on a major holiday promotion and wrongly assumes the company’s e-commerce technology can support it, the entire campaign could flop – at great cost. By breaking down the barriers between the different areas of the digital commerce team, retailers, brands and digital merchants are better positioned to deliver compelling, engaging content and promotions. This can, in turn, ensure a standout shopping experience that converts. Taking Inspiration from Agile Simply put, to thrive in today’s commerce world and satisfy the new – and ever-fickle – digital consumer, digital commerce teams must become agile. Many are taking their cues from people in a range of functions and industries that are embracing Agile project management methodologies and concepts born out of manufacturing and software development. The Agile framework and approaches were designed to help cross- functional teams get their jobs done better, faster and at higher success rates. The Agile philosophy can be traced back to the lean manufacturing principles developed in the 1950s. Its primary goal is to maximize efficiency during manufacturing in order to boost productivity and lower costs. Software developers adopted this approach to manage projects requiring teams to work in parallel and alignment as they quickly produced a cohesive software release building upon the sum of each team’s contributions. Agile teams tend to be lean teams. Lean teams benefit from momentum and speed – and, in turn, the ability to operate at an unprecedented pace. These are the teams that help their businesses achieve an advantage and grow. To be leaner, they are cross-functional and multi-disciplinary. “Managing with a focus on the horizontal flow of the work process through highly empowered and effective teams is the key to competitive organizations.” – Lean Teams: Developing the Team-Based Organization
  • 5. 5 Embracing a cross-functional, multi-discipline organizational approach is the logical and proven way to create the necessary cohesion across the digital commerce team. Rather than assign a single person to own responsibility for a single area – such as digital marketing, creative, content, or merchandising – businesses could hire with multi-discipline and cross-functional in mind. This manifests itself in hybrid roles such as those focused on both SEO and content, or on both merchandising and marketing. The benefits of this organizational design are palpable. With a flatter hierarchy, communication happens more rapidly, collaboration is more effective, and it takes less effort to get ideas off the ground. CAPABILITIES NEEDED TO SUPPORT DIGITAL COMMERCE MERCHANDISING DIGITAL MARKETING CREATIVE FULFILLMENT INVENTORY MANAGEMENT SITE OPTIMIZATION CONTENT TECHNOLOGY 3RD PARTY PROVIDERS FLUID ROLES OF A HYBRID TEAM CREATIVE CONTENT Marketer Website Manager INVENTORYMERCHANDISING
  • 6. 6 In an ideal world, everyone on the digital team would be knowledgeable in all areas associated with digital commerce. When each person is able to wear multiple hats, the result is a superstar generalist. As digital commerce teams adopt agile principles and mindsets, they will progress along a maturity curve from occupying silos to excelling in a multi-discipline, cross-functional manner. Using Cross-Functional Metrics to Achieve a Common Goal To effectively make use of an Agile approach, retailers, brands and digital merchants need to select and apply the appropriate performance metrics. The work required to support digital commerce, by its collaborative nature, can lead to confusion regarding individual responsibilities. Or it can result in a bunker mentality with individuals working as hard as possible to achieve their own goals, which aren’t aligned across the organization. Clearly defining responsibilities is the first step to success. The next step is ensuring key performance indicators across functions align to support a cohesive shopper experience. Performance measurements should combine function-specific and cross-functional factors, engineered to address the interdependencies required for digital commerce. For example, a digital marketer may be measured on the amount of traffic driven to a website, while the digital merchandiser might be measured on products sold. But they both impact site conversion positively or negatively. If the marketer drives unqualified traffic, conversion suffers. If the merchandiser doesn’t present product in a compelling and relevant manner, shoppers won’t buy. If the traffic and assortment offered don’t converge in a relevant manner, conversion will be impacted. ADOPTION OF AGILE PRINCIPLES AND MINDSETS SILO APPROACH CROSS FUNCTIONAL APPROACH
