The presentation discussed how consumer reviews and feedback can increase conversion rates for online retailers. Key points included:
- Word-of-mouth and consumer reviews have become very influential in purchase decisions due to the internet and rise of sites like Google, eBay, and Amazon that showcase user reviews.
- Displaying genuine and authentic consumer reviews prominently on a company's website can significantly boost consumer trust and engagement, leading to increased conversion rates.
- Asking customers for feedback helps businesses improve but showing that feedback publicly in the form of reviews provides the "Power of Three" - the reviewer, the reader, and the business - which amplifies the impact of positive reviews and provides accountability for addressing negative ones.
5. Why are we all here today?
Retailers spend 90% of their marketing budget driving traffic to their stores.
!
But when customers get there...
Greater
conversion
Huge opportunity cost!
6. Today’s Agenda
16.10 - 16.35: Is understanding how your customers find you the key to conversion?
(Andrew Buckman, Chief Strategy Officer at Tradedoubler)
!
16.35 - 17.00: The Power of Consumer Reviews: Using genuine feedback to increase conversion
(Paul Squires, Retail Sales Manager at Feefo)
Greater
conversion
17.00 - 17.25: Everywhere Commerce: Converting impulses from visual content into sales
!
!
(Jaakko Iso-Jarvenpaa, Senior Partner Manager at Kiosked)
17.25 - 17.50: 14 Must-Haves for 2014. Move your messaging forward.
(Kestrel Lemen, Marketing Strategist at Bronto Software)
!
17.50 - 18.00: Q&A and Closing Remarks
(Isaac Moshe, Managing Director UK, Nosto Solutions)
!
18.00 - 19.00: Networking reception with drinks and canapés
7. Greater
Is understanding how your customers find you
conversion
the key to conversion?
!
Andrew Buckman, Chief Strategy Officer at Tradedoubler
8. Is understanding how your
customers find you the key to
conversion?
Tradedoubler Insight Unit
Andrew Buckman Chief Strategy Officer Tradedoubler
13 February 2014
1
9. The e-commerce and m-commerce opportunity
E-commerce growth shows little sign of slowing down. Consumer spend
online in the UK will grow by an average of 10% a year from €96bn in 2012
to €141bn in 2016. And this growth will continue to be fuelled by
smartphone ownership.
Smartphone
ownership in the
UK will increase
by 22% a year to
42 million in
2016.
2
42million
Source: eMarketer Western Europe B2C Ecommerce. February 2013.
Worldwide Mobile User forecast. August 2012.
10. Set against this backdrop of continued growth, our research
looked at how and where performance marketing presents
opportunities in the online customer journey.
2,500 online
shoppers with
smartphones.
411 in the UK
3
8 countries
representing 89%
of Europe retail ecommerce
Online and mobile
research and
purchase behaviour
12. Online research is hugely popular across many
different product categories
RESEARCH
PURCHASE
60%
50%
40%
30%
20%
10%
0%
5
Research & purchase on PC or laptop.
13. The e-commerce evolution
across sectors
SECTORS MOST LIKELY
TO CONVERT
Music – 103%
Events – 102%
Apparel – 99%
Online shopping is no longer just the
domain of books, music and flights.
Conversion to purchase now happens
across many different categories, many
of which have traditionally been “try
out” or “try on” items.
Flights – 95%
Groceries – 92%
Gambling – 92%
Train tickets – 92%
Hotels – 91%
Beauty products – 87%
Movies – 83%
6
% who research & also purchase (very often/sometimes).
14. Monthly online purchase
behaviour: PC is still the
winner, but mobile and
tablet are catching up
VALUE
FREQUENCY
7
€36
2
Tablet figures based on tablet owners.
€87
4
€20
1
15. Performance marketing is embedded throughout the
purchase journey, so for advertisers, a presence on these
channels is vital to secure a place in the consideration set
8
16. Performance marketing channels
drive purchase decisions...
93%
66%
60%
49%
48%
47%
41%
35%
24%
9
Types of site used to make purchases (very often / sometimes).
17. ... but performance marketing also drives the
start of the process at the research stage
96%
90%
80%
67%
10
66%
59%
56%
56%
51%
44%
38%
Types of sites used in purchase research (very often / sometimes).
18. Conversion behaviour
across types of channels
As well as being popular for
purchase research, performance
marketing sites are also highly
likely to convert research into
purchase.
