1、RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICompliments ofApril 2023RETAILCOMMERCE 360 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.SPONSOR ARTICLESSIGNIFYD 5Getting the customer journey right the f

2、irst time leads to higher conversionsMELISSA 10Clean data leads to higher conversion ratesVIZIT LABS 17AI-based image insights leads to higher conversion ratesALGOLIA 23Tap into your current tech stack features to boost conversion ratesINSIDER 28Good,clean data helps optimize personalization and inc

3、rease conversionsEXECUTIVE SUMMARY 3LIVESTREAMING 7PERSONALIZATION 12THE SHOPPER SPEAKSCONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT 21FIVE EASY PIECES TO BUILD HIGHER CONVERSIONS 30CONCLUSION 32ABOUTThe authors 34Digital Commerce 360 Retail 35CHARTSTHE SHOPPER SPEAKSThinking about 2022,wha

4、t changed or kept you from placing an order most?21Which of the following aspects of a personalized experience will result in a greater likelihood that you will make a purchase on a retailers website?25When placing an order for store pickup (in-store or curbside),which of the following are factors i

5、n your likelihood to make that purchase?26RETAILCOMMERCE 360 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.EXECUTIVE SUMMARYEcommerce has changed much about the way merchants sell and how shoppers buy.But the single most fundamental chang

6、e is that shoppers in the digital age have an infinite number of choices about what and from whom to buy.Once a shopper arrives on a retailers website or app,a struggle begins to convert the potential customer into a satisfied customer.Driving conversions is as much art as it is science.And a look a

7、t the conversion landscape of 2022 shows that art and science may have reached a ceiling.Conversion rates are largely unchanged from the prior year.And there seems to be little in the data to suggest that rates will move much one way or another in 2023.So,the challenge for retailers now is to hold t

8、he line while seeking incremental gains.In this report,we look at several types of online experiences that prompt a shopper to buy.Product offerings are among the more crucial factors driving conversions.If a retailer doesnt have what a shopper wants or if that shopper simply cant find an item,then

9、obviously that shoppers visit wont convert to a sale.A robust internal search CONVERSIONS MAY HAVE HIT A CEILING.ITS TIME FOR RETAILERS TO UP THEIR GAMEexecutive summaryRETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROI4 Copyright 2023 Digital Commerce 360&Vertical W

10、eb Media LLC.All rights reserved.Content published April 2023.EXECUTIVE SUMMARYengine is key.Similarly,having helpful product descriptions and reviews can help shoppers make more informed decisions and gain confidence in their purchases.Customer service is another key factor that drives conversions.

11、Whether its through live chat,phone or email support,having knowledgeable customer service representatives available to answer questions and assist with any issues can make all the difference in a consumers online shopping experience.Website design also plays a crucial role in conversions.Both aesth

12、etics and functionality are important factors that can make or break conversions.No shopper will linger long on a site that crashes or loads slowly.Intuitive navigation helps shoppers find what they need quickly and easily without becoming frustrated or overwhelmed by too many choices or competing v

13、isuals.Additionally,a well-designed app or mobile-friendly version of a website is essential for retailers in 2023.Price and shipping are also key factors that drive conversions.A range of money-oriented conditions must be in place to foster conversion,starting with free shipping,the right price,and

14、 promotions.The right price drives conversion for 66%of the 1,060 online shoppers Digital Commerce 360 and Bizrate Insights surveyed in January 2023.The payment and checkout experience is also crucial.Shoppers have come to expect varied payment options.They want to choose among credit card companies

15、,fintech vendors such as PayPal or Venmo,buy-now-pay-later providers like Affirm,and more.And generally speaking,shoppers are frustrated by a slow-loading checkout page.Yet recent data suggests shoppers are remarkably tolerant of slower checkout experiences if they help prevent fraud.SPONSORED ARTIC

16、LEAn executive conversation with J.Bennett,chief customer officer,SignifydCustomers today are in the drivers seat.Delighting customers with a great online shopping experience is arguably the best way to attract and retain them,while also fostering long-lasting relationships.To discuss how getting th

17、e customer journey right from start to finish can lead to increased conversion rates as well as customer loyalty,Digital Commerce 360 spoke with J.Bennett,chief customer officer at Signifyd.In todays competitive ecommerce environ-ment,how are successful retailers approach-ing conversion initiatives?