  • 7. 7 The argument can be made that the performance measurement of both functions should include conversion (a cross-functional goal) in addition to function-specific goals. Tools that Empower Agile Digital Commerce Teams to Succeed Nearly everyone in digital commerce feels they have more work than the resources to complete it successfully. To achieve all this, digital commerce teams need the right technologies and tools, ones that make cross- functional/multi-discipline organizations function effectively. Specifically, these tools should be built to support an Agile workflow and collaboration so disparate roles can more readily work together. Fortunately, as technology advances, e-commerce platforms are evolving to anticipate and facilitate the collaborative work required to support digital commerce, including: • Rapidly pushing fresh content • Gaining and maintaining a cognitive, data-based understanding of shopper behaviors • Making data-driven decisions • Moving quickly from creative ideation to execution Pushing fresh content Even a lean (e.g., 4-person) digital commerce team can operate effectively with the right tools. In keeping with a strategy to use branded content to drive the shopping experience, a digital commerce team should make significant site changes weekly. With the right processes and technology in place, a small team can easily and effectively communicate and collaborate around orchestrated changes and then time the changes to go live. For instance, while the merchandiser handpicks selections for that week’s collection, the content and marketing staff work on copy and visual design. The team then organizes all changes in a “release,” which it can schedule for any given date and time, completely eliminating the staging concept for significant workflow and efficiency gains. Gaining cognitive data-driven understanding of customer behaviors Big Data and analytics are important to all retailers, brands and digital merchants. Unfortunately, we have found that most retailers don’t employ full-time analysts, so most of the data they collect goes largely unused. In an ideal world, everyone on the cross-functional, multi-disciplinary team would be data savvy and have access to a single repository of relevant data. This would enable each member to easily see data about trends
  • 8. 8 (such as declining interest in a promotion), categories (such as large movement of a certain product) and more. With the right digital commerce solution, the team could also pinpoint intent from onsite search. This helps identify quick-win opportunities, allowing retailers to target better terms in real time for optimal merchandising and promotions. Making data-driven decisions Hand in hand with the understanding of customer behaviors and intents comes the need to make data-driven decisions. If everyone on the digital commerce team is on some level an analyst and understand how to make data-driven decisions, the organization can move faster. This is in sharp contrast to relying on a single data analyst who sits alone and must serve all data-related needs across the retailer. By pairing this proclivity for data with the ideal technology, retailers can focus on the right and most meaningful data and even be fed suggestions for next best steps. vs.
  • 9. 9 Moving quickly from creative ideation to execution The technology and tools used to enable digital commerce are no longer the purview of technical power users. Advanced platforms empower everyone – even those with creative functions – to deploy their ideas directly by bypassing both limiting templates and the often backlogged IT group. As a result, they can more efficiently and quickly shape the shopping experience. Streamlined, collaborative workflows and automation can greatly extend the work capacity of a lean digital commerce team, making it easy to: • Collaborate and release all site-related changes in an orchestrated manner • Know who worked on an activity or asset last • Communicate asynchronously about all site-related elements • Notify and alert teams and individuals about site changes or issues (such as missing images for a product being prepared for publication) • See data insights in the context of actions and tasks Just as mobile content management has become part of everyone’s role on the digital commerce team, the same is holding true of data analysis. Conclusion: Advancing Digital Commerce with an Agile Approach The key to digital commerce success is to avoid monolithic, slow-moving teams, rigid processes, and cumbersome technologies. Successful retailers, brands and digital merchants are embracing a multi-discipline, cross-functional approach to building their teams. And they are empowering them to succeed by equipping them with a technology platform and tools designed with Agile in mind to improve implementation, ease collaboration and encourage rapid innovation.
  • 10. 10 This white paper is made possible by the support of: WebLinc is the commerce and operations management platform for fast growing online retailers. Mid to large-size retailers consistently outpace their competition with the modern, agile technologies of the WebLinc Commerce Platform and the company’s strategic expertise. Based in Philadelphia with satellite offices in New York, Los Angeles, Vancouver and Toronto, WebLinc powers commerce sites for dynamic, high-growth retailers including Sanrio/Hello Kitty, Urban Outfitters, Inc.’s brands Terrain and BHLDN, U.S. Polo Assn., Stila Cosmetics, Rachel Roy, and others. To learn more, visit www.weblinc.com.
  • 11. 11 FitForCommerce is a leading consulting firm, helping ecommerce and multichannel retailers and manufacturers grow their online retail operations. Our consultants bring decades of practical, hands-on experience to guide merchants in defining ecommerce strategy, selecting the right technologies, and building online marketing, merchandising and best-in-class website experiences — all using a rigorous ecommerce Diligence process and a vast knowledge base built on our work with hundreds of leading retailers. 973.379.7399 | info@fitforcommerce.com | www.fitforcommerce.com