CHANNELS MOST LIKELY TO
CONVERT
Retailer – 97%
Daily deal/group buying – 93%
Cashback – 93%
Loyalty or rewards – 90%
Coupons/voucher code – 82%
Price comparison – 82%
Sector-specific content - 73%
Blogs – 63%
General content - 62%
11
% who research & also purchase (very often/sometimes).
20. Mobile has become the anytime,
anywhere digital shopping
assistant
Mobile is the default option for internet
browsing almost everywhere, making the
desk at home or work the last refuge for
PC browsing.
Mobile is becoming central to purchase
behaviour too. Mobile use on the high
street provides significant opportunities
for performance marketing.
13
21. Mobile beats PC for browsing
everywhere except the desk
66%
Home
Shopping
Eating out
94%
65%
3%
Work
14
PC/laptop
61%
4%
50%
Hotel
Travelling
Mobile
17%
47%
3%
43%
45%
Locations where users browse the internet on a mobile.
CONVENIENCE
OUTWEIGHS
SCREEN SIZE
22. Widespread second screening underlines the need
for a multi-platform marketing strategy
52%
%
48
second
screen
using
mobiles
15
used mobiles
to buy
something
after seeing
an ad on TV
32%
use mobiles
to find out
more
information
after seeing
an ad on TV
23. Footfall doesn’t guarantee
a sale
How people use
their mobile
when they are
out shopping
Mobile use in store disrupts the
purchase journey, so defensive
and offensive mobile strategies
are required.
Purchase on mobile
45%
Buy in another store
Buy online after researching more
58%
60%
Check for better price
Look up information
16
71%
71%
How often do you do the following when out shopping? Very often / sometimes
Based on all who use their mobile while out shopping
24. Mobile performance marketing strategies
ensure retailers secure the sale
48%
download
voucher
62%
search for voucher or
discount on something
seen in a store
52%
use vouchers
received on
mobile
17
How people use their mobile when they are out shopping (very often / sometimes).
Based on all who use their mobile while out shopping
26. Footfall doesn’t
Disrupting the purchase process
guarantee a sale
Retailers are increasingly aggressive when it comes to
disrupting the purchasing process and 58%in store disrupts the
Mobile use of consumers
are use
How peopleabandoning intended purchases through mobile use
purchase journey, so defensive
when out
their mobile shopping.
and offensive mobile strategies
when they are
out shopping
High-street retailers:
are required.
• Offline redeemable promotions
• In-store voucher codes
Purchase
• Receipt-redeemable cashback 45%
Online-only retailers:
Buy in another store
• “Hijack the high-street”
Buy online after researching more
• Geo-targeted mobile campaigns
58%
60%
71%
Look up information
19
Check for better price
71%
27. Performance marketing drives research
at the start of the customer journey
User journey attribution
96%
90%
SINGLE VS MULTI PURCHASE
CHANNEL
80%
1 click
67%
51%
66%
59%
56%
20%
29%
3+ clicks
20
2 clicks
• Certain publishers better
suited to last-click wins
model
56%
51%
• Consider44% value of
the 38%
publishers further up the
purchase funnel
• Tradedoubler tracks
multiple clicks prior to the
sale
Types of sites used in purchase research (very often / sometimes).
28. CHANNELS MOST
Conversion behaviour for last-click wins LIKELY TO
Best practice
CONVERT
across types of channels used to identify individual – 97%
• Product-level tracking can be
Retailer
products in basket & justify additional funding from your
Daily deal/group buying – 93%
As well as being popular for
suppliers
Cashback – 93%
purchase research, performance
• Analyse time differences between click and purchase to
marketing sites are also highly
Loyalty
establish which sites are driving more considered or rewards – 90%
likely to convert research into
Coupons/voucher code – 82%
purchases
purchase.
Price
• Protects margins and allows increased exposure comparison – 82%
Sector-specific content - 73%
Cashback sites are more likely
than even retailer sites to
Blogs – 63%
generate a sale.
21
% who research & also purchase (very often/sometimes).
General content - 62%
29. Monthly online purchase
behaviour: PC is still the
winner, but mobile and the significant
Addressing
tablet are catching upin device spending
variance
Consider specific promotions for different devices,
for example:
• Lower thresholds for mobile - £5 off £30 spend,
free next day delivery, etc.
• For product-led promotions, display lower-value
items
• Use A/B testing to identify which offers work best
on which devices
FREQUENCY
2
4
VALUE
€36
€87
22
Tablet figures based on tablet owners.
