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Sanoma &
E-commerce
Cross Media café
@Sanoma, Hoofddorp
19 April 2013




Sander ten Dam
What is e-commerce?

Three areas for Sanoma




    Selling and cross-selling   Integrated into content       Stand alone
       Sanoma products                 platforms          e-commerce platforms


2
What is e-commerce?

Three areas for Sanoma
Integrated into content platforms




    Selling and cross-selling   Integrated into content       Stand alone
       Sanoma products                 platforms          e-commerce platforms


3
Integrated into content platforms

Difference between product and brand




                     Content platform   Brand(name)


4
Integrated into content platforms

Base in content platforms to drive
e-commerce is relatively small




                                                                Total traffic in Sanoma sites
5
    Source: Sanoma Digital Media KPI reporting, team analysis
Integrated into content platforms

Base in content platforms to drive
e-commerce is relatively small




                                                                                                Services
                                                                                                 (e.g.
                                                                                                 mail)




                                                                Total traffic in Sanoma sites
6
    Source: Sanoma Digital Media KPI reporting, team analysis
Base in content platforms to drive
e-commerce is relatively small




             Lead
           generation                                                                           Services
                (e.g.                                                                             (e.g.
             directories,                                                                         mail)
            comparison,
             classifieds)




                                                                Total traffic in Sanoma sites
7
    Source: Sanoma Digital Media KPI reporting, team analysis
Integrated into content platforms

Base in content platforms to drive
e-commerce is relatively small




             Lead
           generation                                                                           Services
                (e.g.                                                                             (e.g.
             directories,
            comparison,
                                                                  Content platform                mail)
             classifieds)                                       Non e-commerce topic
                                                            (e.g. news, weather, sports, rtv)




                                                                Total traffic in Sanoma sites
8
    Source: Sanoma Digital Media KPI reporting, team analysis
Integrated into content platforms

Base in content platforms to drive
e-commerce is relatively small

                                                                  Content platform
                                                                  E-commerce topic
                                                 (e.g. fashion, parenting, home deco, cars)




                                                                Total traffic in Sanoma sites
9
    Source: Sanoma Digital Media KPI reporting, team analysis
Integrated into content platforms

Content platforms and e-commerce ‘live’ at opposite
sides of consumer journey



                           Attraction




                                        Interest




                                                                  Action
                                                    Desire
                 Content                                      E-commerce

Consumer         Entertained,                                 Shopping, Information Needs
mindset          Inspired, Relax                              help, Easy
Product focus    Fun, Engagement                              Functional, Tool

Objective site   More impressions                            Money at the finish 
                 Keep them in                                 Get them through
Paying           Manufacturers                                (R)etail, Consumer
customer         A-brand advertisers
KPI              Branding, TOMA, CPM                          Sales, Conversion, CPa



                                        Quite some barriers
10
Platform based on product database

Consumers   Media     CMS                      Databases     Advertisers

            Site #1                                            Advertiser #1
                                                 Kieskeuri
                                                    g.nl
            App #1    CMS #1                                   Advertiser #2



            Tablet
            mag #1               Editorial                     Advertiser #3
                      CMS #2                     Offerium
                                Commerce            .fi
            Site #2            Database with                   Advertiser #4

                      CMS #3      sellable
            App #2
                                 products
                      CMS #4
                                                                Advertiser
            Site #3                                               #XX
                                                  Other
                                                                Advertiser
            Site #4
                                                                  #XX




                                                                               1
                                                                               1
What is e-commerce?

