Archives for posts with tag: e-commerce

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Hat tip to Kiss metrics for putting together this clear and concise infographic about mobile’s impact on B2C commerce in 2012 and near future.

Here are some key takeaways:

1. Velocity of adoption

Though according to allthingsd.com, only about 20% of all web traffic in the US originated from a mobile device (smart phone or tablet) in 2012, Gartner expects that over 50% of web traffic in 2013 will shift to smartphones and tablets. If both allthingsd.com’s and Gartner’s numbers are correct, that would be a pretty significant shift, especially given the sudden acceleration of that change.

Relevance: Whether Gartner is reading more into the web-enabled device mobile-to-computer curve or not (see infographic above), the shift to devices is coming. It doesn’t really matter if that change happens in 2013, 2014 or 2015: It will happen. Consumers are increasingly likely to search for, find, discover and access your website from a mobile device than from a laptop or desktop PC. Even if that number only increases to 35% in 2013, that is 35% of your potential market. How much is that worth to your business? How many consumers are you potentially turning off or not properly converting by pursuing a digital strategy that is better suited to work in a 2010 digital environment than a 2013 digital environment?

Fix: Companies currently thinking of and designing their brands’ digital experiences and/or e-commerce sites primarily for laptop and desktop users need to adjust their strategy asap. The web is no longer about computers. And we aren’t just talking about website design but search, purpose/utility, UX/UI, e-commerce and social features.

2. 2011-2013: Mobile Sales Explode

Speaking of e-commerce, key indicators like Black Friday sales show an increase of 40% in online purchases made from a mobile device between 2011 to 2012. The number of online shoppers using mobile devices to make a purchase on Black Friday increased by 166% between 2011 and 2012. Paypal also reported a 190% increase in mobile payment volume between 2011 and 2012.

Relevance: Consumers aren’t only accessing websites from mobile devices with greater frequency and in greater volume, they are also becoming increasingly comfortable making purchases from their mobile devices as well. If you are not actively working to make your products easy to purchase via mobile devices, you are leaving money on the table. E-commerce is now indivisible from mobile commerce. What’s your strategy?

Fix: You basically have two options to make this work. The first is to create simple, painless, even fun mobile shopping purchasing experiences for your customers (see Nespresso example below), or you can work with key retailers to ensure that they create simple, painless, even fun mobile shopping and purchasing experiences for your (their) customers. Two examples:

a) Direct-to-consumer sales: Nespresso.

Nespresso sells espresso machines and espresso capsules/pods for those machines. Though every Nespresso product can also be purchased via Nespresso’s website, the company also created a mobile/tablet app that allows customers to order items (especially the capsules) on the fly. The process is quick and easy and is a lot quicker than opening up a browser, looking for a website, navigating through it to find the right page and finally order products.

b) Distribution model: Amazon

Amazon’s web experience is already pretty stellar but their app also allows shoppers to scan bar codes, search for a product by snapping a photograph of it, and so on. Everything about Amazon is geared towards ironing out hurdles between the search/shopping phase of the digital experience and the purchase/order phase of the digital experience. In addition, Amazon has been known to experiment with themed, seasonal mobile and tablet apps like the Santa App they launched in December 2011 (see below) to help children help tell Santa what they wanted for Christmas.

3. Adjusting expectations

44% of mobile app users who will ultimately make in-app purchases take 10 visits to finally take that step. 33% will make a purchase between their second and ninth visit. 22% will become customers after using your app only once. 22% isn’t bad, but remember not to try and set unrealistic goals for your digital team. And remember to design your app around realistic consumer behaviors and not in opposition to them.

Relevance: If your mobile app doesn’t enable and drive some kind of transaction, you probably haven’t designed it with the right objectives in mind.  Also, if your mobile app doesn’t make your customers’ shopping experience easier or better than it was before you launched the app, then it probably doesn’t offer enough value to be effective. Don’t just focus on what you hope customers will do but on why they should want to do it in the first place.

Fix: Don’t create an app just “to be in mobile.” Create an app that improves your customers’ lives in some way and/or solves a problem for them. If you are a retailer, it could simplify the shopping/purchasing/ordering process. If you are a utility, it could help customers pay their bills, browse services they don’t currently know, manage their utility usage, etc. If you are an insurance company, it might (in addition to scheduling payments) provide tips, real-time assistance and even file claims. (Think about car accidents, unexpected visits to the emergency room, etc.).

Note: Having a presence on social media channels can play a crucial part in the process of value creation we just outline. Listening to your customers (and your competitor’s customers) with the help of digital monitoring tools (yes, like Tickr) can help you identify pain points/areas of improvement. These could be turned into your mobile app’s key value-add features and make the difference between your app just being there and your app being a commercial success. Ideally, your presence on social channels also drives a healthy dialog between your company and your customers (don’t just listen to what they’re saying: also respond, ask for their advice, acknowledge their contribution to their process and reward them for their help), but even if you haven’t built that type of social practice yet, active listening will make a world of difference in your app’s ideation process. Don’t just guess. Go find out. It’s easy to do now. All you need are the right tools.

That’s it for today. We hope this post was helpful. And if you aren’t using Tickr Command Center yet, check out what we can do for you here.

You can also come say hello on Facebook and Twitter. We won’t spam you with useless marketing content. Scout’s honor.

Cheers,

The Tickr Team.

