As Thanksgiving quickly approaches, retailers and e-marketers have a lot on their minds. With touchpoints coming from multiple directions across your customer journey, it’s easy to overlook critical components that can immediately affect your revenue goals. To keep you on track, we created this holiday roadmap that covers every part of your funnel. Grab some hot chocolate, scroll through our list, and rest easy while your holiday sales jump like Jordan.
1. The Difference Between Good & Great Content.
There are multiple ways to leverage content to hit different audiences. However, doing so well enough to generate leads, encourage customer loyalty, upsell, and build trust can prove challenging. In these 3 blog posts, we share a few gems to help you produce content that engages and will continue to drive value far beyond the holiday season. If your content marketing strategy doesn’t utilize these key principles, it’s not too late to inject them into your plan. Take a look and maybe grab an idea or two to spice up your content.
Content marketing should be a major cornerstone in your marketing arsenal. By providing valuable, free content, that builds customer empathy, you will attract and convert new prospects into brand-loyal customers. The caveat to producing great content is having the foresight to produce content that aligns with customer interests, while continuously delivering new content that your customers hunger for.
— Christopher Yin, Creative Director, Redstage
Know your audience and create content that hits them on a personal level. What are their interests and hobbies? What are the causes they care about? With a more complex buying process, B2B companies may want to consider producing content that hists each part of the sales funnel. Are you helping your audience think critically about the industry? How can you make your customers better-skilled professionals Furthermore, how can you align your brand with these things in a way that’s authentic and true to your brand?
Thanks to your engaging and authentic content, customers are flocking to your store. Lucky for you, holiday spending is expected to increase by 5% this year, but most customers won’t be visiting your physical location. More than half (around 53%) of your holiday customers will shop exclusively online. This surge in traffic has the potential to cause a lot of stress on your server, causing crashes or bugs that leave your customers aggravated or empty-handed.
You’ve worked hard to build trust and develop customer loyalty, you can’t fail them now, and with our help, you won’t.
The holidays are a time of increased profits, but that comes with a huge load on websites. So if you haven’t done proper stress testing to account for higher demand, you won’t know how your online store is going to react.
— Adam Morris, CEO at Redstage
Proper preparation prevents poor performance. Your customers won’t let you off the hook if you give them a poor experience, especially if you’re a wholesaler or manufacturer who has an inaccurate count of inventory. Twitter can be your best friend or worst enemy. Check out these articles to ensure you stick with the former by properly monitoring your site and completing our performance checklist. These 4 articles will help you optimize and digitally strengthen your store for the holidays.
By now you have done the research and collected the data. You know your customers’ buying habits, likes, and dislikes. You now only have 1 shot and a couple of seconds to impress them with frictionless and secure customer experiences. 32% of consumers change their minds about making a mobile purchase by abandoning their carts. Getting this step right can potentially cut your mobile cart abandonment in half. A part of stress testing your site is assessing your checkout funnel and you can do so with the Mobile Optimization Initiative. This blog can get you thinking with a mobile-first customer experience mentality so that you are not missing out on your share in over $500 billion.
Smart A/B testing based on data-driven analysis gives you insights that lead to successful, simple changes that can have a big impact on increasing your revenue per visitor.
— Benjamin Shapiro, Solutions Engineer, Redstage
Doing it right the first time can save you the trouble in the end. Potential consumers and corporate buyers want to check out with ease, the sooner you begin simplifying the check-out process the better your site will perform The sooner you start, the better your site will perform. Better performance means staying one step ahead of your competitors.
You have done your due diligence and can sit back and enjoy your holiday. Not exactly. While customers are increasingly shopping online, there is a huge risk that their data can be exposed. You may have heard of some common hacks such as phishing, payment fraud, and account take over. With an expectation of a $22 billion loss this year due to fraud this section is a must-read. Here you will find the top 3 tactics hackers will use to attack your eCommerce site and how to keep your store and customers safe. We also joined forces with our trusted partner Trustpilot to give you 7 ways to improve your website’s trust signal.