18、The most successful retailers consider the end-to-end conversion concept from the moment they get the attention of the customer,all the way through to the settled sale.Getting the customer journey right means ensuring they land on the page they want the first time,their payment is accepted without i

19、ssue and the product they timely receive is the one they ordered.When friction occurs at any step in this customer journey,the retailer has to unwind it.And thats not only detrimental to the customer experience,but also incredibly expensive for the retailer.What strategies are retailers employing th

20、at result in better conversion rates?Starting at the beginning of the customer journey,retailers should be assessing which tactics are positively impacting their bottom line and which arent.Is TikTok profitable?Is retargeting working?Are promotions for loyal customers having an impact?Its important

21、to assess and monitor any ROI-driven marketing channels.Additionally,return fraud and abuse are also on the rise.According to the National Retail Federation(NRF),customers returned more than 16%of online orders in 2022,and of those 16%,11%were fraudulent.Thats a huge number to unwind with logistics

22、costs and environmental damage because of all the inefficiencies in the post-purchase side of the customer journey not to mention retailers are losing nearly 2%of their top line in abusive returns.Retailers will see incredible efficiency gains if they focus on stopping the bottom line unwinding and

23、having healthier,more profitable businesses.What are the biggest challenges retailers face when trying to boost conversions?The primary problem is lack of engineering resources.In ecommerce,there are so many things to focus on that retailers should be looking for the biggest bang for their buck.The

24、ability to analyze your own data is very important to determine what will give you the best ROI.Its a difficult economic time.A lot of companies are pulling back from investments and protecting their bottom line.You have to choose digital products and projects that are firing on all cylinders.How ca

25、n conversion technology help?The good thing about conversion technology,such as Signifyds,is it will get you efficiencies on the bottom line because you will be protected from fraud and from unwinding unwanted points of friction in the customer journey.You wont have to spend as much human capital wo

26、rking on operational processes.Youll get more sales,so your topline will improve.And your overall customer experience will be better.Signifyd helps retailers by making decisions in under a second about whether a retailer should ship something,accept a return or allow a promotion or discount code.Its

27、 large network of retailers and the resulting data powers Signifyds ability to make those decisions with such a high degree of accuracy.Retailers who understand the technology know it will have a positive holistic impact on their business.Those are the types of investments that can create a sea chan

28、ge and will turn an unprofitable business into a steadily growing enterprise.GETTING THE CUSTOMER JOURNEY RIGHT THE FIRST TIME LEADS TO HIGHER CONVERSIONSRETAILCOMMERCE 360 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.Will livestreaming

29、ever be as big in the U.S.as it is in China?“Absolutely not,”says Ken Natori,president of The Natori Co.“But,for us,from an ecommerce perspective,it is important to be an early adopter of livestreaming,”he says.If Natori didnt believe that before his company began livestreaming,he does now.The conve

30、rsion rate during Natoris inaugural live selling event on Oct.6,2022,was more than double compared to a typical day.This includes shoppers that viewed the stream live or as a replay.The average visitors to the site also doubled during the livestream event(live and replays).The retailers second Nator

31、i invests in livestreaming to appeal to new generation of customers LIVESTREAMING:A RETAILER CASE STUDYRETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROI8 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.LIVE

32、STREAMING:A RETAILER CASE STUDYlivestreaming event,on Oct.22,featured stylist Engie Hassan,who promoted her favorite looks.Viewers were able to live chat during the session and ask questions about products.While Hassan presented,Natori employees answered shoppers questions in real time via chat.Hass

33、an has 173,000 followers on her Instagram account,EngieStyle,and has tagged Natori on various posts where her clients are wearing the brands items among other designers.“It was great to have an outside stylist come on and cross-promote in front of our respective audiences,”Natori says.Online sales w

34、ere slightly lower than the first livestreaming event.But that was to be expected,Ken Natori says,because the first event featured founder and CEO Josie Natori,Kens mother.Average order value did not change much between the two sessions.But,conversion for livestream viewers remained higher compared

35、with non-livestream viewers,Ken Natori says.Natori is investing in livestreaming to connect with a new generation of shoppers.The brand selected video commerce vendor Firework to launch livestreaming.The retailer livestreams events from its own website.Natori continues commissioning social media inf

36、luencers to help shoppers connect with the brand.During Natoris Oct.22,2022,livestreaming event with stylist Engie Hassan,shoppers could chat and ask questions in real time.RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROILIVESTREAMING:A RETAILER CASE STUDY9Live sho

