Introducing The eCommerce Benchmark Amsterdam, 8th of March 2012 Jorij Abraham
Jan 13, 2015
Introducing The eCommerce BenchmarkAmsterdam, 8th of March 2012 Jorij Abraham
Agenda
› Why the eCommerce Benchmark?
› What is the eCommerce Benchmark?
› Some preliminary results?
› What’s in it for you?
Introducing the eCommerce Benchmark
Why the eCommerce Benchmark?Getting insights into your eCommerce Performance…
Who am I….Introducing the eCommerce Benchmark
How am I doing?Introducing the eCommerce Benchmark
Conversion Ratio
Page views
Bo
un
ce
s
Email base
CTR
Open ratioOrder lines
Order value
% ReturnsAbandonment
Mobile commerce
Facebook shop Calls handled
Pickup ratio
# Product managersICT Sourcing
Growth strategy
TabletsF
ulf
ilm
en
tc
os
tsF
TEH
TM
L 5
CP
S
PSP
On
lin
e s
ha
re
InternationalizationICT budgetContent costs
Order lines
Order lines
© eCommerce Foundation | Page 5
What is the eCommerce Benchmark?A Mirror to Compare your Company‘s eCommerce Performance
What is the eCommerce Benchmark?
Total
3.5
Financial
(4,6)
Internal
(2,9)
Innovation
(2,2)
Channels
(4,4)
© eCommerce Foundation | Page 7
Everybody is focusing on product loyalty management, why aren’t we?
Our conversion ratio is slightlyabove industry average.
My PSP cost per order are much lower than average.
Our average order value is market average
We are growing faster than the market.
Our e-commerce department is relatively small
Our competitors have SEA/SEO experts in house. Should we too?
We are behind in mobile payment.
Introducing the eCommerce Benchmark
TotalBenchmark
Financial
Perspective
Internal
Perspective
Innovation
Perspective
Channels
Perspective
We should strive for a CPC
of € 0.16 or lower.
Our average CPC of
€ 0.21 for traffic is
much higher than
average.
Our fulfillment cost per order
of € 4.25 is better than average.
We should hire a SEA
expert like the others.
We should create a
competitive advantage
out of our fulfillment costs.
Let’s increase our
fulfillment scale further.
© eCommerce Foundation | Page 8
How can the Benchmark help You?Introducing the eCommerce Benchmark
Compare:Where am I now?
Create a roadmap: How do I get there?
Set targets:Where should I be?
The eCommerce Foundation:
The eCommerce Foundation is a non-profit organization
created with the intent to help both companies as well as
whole industries improve their e-commerce activities, by
sponsoring research studies, facilitating knowledge sharing
and supporting benchmarking efforts. The eCommerce
Benchmark is our first initiative and is being rolled out globally.
The eCommerce Foundation is committed to protecting any
data and/or personal information submitted to the eCommerce
Benchmark. It guarantees the anonymity of all figures
provided, and also that these will not in any case be disclosed
to others including sponsors, media partners, etcetera.
© eCommerce Foundation | Page 10
Introducing the eCommerce Benchmark
Our Partners
Industry Organizations
Business Partners Media Partners
Participants*
* All participants shown in this presentation have given the eCommerce Foundation explicit authorization to display their logos
Introducing the eCommerce Benchmark
Who is Participating?Preliminary Results
Participation by CountryWho is Participating?
0
50
100
150
200
250
127
36
9 9
23
248
6
59
99
46
6
N = 560
© eCommerce Foundation | Page 16
Participation by Company SizeWho is Participating?
0
50
100
150
200
250
300
1 to 10 FTE 11 to 25 FTE 25 to 100 FTE 100 to 250 FTE 250 to 1000 FTE 1000+ FTE Unspecified N = 560.
© eCommerce Foundation | Page 17
Participation by Industry
0
50
100
150
200
250
300
350
400
Finance Production Retail Travel & Leisure Wholesale Unknown
© eCommerce Foundation | Page 18
Who is Participating?
N = 560
Participation within the Retail Industry
20
36
101
13
58
14
94
22
0
20
40
60
80
100
120
Department stores Electronics- Fashion Food Home & garden Media (books, DVD, CD, Games)
Specialty stores Unspecified
© eCommerce Foundation | Page 19
Who is Participating?
Participation by Retail Sub-Industry
0
5
10
15
20
25
30
35
© eCommerce Foundation | Page 20
Who is Participating?
Channel PerspectivePreliminary Results
0
10
20
30
40
50
60
70
80
90
100
…
Search Engine - Organic
Search Engine - Paid
Referrals - Other Paid
Referrals - Non Paid
Referrals - Email Newsletter
Referrals - Affiliates
Referrals - cps
Referrals - cpc
Direct
© eCommerce Foundation | Page 22
Traffic SourcesChannel Perspective
Traffic Sources
Referrals - cpc, 3%
Referrals - cps, 1%
Direct, 22%
Referrals - Affiliates, 4%
Referrals - Email Newsletter, 6%
Referrals - Non Paid, 4%
Referrals - Other Paid, 2%
Search Engine - Organic, 37%
Search Engine - Paid, 21%
© eCommerce Foundation | Page 23
Channel Perspective
Average number of Page Views per VisitorChannel Perspective
0
50
100
150
200
250
0 <5 <10 <15 <20 <25 <30 <35 <40 <50 >50 unspecified
© eCommerce Foundation | Page 24
Fashion: 7.8
Home & Garden: 8.1
Specialty Stores: 11.9
Shopping Card Abandonment Rate (Retail)Channel Perspective
0
5
10
15
20
25
30
Shopping Cart Abandon Rate Retail (categories)
<10%
11 to 20%
21 to 30%
31 to 40%
41 to 50%
>50%
© eCommerce Foundation | Page 25
Average Abandonment Rate in the Retail industry is 41.7%.