Merchants need to start with an honest evaluation of what fraud costs your company. This isn’t just the money you lose on fraudulent orders you ship; it also includes all the time your staff puts into screening orders as well as the revenue lost to rejected orders which may have been safe. When you add up all these costs, the price of top fraud prevention solutions starts to look a lot more attractive.
— Oliver Sosinsky, Sr. Solutions Engineer, Redstage.
Your customers deserve the same amount of protection as your store and protecting their privacy must be a priority. Monitoring is both crucial and necessary in keeping your customers and store safe. However, investing in a well-vetted Anti-Fraud Solution can ease your worries.
3 Stopgaps to Ensure Your Holiday Strategy Goes As Planned…
Ready or not, the holiday rush is coming, and it is up to you to properly prepare. B2C companies are rising at a steady pace and facing many challenges starting at the top of the sales funnel. However, B2B companies can learn a thing or two as they play a key role in ensuring B2C’s and their customers are benefiting from their product or services. Customers and their unpredictable demands and expectations are inevitableTo produce a safe, frictionless, shopping experience, both B2B and B2C companies must work in sync to increase conversion.
Whether it be online or a brick and mortar, your ultimate goal for this holiday season is to make a profit while increasing brand loyalty. If you want to stay ahead of your competitors here are 3 action steps, you should take.
Learn more about the Mobile Optimization Initiative and sign up for a free consultation here.
Schedule a free consultation to find out what testing feature is best for your site here.
Schedule a consultation to find out which security bundle fits your site’s needs here.
The holiday season is rapidly approaching and now more than ever consumers seek out safe and frictionless mobile shopping experiences. In preparation, merchants are scanning, testing, and optimizing their sites while cyber criminals wait in the shadows.
Analysts expect online payment fraud losses to surpass $22 billion this year. Unfortunately, lack of proper preparation and awareness only increase the likelihood a cyber-criminal will strike a merchant’s site. The only way to properly safeguard your store is to know how these thieves are planning their attacks. Here are the top 3 tactics hackers will use against ecommerce sites in the holidays ahead.
1. Account Takeover
Password protection should be enough to save your login credentials, right? Well, not exactly. Fraudsters won’t let that stop them. The increase in automated credentials, robots, and data breaches are to blame. Even the most complex credentials are being stolen with relative ease. Even worse, you likely won’t see it coming. As a result, analysts predict ATO (account takeover) attacks will exceed the 122% increase in losses seen in 2018.
An account takeover is a common form of identity theft following a date breach, malware, or phishing. Through these tactics, fraudsters gain access to a victim’s credentials, bank or credit card accounts to make unauthorized transactions.
Cybercriminals are not only becoming smarter and more efficient, they often act brazenly, attacking high-profile businesses. With access to phone numbers and emails, there’s no doubt they’re planning to use this information during the holiday season.
Cyber criminals hide in plain sight, and they’re becoming more aggressive in targeting mobile users. In fact, 48 percent of phishing attacks are on mobile users. With biometric authentication, consumers are becoming more negligent, and giving up their financial information with ease, by allowing easier access to login credentials.
Phishing is another form of identity theft where cyber criminals are using emails and phony websites to steal personal data and information. Cyber criminals are hijacking apps, emails, and posing as legitimate companies all to gain the access they need. During the holiday season 80% of people are falling for the most common holiday phishing attacks such as phony advertisements, shipping invoices, purchase verification, and charities—pretty low right?
In 2013, Target’s data breach affected about 40 million retail card accounts by sending out phony emails to collect personal information and data. 24 hours of negligence cost the company $162 million. 4,000 new mobile phishing sites are created daily, which means smartwatches, tablets, and other wearables are also under attack. Extra security measures must be set in place to protect all ends, especially when consumer’s online payment information is up for grabs.
For extra security measures, here is how you can tell if your email credentials have been compromised.
How to Avoid It
By now, your team should be familiar with what a phishing email looks like. They can be as simple as a fake newsletter from your favorite coffee shop asking you to accept a free coupon, or a FedEx tracking email telling you to accept your package. Others appear as Google Docs links or Microsoft SharePoint links sent to you by someone within your organization.
