Measurement has always been a pain point for marketers; once upon a time the worry was “I know half my advertising budget is wasted, I just…..”. In the age of big data the measurement issue swung from a dearth of data to a deluge. “Help! I’m drowning in data, how do I start to make sense of this?”
Today, marketers have become adept at digesting large amounts of data, and they are detecting dark spots everywhere. Marketers are now realising they can’t see the truth, the whole truth and nothing but the truth of performance, if they rely on one analytics package alone.
For this reason, the Wolfgang Digital E-commerce Report 2019 has been expanded beyond Google Analytics to include the new Facebook Analytics reporting.
The report covers some pretty ground-breaking stats, lifting the lid on some untapped data which has largely gone under-or-unreported until now.
Highlights from the data used in the report include:
- Over 250 million e-commerce website sessions analysed
- New Facebook analytics integrated into study findings
- High return of visits yield increased business revenues
- Social media engagers double conversion rates
- Mobile is a big mover, with revenue up 23%
- Google still dominates but their overall share of pie has declined
Why returning website visitors are the best kind of visitors
The importance of encouraging return visits plus social media’s purchasing influence are among the key insights to be gleaned from the study.
Off-site interactions are proving to significantly sway online sales.
The Dublin-based digital marketing agency analysed 250 million e-commerce website sessions and €500 million in online revenue to find out what drives today’s consumer to click and buy.
For the first time, the study delved into Facebook analytics conversion data, merging it with Google analytics and online surveys, to give a more accurate picture of a person’s path to purchase.
Commenting on this year’s study, its author and Wolfgang’s founder and CEO, Alan Coleman said:
“This year we’ve gone bigger and broader with our data set to produce some really interesting findings. We’ve filled some holes in Google Analytics by tapping into Facebook’s new analytics tool to see which patterns of user behaviour on and off site correlate with higher than average e-commerce revenues. This year we’ve some of the strongest correlation scores seen yet.”
The intrinsic value of the returning visitor
The strongest trend the study has ever seen is the value of the returning visitor. Websites that attract a user back time and time again are thundering ahead of their one-click-wonder competitor when it comes to sales. The more visits per user the higher the revenues. Currently e-commerce website are averaging 1.5 visits over 12 months. Anything you can do to increase this return visit rate is about the best marketing you can do.
The true value of social media marketing revealed
It’s not just the user interactions on your website that count. Facebook analytics reveal a social media engager is TWICE as likely to buy from you than a website visit (4.4 per cent versus 1.8 per cent). Messenger was notable as having extraordinarily high conversion rates (9.9 per cent for messages received).
Facebook’s inherent advocacy advantage
48 per cent of people are more likely to buy from a brand they see a friend or family member interact with. With the average Facebook user having 338 friends, a single share can bring you up to 162 eager potential customers in an instant.
Average website conversion rate is 1.8%
Travel websites average 2 per cent. Retail websites averaged 1.7 per cent with online-only converting 11 per cent more than their multi-channel counterparts.
Big-ticket travel purchases are harder to convert
Hotel websites convert THREE times the number of customers than package holiday websites (1.99 per cent conversion rate versus 0.68 per cent), perhaps due to the higher Average Order Values – €378 for hotels and €1078 for package holidays.
Mobile’s the big mover for eCommerce
Revenues for purchases on mobile devices is the big mover, growing by 23 per cent to account for 32 per cent of overall revenue. Mobile dominates as a traffic source with 53 per cent coming from a smartphone, versus 37 per cent for desktop and 10 per cent for tablets. Big ticket purchases are still more likely to take place on desktop or tablet.
Google still dominates but their share of pie decreases
Google delivers the majority of traffic (60 per cent) and revenue (56 per cent). However its share continues to drop, with still no visibility from Google Analytics into who’s winning that share.
Websites are slowing down
Despite the prevalence of AMP over the past year, average page load times were 6.8 seconds, far slower than Google’s recommended 2 second threshold for e-commerce websites.
The UK tops Europe-wide conversion rates
European conversion rates are higher than the US and the UK is streets ahead of both.
When asked what’s the one piece of advice he’d give digital marketers Coleman said:
“Attract that visitor back. Think of each as a multi-step relationship rather than a point-in-time transaction. Create an itinerary of digital media touchpoints which transport them from interested clicker to loyal customer. Each interaction should add a new layer of value and reach them on a new channel.”
If you’re interested in learning more about eCommerce KPIs and what makes the wonderful world of digital marketing tick, you can download the full KPI report over on the Wolfgang site for the full report and if you’re keen on getting into eCommerce on the back of this report, please read our guide on how to launch a successful eCommerce business here in Ireland live on our blog.