Fashion: 49.5%. Home & Garden: 32.3%. Specialty Stores: 35.2%.
Conversion Ratio per Retail Sub-IndustryChannel Perspective
0.7%
3.3%
5.1%
0.1%
1.5%
0.4%
4.2%
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
10.0%
Department stores Electronics Fashion Food Home & garden Media (books, DVD, CD, Games)
Specialty stores
N = 358.
© eCommerce Foundation | Page 26
Email Open and Click Through RatioChannel Perspective
0
5
10
15
20
5 10 15 20 25 30 35 40 45 50
Email Click Through %
Email Open %
© eCommerce Foundation | Page 27
Frequency
PercentageAverage Click Through Ratio in the Retail industry is 14.89%
Email Open Ratio is 28.68%.
The Ideal Emailing Frequency…Channel Perspective
N = 79
Email Frequency
Email Open ratio Not / rarely Once a month
Once every three
weeks Bi-weekly Once a week
More than once a
week
Differs per customer
(segment) Unspecified
0 4 1
1 1
3 1
10 2 1 1 3
14 1 1
14.5 1
15 1 1 1
17 1 1
18 1
19.29 1
20 1 2 1 2 1 4
21.8 1
22 2
23 1
24 1
25 5 1 2
26 1
28 1
30 1 1 1 1
33 1 2
34.93 1
35 2 1 1
36 1
40 1 2 1 1
43 1 1
45 1
52 1
60 1 1 1 1
67 1
71 1
75 1© eCommerce Foundation | Page 28
Organization PerspectivePreliminary Results
Size of the eCommerce TeamOrganization Perspective
0
5
10
15
20
25
<1 FTE 1 FTE 2 to 10 FTE 10 to 25 FTE 25 tot 50 FTE >100 FTE
N = 68.Average E-commerce Team = 7,43 FTE
© eCommerce Foundation | Page 30
Frequency
How is eCommerce Organized?
-5
5
15
25
35
45
55
Completely centralized Completely decentralized Mainly centralized Mainly decentralized Mixed / hybrid Other
© eCommerce Foundation | Page 31
Organization Perspective
Where is eCommerce Placed?
0
5
10
15
20
25
30
35
40
Differs across the organisation
ICT Is an independent unit
Logistics Marketing Sales Other
© eCommerce Foundation | Page 32
Organization Perspective
Financial PerspectivePreliminary Results
Web Order Value per Sub-IndustryFinancial Perspective
0
1
2
3
4
5
6
7
8
9
10
<50 50 to 100 100 to 150 150 to 200 200 to 250 250-300
Fashion
Specialty stores
© eCommerce Foundation | Page 34
Average Web Order Value in Fashion is € 98,-.
For Specialty Stores: € 44.10.
Order Mutation RatioFinancial Perspective
0
5
10
15
20
25
<5 5 6 to 10 11 to 20 21 to 30 31 to 40
© eCommerce Foundation | Page 35
Average Mutation Ratio in Fashion is 2.8%. Specialty Stores: 3.4%.
B2B companies have far higher Order Mutation Ratio’s.
Order Return Ratio
0
5
10
15
20
25
30
35
<10% 10 to 20% 21 to 30% 31 to 40% >50%
© eCommerce Foundation | Page 36
Financial Perspective
Average Return Ratio in Fashion is 20.6%. Specialty Stores: 12.6%.
Number of Order Lines
0
2
4
6
8
10
12
14
<2 2 3 4 5 >5
Home & garden
Fashion
Specialty stores
© eCommerce Foundation | Page 37
Average Number of Order Lines Fashion is 2.0.
Specialty Stores: 2.9. Home & Garden: 2.5.
Marketing budget spend on OnlineFinancial Perspective
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
% marketing budget for promition website
Production
eRetail
Retail
Travel & Leisure
Wholesale
© eCommerce Foundation | Page 38
We are Just Starting…Please Join for Free & Anonomously
Total7.3
Financials
(9,6)
Internal
(5,9)
Innovation
(4,8)
Customer
(8,9)
Join 250 other Companies!
Get immediate
results
Receive an email when new entries
are made
Fill in the questionnaire
Just register at
www.ecommercebenchmark.org
© eCommerce Foundation | Page 40
We are Just Starting
And get your Anonymous and Free Benchmark
Interested? Questions? Please Contact Us!Introducing the eCommerce Benchmark
Board Member
+31 6 5234 2568
Jorij Abraham
Benoit Mouret
Research Manager
+31 6 2437 5762
© eCommerce Foundation | Page 41