An easy way to check a link is to hover over it with your mouse. If the URL doesn’t look right or is hundreds of characters long, it could be a phishing email. Make sure your team knows what to look out for and send anything you feel is “phishy” to your IT or security team to review. Lastly, remember clicking a link can download a file that gives hackers access to your system.
3. Payment Fraud (Online and Offline)
In the past few years, major banks, and even PayPal began issuing chip-based security on all credit cards. While in-store or ATM attacks are now more challenging for criminals, your online store is still quite vulnerable. So, an increase in online transactions during the holidays makes it easier for hackers to collect consumer payment information. In addition, this info is being stolen through an increase of data breaches, chatbots, synthetic identities, and fake URLs found in Google that mirror your site’s layout.
Payment fraud is committed when cybercriminals gain access to payment and card information to make fraudulent unauthorized transactions. Online payment fraud is the most common, as it is more difficult for a merchant to verify the cardholder’s legitimacy. Chargebacks, counterfeit cards, and money orders with customer’s account information are used to commit online and offline payment fraud.
On the surface, artificial intelligence tools may be attractive additions to your site, but some pose unseen risks. AI- driven chatbots are becoming an industry favorite. As a result, cyber-attacks will keep rising as merchants rely on bots to communicate and personalize customer experiences. Analysts are already predicting fraud loss to reach $61 billion by 2023. Therefore, finding the right solution that focuses on transactional and behavior habits is a strategy that should be adopted in any fraud prevention strategy.
Consumer Expectations Drive Opportunity for Fraud
Finding the right strategy for payment and fraud prevention can be challenging. Consumers are demanding more from their retail experience and merchants are thinking with a mobile-first mentality. 41% of US millennials are expected to do their holiday shopping online and merchants are catering to their needs by introducing alternative payment options such as Zelle, PayPal and Cash App.
It’s great to keep your consumer journey in mind but protecting customer information should be a major priority. In the end, more than your revenue is up for grabs, your reputation is on the line. Signifyd, our trusted partner, states that online fraud is costs retailers 5.4 percent of revenue on average.
Merchants need to start with an honest evaluation of what fraud really costs your company. This isn’t just the money you lose on fraudulent orders you ship; it also includes all the time your staff puts into screening orders as well as the revenue lost to rejected orders which may have been safe. When you add up all these costs, the price of top fraud prevention solutions starts to look a lot more attractive.
Oliver Sosinsky, Lead Solutions Engineer, Redstage
Consumers want to check out as soon as possible, and as a result they will be relying more on automated logins, autofill, and alternative payment options while fraudsters are waiting to attack. Make sure you’re prepared to block fraud in any situation.
Properly Safeguarding Your Customers and Business
Fast and frictionless wins the race for sales, but proper security measures can mean more friction for consumers. Protecting consumer privacy MUST be the primary factor in your ecommerce strategy. If merchants are not careful with integrating certain systems to support security, your customers and your bottom line are both potential casualties. Here are 4 ways to block an attack from fraudsters.
Double up on your password protection and consider two-factor identification.
Update your customer verification process and payment processing method.
Monitor, Monitor, Monitor!
Redstage works with our technology partners to even the battlefield between cyber criminals and site security to mitigate losses. Shoppimon, Signifyd, Siteimprove, and Securi are just a few solutions thoroughly vetted by the Redstage team that can save your online store from disaster. Working with these platforms, we designed customizable security and maintenance bundles to suit your specific needs and keep your store safe. Learn more about our security bundle options here, and stay safe this holiday season!
Congratulations! You survived the Back to School retail surge. While the true test of eCommerce performance is yet to come, any hurdles you encountered during Back to School should be taken care of well before then. Consider these your warning shots. To help, here are 3 precautionary measures you can take to digitally strengthen your store for the holidays.
