SAP Introduces Machine Learning to Optimize the Shopping Experience

Singapore — October
19, 2017 — SAP SE (NYSE: SAP)  today introduced new
technologies, such as facial recognition, machine learning and Internet of
Things (IoT), to enable targeted marketing campaigns and help consumers
optimize their shopping experience. With its SAP® Hybris® solutions, SAP continues
to innovate and invest to drive the future of customer engagement and commerce.
This announcement was made at the SAP Hybris Live summit being held October
17–19 in Barcelona, Spain.

Sharing Is Caring: SAP
Survey Reveals What Makes Customers Happy (and Angry)
Nine out of 10 customers (89 percent) expect an answer to their query within
24 hours, according to the 2017 SAP Hybris Consumer Insights Report. The survey
of 20,000 shoppers worldwide found that the easiest way to keep customers happy
is to be responsive, and the fastest way to lose them is to share their data
without their knowledge.

Four out of five
shoppers (80 percent) are willing to share some of their customer data with
brands, the study found, with Japan being the least inclined (52 percent)
compared with Colombia and India (both at 92 percent). Respondents from all
countries, except Russia, are willing to share their e-mail addresses, but only
half of Middle East–based consumers want to share their mobile phone numbers.

Download the 2017 SAP
Hybris Consumer Insights Report here.

For more information,
read “The customer dating game: Know the tell-tale signs to avoid a
brand break-up.”

SAP Powers Marketers
with Tools to Touch Customers
The SAP Hybris Marketing Cloud solution now encompasses an array of solutions
to help companies ensure they use the right messages to target customers who
matter the most and ensure customers’ data and privacy are protected. Paired
with the tools listed below, companies can create more transparency into their
own marketing performance and spend.

·  Digital boardroom for the CMO: Based on SAP Digital
Boardroom, the new marketing
executive dashboard presents to chief marketing officers a view that includes
reports gauging the success of campaigns and transparency to detect impending
problems. It also shows and identifies new marketing opportunities.

·  Machine learning facial recognition: The SAP Leonardo digital innovation system now powers
facial recognition technology within SAP Hybris Marketing Cloud, introducing a
new way to engage in-store shoppers. Using facial analysis, the software
connects shoppers’ genders and ages to a company or store’s available inventory
and stock, enabling personalized product recommendations presented on large
displays.

·  Embedded customer attribution: The SAP Hybris
Customer Attribution (formerly Abakus) provides marketers with accurate
measurements of marketing campaigns and activities that lead to a customer
purchase. Data is collected across all touch points of the customer journey,
giving insight into what’s driving customer conversions and where to reallocate
activities and budget in real time.

·  Internet of Things (IoT) to trigger campaigns: Marketers can tap IoT devices to
personalize offers. For example, brands can send a relevant marketing message
when a consumer hits a new milestone on her fitness tracker.

·  Support for the General Data Protection
Regulation (GDPR): Full support for the May 2018 global
privacy regulation enables marketers to execute sophisticated targeting with
consumer data protection as top priority.

·  WeChat integration: By supporting the Chinese social media
application, SAP Hybris solutions are helping marketers expand their global
footprint to more than889 million users across China.

Read more on the
Future of Customer Engagement & Commerce blog: „Marketing: Data is their biggest asset and challenge ”.

SAP Introduces Machine
Learning Co-Innovation Program
Ten customers are joining SAP Hybris to embed machine learning capabilities
into the SAP Hybris Sales Cloud and SAP Hybris Service Cloud portfolios. SAP
Hybris solutions have access to customer and product data across the front
office. With SAP software touching more than 76 percent of the world’s business
transactions, SAP is uniquely positioned to access data at this level.

Several use cases are
available covering marketing, sales, service and commerce. They include
advanced personalization, contextual merchandizing, a shopping assistant bot,
affinity scoring, sentiment analysis, service ticket text analysis and a
customer service bot.

Additionally, labs run by SAP rely on machine learning for
several of their prototypes, including Galaxy, Charly the Chatbot and Pepper Instore Assistance. Hear more about SAP’s perspective on the
impact of machine learning on customer engagement in the blog: “Machine learning: Putting it into practice with customers.”

Customer engagement expectations are rising to new heights in the digital era,
and organizations understand the need to transform. This can only be done by
introducing agility into the infrastructure. Of 285 marketing,
line-of-business, and IT leaders surveyed, more than half said that by
introducing a microservices-based software architecture, they could increase
scalability, improve discovery and resolution, and reduce dependency on a
single technology stack. The problem is that while nine out of 10 digital
strategy decision-makers would like to see their organizations accelerate
digital business, only one third of organizations have a clearly defined
digital strategy. More information can be found in the September 2017
SAP-commissioned thought leadership paper sponsored by Forrester Consulting
titled “Leverage Agile Software Development to Deliver Business Flexibility.”

The study’s findings
will be discussed during a dedicated panel at SAP Hybris LIVE: Global Summit. For further
information, read “Agile microservices: The key to breaking barriers to digital
business.”

For more information
on SAP Hybris solutions, visit the News
Center or follow on
Twitter at @saphybris.

SAP
Hybris solutions provide omnichannel customer engagement and commerce software
that allows organizations to build up a contextual understanding of their
customers in real time, deliver a more impactful, relevant customer experience,
and sell more goods, services and digital content across every touch point,
channel and device. Through customer data management, context driven marketing
tools and unified commerce processes, SAP Hybris solutions have helped some of
the world’s leading organizations to attract, retain and grow a profitable
customer base. SAP Hybris software
for customer
engagement and commerce provides organizations with the foundation, framework
and business tools to create a holistic customer view across channels, simplify
customer engagement and solve complex business problems. For more information,
visit www.hybris.com.

As market leader in enterprise application software, SAP (NYSE:
SAP) helps companies of all sizes and industries run better. From back office
to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers
people and organizations to work together more efficiently and use business
insight more effectively to stay ahead of the competition. SAP applications and
services enable more than 355,000 business and public sector customers to
operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.