Presentación Ricardo Renteria - eRetail Day México 2016
1. The power of cloud
applied to retail
Ricardo Rentería
Head of North Latam
Amazon Web Services
2. AWS in 10 years
Active customers
per month
Run rate
1,000,000+ $11B+ 58%
YOY growth
Q2 2015 to Q2 2016
10X
Installed
Base
3. What’s Coming
Technology is deconstructing industries
100% LOB apps will
be mobile by 2017
6 API Calls per App
(avg)
½ of them not owned
by mobile app provider
90% of the world’s
data created in last
2 years
Velocity and
Volatility
Contextual
80% of new cloud
workloads data
intensive
from Operational
to Real time
to Predictive
75B of devices
connected to internet
by 2020
9.4 devices/person
Edge Network
Economy
5. Data: Competitive
advantage
Data should allow you to connect this exploding
inventory, exploding selection, exploding social
dynamics…
…down to be a highly relevant experience for
a consumer.
18. Focus on a simple implementation of your idea
Start with a minimal core set of features
Release, then listen to your customers & iterate
Minimum Viable Product
Smallest thing I can do to test my idea?
19. FOCUS ON YOUR CUSTOMERS,
FOCUS ON HARD THINGS,
NOT ON THE THINGS YOU CAN DO OR
YOU KNOW HOW TO DO
20. • + 105 years
• + 114 stores
• + 4500 employees
• 20% sales through Ecommerce.
• All-in migration – 100% cloud
• Black Friday – in a single day, they received
40,000 more orders than what they get in a
month
21. • 8th largest global ecommerce traffic
• 15 countries
• 3200 employees (800 in IT)
• Moved to AWS in US:
• 200 applications
• 100 deploys per day
• 2M requests per minute
• 1500 instances
22. • Fast and flexible to business
• 40% reduction cost
• Cloud supported business growth
• 30 million users in Latin America
• 30% growth last year
• 150 Millions of images when migrated to S3
• Business Intelligence – Customer Lifecycle
Management
• WebSite
• Migrating ALL IN to AWS
Que dice Gartner
Renovacion de la experiencia del clientes es uma prioridad
70% de los negocios digitales van a estar sobre procesos instables que cambian segun el comportamiento del cliente
50% de la inversion de producto va a ser em inovar la experiencia del cliente
Que dice Gartner
Renovacion de la experiencia del clientes es uma prioridad
70% de los negocios digitales van a estar sobre procesos instables que cambian segun el comportamiento del cliente
50% de la inversion de producto va a ser em inovar la experiencia del cliente
LAS EMPRESAS QUE ESTAN ROMPIENDO TIENEM ALGO EM COMUM… hacen uso de CLOUD para eso. Muchas empiezan sus negocios em cloud.
BANCO – 70% reduccion de costos en prestamos
TELECOM – Mobile SETUP sin pasar por nadie
TIENDAS EN US – inventario online para los clientes…
Reemplazar el manual y el papeles les sale mas barato y principalmente, genera datos para analysis.
Claim your unfair competitive advantagehttp://www.mckinsey.com/insights/business_technology/accelerating_the_digitization_of_business_processes
by digitizing information-intensive processes, costs can be cut by up to 90 percent and turnaround times improved by several orders of magnitude. Examples span multiple industries:
one bank digitized its mortgage-application and decision process, cutting the cost per new mortgage by 70 percent and slashing time to preliminary approval from several days to just one minute.
A telecommunications company created a self-serve, prepaid service where customers could order and activate phones without back-office involvement.
A shoe retailer built a system to manage its in-store inventory that enabled it to know immediately whether a shoe and size was in stock—saving time for customers and sales staff.
An insurance company built a digital process to automatically adjudicate a large share of its simple claims.
In addition, replacing paper and manual processes with software allows businesses to automatically collect data that can be mined to better understand process performance, cost drivers, and causes of risk.
3 core principles:
That we think that start-up companies do very well, that all customers should try to emulate and embrace.
Customers can’t tell you what they want that’s why innovation is hard
Joi Ito - Japanese-American activist, entrepreneur, venture capitalist and Director of the MIT Media Lab
Cost can be financial, but it can also be to a person’s reputation.
