BEHAVIORAL TRACKING

A BIG DATA CAPTURE CHANGE FOR DIGITAL EVENTS

Dave NickensSenior Product Manager,

Head of Behavioral Tracking Platforms

PayPal Global Product Operations

@DaveNickens

linkedin.com/in/dnickens

PayPal is the faster, safer way to pay and get paid online, via mobile devices and in store. The service allows people to send money without sharing financial information, with the flexibility to pay using their account balances, bank accounts, credit cards or promotional financing. PayPal is an eBay (NASDAQ:EBAY) company. PayPal is headquartered in San Jose, Calif. and its international headquarters is located in Singapore. More information about the company can be found at www.paypal.com.

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LETTING THE NUMBERS TELL OUR STORY

Confidential and Proprietary

$14 billion…the value of payments that our customers made on mobile devices.

• This was 250% more mobile payments than the $4 billion we facilitated in 2011

• $20 billion – expected mobile payment volume in 2013

2012

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LETTING THE NUMBERS TELL OUR STORY

Confidential and Proprietary

692 millionthe number of payments we processed from October through December.

• 5,223 – Payments per minute

2012

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LETTING THE NUMBERS TELL OUR STORY

Confidential and Proprietary

123 millionactive accounts, adding more accounts in Q4 (2 million per month) than any other quarter in the last 8 years!

• 190 markets and 25 currencies around the world

• Half of our total revenue in 2012 came from international business

2012

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LETTING THE NUMBERS TELL OUR STORY

Confidential and Proprietary

23major US retailers adopted PayPal's offline payment solutions in 18,000 locations.

2012

SOURCE: http://www.linkedin.com/today/post/article/20130117012041-356899-letting-the-numbers-tell-our-story?trk=eml-mktg-condig-0108-p1

UNDERSTANDING THE CAPTURE CHANGE FOR DIGITAL EVENT TRACKING

Customer 360 via a PayPal 180

UNDERSTANDING CUSTOMER EXPERIENCE

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SYSTEM EMAIL MARKETING EMAIL

PAYPAL HERESOCIAL

PAYPAL POS

MOBILE APP INTERNAL WEB

CONSOLE WEB

EXTERNAL WEB CALL CENTER

WEB IS ONLY 1 CHANNEL (THINK BIGGER!). ARE YOUR CHANNELS TRACKED IN SILO’S?

MOBILE WEB

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SHIFT: MULTI-CHANNEL TRACKING INGEST

MOBILE WEB GUID POS ID

DEVICE ID

CONSOLE ID

MOBILE APP IDWEB GUID

EMAIL ID

CS ID

Client / Browser

Server / API

Both Client and

Server

• ConsistencyConsistent identifier for tracking all visitors across all channels - Internet Marketing, Web, Mobile, Email…etc.

• AccuracyIncrease Digital Analytics and Marketing accuracy by reducing 3rd party blocking solutions which are lossy.

• EfficiencyFacilitating the holistic measurement of user behavior, site usage,

conversion ROI, marketing campaigns and Experimentation.

• EffectivenessAugment capabilities for Experimentation, Segmentation, Personalization, Optimization by using a Visitor as opposed to a User (Account)

• ComplianceRegulations (FTC, Consumer Bill of Rights) & Privacy(P3P)

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GOALS – TRACKING PLATFORMS CONSOLIDATION

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KEY CONCEPTS

eMailWeb Page Mobile Rich Clients

HTTPJS Service / API

Big Data Platform

InteractionPoints

Interfaces

Destination

ClickImpression Click-Through …TrackingEvents

ImpressionEvent

TrackingEvent

ReactionEvent

ComponentImpression

Event

AdImpression

Event

ClickEvent

Click-ThroughEvent

Mouse-overEvent

EntryEvent

ExitEvent

ConversionEvent

PageImpression

Event

METADATA – WEB EVENT MODEL

Client PageImpression

Event

Server PageImpression

Event

VISITVISITORINTERACTION IDENTIFIERS

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ATTRIBUTION MODEL Channel Impression