37、pping isnt a go-to option for U.S.consumers.But thats starting to change,according to the Digital Commerce 360 and Bizrate Insights post-holiday survey of 1,023 online shoppers in January 2023.9%of surveyed holiday shoppers watched livestreaming of products.And 4%of respondents said theyd like more

38、livestreaming from retailers in 2023 to lead them to buy more online.The next phase for Natori is to simulcast live on its own website and via Instagram Live and Facebook Live,he says.This is particularly helpful when appealing to younger shoppers,Natori says.“These last couple of months have been a

39、bout getting the technology right and figuring out execution,”he says.“Once thats more of a smooth-running ship,we are certainly going to try to promote it more.”The retailer wants to expand its brand from its sleepwear,bras and underwear to become an East-meets-West lifestyle brand,Ken Natori says.

40、Influencers are tasked with getting the word out,he says.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.“It was great to have an outside stylist come on and cross-promote in front of our respective audiences,”says Ken Natori,president of T

41、he Natori Co.SPONSORED ARTICLEEcommerce is more competitive than ever.In this crowded online shopping space,retailers are clamoring to capture new consumers attention and take them on a customer journey that ultimately leads to a sale.To discuss how long-used strategies and tactics such as direct ma

42、il,personalization and address verification are as critical now as ever to effectively compete in ecommerce today,Digital Commerce 360 spoke with Greg Brown,vice president of marketing at Melissa,a data verification software company.What are the best strategies retailers can use to boost conversions

43、 today?They need to fish where the fish are.But to do that effectively,you first need to know what type of fish you want to catch.Thats why its so important to use demographic data to identify your best target audience by factors such as age,gender,income,education level,geographic location and inte

44、rests.Armed with this data,you can design your bait,or your marketing message,to connect and resonate with your target audience.Now,its time to fish.Most retailers are using some combination of SEO or SEM,email marketing,social media and video to bring an audience to their websites.These are all wor

45、thwhile methods of fishing,but dont forget the tried-and-true direct mail approach.On average,direct mail can provide a conversion rate of over 4%,which is much higher than email marketing.Considering that so many retailers have abandoned direct mail,mailboxes are now less full,making it easier to g

46、et a customers attention.Sometimes old is new,and direct mail done right with proper segmentation,targeting and understanding the discounts available from USPS can truly be effective at boosting your site traffic and increasing conversions.What newer methods are resulting in better conversion rates?

47、Along with demographics for targeting,personalization is key.Retailers can also use demographic data to optimize their website design to appeal to their target audience.By recommending products that are relevant to their interests,displaying promotions that are tailored to their location or age,or b

48、y offering personalized discounts or rewards based on purchase history,retailers can increase the relevancy at every touchpoint with the customer to improve their experience and boost conversions.Along with personalization,retailers must make the conversion as quick and easy as possible for the cust

49、omer,especially mobile ordering.Address autocomplete technology that can suggest the right billing and shipping addresses as the customer types is invaluable in helping streamline the checkout process while ensuring the retailer has a verified,accurate delivery address.What challenges do retailers f

50、ace when implementing strategies to boost conversions and how can they overcome them?Retailers want their sign-up and checkout process to be simplified.The key is balancing the customers need for speed with the retailers need for accurate data that will lead to a successful transaction and higher cu

51、stomer lifetime value.Thats why point-of-entry data verification is so important.Being able to verify a postal address,telephone number and email address in real time by providing suggestions to the customer through type-ahead functionality that reduces keystrokes and checkout steps and ensures accu

52、rate customer contact information is critical to reduce the risk of fraud and chargebacks.It can be the difference between a successful customer experience or frustration that results in an abandoned cart.Retailers should consider partnering with a provider of global data quality,address verificatio

53、n and identity verification solutions,such as Melissa.Our technology helps retailers of all sizes ensure their customer contact data is clean,current and complete.It lets them profile their best customers and target their marketing efforts more effectively,ultimately leading to higher conversions.An

54、 executive conversation with Greg Brown,vice president of marketing,Melissa,CLEAN DATA LEADS TO HIGHER CONVERSION RATESM800.MELISSA(635-4772)Trust the Address Experts to deliver high-quality address verifcation,identity resolution,and data hygiene solutions.Contact us for a Free Proof of Conceptand