Three areas for Sanoma
Stand alone e-commerce platforms




 Selling and cross-selling   Integrated into content       Stand alone
    Sanoma products                 platforms          e-commerce platforms


12
E-commerce is mainly lead generation
Only retail if lead generation is proven




                                  Lead generation




13
Our current Performance Based assets are under
pressure


                          Lead generation




                        International players




     is improving its                           E-tailers will be
     services             Lead generation
                                                marketplaces

                               Based in
                        small language areas
14
We need to push back to mitigate our middleman
position
                                Replicating
                                 into large
                                  markets
                                                            Launching
     Improving                                                 new
      services                                               verticals


                              Lead generation




                                                Extending
                 Expanding
                                                 to other
                  in funnel
                                                 devices


15
Investments in Startpagina Search will lead to higher
quality leads and intensified usage

                               To consumers: Intensify usage
                               -   Better / more trustworthy way to
                                   search than a search engine
                               -   More awareness on Startpagina’s
                                   offering



                               To advertisers: High lead quality
                                More relevancy
                                higher quality leads
                                higher price per lead




16
To keep improving our funnel, we implement
recommendation and persuasion techniques




                                 Source:
17                               Robert B Cialdini
                                 Influence: The Psychology of Persuasion
Expanding our assets further in the
 E-commerce funnel helps us maximize revenues

  We only expand in the E-com funnel
   when we have proven to be successful
   in lead generation




 Launch Kieskeurig Kassa

 Integration of SB commerce /
  Voor-thuis


 18
Launching new verticals
- New storefronts (Men and Kids fashion)
- Adapt to mobile and video
- Leef.nl
Our assets and people should adapt to the different
way that devices are used


       MOBILE               TABLET                TV




     Integrate web and   Optimizing sites   TV / Second
     bricks & mortar     for tablet usage   Screen shopping




20
And if our assets prove to be successful, we will
replicate them into larger markets




21
Way of working
Whatever the project is, we start as small as
possible and use a step-by-step approach




23
Our reusing+ policy remains the base for every new
initiative



                        1. Reuse technologies

                        2. Reuse customer base

                        3. Reuse brands

                        4. Reuse knowledge and skills




24
We will focus our attitude towards stimulating
                                  entrepreneurship




                              Create mental and physical
                               space for all employees to work
                               on innovations

                              Adapting to new circumstances
                               is more important than sticking
                               to the original plan

                              Accountability afterwards,
25
                               instead of control upfront
We need highly skilled personnel to be successful…




                      Highly skilled            & motivated people




             Hiring                    Training                    Examining
     Criteria for new employees   Performance Based            Yearly mandatory test for all
     Analytical skills            Academy for Internal         employees to ensure a high
     Retail mindset               (employees) & External       level of knowledge
                                  (advertisers and new talent)

26
… but maintaining operational excellence is equally
important



                AGREE      ADDRESS

                  ENCOURAGE
                               HONESTY
                TRANSPARANCY




27
Thank you

            28

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Sander ten Dam (Sanoma) @ CMC Media & E-commerce

