It feels like holiday shopping is getting earlier and earlier each year… well for online retailers it is. Now we also have the complexity of consumers using multiple devices throughout their day and our research has shown this trend is only increasing. We have previously seen from our Online Buying Behaviour Report that users of social media lead the way in online purchasing and 25-34 year olds purchase with smartphones/tablets the most. Will this be the year that smartphone and tablet shopping exceeds desktop purchasing?
Online retailers must be prepared for holiday shopping this year and meticulous planning is now required, as smarter entrants move into the market. Last year saw a 16% growth for the online retail market. Interestingly, 35.7% of UK online sales in November and December were from smartphones and tablets, according to IBM’s Online Retail Christmas Shopping Trends. For 2014 Capgemini have forecast 17% market growth and £107 billion to be spent online over the holiday period. These results and predictions point towards an exciting holiday season for online retailers.
Our research into online buying behaviour showed that ￼51% of people are more likely to buy from a trusted brand they recognise after seeing an online advertisement. Therefore Facebook is an indispensable channel for retailers this holiday season. According to Adobe’s Social Intelligence Report, Facebook leads the way in social referral traffic and referral revenue to retail websites. Facebook’s CTR is up 365% year-over-year, while the relative cost for direct response ads on Facebook remains low. Facebook’s reach (1.2 billion people) combined with its Newsfeed advertising, enables retailers to target shoppers where they are (smartphone, tablets, and desktop) and reach new customers.
As a result, we have created a handbook detailing 5 essential points online retailers using Facebook advertising should follow, to improve customer acquisition and revenue growth during the holiday season.
- Mobile & Beyond
- Pretargeting & Retargeting
- Know your customer AND their friends
- Automate, Automate and Automate