55、ask about our 120-day ROI Guarantee.Well Help You Keep It Clean Dealing with bad data is a task no ecommerce business needs on their checklist.Inaccurate,outdated,and duplicate records can build up in your database,affecting your conversion rates,the customer experience,and your bottom line.As the A

56、ddress Experts,Melissa helps our customers achieve data-driven success with the best Address Verifcation,Identity Verifcation and Data Enrichment solutions available.We validated 30 billion records last year alone,which is why thousands of businesses worldwide have trusted us with their data quality

57、 needs for 37+years.BAD DATA BUILDUPAbandoned Shopping Carts Address Correction Fees Fraud&Chargebacks Real-time Address VerifcationType-ahead Address Autocomplete Identity Verifcation DATA CLEANLINESSRETAILCOMMERCE 360 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.C

58、ontent published April 2023.Apparel merchant Goodlife Clothing tailors the landing pages shoppers view when they arrive on its site based on the ads they clicked on,says Jesse Miller,vice president of growth.For example,a new shopper is likely to land on a page that features Goodlifes best-selling p

59、roducts with content about the unique features of Goodlifes products,such as that its made in the USA and its tailored fit.In contrast,an ad that is retargeting a previous customer will likely direct the shopper to Goodlifes homepage or to a specific product page or product category page.This first

60、impression of the site for both new and returning customers helps keep shoppers engaged and shopping.And the personalization doesnt stop there.Once a shopper is on the site,Goodlife can Making a good first impression at Goodlife Clothing comes down to personalization PERSONALIZATION:A RETAILER CASE

61、STUDYRETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROI13 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.PERSONALIZATION:A RETAILER CASE STUDYuse its on-site personalization tool to further tailor its site

62、to fit different shopping patterns.Goodlife uses XGen Ai,an artificial intelligence tool that integrates with its Shopify ecommerce platform.As a shopper browses the site,the artificial intelligence will note which channel the shopper came in on,the pages she visited,which colors she looked at and w

63、here she exited the site or if she converted.This data feeds into the algorithm to try to match current shopper patterns to previous customer patterns.For example,Goodlife will try to match a previous customers browsing and purchasing behavior to a current shoppers patterns.It will then serve produc

64、t recommendations and sort search results that it believes will most likely end in a conversion.And it works.For mobile shoppers viewing Goodlifes personalized site,the conversion rate is 6.6%higher and average order value 25%higher than shoppers that dont see personalized content,Miller says.For Go

65、odlifes desktop shoppers,conversion is 9.5%higher and average order value 14.4%higher,Miller says.A new shopper who clicks on an ad is likely to land on a page that features Goodlifes best-selling products.RETAILCOMMERCE 360Digital Commerce 360 and Bizrate Insights surveyed 1,060 online shoppers in

66、January 2023 in hopes of learning what makes a shopper complete a purchase.Not surprisingly it all comes down to price.Inflation affected conversion.We asked what kept shoppers from placing an order.Overwhelmingly,higher prices were the biggest issue.Notably,only 14%of online shoppers mentioned find

67、ing limited promotions.One in four shoppers had general economic concerns.Of course,free shipping remained a draw for 34%of respondents.Retailers continue to grapple with how best to profitably extend this benefit.Personal circumstances may be playing an oversized role now more than ever,especially

68、finances.Some of those who gave“other”as an answer included limited money or not being interested in buying unnecessary items.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.EXECUTIVE SUMMARYCONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CO

69、NVERTthe shopper speaksBy Lauren Freedman Senior consumer insights analyst at Digital Commerce 360RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT15Other inhibitors included inventory,with 25%citing out-of-stock

70、 products,and slower deliveries for 21%.Both were factors throughout 2022 and may continue to challenge retailers into 2023.FUNDAMENTALS ARE MOST LIKELY TO DRIVE CONVERSIONWe asked what website features or attributes should be in place to drive conversion,and we are compelled to start with money-ori

71、ented conditions.Topping the list were free shipping(69%)and the right price(66%).We all know promotions beyond free shipping can tempt online shoppers,and that was a factor for 36%of survey respondents.13%cited the ability to finance orders,paying in installments.Depending on economic factors,that

72、could grow in importance.PRODUCTProduct rules,and that starts with product selection at 47%.Close behind(45%)is having that product available when you decide to buy.Shoppers seek information to make the best decisions for themselves.That includes the right quality and quantity of product reviews for

