eCommerce Trends What’s current? What’s working IJL Seminar – 4 September, 2012 Eddie Prentice – Digital Marketer
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eCommerce Trends What’s current? What’s working
IJL Seminar – 4 September, 2012
Eddie Prentice – Digital Marketer
eCommerce Agenda
• Why are we here?
• Social commerce
• Mobile Commerce
• eCommerce trends & issues
• Conclusions
Olympic Ticketing
This is not the real world. Without marketing and good website usability you fail.
Buyers persevered because there was no alternative.
Internet “Splinternet”
• Explosion of devices and social networks has turned the internet in to the “splinternet”
• New fragmented reality
• More complex to deliver a consistent customer experience
eCommerce Why It’s Important?
• 20% shoppers spend more than half their income online
• 40% of UK consumers shop online at least once a week
• 52% research purchases SOLELY online
• 40% start their search for ALL purchases online
Source: PricewaterhouseCoopers / Reevo, June 2011
Mobile Devices Deliver on the Promise
Smartphones are now mainstream Touchscreen tablets are now what we’ve
always wanted them to be
Current Mobile Technology
• 2G = voice and text
• 3G = 2G plus internet services
• 4G = faster and better coverage than 3G (not yet launched in UK)
Current mobile technology is know as “third generation” (3G)
Roll-out of 4G services is coming soon! Enabled by the release of SPECTRUM. Expected to reach the UK in 2013.
Mobile Facts
26 million smartphone users in the UK
Source: Comscore April 2012
69% of smartphone owners currently own their first smartphone
Source: Our Mobile Planet May 2012
Mobile Usage Its Not About Phone Calls • A third of smartphone owners prefer using it for Web
browsing or e-mail even when they are near PCs.
• Over the past two years, iPhone users have spent 45 percent more time e-mailing on their smartphones and 15 percent less time e-mailing on their PCs.
• More than 60 percent of smartphone users would consider buying goods with it or have already done so.
• As more products are distributed over mobile channels,
greater competition will raise the importance of design, ease of use, and new mobile payment options.
Source: McKinsey Research
Mobile Site Design Basics
• Minimise menu and navigational items • Vertical lists work better than horizontal
menu bars • Links/buttons should be large enough and
widely enough spaced to view and click on or touch.
• Search box is very important given a more limited link navigation – Enable filtering of results – Include price in results
• Minimise form filing
De Beers Bridal App
Single theme: Bridal - Focus on customer needs rather than product Good use of action phrases – Useful navigation options
M&S Checkout
• Mobile users do not want
to invest time in entering
lots of personal details.
• Make registration optional
• Minimise form fill – Add shortcuts (postcode lookup)
– Pre-populate billing address
• PayPal payment option
may avert security concerns
On entering Checkout, users forced to register. NOT best practice
Debenhams Checkout
Debenhams offers a much slicker checkout process
– Allows guest registration
– Postcode finder
– Assumes same address
for billing & delivery
– Pages short and quick to load
Topshop Checkout
• Very fast Checkout
• Guest registration
• Only requires delivery
address & card details
• Short pages (quick to load)
• Pulls up numerical keypad
to enter phone number
Social Media What’s the Point?
Grow customer engagement and build brand loyalty
It’s about: • Personalising your brand • Enabling customers to identify with your
brand
Social Media UK Statistics
• 31.5 million Facebook users in UK (over 50% of UK population)
• 97% students use Facebook
• 45% students use Twitter
• 25% of consumers have a Twitter account
Social Media Brand Engagement By Age
Source: Fishburn Hedges, via Econsultancy, May 2012
eCommerce & Facebook Fans
• Fans made 131% more visits to the online store than Facebook users who had not liked the brand.
• Fans made 639% more visits to the online store than non-Facebook users
• Once users became fans, they visited the company’s website 30% more than before
Source: allfacebook.com, July 2012
Attract Customers on Facebook
1. Get More Fans • The more people who ‘like’ your page, the bigger your reach across
their network of friends. All your fans have hundreds of friends who can see who they interact with.
2. Turn Fans In To Leads • Having fans doesn’t get you sales. Turn these fans in to email
addresses.