1. Stress Test to Avoid Lost Revenue
A wave of more than 6.2 billion shoppers will descend on digital retailers during Cyber Week. Unfortunately, not all businesses are prepared for success…
For example, J. Crew’s site crashed on Black Friday in 2018 and issues persisted throughout the afternoon. Analysts predict the outage cost the company around $780,000 in just five hours. Shoppers flocked to Twitter to complain en masse, causing a firestorm of anger to erupt across the web. This is where the real damage was done. Like a ghost story from holidays past, this is a warning for retailers everywhere to change for the better.
Redstage’s CEO Adam Morris identified the top “holiday rush” issues we’ve helped clients through in years past. Here’s what to watch out for:
1. Slow Site Speed
2. Price Caching
3. Broken or Buggy Checkout
4. Server Overload or Timeout
5. Add to Cart Features Failing
“The holidays are a time of increased profits, but that comes with a huge load on websites,” Morris says, “So if you haven’t done proper stress testing to account for higher demand, you won’t know how your online store is going to react.”Adam Morris, CEO at Redstage
Preparing for the worst now can save you money and your reputation later with one simple step— testing. Skipping this step could spell disaster that leaves the specter of poor service hanging over your reputation for years to come.
2. Your Back-End Checklist at Present
From Thanksgiving to Black Friday through the end of Cyber Week, retailers have a few critical days to rake in as many sales as possible. During this shopping frenzy customers both in-store and online. Regardless of how they buy, your online store (or your app) will more than likely be their first stop. We developed a checklist of what you can do today to ensure your eCommerce site survives Cyber Week.
Optimize your site’s user experience with A/B testing.
Check your indexing to avoid price caching.
Review all error codes to avoid a broken checkout.
Avoid overload and crashes by scaling your server.
Double-check key functions to avoid important features failing.
Complete load testing to prepare for an increase in traffic.
Utilize an automated monitoring system for real-time updates on 404s and checkout errors.
Upgrade your payments and security platforms to prevent payment fraud.
Lastly, be prepared to scale up your support team on the fly. If something goes wrong, even for a few minutes, you’ll need a sizable support team to manage angry customers and correct the issues.
“If you’re not using visitor data to identify the friction points in your checkout, you risk focusing your budget in the wrong places. A data-driven approach to optimization means trusting your analytics even when the message is counter intuitive.”Oliver Sosinsky, Sr. Solutions Engineer at Redstage
Learn a valuable lesson from LuLu Lemon. Last year, the athleisure brand’s site went down the morning of Thanksgiving Day. Shopper outrage hit Twitter at 8am EST with a “Site is down. Ugh!”
In the first minutes of the shopping event of the year, the brand was stuck, entangled in crisis. Once the site got back online, more errors appeared, causing sales prices for in-cart items reset to regular prices or prevent customers from checking out.
With proper bug monitoring and back-end preparations, this fiasco could have been avoided. Take a page out of our book and start monitoring now. You’ve done the legwork to bring customers to your site, now protect it.
3. Capitalize on the Future
A single visitor doesn’t guarantee a transaction and a single transaction doesn’t guarantee a loyal customer. Flawless mobile experiences will do both, but takes some serious testing.
Conversion rate optimization turns your visitors into customers while ensuring they receive an immaculate customer experience. While no two customers are the same, simple tests can lead to enhancements that remove friction from the checkout and dramatically reduce abandoned carts.
Merchants like LawnmowerTirestore.com took advantage of testing their site before the holiday season and the results were a game changer. By making their checkout button stick to the site’s header and follow users while they scrolled, sales soared with a 29.5% increase in revenue per visitor (RPV) for desktop customers. For mobile, the test yielded a 7% increase in RPV, after only 4 weeks of testing. Now, Lawnmower Tirestore plans to roll-out the feature site-wide to capitalize on their new-found data-driven advantage.
As part of the Mobile Optimization Initiative, retailers can receive checkout tests 100% free. The goal of the initiative is to create a set of best practices for mobile optimization and share our insight with the world. Read more about the initiative here.
According to Internet Retailer, 60% of consumers plan to spend 50% or more of their holiday shopping online; spending over $21.6 billion during Cyber week.
