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All Rights Reserved @2017 2
Commerce Technology of the Past Stifles
Marketing Organizations of the Future
May 31st 2017
1990’s and 2000’s-era Commerce
All Rights Reserved @2017 3
How Many Times Have You Heard This from IT?
All Rights Reserved @2017 4
I’m sorry, but that
payroll upgrade
comes first. You’ll
have to wait
To get that done,
you’ll need to file a
ticket
That change will
have to wait for our
next build in three
months
Our architecture
committee hasn’t
signed off on that
integration yet
We’ve already used up
our hardware budget
for the year
I’m frustrated that my
important cool new
app is prioritized the
same as payroll
“One ongoing project when I arrived was to widen the
product detail page (PDP) and move the Add To
Cart button from the left side of the page to the
right side. This seemed fairly innocuous, but it took
six months and well over one million dollars to
accomplish this task.”
All Rights Reserved @2017 5
Today’s Dominant Monolithic Commerce
Platforms Emerged in the Mid 1990’s
All Rights Reserved @2017 6
1995 1996 1997
The State of eCommerce in 1995
All Rights Reserved @2017 7
Monolithic Commerce Platforms Force
Horizontal Tiering of Organizations
All Rights Reserved @2017 8
4-12 weeksDatastore
Infrastructure
Application
User Interface
YourApplication.EAR
Fixed
Non-scalable
Slow
All Rights Reserved @2017 9
1995 2017
X Centralized
X Monoliths
X On Premises
X Waterfall
X Quarterly Releases
X Horizontal Teams
X Project-based
Decentralized
Microservices
Cloud
Agile
Hourly Releases
Vertical Teams
Product-based
Customer Behavior is Rapidly
Changing
All Rights Reserved @2017 10
Large Gap Between Physical and Digital
All Rights Reserved @2017 11
“Commerce” “eCommerce”
Commerce Now Comes to You
All Rights Reserved @2017 12
Consumer Experiences Are Increasingly
Mediated
All Rights Reserved @2017 13
A Vision for the Future
All Rights Reserved @2017 14
Single APIs Should Power All Channels
All Rights Reserved @2017 15
“The Business”
API-based Commerce Platform
• Marketing owns
engagement with
customers by
building
experiences
• IT exposes data
and functionality,
without regard to
how it’s consumed
Experience Separate from Data/Functionality
16
Many Now Expose APIs Publicly
All Rights Reserved @2017 17
APIs Are the Future of Commerce
All Rights Reserved @2017 18
Digital commerce is rapidly evolving
and the future landscape will include
API orientation at its core. Businesses
embracing this approach will be well
positioned to embrace the API
economy, conversational interfaces,
and other capabilities that could confer
business advantage.
Gartner
IT Market Clock for Digital Commerce 2016*
“
”
* Gartner IT Market Clock for Digital Commerce 2016, Mike Lowndes, 29 September 2016
Moving Towards Consuming Software as Lego
Blocks – Not Large Applications
All Rights Reserved @2017 19
Products
Pricing
Profiles Authorization
Carts
Inventory
Categories
OrdersPromotions
Search
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
Building
Block
api.vendor.com
How To Start?
All Rights Reserved @2017 20
Start by Extending the Monolith
All Rights Reserved @2017 21
Application
Database
Infrastructure
Developer
PO
DBA
Ops
2-15 people. Standard is 7 +- 2
Start With Non-transactional Workloads
All Rights Reserved @2017 22
Non-transactionalTransactional
95% Product/Category Pages
70% Marketing Pages
10% Customer Pages
5% Order Pages
Break Out Pieces Into Separate Microservices
Landing
Categories
Products
Application
Datastore
Infrastructure
Application
Datastore
Infrastructure
Application
Datastore
Infrastructure
All Rights Reserved @2017 28
Case Studies
All Rights Reserved @2017 24
• Rapid iteration is at the
core of Amazon
o Deploys 50 Million
times a year
• Originator of “two pizza
team” concept –
“Service Teams”
o Roadmap
o Development
o Ops
o QA
All Rights Reserved @2017 25
1. All teams will henceforth expose their data and functionality through
service interfaces
2. Teams must communicate with each other through these interfaces
3. There will be no other form of interprocess communication allowed: no
direct linking, no direct reads of another team's data store, no shared-memory
model, no back-doors whatsoever. The only communication allowed is via
service interface calls over the network
4. It doesn't matter what technology you use. HTTP, Corba, Pubsub, custom
protocols -- doesn't matter
5. All service interfaces, without exception, must be designed from the ground up
to be externalizable. That is to say, the team must plan and design to be able
to expose the interface to developers in the outside world. No exceptions
All Rights Reserved @2017 26
Jeff Bezos’s Mandate
2002
All Rights Reserved @2017 27
• Started with browse-only
site for outages
• Broke out browse from
.com – 90%+ of traffic
• Extensive use of
“aggregation” services –
30-50 services
• Public cloud for front-end
• Now 100% custom
All Rights Reserved @2017 28
www.commercetools.com
Office Munich
Adams-Lehmann-Str. 44
80797 Munich
+49 89 99 82 996-0
Office Berlin
Sonnenallee 223
12057 Berlin
+49 30 67 24 21-20
Office Durham, US
American Underground | Crowe Building
406 Blackwell Street, Suite B034
Durham, NC 27701
+1 212 220 3809
All Rights Reserved @2017 29
Thank You
Commerce technology of the past stifles marketing organizations of the future

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Commerce technology of the past stifles marketing organizations of the future