73、 39%,along with ample product information and imagery for 28%.13%noted videos,including product demonstrations.The preference for video tends to be category-driven.TRUSTTrust in the brand is central to conversion and,while a given,its high 46%penetration coupled with a prior purchase or subscription

74、 by 43%also are central to buying.Shoppers becoming members of loyalty programs also speaks to a greater likelihood to convert for 28%.Though smaller in number,the support of causes from social to political was noted by 12%of respondents.We will likely see incremental growth in the coming years.Copy

75、right 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT16USER EXPERIENCEThe overall user experience is core to con

76、version,as 40%noted.Shoppers embrace speed.A fast checkout was a must for 32%and a fast-loading site for 21%.Finding what you need is critical to a successful shopping experience as 24%cited site search that returns relevant results.Shoppers often need more information,and thats when easy access to

77、on-site customer service can be invaluable,as 21%suggested.Online shoppers(19%)now want the ability to contact customer service in multiple ways,including text and social.Personalized experiences based on behavior were also integral to driving conversion for 11%,while interactive tools(at 9%)saw lim

78、ited value.FAST SHIPPING,FREE RETURN SHIPPING TOP LIST OF INITIATIVES THAT DRIVE CONVERSIONOnline shoppers expect fast shipping(61%)and desire guaranteed delivery times(39%),and both impact conversion.Shoppers have long memories,and past experiences with retailers are important,as 45%of survey respo

79、ndents shared.The quality of customer interactions count toward subsequent conversion(24%),as do interactions with customer service reps(16%)and virtual appointments(8%).When it comes to returns,shopper preference is:Free return shipping(55%)A straightforward/easy return policy(42%)Physical store re

80、turn options either beyond the retailer(36%)or via the retailers store(32%)Retailers can also entice online shoppers with a promotional email,particularly when it speaks to an abandoned product(17%).Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published Apri

81、l 2023.SPONSORED ARTICLEAI-BASED IMAGE INSIGHTS LEADS TO HIGHER CONVERSION RATESAn executive conversation with Jehan Hamedi,founder and CEO,Vizitit nearly impossible to assess the quality of those images at scale or quantitatively measure their effectiveness.Because of this,creative teams havent bee

82、n able to rely on predictive analytics or KPIs.The audience research they do get is on a much smaller scale and colored by group bias,small sample size,or outside variables and that type of feedback isnt typically catered toward designers anyway.And by the time it gets from surveys or focus groups t

83、o creatives,the insights may even be outdated.Lastly,many businesses are facing a skills gap and budget crisis.Even if they have all of the first-party data required to build comprehensive and predictive audience profiles,they may lack the resources to actually make sense of the data and put it into

84、 action across all listings and ecommerce platforms.How is AI helping them overcome these challenges?Brands employ predictive analytics in several areas,but theyve long lacked insights to measure the effectiveness of digital visual content for a specific audience at scale.Visual analytics gives ecom

85、merce teams AI-powered predictions that reveal which hero,carousel,and retail media images resonate and motivate consumers to view and buy online,all in real time.AI-powered algorithms that simulate the visual preferences of target audiences deliver analytics and insights on various aspects of image

86、s quickly identifying which images and attributes are most likely to capture attention and resonate with specific consumer groups on specific channels.Brands and retailers using Vizits AI platform have seen incredible gains.Mars experienced a 30%conversion uplift measured in ordered units across ret

87、ailers after integrating Vizit into its ecommerce workflows.Harley-Davidson saved$5 million in operating costs and two years of time applying Vizits Visual Brand Performance Platform to its audience research.And Kadenwood,which used Vizit to create new packaging designs,increased sales 46%year over

88、year after launching the optimized packaging.In todays competitive ecommerce space,retailers have about two seconds to capture a consumers attention.With thousands of ads in their faces each day,only the most compelling images stand out.To discuss how leveraging AI-based image insights,testing and o

89、ptimization capabilities lets retailers improve conversion rates,Digital Commerce 360 spoke with Jehan Hamedi,founder and CEO of Vizit.Why do images matter in todays digitally influenced commerce environment?The power of images is unparalleled.As attention spans shrink,image recognition is overtakin

90、g read time and playing a critical role in purchasing decisions.Consumer behavior trends underscore just how significant images are to driving online sales.According to BigCommerce,93%of consumer respondents said that visual content is the key deciding factor when making a purchasing decision,and Ha