It is not too late to prepare. If you start early enough and cover all the bases, you can sit back, relax and watch your revenue grow with measurably less stress. Remember, this is your holiday too. While there’s still time, monitor your site for bugs, load test, A/B test, utilize the data, capitalize on those results, and enjoy some eggnog.
No matter what, customers are always right. Today, they have more power than ever before. As you are well aware, it’s much more likely that your online customers interact with your website via smartphone than desktop. Therefore, their experiences need to be personalized, fast, efficient, and tailored for specific devices. If not, they’ll bounce to the next competitor for a better experience.
Statistics show that 40 percent of users will switch to your competitors after a bad mobile experience. A risk ALL merchants should avoid, especially with the stark rise in mobile sales. In fact, analysts predict that by 2020, 44.7 percent of all retail eCommerce sales will be generated through mobile devices.
Remember, your customers won’t stand for mediocre customer experiences. Your only job is to push them through the checkout in the most frictionless (and secure) manner possible.The digital experience should always mimic the desktop. A business buyer wants to be able to access or check inventory the same way during a commute or at an office computer. According to a 2018 Cyber Week report by Invesp, 32% of consumers changed their mind about making a purchase on mobile, abandoning carts packed with unsold products or sercives. It’s time for a change.
Why 2018’s mobile experiences left money on the table.
Last year, Black Friday’s sales turnout beat expectations by more than 10 percent. However, while many attempted to manage an anticipated mobile surge, conversion rates on the “favorite” shopping device came in dead last during Cyber Week. In the end, over $6.2 billion was spent online from Thanksgiving to the end of Cyber Monday. Mobile orders only accounted for 45% of sales. When you consider that mobile’s share of traffic was 62%, that’s a pretty weak conversion rate.
“In a world where responsive design is trying to give [customers] all the same functionality we have on desktop in mobile, there may be a divergence here where we have to start thinking about different mobile-first customer experiences.”
– Adam Morris, CEO, Redstage
Merchants and B2B companies who don’t start thinking with a “mobile-first customer experience” mentality will be left behind. Of course, it’s ideal to know and understand the buying habits of each customer, but tricky to do without the right technology. Thankfully, free data-driven A/B testing provided by the Mobile Optimization Initiative can help you overcome these barriers. Your customers aren’t going to wait for better mobile experiences, so why should you? Customers want to “click and go.” Lucky for you, implementing optimization is not only easy but the best option for B2B companies and retailers. B2B companies have a more complicated sales funnel that tends to increase aggravation and cart abandoment by 26%. With the Mobile Optimization Initiative, merchants can increase completed purchases dramatically by improving customers’ mobile experience with simple tweaks. Here’s how it works.
The Mobile Optimization Initiative is the ultimate holiday tool!
“Optimizing your customer experience thorough data-driven optimization allows you to discover small tweaks that ensure you’re capturing as many sales as possible from the growing pool of mobile buyers.“
– Benjamin Shapiro, Solutions Engineer, Redstage
Those who join the MOI program with Redstage will receive a free checkout funnel assessment, custom test design, experiment implementation, and professional services during the active program. The goal of our global initiative is to help merchants get more revenue from mobile. In turn for the free services, we gather anonymized data about customer habits to create a knowledge-base for best practices in mobile. Learn more about our community proven experiments and sign up here. As the results show, it’s well worth it.
“With the current data collection and analysis tools available, we no longer have to speculate on where to put efforts to improve your site. The data is the guide in both where to focus your efforts, and where to expand after experimenting. Smart A/B testing based on data-driven analysis gives you insights that lead to successful, simple changes that can have a big impact on increasing your revenue per visitor. One recent participant – A lawn mower tire store – saw lifts of 24.9% and 7% RPV on desktop and mobile respectively through a‘sticky cart’ test.“
–Benjamin Shapiro, Solutions Engineer, Redstage
How Soon Should You Start?
