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© 2014 GS1 How Mobile Operators are enabling digital coupons 2 Paul Crutchley Strategic Engagement Director - GSMA
© 2014 GS1 111 national organisations… … 150 countries served Close to 2,000,000 member companies Not for profit, member controlled, for more than 40 years 25 different industries 2,000 staff GS1 & GSMA. A great match
© 2014 GS1 Targeting Customer Merchants, town centres and shopping malls have been finding the best way to target customers for years. Yet mobile is an expanding communications channel and we have to consider it carefully. High Street/ Shopping Centre 5000 people Purchase 200 people Affinity 100 people Increase footfall Combine eyes with feet Build affinity over time Know Your Customer Store 500 people Increase with strategic engagement Retail is more than just a transaction
© 2014 GS1 We need to consider the ecosystem, the PoS processes and the customer journey if we are to make good decisions with regards to the creation, distribution and redemption of couponing and loyalty. Purchase + Couponing / Loyalty Time Sensitive Set up and Communicate Discovery and Acquisition Presentment Reporting and Settlement Validation and Redemption Within the processAt PoSOn the mobile Consideration of interoperability and collaboration
© 2014 GS1 Substantial research in what retailers and their ecosystem want Mobile Commerce in Retail whitepaper, Loyalty & Couponing whitepaper, iBeacon / BLE overview, Market Research conducted Published open Technical Architecture & API proposal for couponing and loyalty using NFC (2tap) Market engagements with retail ecosystems and ‘in market’ collaborating mobile operators in Asia, and several in Europe. Built on a sound and solid framework of proposition, business and technical strategy. 2013 / 2014 progress of the retail work
© 2014 GS1 Global reach Promoting innovation, interoperability, collaboration & standardisation GSMA’s target markets: collaboration & interoperability
© 2014 GS1 GSMA Mobile commerce in Retail Mobile Loyalty & Couponing Tech Specification Coupon and loyalty A well engaged and researched retail ecosystem A desire from the mobile industry to bring couponing to life GS1 Digital Coupon specification Technical Specifications Event Database Standards The Business Vocabulary associated with events in the event database An Open Source version of the event database (EPCIS) Joint GSMA / GS1 project – Provide recommendations for enabling the mass distribution and acceptance of digital coupons Give guidance to the ecosystem, brand and merchant This joint opportunity was not to be missed.
© 2014 GS1 Today X Retailers/Brand & X Operators 1 Retailer/Brand & 1 Operator Collaborative future X Retailers/Brand & X Operators Potential fragmented future At risk of ‘hyper fragmentation’ in mobile apps
© 2014 GS1 Merchant closed loop couponing solution Merchant open loop couponing solution Brand closed loop couponing solution Brands open loop couponing solution Multiple Merchants closed loop couponing solution Merchants open loop couponing solution Merge Merchants & Brands open loop couponing solution Brand open loop couponing solution Multiple Brands closed loop couponing solution Single to Mass Market
© 2014 GS1 Can create a coupon Understand ecosystem Transfer mechanism s (NFC/BLE etc) Technical capabilities (applets etc) Open coupon format Assumptions Understand retailer distribution to settlement ecosystem Determine customer journey Discuss and determine ideal digital mass distribution process Identify new areas within ecosystem Objectives: Create and agree a common way of thinking Prior to discussing Acceptance and Distribution
© 2014 GS1 SETTLEMENT OFFER ISSUER COUPON DATA POOLS OFFER/ COUPON DISTRIBUTORS CONSUMER MOBILE RETAIL ECOMMERCE &/ STORE POS OFFER VALIDATOR COUPON EVENT REPOSITORY CAMPAIGN MGT & REPORTING Key: Distribution Acceptance Redemption Next - Making couponing and loyalty mass market
© 2014 GS1 Offer Issuer Campaign Manager / Agency Data Pool Event Repository Distributor ValidatorStore Consumer Settlement GTIN GLN Merchant GLN Event Creative Parameters GLN Settlement GLN Distributor GLN Validator GTIN GLN GCN Parameters SGCN GLN Merchant GLN Settlement GLN Distributor GLN Validator GCN GSRN SGCN (burn) SGCN GCN SGCN GTIN GLN Merchant GLN Event Parameters GLN Merchant GCN (range 1) GCN (range 2) GSRN Creative SGCN (burn) SGCN Parameters GLN Merchant GSRN Creative SGCN (burn) SGCN Data modelling exercise as part of the development
© 2014 GS1 The following need to be added: Coupon Data Pool for the issuance of campaign coupons Coupon Event Repository as the single truth for campaign redemptions Campaign management platform to interface to the Coupon Data pool, Coupon Event Repository, distributors and settlement Possibly a marketplace of offers working with distributors We believe these additions create new opportunities for the ecosystem Ecosystem players may fulfil one or all of these new functions A market may have a single Coupon Data pool and Coupon Event Repository, or many Coupon Datapool Coupon Event Repository Campaign Management Marketplace What’s next - What Needs To Be Built
© 2014 GS1 Wide distribution of coupons through multiple and NEW channels Targeting and controlled distribution Distribute coupons across multiple retailers Unique codes reducing fraud and identifying consumers that engage Fast and easy consumer experience Live view of campaign effectiveness from distribution through to redemption Fast settlement This process with mobile can deliver these benefits
© 2014 GS1 Complete review sessions with retailers and brands Compile whitepaper together, expected publication November Technical evaluation and API identification For GSMA – further assessment for Mobile Operator role Engagement with mobile operators in implementing markets Our Next Steps
© 2014 GS1 “Engage with the digital commerce ecosystem to stimulate the development and on-boarding of service applications” Define the core functionality and technology to enable couponing and loyalty Determine a solution for mass distribution and acceptance of couponing Develop consistent case studies for interoperability in the ‘in-store shopper journey’ Support go-to-market activities between mobile operators & merchant ecosystems in selected markets GSMA’s digital commerce retail project 2014/15
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