  • 1. Sanoma & E-commerce Cross Media café @Sanoma, Hoofddorp 19 April 2013 Sander ten Dam
  • 2. What is e-commerce? Three areas for Sanoma Selling and cross-selling Integrated into content Stand alone Sanoma products platforms e-commerce platforms 2
  • 3. What is e-commerce? Three areas for Sanoma Integrated into content platforms Selling and cross-selling Integrated into content Stand alone Sanoma products platforms e-commerce platforms 3
  • 4. Integrated into content platforms Difference between product and brand Content platform Brand(name) 4
  • 5. Integrated into content platforms Base in content platforms to drive e-commerce is relatively small Total traffic in Sanoma sites 5 Source: Sanoma Digital Media KPI reporting, team analysis
  • 6. Integrated into content platforms Base in content platforms to drive e-commerce is relatively small Services (e.g. mail) Total traffic in Sanoma sites 6 Source: Sanoma Digital Media KPI reporting, team analysis
  • 7. Base in content platforms to drive e-commerce is relatively small Lead generation Services (e.g. (e.g. directories, mail) comparison, classifieds) Total traffic in Sanoma sites 7 Source: Sanoma Digital Media KPI reporting, team analysis
  • 8. Integrated into content platforms Base in content platforms to drive e-commerce is relatively small Lead generation Services (e.g. (e.g. directories, comparison, Content platform mail) classifieds) Non e-commerce topic (e.g. news, weather, sports, rtv) Total traffic in Sanoma sites 8 Source: Sanoma Digital Media KPI reporting, team analysis
  • 9. Integrated into content platforms Base in content platforms to drive e-commerce is relatively small Content platform E-commerce topic (e.g. fashion, parenting, home deco, cars) Total traffic in Sanoma sites 9 Source: Sanoma Digital Media KPI reporting, team analysis
  • 10. Integrated into content platforms Content platforms and e-commerce ‘live’ at opposite sides of consumer journey Attraction Interest Action Desire Content E-commerce Consumer Entertained, Shopping, Information Needs mindset Inspired, Relax help, Easy Product focus Fun, Engagement Functional, Tool Objective site More impressions  Money at the finish  Keep them in Get them through Paying Manufacturers (R)etail, Consumer customer A-brand advertisers KPI Branding, TOMA, CPM Sales, Conversion, CPa Quite some barriers 10
  • 11. Platform based on product database Consumers Media CMS Databases Advertisers Site #1 Advertiser #1 Kieskeuri g.nl App #1 CMS #1 Advertiser #2 Tablet mag #1 Editorial Advertiser #3 CMS #2 Offerium Commerce .fi Site #2 Database with Advertiser #4 CMS #3 sellable App #2 products CMS #4 Advertiser Site #3 #XX Other Advertiser Site #4 #XX 1 1
  • 12. What is e-commerce? Three areas for Sanoma Stand alone e-commerce platforms Selling and cross-selling Integrated into content Stand alone Sanoma products platforms e-commerce platforms 12
  • 13. E-commerce is mainly lead generation Only retail if lead generation is proven Lead generation 13
  • 14. Our current Performance Based assets are under pressure Lead generation International players is improving its E-tailers will be services Lead generation marketplaces Based in small language areas 14
  • 15. We need to push back to mitigate our middleman position Replicating into large markets Launching Improving new services verticals Lead generation Extending Expanding to other in funnel devices 15
  • 16. Investments in Startpagina Search will lead to higher quality leads and intensified usage To consumers: Intensify usage - Better / more trustworthy way to search than a search engine - More awareness on Startpagina’s offering To advertisers: High lead quality  More relevancy  higher quality leads  higher price per lead 16
  • 17. To keep improving our funnel, we implement recommendation and persuasion techniques Source: 17 Robert B Cialdini Influence: The Psychology of Persuasion
  • 18. Expanding our assets further in the E-commerce funnel helps us maximize revenues  We only expand in the E-com funnel when we have proven to be successful in lead generation  Launch Kieskeurig Kassa  Integration of SB commerce / Voor-thuis 18
  • 19. Launching new verticals - New storefronts (Men and Kids fashion) - Adapt to mobile and video - Leef.nl
  • 20. Our assets and people should adapt to the different way that devices are used MOBILE TABLET TV Integrate web and Optimizing sites TV / Second bricks & mortar for tablet usage Screen shopping 20
  • 21. And if our assets prove to be successful, we will replicate them into larger markets 21
  • 23. Whatever the project is, we start as small as possible and use a step-by-step approach 23
  • 24. Our reusing+ policy remains the base for every new initiative 1. Reuse technologies 2. Reuse customer base 3. Reuse brands 4. Reuse knowledge and skills 24
  • 25. We will focus our attitude towards stimulating entrepreneurship  Create mental and physical space for all employees to work on innovations  Adapting to new circumstances is more important than sticking to the original plan  Accountability afterwards, 25 instead of control upfront
  • 26. We need highly skilled personnel to be successful… Highly skilled & motivated people Hiring Training Examining Criteria for new employees Performance Based Yearly mandatory test for all Analytical skills Academy for Internal employees to ensure a high Retail mindset (employees) & External level of knowledge (advertisers and new talent) 26
  • 27. … but maintaining operational excellence is equally important AGREE ADDRESS ENCOURAGE HONESTY TRANSPARANCY 27
  • 28. Thank you 28