The sooner you begin, the better. Participants start gathering testing data immediately, and all it takes is adding a simple tracking tag to your site (less than a minute). If you’re looking for a last-minute boost for your holiday marketing, this is it, and it packs a punch. Our latest test yielded a 25% increase in revenue per visitor.
The Mobile Optimization Initiative puts you ahead of the competition, because the experiments are proven, having been tested over millions of transactions across hundreds of merchant sites.As of December of 2018, experiments from 120 merchant sites generated a collective $22 million in revenue, averaging a 9.28% increase in RPV (extra revenue they would’ve missed without MOI testing). Today, we leverage the data from more than 200 participating merchants to ensure your tests are optimized for success. From this, we’ve created more than 130 standardized experiments to test, so now’s the time to join!
“We were struggling with mobile conversions and the MOI program helped us with the insights and adjustments we needed. This data-driven, forward-thinking program is certainly worth a try.”
– Digital Marketing Coordinator @ Lawnmower Tire Store
Ignoring the trends means you’re missing out on your share of over $500 billion in online sales. With 95% of mobile devices being used to look up local information to visit businesses, it’s your business they should be checking out (pun intended). By this time next year, we expect the number of participants in the MOI to double again, which means it may be too late to get a leg-up on your competitors. Since the experiments work best during high-traffic periods, there’s no better time to test! And don’t worry, the tests automatically notify you if they’re not giving you positive results.
If you’re still not convinced, or don’t know where to start, check out the latest results, case studies, and strategies in our new Holiday Mobile Optimization Ebook here! Good luck this holiday season! Want to learn more about the initiative but before you sign up? Contact us here for a free consultation with our testing experts.
Prime Day is Over, but Holiday Sales Have Only Begun
If January is the finish line for holiday sales, Amazon’s Prime Day is the starting gun. This year brands came out in force to compete and capitalize on the sales event. Flexing omnichannel marketing muscle, both digital natives and big-box stores sought to grab their share of winnings. Most importantly, the performance-enhancing tools both Amazon and others used on Prime Day can be repurposed for the holiday race ahead. Let’s review.
Quick Recap: Prime Day Milestones
This Prime Day, the ecommerce ecosystem got more than it bargained for. Brands broke through the clutter with new strategies to piggy-back off the holiday, while others launched their own sales events. Amazon’s reported sales for the two-day event beat last year’s totals for both Black Friday and Cyber Monday combined. According to Internet Retailer, “The ecommerce giant sold more than 175 million items across its platform. Plus, sales by third-party marketplace sellers ‘far exceeded’ $2 billion.” However, Amazon wasn’t the only winner.
Last week, Adobe Digital Insights discovered a massive industry shift. Data shows that average daily revenues for retailers with revenues over $1 billion saw lifts of 54% and 72% Monday and Tuesday, respectively. The report concludes that mid-sized retailers shared the gains, witnessing an average revenue bump of 28%.
The two-days of sales also mark a notable shift in the industry at large, pushing the entire category to new highs. Thanks to this month’s 1.7% increase in sales across the online retail industry, non-store retailers (including Amazon and digital-only stores) now only trail Auto dealers in the U.S. retail market. As Bloomberg notes, “Online shopping has become the second-biggest chunk of the $520 billion U.S. retail market, after overtaking grocery stores and restaurants in June.”
How Amazon Became a Crowd Favorite
From free shipping to premium content, Amazon Prime members get an awful lot of added value. For an annual price of $119 (or $59 for students), users get unlimited music and photo storage, audiobooks, Kindle books, discounts at Whole Foods, and Prime Video where they can watch their favorite movies and shows.
The loyalty program also gives special deals to users, including early access to lightning deals 30 minutes before non-members. Additionally, Prime members can even share their benefits with other members of their household (or anyone for that matter). One of the newest features, Prime Wardrobe, allows loyal members to ship up to 8 clothing items from Amazon sent right to their door, and they can return any and all items for free.
The result of this massive loyalty program? Membership now exceeds 100 million subscribers. At the end of 2018, Consumer Intelligence Research Partners (CRIP), determined the average Prime member spent $1,400.00 on Amazon goods for the year, more than double the $600.00 that non-prime customers spent on average.