Client ServerClick Open

Direct ✓ ✓

Organic Search ✓

Paid Search ✓

Display Offers ✓ ✓

Onsite Offers ✓ ✓

Transactional Emails ✓ ✓

Marketing Emails ✓ ✓

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TRACKING PLATFORM ECOSYSTEM The scope of Digital Analytics goes beyond the web:

Legal & Compliance

Instrumentation

Infrastructure & ToolsPeople

Consumption

Digital Analytics

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Device & System ID’s Cookies & Beacons Tracking Tools Site Databases, Logs

Mobile PayPal Web Point Of Sale Device/Console

Customer Data Protection Privacy Legislation Enforcement Governmental Policy Adherence Industry Direction, ‘Do Not Track’

Reporting Analytics

Experimentation Relevance Engines

Governance Standards

Engagement Training

Documentation Process

Function / BU

People

Tools & TechnologiesAnalytics

Process

Tools&

Technologies

TRACKING PLATFORM CAPABILITIES

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• Marketing Attribution Models• Risk Models • Decision Science • Experimentation

• Data Driven Culture• Org Structure

• Business• Product• Technology

• Governance• Standards• Engagement• Training• Documentation

• Digital Metrics• Acquisition• Activation• Reporting• Predictive Modelling

• Big Data• Hadoop/PDBMS• Cookies• Client side (JS)• Server Side (API)• Fingerprinting• Packet sniffing

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KEY LEARNING'S & TAKEAWAYS

1. Big Data Platforms allow you to ingest everything into one spot given a consistent metadata model

2. Do not discriminate between types or sources of data, just make sure you are acting consistently to ingest across all channels

3. It is very difficult to find one tool or tracking platform that can identify the same customer in all channels, move away from post fact stitching to reduce time to insights

4. Be ready for mobile centric commerce: Understand the nuances and influences of offline and online commerce

5. Make sure the mobile evolution does not outpace your ability to understand your customers and changing market trends

BEHAVIORAL TRACKING

A BIG DATA CAPTURE CHANGE FOR DIGITAL EVENTS

Dave NickensSenior Product Manager,

Head of Behavioral Tracking Platforms

PayPal Global Product Operations

@DaveNickens

linkedin.com/in/dnickens

Q&A

BACKUP SLIDES

Customer 360 via a PayPal 180

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PARADIGM SHIFTS

OLD PARADIGM NEW PARADIGM

Page hits on the web for 1 visit with NVP. Capture Sessions in Time Across devices or interactions.

Need to know tool specific implementation details!

Tracking is Tool Agnostic! First Party Tracking & Web Beacon Consolidation.

Depend on the Web Channel & Browser Can we look at location via IP Address or GPS Data

May tools dumping user interaction data by channel with many post analysis SQL joins

Ingest data alignment will reduce need for post ingest data alignment jig-saw puzzles

Understand visits by channel to Optimize your Product Experience and Ad Spend

Think of the customers full journey! Describe touch points as EVENTS in each channel.

• Experienced Benchmarking

• Segmentation• Propensity

Modelling• A/B Testing• Multivariate Testing• Quality Scans• Maximize ROI /

Customer• Lifetime Value

Analysis

• Conversion analysis

• Campaign tracking• ROI tracking• Integrated auditing• Behavioural

tracking• Average basket

size• Path Analysis/Click

Stream• Recency,

Frequency and Monetary Value

EVOLUTION AND VALUE OF DIGITAL ANALYTICS

• Visitor volumes• Site visitor flows• Sessions• Pages• Time on site• CPM/CPC• Visit to

Purchase

Basic Analytics

Increase Traffic

Enhanced Engagement

Improved Conversions

Reduced Cost

Value

Value

Enhanced Analytics

Advanced Analytics

Evolution of Web Analytics

Crawl Walk Run

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