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Filed under: and now, for something completely different… Don’t worry, this isn’t going to be an in-depth analysis of so-called case studies involving digital influencers, awareness campaigns and free swag. Just a few straightforward observations (maybe even insights) about this little-spoken-of confluence of fashion design and digital navel-gazing that the cynics among us might point out could very well be a sort of marriage made in heaven. While that’s neither here nor there, here’s what we got out of that information:

1. Leverage events.

Events like New York Fashion Week (and design houses participating in them) are now leveraging social media to increase their reach and penetrate markets. Case in point: Marc Jacobs gained over 5,000 new Twitter followers in one week by leveraging its digital presence during the fall event. Michael Kors gained an impressive 15,000 in the same time frame. Victoria Beckham (while not in Paris watching DB play for PSG) managed to gain 53,000 followers that week.

If your industry has big events, use them. It doesn’t matter if it’s CES, the Oscars or the Detroit auto show. Starting today, your business is going to have a digital/social media plan in place before you attend your industry events. Not taking advantage of this magnet for media coverage and attention borders on negligent.

2. Rethink the world of the catalog.

Badgley Mischka & Bergdorf Goodman, understanding the potential power of Pinterest (think demographics and layouts) previewed their new collection exclusively on the platform. The result: almost 40,000 net new followers for their Pinterest account, after posting only 42 items. Cost of printing: zero. Cost of mailing: zero. Cool factor: high. Virality quotient: high.

Well played.

3. Context is king.

Sometimes, a product is just a product. But anything that speaks to both an appreciation for original design and its owner/user’s sense of cultural identity is bound to be incorporated into someone’s photo feed. Enter Instagram. Whether you think the whole thing is an orgy of vanity or a cute little phase humanity is going through right now doesn’t matter. Fact is that people like to take pictures of themselves and of their stuff and post those pictures on Facebook and Instagram and wherever else they can. Some companies approach this with suspicion if not apprehension. Others embrace it completely. The fashion industry finds itself in a very unique position in regards to this whole cultural phenomenon because its entire existence is predicated upon people wanting to look good and be socially desirable. In other words, if Pinterest is a natural extension of the catalog, Instagram and Facebook are the natural extensions of people’s own private catwalks and red carpets. Some numbers:

Over 650,000 people follow Burberry’s Instagram account. 500,000 people follow Marc Jacobs’ Instagram account. Gucci: 350,000. Kate Spade: 300,000. And so on. You get the idea. And don’t cringe (especially you serious photographers out there) but 73 Instagram photos from New York Fashion Week were accepted into Getty Images’ library. Yes… times, they’re a-changin’. It isn’t a bad thing either: empowering people to share your products in a way that gives them both approval and context creates a free engine of discovery and recommendation. You want net new customers? You want to get people to covet your products and get off the fence about buying them? Well there you go.

4. Understand your key channels.

Sure, most of the channels you want to focus on are no-brainers: Facebook, Twitter, Youtube, Pinterest, Instagram, and so on. But there might be some niche channels you need to leverage as well. For the fashion world right now, one of them seems to be Pose. The platform a) uses a user co-creation model to curate collections of “looks” that users can browse and b) integrates a shopping into the experience.

What’s the big deal? 1,000,000 users and 120 million images viewed per month.  How many people are opening your emails or taking time out of their day to come by your website?

Plant seeds in all the smart places. Not just where everyone else is planting theirs either. Plant them also in places where people come specifically to find the kind of stuff you want to sell.

5. Use infographics no matter what your industry is.

No need to go into lengthy explanations about this one. We would have probably never even heard of Pose had it not been for that infographic.

Lesson: It doesn’t matter if your business only sells peanut-shucking machines to the tabby aristocracy in the Democratic Republic of Catistan (yes, it’s… a real place): use infographics to help potential customers discover your company and your products.

6. Use hashtags.

One of several common denominator in all of those wins: the use of specific hashtags. Now, wait a minute… we know what you;re going to say: hashtags aren’t necessary or cool anymore. Well, half of that is just nonsense. While it’s true that they aren’t necessary for monitoring purposes, they are nonetheless helpful. Here are three reasons why: Identity, virality and measurement.

Identity: they provide context for social content. Virality: they’re social objects that invite participation and sharing. Measurement: necessary or not, they do make monitoring, measurement and reporting a little easier for your digital team. Using the attached infographic as an example, imagine how much of a pain it would be to effectively track every mention of New York Fashion Week without the #NYFW tag. By creating official hashtags, you help bring clarity and order to what might otherwise be an incoherent mess of social mentions.

7. Monitor digital channels for key activity.

Monitor and measure mentions, followers, comments, shares. Do this qualitatively and quantitatively. Measure that against visits to your websites, visits to your stores, impact on sales volume, brand awareness and brand sentiment. Use the proper tools. Use the proper methodology.  Treat this stuff like the job it is and not an afterthought. Treat social channels as the product discovery channels they are and strive to understand the mechanisms by which your social content and activity ultimately drives sales. It isn’t that hard, but it’s work and when you treat it like work, it pays off. Big time.

We hope that gave you some cool ideas to work on. And if our Command Center app can help, all the better. Big thanks to ebay deals  and Mashable for the infographic.

Cheers,

The Tickr team

PS: Feel free to join our growing digital community on Facebook and on Twitter and tell us what you think. (We won’t spam you. We promise.)