91、rvard Business School research found that 95%of purchasing decisions happen when the subconscious brain is processing visual information.Still,too many ecommerce companies deploy images without extensive testing and optimization.Why does true image personalization at scale matter?Image personalizati

92、on has a tremendous impact on a business bottom line.A McKinsey study recently found that 71%of consumers expect companies to deliver personalized interactions,and 76%get frustrated when this doesnt happen.But personalization doesnt just mean adding a name to an email or sending brand loyalty offers

93、.Its about highlighting the fact that your brand or product offers specific value to a specific customer.Images can show this value.Leveraging images that create personalized one-to-many visual experiences is central to purchasing decisions:Vizit customer results show that when images are aligned to

94、 the visual preferences of an audience,it can increase conversions by up to 45%.With first-party data available,why arent most retailers taking a shopper-first approach to their imagery?Historically,there has been no way to measure imagery at the speed and scale of ecommerce.Retailers feature thousa

95、nds of product pages and millions of images,making RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT19 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.C

96、onveniences include a quality mobile app option(18%)and easy reorder functionality(21%).Both intend to save shoppers time.A look at advertising finds that two in three online shoppers dont care where they see an online ad when making a purchase.But some are more effective in getting them to make a p

97、urchase.Digging into locations that resonate with shoppers that lead them to click and ultimately make a purchase can help retailers prioritize how they spend their marketing budget.Facebook is the powerhouse in terms of converting orders,with Instagram and Amazon also effective.General advertising

98、success begins with Amazon,including sponsored ads for 26%.The next significant location is far behind,with display ads on websites at 5%.Email still captures shopper attention and drives conversion,though the promotions offered matter.Those with an offer find traction among 22%,while emails with ne

99、w items and/or trends but no offer only resonate among 8%of those surveyed.TV advertising remains relevant with 18%.SMS/text messaging will be one to watch as well,though today it only has 4%penetration.SHOPPING CARTS PLAY INTO CONVERSION IN DIFFERENT WAYSShopping carts serve many purposes for shopp

100、ers where the intention to buy may not be immediate.That might include wanting to save a cart for later(32%)or getting distracted and forgetting(17%).The cart is a holding pen for 19%who added items to compare prices.Alternatively,cart abandonment is money-related.35%of shoppers indicate they will a

101、bandon if shipping costs make the total cost of RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT20 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.the

102、order more than expected.Along the same lines,29%will do so if they dont qualify for free shipping.Unexpected additional expenses(tax,white glove,delivery)are a factor for 18%.The same percentage abandoned carts when the site would not accept their coupon code.The out-of-stock factor drives abandonm

103、ent as well for 22%of participants.Delivery is less of a concern,but when it did not meet shoppers needs(18%),or there was no guaranteed delivery date,12%left their carts behind.From a convenience standpoint,15%decided to purchase at the store and 8%simply didnt trust the seller.The user experience

104、of the cart including speed,errors,transparency of payment choice and policies also can lead to cart abandonment.Though not as significant as many of the other issues,its still instructive to be aware of the following:Preferred pay option not available:15%Checkout page returned an error/glitched:12%

105、Checkout process too long:10%Loaded too slowly:9%Return policy was not clear:8%Financing was not available:8%Would not accept gift cards:8%Could not remember username/password:6%81%OF SURVEYED SHOPPERS HAD AN ONLINE CUSTOMER SERVICE INTERACTIONSometimes information is not forthcoming,or a shopper ha

106、s a question she needs answered to make an educated purchase RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT21decision.Retailers must offer an array of communication touchpoints,though not all deliver the same

107、conversion rates.Topping the list of customer service interactions that drive conversion are email(40%)and live chat interactions with humans(37%),while their bot counterparts are quite a bit lower at 14%.Phone calls came in at 26%and close behind was text at 21%.Interestingly,interaction via social

108、 media was low at 12%,though likely to grow and be more important for certain audiences.Appointments/store-related options have seen a lot of variances over the past few years.Their likelihood to convert was as follows:In-store interaction:18%Virtual appointment:10%In-store appointment with associat

109、e:6%Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.CONSUMER INSIGHTSTHINKING ABOUT THE CUSTOMER SERVICE INTERACTIONS YOU HAVE HAD WITH RETAILERS OVER THE PAST YEAR,AFTER WHICH TYPES OF INTERACTIONS ARE YOU MOST LIKELY TO MAKE AN ONLINE PUR

