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How Magento’s Multi-Store Capabilities Will Help You Grow Your Business February, 2013
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How Magento’s Multi-Store Capabilities Will Help You Grow
Your BusinessFebruary, 2013
Introduction• Derek Jacobson – Vice President of Ecommerce Solutions
at Levementum• Levementum – 2011 Magento Emerging Partner of the
Year Award Winner– Levementum is a leading implementer of Magento
Enterprise Edition and the leading implementer of Open Source and Cloud Based Applications
– We specialize in solutions that feature • Cloud based technology• Multiple Store Fronts• Call Center, Inside Sales, Customer Service Solutions• System Integration to CRM, ERP, Telephony and Order
Management Solutions • B2B solutions including reseller, distribution and channel support
systems
With Me Today From Magento
• Brian Lavorini– Territory Sales Manager– [email protected]– 872.588.0071
Our eCommerce story
What’s your eCommerce story?
Magento Product Line
Magento Enterprise: Merchants Overview
Magento Enterprise
Magento Enterprise Features
Product Catalog
Easy-to-use, Permission Based
Admin Panel
Security & Standards Compliance
Marketing Tools
Infrastructure & Back-end Integration
Consumer Experience& Design
Performance
Untamed Creativity with Magento
Managing the Product Catalog
• Easy to use admin tools– Content Management System
• No technical knowledge necessary
• Version Control
– Attribute Management
– Personalized content based on user profiles
– Content staging - merge to the live site on-demand or scheduled
– Admin controls of publishing privileges
Marketing Tools
• Turn browsers to buyers
– Promotions
– Product Suggestions
– Consumer Generated Product
Reviews and Ratings
– Upsell and Cross-sell Tools
– Email marketing
Upsell and Cross-sell
Turning Buyers into Repeat Buyers
• Targeted marketing campaigns
• Promotions
• Wish Lists and Gift Registries
• Loyalty and Rewards Points programs
Magento at Work
Taking Full Advantage of Magento
• Private Sales/Flash Sales• Product and catalog management• Innovative customization
• Performance Features
– Full Page Caching for All Users– Caching of Content for Category,
Product and CMS Pages– Solr Search– PHP Accelerator– Order Archiving
• Security / Compliance
– PA-DSS Compliant
• Aids Merchants in Achieving PCI Compliance
• Strong Data Encryption
Performance and Security
Scalable Performance
Over 1,000 Orders per HourOver 1,000 Orders per HourOver 10,000 SkusOver 10,000 Skus
1 Million page views/day1 Million page views/day1,000,000 unique SKUS1,000,000 unique SKUS5,000 orders/day5,000 orders/day
Multiple Sites with One InstanceMagento Flexibility• B2B with B2C• Multi-brand / multi-sites• Special VIP sites•Multi-national sites (localized language/currency)
Magento TrainingeCommerce with Magento
Learn how to leverage eCommerce to enhance your business. This class is specifically designed for merchants .
After attending this class you will be able to:• Recognize and understand the state of eCommerce and trends for the future• Analyze, plan and design your Magento site based on your specific requirements• Leverage the many features included in the Magento platform to attract consumers,
increase conversion rates, grow revenue, foster customer satisfaction and maximize the return on your Magento investment.
Online, instructor-led course (4 two-hour sessions) $950 valueGive your business card to me and you’ll be entered to
win a free “eCommerce with Magento” class
Why Levementum Chose Magento Enterprise, Why You
Should Too• Ecommerce is no longer a luxury, it’s expected by your customers• Ecommerce has changed – consider the impact of social media• Capital funding is too precious to waste
– Stop spending $ to build what should be present from the beginning• We wanted a mature platform that would be enhanced intelligently• We wanted to find a partner that let us focus on our business• We wanted the same things as you
– Predictability– Quality– Features– A roadmap that was real– A stable, but expanding architecture – Value for the investment and a sensible way to grow our business
With Us From Peer 1, Our Premier Hosting Partner
• Travis Eiland, [email protected] – Peer 1 is a global, Enterprise class hosting and
infrastructure provider that can support customers of all sizes
– Peer 1 provides fully managed services including server, firewall, intrusion detection / prevention, PCI compliance, and pre-configured / pre-tuned Magento systems
– Levementum exclusively recommends Peer 1 based on its superior delivery capabilities, industry best support and SLA models, with competitive pricing in every scenario
– Peer 1 ‘Wrote the Book’ on Scaling with Magento
With Us From Avalara
• Jesse Bornfreund, Channel Partner Manager– [email protected]
• Pop Quiz:– You are in New York, buying a running suit. The
cost is $100. Is it taxable?• What if it costs $120?
– You’re in California, you buy software which is downloaded? Is it taxable?
• What if you have it shipped to you?• What if it’s downloadable and shipped?
– You’re buying bagels in New York, taxable?• What if they put cream cheese on it for you?
Agenda
• Why leverage multiple store fronts?• Discuss key areas to plan around to
support multiple store fronts• Magento’s solutions to areas that cause
operational overhead and increased costs
• Additional reference material and case studies for future use
Why Should You Create Multiple Store Fronts?