3. Turn Leads In To Sales • Email is generally has the highest sales conversion rate of all
sources of website traffic.
Likes Email addresses Customers
Like Our Page Hint Hint
Click on Red Bull App
Like Our Page Hint Hint
Arrows in graphic point towards Like button. No need to be subtle.
Liked Now Watch This
Liked? Now Share
Welcome to Topshop
Sign Up To Style Notes
Sign Up To Style Notes
Facebook Best Practice
• Try and post every day – don’t forget weekends. This is an active time for many Facebook users
• Focus on engagement, not sales – ask questions, offer tips, share interesting content links, respond to questions
• You can sell but get the balance right e.g. 5 posts, one sales message and 4 helpful content posts (80/20 rule)
• Have calls to action – tell them to like, comment, watch (and why).
• Make it entertaining or fun
Brands Followed For Offers, Discounts & Updates
Why do you follow brands on Twitter?
Twitter Responding to Negative Comments
How to deal with the negatives?
• Respond quickly
• Apologize / empathize
• Make it easy to communicate (move it public to private - DM, Email, Phone)
• Be human – no corporate speak
• Put things right – whatever it takes
• Offer an incentive to buy again
Twitter Best Practice
• Avoid spammers. Don’t follow everyone who follows you. Just follow if it’s right for your business.
• Don’t follow too many people. It’s not a numbers game and makes you look desperate.
• Don’t over-tweet. Give followers time to breathe and you won’t be seen as a spammer but don’t allow too much time between tweets either.
• Don’t be too commercial. Get the balance right. 80/20 rule.
• Be personal. You can go off message occasionally for comments on matters of general or topical interest (Usain Bolt OK but David Cameron not OK).
Pinterest 9 Tips for Marketers
1. Don’t just blow your own trumpet - completely misses the point of social media. 2. Let others contribute - allow other users to pin content to some of your boards.
They will share the board with others. Be selective to avoid spammers. 3. Update your boards on a regular basis – to keep customers engaged you have to
give them new content on a regular basis. 4. Use eye-catching images (or don’t bother) – large, hi-res, colourful. You want to
inspire others. 5. Add links to your images - when you do pin your own product make sure to link
back to your e-commerce site. 6. Be wary of copyright infringement - If in doubt don’t pin it. Credit images – you
are unlikely to get sued if you send traffic to the copyright owner 7. Don’t include prices or logos – these images won’t get repinned. Just link back to
your website. 8. Make pins and pinboards searchable - use keywords in the descriptions so users
can find them when searching the site. 9. Add a Pinterest share tab to your website
Ref: www.econsultancy.com
Burberry on Instagram
- Originally showcased products but now photos around London - Using Instagram to positioning Burberry as a cosmopolitan, British brand - Also, featured behind the scenes look at launch of new range, presented as an invitation i.e. building network with exclusive content - Now over 500,000 followers
Virgin Atlantic Consistent Customer Experience
Ratings & Reviews No Longer an Option The views of your peers carry greater weight than the message of the brand
Who You Are Makes A Difference
Source: Reevoo, June 2011
54.2% of UK consumers say a reputable retailer is important when shopping online
Don’t Fear Negative Reviews
Most people leave positive comments
Source: LightspeedResearch, March 2011 [email protected]
TripAdvisor Reviews
Negative reviews don’t necessarily have more weight than positive reviews. They give authenticity to positives.
Attracting User Reviews
• Ask for reviews on product pages.
• Email customers post purchase to request a review.
The more reviews you have, the more useful a resource it becomes for consumers.
How To Display User Reviews
• Display a review summary and then allow customers to drill further into the detail if they want to.
• Your customers don’t necessarily have the patience to read long reviews
Reviews Still need convincing?
• 87.3% of UK consumers sometimes or always read reviews before purchasing.
• 86.9% will not purchase a new product before reading the impartial opinions of owners.
• 78.2% of UK consumers are more likely to buy products with good reviews
• Almost half of UK consumers have written a review.