There is no reputational cost to failing at Amazon. We see it as an opportunity to learn lessons.
ELASTIC – estas usando sus servidores? Como pasas por blackfriday, cyber Monday, hot sales. Ayer estabamos discutindo que durante un hot sale puede representar hasta 3 meses de ventas. Como haces?
Hay que escalar, subir, y bajar despues…. Su demanda e elastica, su infrastructura tambien tiene que ser.
Sus costos de IT estan correctamente alocados? Tenemos casos de clientes que estaban diciendo que su ecommerce le costava 0.5% pero todo el costo real estava como CAPEX en IT. El real, cuando lo analizamos, estaba en 8%. Cada unidad de negocio paga por su costoo.
Pagas si lo usas y cuando lo usas.
Disponible, en minutos, no meses... SERVIDORES DESECHABLES
Moving on from “Experiment quickly” to the the 2nd stage, Iterate.
what is improved, How to measure what is successful, how to alter the trajectory of a product/service and move at pace based on the customers responses.
Going to deal with this in Improve, Iterate and Measure
Customers can’t tell you what they want that’s why innovation is hard
SERVIDORES SON DESECHABLES!
Amazon retail do this too, multiple versions of the site in production at the same time.
Best search experience, best customer experience or most products sold.
So, what happens when you have thousands of development teams… each running a microservices … each with multiple environments (alpha, beta, gamma, prod… something multiple regions)… each doing continuous deployments?
You get *a lot* of deployments.
Last year, Apollo handles 50 million deployments – that’s 1.5 deployments per second!
Finally the 3rd thing to be done.
Finally the 3rd thing to be done.
STORY BACKGROUND
Ferns N Petals (FNP) is India's largest flower and gifts retailer and one of the largest flower retailers in the world with a network of 200 outlets across 85 cities.
Today, Ferns N Petals Group encompasses FNP Retail & Franchising, FNP E-commerce, FNP Weddings & Events- India and UAE, FNP Floral Touch, FNP Gardens, FNP Select, The Flagship Store by Ferns N Petals, WDH (Wedding Design Hub).
Needed a solution that could provide on-demand resources with the ability to handle peak loads during special occasions(Valentine’s day,Christmas,New Year).
Ferns N Petals uses AWS to run all of its operations, including its web application, CRM, content management system, call center ,email SMTP, Vendor extranet and content delivery.
SOLUTION & BENEFITS
Near Zero downtime , robust auto scalable architecture with faster content delivery.
Been able to save 40% on their cost when compared to the traditional IT infrastructure.
Helped them achieve 50% growth year-on year.
STORY BACKGROUND
Leading fashion retailer wanted to move off of on-premises IT infrastructure
Decided to go all-in on AWS cloud
SOLUTION & BENEFITS
Uses wide range of AWS services for compute, storage, analytics
Creating popular “Nordstrom Recommendations” app using Kinesis Streams, Lambda, Redshift, DynamoDB to deliver recommendations to customers in seconds instead of 15-20 minutes at a fraction of the cost of on-premises systems
Using AWS to run website, internal operations
CONTENT TAGS
Main use case: Development and Test; website; mobile
Key words: retailing
AWS Services used: Amazon EC2, Amazon S3, AWS Lambda, Amazon DynamoDB, Amazon Redshift, Amazon Kinesis
Benefits Realized: cost savings, agility, speed
STORY BACKGROUND
Brooks Brothers, founded in 1818, is one of the leading fashion retailers in the U.S.
The company moved its mission-critical SAP HANA platform to AWS.
The organization built a new CRM application on AWS.
SOLUTION & BENEFITS
Launching new instances in hours instead of weeks
Saving thousands in data center costs, freeing up capital to focus on new initiatives
Scaling business applications globally
CONTENT TAGS
Main use case: Business Applications – SAP
Additional use case: Development & Test (DevTest)
Keywords: Retail, SAP HANA, data security, agility, scalability
AWS Services used: Amazon EC2, Elastic Load Balancing, Amazon S3, AWS Direct Connect, AWS CloudHSM, AWS CloudFormation, AWS Identity and Access Management
Benefits Realized: Agility, Flexibility, Lower Cost, Lower Time-to-Market, Scalability/Elasticity, Security, Speed