110、CHASE?(Up to 3 responses)Source:Digital Commerce 360 and Bizrate Insights survey of 1,060 online shoppers in January 2023Email40%Live chat(with a human being)37%Phone call with customer service26%Text21%I did not have any customer service interactions in the past year19%General in-store interaction1

111、8%Live chat(with a chatbot/automated system)14%Interaction via social media(Twitter,Facebook,etc.)12%Virtual appointment10%In-store appointment with associate6%RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT22M

112、obile accounted for 41.6%of online shopping in 2022,according to eMarketer,suggesting that much is working well.But not all shoppers wish to complete their shopping on a smartphone,so abandonment rates shown may not factor in this dynamic.Sometimes retailers dont have an optimized mobile app,and 17%

113、faced that.Its also important to remember that some folks simply dont own or choose to use a smartphone to shop,according to 5%.Mobile phone users require efficient shopping experiences that take into account the unique user experience(UX)needs of the device.Saving time has always been important to

114、the shopper,and 28%indicated they can get their shopping done easier and faster on the desktop,keeping them from going mobile.From a usability standpoint,there are numerous challenges including being hard to go back and forth when comparing products(26%),too much scrolling(25%),slow load times(24%)o

115、r too many steps(17%).And when questions arose,not being able to quickly find a retailers phone number was in play for 10%.From a UX point of view,there is plenty to be concerned about.20%cited cumbersome navigation,while adding a promotion code or redeeming points was difficult.Often,imagery does n

116、ot render well or is too small(18%),or there is a difficult checkout(17%).Mobile design can be challenging,and information shown is poorly laid out for 17%,or that content does not appear properly(15%).Lastly,the navigation button size might not work,as was the case for 10%of those surveyed.Copyrigh

117、t 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.SPONSORED ARTICLETAP INTO YOUR CURRENT TECH STACK FEATURES TO BOOST CONVERSION RATESAn executive conversation with Piyush Patel,chief strategic business development officer,Algoliaworking from search

118、to checkout to payments to returns and improve those pieces so the entire path continues to improve over time.Removing friction from the user experience throughout plays such a critical role.What are the biggest challenges retailers face when implementing strategies to boost conversions?Because so m

119、any tools have come out to address this problem,retailers have too many options to consider,and that can be paralyzing.This focus on ecommerce and optimization came about so fast that organizations didnt have a chance to be new at it,then learn and grow.Setting the right KPIs,instrumenting their sys

120、tems to get the right telemetry so they can act in a data driven manner are key ways to drive more efficient investment.Analytics is crucial to optimizing the user experience,and retailers need to understand the role it plays.With many retailers moving toward data insights and API approaches,they ne

121、ed to have a good analytics framework to gather the insights they want and put them to use.How can they overcome these challenges?First,look at what you have right now in your tech stack and how they all play together.See what and how best to leverage your toolset to drive those business goals.Secon

122、d,move toward more of a data and AI-driven user experience.Most of the tools and technologies a customer uses right now already have those capabilities built in.They just need to be explored a little more,and teams need to be trained how to best use them.Algolia helps retailers do just that understa

123、nd the features within their current tech stack and then leverage them to create a better user experience and ultimately boost conversions.When you give an engine like Algolia the right data and signals,it takes a lot of manual work and guessing out of delivering highly relevant and converting exper

124、ience.Deliver what your users want,make it easier for you to do and optimize your spend these are the key things brands need to be focused on right now.In this volatile economy,organizations of all sizes are tightening their purse strings.At the start of the pandemic,many had made huge investments i

125、n the latest ecommerce technology,but are still struggling to reach their conversion rate goals.In a time when budgets are already stretched,rather than invest in additional technology to try to meet ecommerce goals,Piyush Patel chief strategic business development officer at Algolia discusses how c

126、ompanies should leverage the full potential of their current tech stacks to boost conversion rates.What are some of the best strategies retailers use to boost conversions today?Because most retailers arent able to make additional technology investments now,they should be focusing on how their curren

127、t business goals align with the technology investments theyve already made.Then,they should ensure their internal teams are aligned to leverage that technology to meet those goals.For example,if your marketing team is running a campaign to drive traffic to your site for jeans,but your merchandisers