Building Your Fanbase Through Loyalty Programs
Users expect more from brands and online vendors. They want value beyond the products they’re buying and an interface that makes for swift shopping. Most, if not all DTC companies acquire the bulk of their new customers for the year during the holidays. The problem is engaging these customers and retaining them once the ball drops on New Year’s Eve. A loyalty program built specifically for your audience can help you keep the sales flowing and boost retention year-round.
The question is, how does your current loyalty program achieve this, and can it be optimized? Are there additional “freebies” you can provide outside of the occasional blog post, up-sell, or discount? In ecommerce, brand loyalty can be a massive differentiator between you and your competition. While Amazon’s loyalty program is difficult to match, exclusive deals, early releases, customer perks, and unlockable rewards are great ways to keep customers engaged and coming back.
If your rewards program was based on a subscription payment, how much could it cost to provide free shipping for customers? Perhaps rolling revenue would allow you to create new content for members like style guides, product videos, or pop-up events like Amazon’s Treasure Truck. Rewards programs like Swell even reward customers for creating content like product reviews, videos, Instagram photos and more, which in-turn drive additional revenue. For the holiday’s it’s time to think seriously about the value of customer loyalty.
Using Amazon To Your Advantage
Amazon offers benefits to sellers who use the platform, including specific advantages for Prime Day. Omnichannel merchants can submit for a lighting deal, which if approved, puts the platform’s marketing engine to work for you. Sellers who are selected for the option typically see a big boost in sales, though significantly lower prices are recommended to get approved (at least 20% off the current Amazon listed price and at least 5% lower than the lowest listed price for the same product in the past 28 days).
Amazon coupons are another example of some of the benefits sellers can use to get some extra juice out of the Prime Day frenzy. The coupons show up in search results, on the Amazon Coupons page, in the shopping cart, in your brand store, and in sponsored products listings. This year, many merchants combined these strategies with an increase in marketing budget to get their products seen and to the top of specific categories, but only with product that were performing well already.
Companies that sell consumable products have a massive advantage. Amazon’s subscription feature lets customers sign up for automatic rolling purchases that will keep sales going long after Prime Day. Using this option in combination with those mentioned above will likely prove powerful for merchants who sell on Amazon, and makes a compelling case to add subscription functionality to your ecommerce site. Our developers recommend using this extension here for Magento 2.
The Sales Race Ahead
Vendor beware, Amazon is currently taking steps to build it’s own collection of private-label brands. While the deal may seem outrageous, the “Amazon Accelerator” program offers free marketing support, preferred listings, and more perks for vendors. The catch? Amazon reserves the right to purchase brands that sign up for as little as $10,000 flat (WSJ). Most brands would agree this is a ludicrously unfair price for an entire product line. However, it’s likely one or two tiny companies in each category will part with a brand for the fast cash-grab before they’re bought.
While we don’t advise tossing your hat in the ring, this is a gentle reminder that competition for selling on Amazon will only increase, and you can bet the brands Amazon plans to snatch up will receive preferential treatment. Then again, if you’re a retailer or reseller with the ability to create a new brand quickly, it might not be a bad idea to sign up.
This Prime Day, brands proved a decisive ability to compete against Amazon. While some profited by selling on Amazon, others kept customers close by hosing their own sales events, focusing on mobile optimization, or pumping up their marketing budget. The road to beating Amazon isn’t easy, but these successes point to new ways to match the giant’s might (or at least profit from it).
Customer loyalty is just one area where merchants can improve their overall experience and prepare the holidays ahead. Whether you manage a B2B or B2C operation, there are likely tools and strategies available you haven’t thought about. Grab our free Power Index for insights on how to improve even the strongest tech stack and keep customers coming back long after the holiday season.
At this very moment, retail executives around the US are likely screaming about their Black Friday and Cyber Monday sales performance. For some, these sounds resemble a triumphant war chant, for others, these are the shrill cries of defeat. The reason? Mobile-first adoption.