• Market and brand your company to different demographic groups
• Highlight subsets of your catalog in sites that cater to niche markets
• Provide multiple price points to different groups without eroding your core margin
• Set up cobranded or partner affiliated sites• Enable different levels of customer service
and support programs to different audiences (B2B)
What are the Risks?• Operational impacts
– Multiple locations for inventory management– Branding, marketing, and content management
activities can increase faster than sales– Customer service and support may have to learn and
manage multiple tools or sites– Tax, compliance and filing effort will grow unexpectedly
• Traditionally, time to setup, brand and configure each store front takes as long as the original base store– Total setup costs exceeded expected value from each
additional store
What Drives Operational Overhead?
• Catalog management
• User Interface (theme, skin, layout)
• Managing order intake and integration to your order management system
• Customer service and customer management for support, sales, and responding to inquiries
Catalog Management
• Challenges: – Maintaining the
addition of products in multiple sites
– Keeping inventory and pricing up to date in each site
– Managing images, attributes, and other marketing content by manually coding changes on each site’s pages
• Solution: Magento’s virtual catalog model– Establish one base catalog
and ‘inherit’ all or portions to each site you setup
– Overrides are available site by site
– Changes to the base can replicate automatically
– Inventory can be synced and maintained from your back office tools for all sites at once
Catalog Management
User Interface and Design
• Challenge– How to take a base
design and modify it to create a new site with a new look and feel without going through the entire process from scratch?
• Solution: Magento’s theme model – Allows you to extract the user
interface and
– Apply to each additional site like a ‘plug-in’
– Within each site you can then change color, font, logos, banner adds, etc.
• Magento’s CMS tool allows you to add and manage content in all or select sites without writing code
2 Sites, 2 Brands, 1 eCommerce Instance
Order Management and Integration
• Challenge– If you’ve managed
multiple stores on Volusion, Yahoo Carts or other platforms, you appreciate the challenge of getting orders into your Order Management System
• Solution: Magento provides out of the box integration APIs (along with many prebuilt extensions) to take order activity from all your sites and sync with your ERP or Order Management Solution– You can also integrate and
automate shipping notifications from ERP to Magento
A Note on Infrastructure• Magento’s architecture provides a platform
approach to scale multiple store fronts functionally• Peer 1’s infrastructure approach and model lets
you scale effectively, and in a cost effective manner without having to dedicate and hire full time system administration tasks
• We have instances of customers running 15 sites, for high volumes of activity on each site, off of two server footprints– Peer 1’s model provides stability not just for visitor
traffic, but for the processes and workflows (integration) which add over head to your system
Process Standardization and Control• Challenge
– Multiple tools means multiple training requirements for customer service
– Multiple cycles of maintenance, upgrades and revisions
– Adding new functionality means programmatic changes to each tool or site separately
– Creating promotional campaigns requires repeated steps and intense manual effort
• Solution: One Application Base in Magento Enterprise– By default, your sites will act and
behave the same
– Logic and integration changes are made available to all sites
– Customer Service manages return inquiries and support requests in one place for all sites
– Customer notifications for shipments, change orders, and inventory notifications are all triggered automatically and in a consistent method
With Growth Comes Operational and Financial Complexity
• Without question, state and local governments are making enforcing of sales tax laws a focal point
• For growing merchants, compliance is not an option
• Avalara provides a real time, integrated tax calculation service AND…– They provide tax data, financial filings (one
click)
Avalara – A Must If…• You are…
– You are in a state where local municipalities are charging their own sales taxes
– Your state is financing a sports stadium now or in the past 10 years (or talking about it)
– You have or participate in an affiliate / referral / commissioning program with parties in other states
– Paying taxes in more than 1 state (multi-state nexus)
– Paying taxes in Home Rule and/or Mixed Sourcing states such as CA, TX, OH, AL, AK, AZ, CO, ID, IL,LA
– Switching or upgrading your ERP or accounting system
– Selling tax-exempt products or services, or working with customers who work with do deal in exempt transactions.
– Preparing for or recovering from a recent audit
– Working with a new controller or CFO
– Working with a dedicated, in-house tax department
– Employing a remote work force
– Managing multiple order entry systems
What Can You Expect When you Expand with Magento?
• We have seen secondary sites ‘go live’ in as little as 7days following the release of the primary site (typical is closer to 2 or 3 weeks)– Magento is about reuse and standardization– Magento provides you a greater set of tools to be
self sufficient and reduce programming requirements
• Designing your primary site with the expectation of potential reuse is a key factor to achieving great results
• We are all here to help
Additional Resources• Be sure to visit our site and blog:
– http://www.levementum.com– http://www.levementum.com/blog
• Here you’ll find– Solution summaries– Packaged offerings– White papers – More
• We’ll be sending you a full copy of this presentation to keep as well as materials from each of our partners
• You can contact us at 480-320-2500 or [email protected] at anytime to discuss your site(s) and needs or to see a live demonstration of a multi-store front Magento instance
