the 3 megatrends
TRANSCRIPT
online retailers must capitalize
on this holiday season
The 3 Megatrends
Jackie Jenkins Product Manager
Link Walls VP of Product Management
#HolidayECom
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•#HolidayECom
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Agenda
1
2
What Did We Learn in 2012?
Mobile
3
4
Visual Commerce
Rising Consumer Expectations
What did we learn in 2012?
2012 Weekly Online Holiday Season Spending vs. Corresponding Days in 2011 Non-Travel (Retail) Spending, Total U.S. – Home & Work Locations Source: comScore, Inc.
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
Week 1 (11/4)
Week 2 (11/11)
Week 3 (11/18)
Week 4 (11/25)
Week 5 (12/2)
Week 6 (12/9)
Week 7 (12/16)
Week 8 (12/23)
Week 9 (12/30)
2011
2012
What did we learn in 2012?
2012 Weekly Online Holiday Season Spending vs. Corresponding Days in 2011 Non-Travel (Retail) Spending, Total U.S. – Home & Work Locations Source: comScore, Inc.
0%
10%
20%
30%
40%
50%
60%
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
Week 1 (11/4)
Week 2 (11/11)
Week 3 (11/18)
Week 4 (11/25)
Week 5 (12/2)
Week 6 (12/9)
Week 7 (12/16)
Week 8 (12/23)
Week 9 (12/30)
2011
2012
% Change
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
2011 Cyber Five 2012 Cyber Five
0%
2%
4%
6%
8%
10%
12%
14%
16%
2011 Cyber Five 2012 Cyber Five
Mobile is now!
+63% y/y
+100% y/y
Source: http://ebaystrategies.blogs.com/ebay_strategies/2012/11/holiday-2012-cybermonday-and-cyber-five-recaps.html
% of Overall Clicks
% of Overall Clicks
meg·a·trend
(you)
Source: comScore
#HolidayECom
Source: comScore
#HolidayECom
Traffic v.
Sales
#HolidayECom Source: IBM
~10%
~20%
Mobile Tip 1: Mobile is here.
Get optimized
to CONVERT!
#HolidayECom
#HolidayECom Source: YesMail Holiday Consumer Behavior Report, 2012
And coming soon…
At peak traffic times, more than
75% of online consumers left
for a competitor’s site rather than suffer
delays.
Source: Akamai Study – Why Web Performance Matters
Mobile Tip 2:
Know your numbers
& develop a mobile
bid strategy
#HolidayECom
CPC
CPC
CPC * Adjustment
Automate Bid Adjustments
Mobile Tip 3:
Prep your feeds
BEFORE the rush!
#HolidayECom
66 percent use comparison shopping apps
Source: Pricegrabber Survey, 2012
63 percent use price check
apps
Source: Pricegrabber Survey, 2012
Mobile Tip 4:
Go where the
shoppers are
#HolidayECom
Big e-commerce players that
have poured resources into mobile shopping,
like Amazon.com and eBay, are seeing significantly
more mobile commerce.
-VP Communications, eMarketer ” ”
Are the LEADING
COMMERCE Apps
eBay
&
Amazon
#HolidayECom Source: Nielsen
Mobile Holiday Checklist
Optimize Your Website for Mobile Develop a Mobile Bid Strategy & Know Your
Numbers
Update Feeds For Price Comparison Go Where the Shoppers Are (eBay and Amazon!)
#HolidayECom
future is in between. We think the
There are useful sites &
there are inspiring sites…
-Devin Wenig, eBay
” ”
#HolidayECom
#HolidayECom
#HolidayECom
#HolidayECom
#HolidayECom
Visual Commerce Tip 1:
Invest In Quality
Images
#HolidayECom
#HolidayECom
Visual Commerce Tip 2:
Comply with image
requirements!
#HolidayECom
bit.ly/ecomimages
Visual Commerce Tip 3:
Differentiate Google
Shopping With
Images
#HolidayECom
• Price
• 35 Characters Promo Text
• Image
Options For Image Testing • Product colors
• Product angles
• Level of Zoom
• Models –vs- Products
Visual Commerce Tip 4:
Prep images for all
devices
#HolidayECom
Photo credits: Natori
Visual Commerce Checklist Invest in quality photography
Comply with the new requirements
Differentiate Google Shopping
With Images
Prep images for all devices
3
Source: Baynote, 2012
Top 4 Expectations
Consumer Expectations Tip 1:
Put your best price
forward
#HolidayECom
Importance of Repricing on Amazon
In a recent webinar, we polled attendees and
51% reprice products only ONCE every year.
Win the BUY BOX!
•Think about product specific strategies •Evaluate competition and your cost structure •Frequency
Consumer Expectations Tip 2:
Provide Free
Shipping Whenever
Possible
#HolidayECom
Source: comScore #HolidayECom
36% of online shoppers do not make a holiday purchase unless free shipping is offered.
Free Shipping Day
•Free Shipping Day in
2012 helped bring in
$1 billion in spending
(comScore)
•Encouraged 2012 late-
season surge?
Consumer Expectations Tip 3:
Communicate and
DELIVER on
shipping promises!
#HolidayECom
Not paying attention to lead-time-to-ship =
a TOP Amazon Mistake!
•Set correct expectations for each SKU!
•Accuracy trumps value, especially for the holidays when consumers are more likely to leave behind reviews.
Communicate Your Promotions, Shipping and Timelines!
Drive home the value
Time sensitivity & “exclusive” codes
Clear Expectations In Ads
Easy Bake Ovens
www.toys.com
Order By December 22 For Holiday
Delivery. Select 2-Day Shipping!
Consumer Expectations Tip 4:
Manage Reputation & Reviews
#HolidayECom
of shoppers say merchant reputation and
product reviews affect holiday decisions.
More than 70%
Source: Baynote, 2012 #HolidayECom
Google Trusted Stores Badge
3.1% increase in conversion 5.5% increase in average order size
Order Defect Rate
Buyer Claims
Amazon Reputation
Negative Feedback
Comments
Amazon 360 Dashboard
Consumer Expectations Checklist But Your Best (Re)Price Forward
Provide Free Shipping If Possible
Be Transparent With Shipping Times,
Delivery Dates and Promotional Periods Actively manage reputation and product
reviews
#HolidayECom
Holiday Checklist
#HolidayECom
• Optimize Your Website for Mobile
• Develop a Mobile Bid Strategy & Know Your Numbers
• Update Feeds For Price Comparison
• Go Where the Shoppers Are (eBay and Amazon!)
Mobile
• Invest in quality photography
• Comply with the new requirements
• Differentiate Google Shopping With Images
• Prep images for all devices
Visual Commerce
• Put Your Best Price Forward
• Provide Free Shipping If Possible
• Be Transparent With Shipping Times, Delivery Dates and Promotional Periods
• Manage reputation and product reviews
Consumer Expectations
Thank You!