No matter where you stand, this data changes the ecommerce landscape. Here are the latest stats and key trends from the long-weekend of holiday sales events. We will update this article as soon as new data is released, so make sure you subscribe to be the first to know!
Thanksgiving Takes an Extra Helping
On Thanksgiving day, as of 7:00am Pacific Time, U.S. consumers spent $406 million. By 2pm, Adobe announced that this number skyrocketed to a whopping $1.75 billion, representing a 23% increase over sales in the same time period in 2017. By the end of the day, Americans beat out last year’s sales for the day by a shocking 28%, resulting in a shocking 3.7 billion dollar Thanksgiving. Adobe initially projected a $3.1B bottom line for the holiday.
Mobile Wins Big
Here’s a quick breakdown of the major events in bite-size chunks:
$2.1 billion or 33.5% of sales came from smartphones this Black Friday. Another 10% of sales, or roughly $627 million, came from tablet users. All in all, the day yielded an impressive $6.2 billion, a 23.6% increase over 2018.
Cyber Monday Breaks The Internet
Here’s the big one. Cyber Monday sales shattered all previous records for online sales… in U.S. history.
“Cyber Monday [topped] $7.9 billion by the end of the day, making it the largest online shopping day of all time in the U.S. This represents a 19.7 percent increase year-over-year (YoY) as of 7:00 p.m. ET. In comparison, Thanksgiving Day and Black Friday brought in $3.7 billion (28 percent growth YoY) and $6.2 billion (23.6 percent growth YoY) in revenue, respectively.”BusinessWire
Here’s the share of devices (as of ~1:30pm ET November 27, 2018):
Additionally, Adobe’s latest report notes that this November has seen 7 days where total sales broke the $2 billion mark (as of Nov. 28, 2018)… Thanks in no small part to the mobile sales spikes.
Omnichannel Adoption Drives Sales
The trend of “buy online, pick-up in-store (BOPIS)” continued, with the trend growing 50% during this past weekend over 2018. According to Adobe, this spells dollar signs for omnichannel merchants: “As the online and offline retail experience continues to blend, retailers with physical stores drove 28 percent higher conversions online.” While this trend helped retailers increase their share of online earnings, in-store sales lagged far behind.
It’s time to join the mobile-first movement. As Adam Morris, Redstage CEO notes, “Cusotmers are no longer expecting an in-store Black Friday and Cyber Monday, but instead, an omnichannel experience.” While many retailers successfully ramped up their omnichannel strategies for this holiday, the data shows this trend is here to stay, and more work is needed.
If you want to reduce mobile checkout friction before the holidays are over, contact us asap! To see the results we’ve achieved with our recently launched Magento Community Initiative, find the latest data here.
These extravagant stats spell success for an industry racing to close the mcommerce gap. It’s seems the industry is all-aboard the mobile-first customer experience wave. As Internet Retailing points out, retailers may have finally reached ‘always-on‘ mobile consumers. Now it looks like the key areas for improvement are streamlining mobile checkouts, and optimizing omnichannel experiences.
For the first time in PayPal history, mobile payment volume topped $1 billion, and did so on both Black Friday (November 23) and Cyber Monday (November 26). – PAYMNTS
Adobe reports U.S. shopping carts averaged $138.00 during Cyber Monday, a 6% bump over last year.
49% of Black Friday traffic came from smartphones, driving 30% of online sales.
“In the [PYMNTS] Checkout Conversion Index report, the 30 merchants with the fastest, most streamlined online checkouts ranked well. Conversely, the 30 merchants with the lowest scores offer a widely inconsistent checkout experience…”
Our partners at BigCommerce identified a few additional trends in their Cyberweek 2018 Trends Report. Key findings include:
While online stores continue to have the highest AOV for any sales channel, Facebook took second place, accounting for “70% of total GMV” for Fashion and Jewelry brands using the channel. Home and Garden brands selling on Facebook came in at 16% GMV.
“The Fashion & Jewelry and Toys & Games verticals saw the highest GMV increases over 2017.