  • 1.
  • 2. All Rights Reserved @2017 2 Commerce Technology of the Past Stifles Marketing Organizations of the Future May 31st 2017
  • 3. 1990’s and 2000’s-era Commerce All Rights Reserved @2017 3
  • 4. How Many Times Have You Heard This from IT? All Rights Reserved @2017 4 I’m sorry, but that payroll upgrade comes first. You’ll have to wait To get that done, you’ll need to file a ticket That change will have to wait for our next build in three months Our architecture committee hasn’t signed off on that integration yet We’ve already used up our hardware budget for the year I’m frustrated that my important cool new app is prioritized the same as payroll
  • 5. “One ongoing project when I arrived was to widen the product detail page (PDP) and move the Add To Cart button from the left side of the page to the right side. This seemed fairly innocuous, but it took six months and well over one million dollars to accomplish this task.” All Rights Reserved @2017 5
  • 6. Today’s Dominant Monolithic Commerce Platforms Emerged in the Mid 1990’s All Rights Reserved @2017 6 1995 1996 1997
  • 7. The State of eCommerce in 1995 All Rights Reserved @2017 7
  • 8. Monolithic Commerce Platforms Force Horizontal Tiering of Organizations All Rights Reserved @2017 8 4-12 weeksDatastore Infrastructure Application User Interface YourApplication.EAR Fixed Non-scalable Slow
  • 9. All Rights Reserved @2017 9 1995 2017 X Centralized X Monoliths X On Premises X Waterfall X Quarterly Releases X Horizontal Teams X Project-based Decentralized Microservices Cloud Agile Hourly Releases Vertical Teams Product-based
  • 10. Customer Behavior is Rapidly Changing All Rights Reserved @2017 10
  • 11. Large Gap Between Physical and Digital All Rights Reserved @2017 11 “Commerce” “eCommerce”
  • 12. Commerce Now Comes to You All Rights Reserved @2017 12
  • 13. Consumer Experiences Are Increasingly Mediated All Rights Reserved @2017 13
  • 14. A Vision for the Future All Rights Reserved @2017 14
  • 15. Single APIs Should Power All Channels All Rights Reserved @2017 15 “The Business” API-based Commerce Platform
  • 16. • Marketing owns engagement with customers by building experiences • IT exposes data and functionality, without regard to how it’s consumed Experience Separate from Data/Functionality 16
  • 17. Many Now Expose APIs Publicly All Rights Reserved @2017 17
  • 18. APIs Are the Future of Commerce All Rights Reserved @2017 18 Digital commerce is rapidly evolving and the future landscape will include API orientation at its core. Businesses embracing this approach will be well positioned to embrace the API economy, conversational interfaces, and other capabilities that could confer business advantage. Gartner IT Market Clock for Digital Commerce 2016* “ ” * Gartner IT Market Clock for Digital Commerce 2016, Mike Lowndes, 29 September 2016
  • 19. Moving Towards Consuming Software as Lego Blocks – Not Large Applications All Rights Reserved @2017 19 Products Pricing Profiles Authorization Carts Inventory Categories OrdersPromotions Search Building Block Building Block Building Block Building Block Building Block Building Block Building Block Building Block Building Block Building Block Building Block Building Block api.vendor.com
  • 20. How To Start? All Rights Reserved @2017 20
  • 21. Start by Extending the Monolith All Rights Reserved @2017 21 Application Database Infrastructure Developer PO DBA Ops 2-15 people. Standard is 7 +- 2
  • 22. Start With Non-transactional Workloads All Rights Reserved @2017 22 Non-transactionalTransactional 95% Product/Category Pages 70% Marketing Pages 10% Customer Pages 5% Order Pages
  • 23. Break Out Pieces Into Separate Microservices Landing Categories Products Application Datastore Infrastructure Application Datastore Infrastructure Application Datastore Infrastructure All Rights Reserved @2017 28
  • 24. Case Studies All Rights Reserved @2017 24
  • 25. • Rapid iteration is at the core of Amazon o Deploys 50 Million times a year • Originator of “two pizza team” concept – “Service Teams” o Roadmap o Development o Ops o QA All Rights Reserved @2017 25
  • 26. 1. All teams will henceforth expose their data and functionality through service interfaces 2. Teams must communicate with each other through these interfaces 3. There will be no other form of interprocess communication allowed: no direct linking, no direct reads of another team's data store, no shared-memory model, no back-doors whatsoever. The only communication allowed is via service interface calls over the network 4. It doesn't matter what technology you use. HTTP, Corba, Pubsub, custom protocols -- doesn't matter 5. All service interfaces, without exception, must be designed from the ground up to be externalizable. That is to say, the team must plan and design to be able to expose the interface to developers in the outside world. No exceptions All Rights Reserved @2017 26 Jeff Bezos’s Mandate 2002
  • 27. All Rights Reserved @2017 27 • Started with browse-only site for outages • Broke out browse from .com – 90%+ of traffic • Extensive use of “aggregation” services – 30-50 services • Public cloud for front-end • Now 100% custom
  • 29. www.commercetools.com Office Munich Adams-Lehmann-Str. 44 80797 Munich +49 89 99 82 996-0 Office Berlin Sonnenallee 223 12057 Berlin +49 30 67 24 21-20 Office Durham, US American Underground | Crowe Building 406 Blackwell Street, Suite B034 Durham, NC 27701 +1 212 220 3809 All Rights Reserved @2017 29 Thank You

Notas do Editor

  1. Dirk