Source: Reevoo, June 2011
Mega Drop-down Menus Most major retailers now have Mega drop-downs
Ernest Jones Mega Drop-down Menus
Mega Drop-downs Pros and Cons
Pros
• Reach lower levels of navigation with fewer clicks
• Offer different paths to the same product/brand
• Filter the customer’s product selection, saving clicks
• Merchandising - offer the most popular at top and on the left
• Works well with horizontal navigation bars
Cons
• Drop-downs can be very difficult to use on mobile devices
• "Paradox of Choice" - slows the process with greater complexity
• Technical issues - code that behaves differently depending on browser
• Can be difficult for visitors to scan and make sense of it
Mega Drop-downs Tips
• Use headings • Use columns • Showcase your best sellers • Keep it short - don’t extend off page of small screen • Add a drop shadow or border to make it stand out on
page • Test it in a range of browsers • Consider using the full width of the page • Use images and icons • Speed - Comes up instantly on hover and disappears
when mouse is moved away
Ideas for improving mega drop-down usability
Mega Drop-downs M&S M&S has many best practice features of a mega-drop-down
Abandoned Shopping Carts Reasons
Source: Comscore / Entrepreneur.com
Shipping related issues figure in 3 of top 5 reasons people abandon shopping carts
Shipping Time Cart Abandonment
Source: Comscore / Entrepreneur.com
The longer the delivery time the higher the abandonment rate
Checkout What Shoppers Want
Source: Comscore / Entrepreneur.com
The top 2 options people want to see at Checkout relate to shipping & delivery date
Checkout “NO” to account creation
ASOS reduced cart abandonment by 50% when they took the account registration process out of their Checkout
ASOS First Checkout Page Before & After
Form improved for existing and new customers
OLD
NEW
ASOS Checkout Good Practice
Visible FREE returns and FREE next day delivery
Products images reassures correct product has been selected
Transparent delivery costs
Visible and reassuring payment button at top and bottom
Easy to see “Change Details”
Trust symbol
Progress Indicator
Useful Information specific to the field
Clear primary call to action
Ability to confirm or edit your order before placing it
Site Search Becoming more important for shoppers researching specific
products and for mobile devices. • 30% of site visitors use the search box • Improved sales - customers who find what they are
looking for easily are more likely to make a purchase • Higher conversion rates - more intuitive search and
navigation means higher conversion rates. • Increased site usage - customers are more likely to spend
more time on the site • Improved customer loyalty - customers know they can
find products easily • Improved branding - a better customer journey compared
to competitor websites Source: Econsultancy
Site Search
• Make it easy to find and make it obvious what it is
• Avoid confusion – keep away from other boxes e.g. newsletter sign up
Shoppers Respond To Up-sell Suggestions
£232 £263 £254
All similar items slightly more expensive than shopper selection.
Shoppers Like Your Suggestions
Amazon cross-sell / up-sell
Cross-sell Up-sell Rules
• Keep suggested items relevant. Showing unrelated items is a waste of valuable merchandising space.
• Keep the number of cross and up-sell options to a reasonable number. Avoid cluttering the page and spoiling the effect.
• Show accessories that are obvious cross-sells e.g. jewellery box.
Calls to Action
• Buttons need to jump out at the shopper - leave them in no doubt about the next step they need to take
• Test different combinations to see what works best: – colour
– button size
– wording
No absolute right and wrong. If it doesn’t stand out clearly on the page, then there is room for improvement.
Buttons: Contrast More Important Than Colour
No need to agonise over blue or green. Only question is “DOES IT STAND OUT?”
3 Things to Test: - Colour contrast - Button Size - Wording
What do shoppers get excited about?
• 80%: Finding a great price or deal on a product I want
• 60%: Getting a better price than other people
• 53%: Finding rare items or hard-to-find items
• 47%: Discovering great new products
Source: Yahoo 2011
Conclusions
• Mobile is changing the game - but not changing the rules
• If you don’t engage your customers in social media, others will
• Ratings and reviews on your site are a must - the views of your peers carry more weight than the message of the brand
• Transparency on shipping costs and delivery is a critical
IJL Seminar – 4 September, 2012
Eddie Prentice – Digital Marketer
Email: [email protected]
eCommerce Trends What’s current? What’s working
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