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Mobile Commerce @ Macy’s

Martine Reardon, Chief Marketing OfficerJanuary 15, 2013

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Macy’s Mobile Strategy

Solve customer problems by investing in mobile platforms

that drive commerce,

facilitate customer service, and

create useful marketing experiences.

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OMNICHANNEL COMMERCE

Macy’s Mobile Priorities

PAYMENTS, CREDIT & LOYALTY

BRAND & PROMOTIONAL MARKETING

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Macy’s Mobile Ecosystem

Offers & Payments

Apps & Mobile Web

MediaPartnerships

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Mobile Web

GOAL: Connect the best of Macys.com to the shopping experience in stores, driving conversion in both channels.

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Mobile App

GOAL: Redesign Macy’s app to support omnichannel shopping, with a user-focused, thumb-friendly design

2012 improvements:Product search on homepageBarcode & 2D scanningEasy access to offers, coupons & customer reviewsDynamically-populated marketing messages

o Sales promotiono Macys.com siteletso Marketing apps

Customer response:• New iOS version launched 10 days before Black Friday• 44% of existing users downloaded the new version before Black Friday• 19% growth in total user base, thanks to call-to-action in TV spots

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Herald Square app

GOAL: Assist customers as they explore the NYC flagship during and after its extensive, 4-year renovation

• Navigation to the department level, with turn-by-turn directions when connected to WiFi

• Dynamic special events information• Santaland and restaurant reservation system• 10% of Macy’s app users used the HSQ app since its Oct 2012 launch

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Black Friday app

GOAL: Make Black Friday shopping easier, faster and more efficient

Key features:•Detailed list of 300+ Black Friday product specials•Navigation tool to help find all specials in all doors•Shareable shopping lists, organized by gift recipient•Push notifications promoting unadvertised specials (MAC, Impulse)

Partner: eBay & GSI Commerce

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4Q Apps: Parade & Believe

GOAL: Reinforce Macy’s as an entertainment brand through augmented reality

• Thanksgiving Day Parade appo MyCityWay helped visitors to NYC navigate the parade routeo Elf-o-Matic game provided additional entertainment layer

• Believe-o-Magic appo Markers in store trigger images of characters from Yes, Virginia

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Backstage Pass

GOAL: Starting in S11, educate customers about how their mobile phones could unlock unique content and enhance their shopping experience

•QR codes serve as access point for educational, how-to videos from our stars•Engagement spiked with introduction of instant-win Virtual Gift Cards in F11 (312% YOY)

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TV + SMS

Printed coupon + SMS

SMS marketing delivers relevant and actionable messagesTraditional media mobile activationEmail + SMS + Apps

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Mobile Coupons

In F11, started testing distribution of promotional codes through all mobile channels, resulting in 250% growth YOY

• SMS list has grown by 200% and accounts for half of redemptions• Mobile web & app account for another third• Partners such as Facebook, Shopkick and Foursquare distribute the

balance of mobile codes

Mobile web Macy’s app SMS Partner apps

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Mobile Wallets

1. Actively testing various mobile wallets, both as vehicles for offer distribution and for facilitating payment

• Google Wallet in 5 markets• Isis Wallet in 2 markets• Apple Passbook integration

underway

2. Evaluating multiple solutions to enable secure transactions

• NFC• Cloud

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Mobile in stores

Mobile technology creates a seamless customer experience in Herald Square’s newly renovated Shoe Salon

•Allows sales associates to stay by a customer’s side and provide better service•Provides product information, including accurate price and stock levels•Enables quick retrieval of products from stockrooms •Locates out-of-stock items at other Macy’s stores or warehouses•Facilitates non-cash transactions without traditional registers

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Partners are essential to maximize paid, owned and earned components of the mobile web, and require the ability for Macy’s to test and scale to support our 800+ stores

Omnichannel Commerce: app development and integration

Payments, Credit & Loyalty: offers & coupons; mobile wallets

Brand & Promo Marketing: search, display, social, check-in

Role of partnerships