1
€20
30. How mobile drove incremental sales for
theTrainline.com
•
•
•
•
Mobile a key element of the programme
Geo-targeted push notifications
Incentivised check-ins
Stretch cashback to incentivise higher customer spend
26%
Increase in order value
34%
23
Increase in sales over
the campaign period
32. Action points
•
•
Analyse your customers’ behaviour
– How much research do they do before making a purchase?
– What device do they use for Research/Purchase?
– What channels do they use?
– How much value does each link in the chain bring?
•
25
Dive deep into your numbers
– What are your traffic sources?
– How many sales do they bring?
– How much do they cost to bring those sales?
Test, test, test
– Do mobile specific offers drive more volume?
– Can you target your competitors’ customers directly?
– Track everything
– Test some more
36. What I’m going to cover today
-
-
-
-
-
-
-
-
-
Sales – the changing landscape
Current conversion buzzwords
From Trampolines to eBay and Amazon – Feefo
Benefits of feedback – the ‘Power of Three’
Service and Product reviews – the sweet spot
Ask less – find out more
Avoid Fake reviews
Be transparent /Case studies
Don’t Crash and Burn – Top Tips
38. What I’m going to cover today
- Branding, what it’s about, what
- A real world definition of a brand
- Some advice for healthy living swamp
This
Customer
Word of
mouth is
the
most
powerful
tool
41. Behavioral Analysis - (Targeted Offers)
Email Personalization – customer specific contact
Chat - proactive chat, reactive chat, exit chat, and clickto-call
Automated Guides – better understand product
features, and assist with the selection process
Re-Targeting – Identification of visitors interested based
on previous search
44. Most people are honest.
Give praise where it is due; make complaints where
appropriate.
...we have an open forum. Use it. Make your complaints in
the open.
Let everyone know what a joy it was to deal with someone.
Pierre Omidyar
founder 1996
61. ..companies should be aware that posting fake
reviews is likely to be illegal (under consumer
protection regulations) and could be subject to
investigation by Trading Standards or the
Office of Fair Trading.
The Advertising Standards Authority
62. Why Showing reviews matters
Problem
A moving and storage company in the Pacific
Northwest had strong conversion but external
reviews on the company on Yelp and Google+
were few and far between.
The client had collected customer feedback to
help improve their business internally, and was
not showing these comments.
63. Solution
Walker Sands web team
created a reviews page to
capture the sentiment of
the company’s satisfied
customers.
The reviews were
posted at a consistent
frequency of 2-3
reviews per day.
64. The Results were
overwhelming!
Now over 1,000 customer reviews with an average
rating of 4.5 stars
Reviews page ninth most viewed onsite with visitors
average of eight minutes interacting with site
A dramatic increase in the conversion rate of visitors
that engaged reviews pages.
65. Visitors that did not view the reviews page converted at
8.46 percent, while those who did converted at 15.4
percent!
The the site began converting so well the company
received more business in the summer of 2013 than they
had since 2006.
66. ‘Adding reviews to your site is one way we
suggest increasing your site’s engagement and
conversion rate. Just make sure the reviews are
authentic, and don’t be afraid to include negative
reviews. ’
Katie Donabedian
www.walkersands.com
67. Other reasons genuine reviews help increase
conversion
Fresh, unique content for search engines helps
page ranking
63% of customers are more likely to make a
purchase from a site which has user reviews
iPerceptions, 2011
Consumer reviews are significantly more trusted
(nearly 12 times more) than descriptions that come
from manufacturers
eMarketer, February 2010
69. Genuine testimonial
…after just one month we have already seen an
increase in conversion rates from an average of
2.5% of visits to a current 4.98% (nearly 100% up)
for January
Nothing else has changed on the site and so we
have to put it down to Feefo service and the
additional ‘listening to your customer’ to increase
conversion
John Hewitt
www.bamfordtrading.com
71. Genuine testimonial
…we understand the importance of being able to
guarantee 100% genuine feedback as Feefo does.
Our 92% Quality Score is a true testament to our
continued commitment to improving the customer
experience.
… together with Feefo we will be able to build on
this further and faster in the future
Stuart Newman
www.expedia.co.uk
82. ECOMMERCE GROWTH – NO BIG
NEWS
1.3T
$
The global eCommerce
market size is estimated
to have reached in 2013
20%
Of the global retail market is
expected to come from
eCommerce by 2020 and
+50% by 2030
88. THE YEAR
OF MOBILE –
AGAIN?
28%
Increase in mobile
shopping on Cyber
Monday in 2013
90%
The percentage of
screen based media
interactions
25%
Of eCommerce
market size is on
mobiles by 2017
77%
Time spent in front
of TV and multiscreening