128、arent optimizing the site search for jeans,then theres a disconnect that negatively affects spend to conversions.How have these strategies to increase conversion rates changed in recent years?With budget tightening,retailers and their technology partners like Algolia are now focusing on what drives

129、the most value.1.AI is a game-changer because it allows us to look at and leverage data in a more meaningful way.With massive amounts of data flowing into platforms comes the ability to understand and leverage it.2.There have been declines in big transformation projects,which has provided the time t

130、o sit back and assess.Initially,there was this knee-jerk reaction to do everything in the interest of growth at all costs,but now retailers are more focused on their KPIs and achieving them efficiently.How important are website design,personalization,descriptive product content,payment options and c

131、heckout flow to conversion rates?These are all important to the customer journey.But whats most important depends on the individual retailer.Retailers need to look at what parts of their customer journey arent RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUME

132、RS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT25WHEN IT COMES TO PERSONALIZATION,SEARCH RESULTS AND THE HOMEPAGE ARE STAR PERFORMERSPersonalizing the site experience should be a priority given its potential to drive conversion.Locations where personalization converts best include personalized searc

133、h results(32%),the homepage presentation(28%)and the welcome message(16%).The product page is an important decision-making location,and recommendations based on prior buying(24%)and browsing behavior(22%)can be productive as well.The shopping cart appears to have a less significant role where recomm

134、endations based on prior browsing(17%)and buying behavior(15%)are less likely to convert.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.CONSUMER INSIGHTSWHICH OF THE FOLLOWING ASPECTS OF A PERSONALIZED EXPERIENCE WILL RESULT IN A GREATER L

135、IKELIHOOD THAT YOU WILL MAKE A PURCHASE ON A RETAILERS WEBSITE?(Multiple responses allowed.)Source:Digital Commerce 360 and Bizrate Insights survey of 1,060 online shoppers in January 2023Search results that factor in my search word and my previous interests32%Homepage presentation(i.e.featured prod

136、ucts,overall look and feel,etc.)28%Product page recommendations based on prior buying behavior24%Personalization doesnt matter to me22%Product page recommendations based on prior browsing behavior22%Email letting you know you have left items in your cart20%Shopping cart recommendations based on prio

137、r browsing behavior17%Retailers welcome messaging16%Shopping cart recommendations based on prior buying behavior15%I dont like personalized shopping experiences12%Post-order emails based on prior behavior11%RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROICONSUMERS

138、ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT26Cart abandonment emails should be activated given their ability to remind shoppers of past browsing.They resonate with 20%of respondents,while post-order emails based on prior behavior see traction among 11%of those surveyed.It is important to note that

139、some online shoppers have no interest in(22%)or dont like personalization(12%),which retailers should consider.PRODUCT AVAILABILITY AND CONVENIENCES DRIVE OMNICHANNEL PURCHASINGIn order to place an order for store pickup,the product must be in stock.It tops the list at 47%,followed closely by the sh

140、oppers proximity to the store location(43%).The type of pickup location was a purchase driver for only 20%,while the number of designated parking spaces was even less important to 12%.Incentivizing shoppers to use the store to pick up orders is seen as favorable to making a purchase.Money talks,and

141、42%of shoppers appreciate the discounts extended for shopping in this channel.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.CONSUMER INSIGHTSWHEN PLACING AN ORDER FOR STORE PICKUP(IN-STORE OR CURBSIDE),WHICH OF THE FOLLOWING ARE FACTORS I

142、N YOUR LIKELIHOOD TO MAKE THAT PURCHASE?(Up to 5 responses)Source:Digital Commerce 360 and Bizrate Insights survey of 1,060 online shoppers in January 2023Product availability47%My proximity to a store location43%Discount for buy online,pick up at store42%How quickly my order can be ready for pickup

143、41%Previous positive experience with pickup from that retailer30%Retailer has many stores near me with inventory availability25%The type of location where pickup will be done(i.e.indoor parking,how busy the stores location might be,etc.)20%An option to notify the store that you are on the way19%Soph

144、istication of the retailers app(i.e.,directing me where to go in store,letting me know order is on its way,etc.)16%Number of designated parking spaces12%Geolocation technology that detects you are close to the store12%RETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE RO

145、ICONSUMERS ARE IN CONTROL ABOUT WHAT MAKES THEM CONVERT27The retailers ability to quickly turn around orders is critical.41%cited the time when ones order can be ready for pickup,while the number of stores that had inventory resonated with 25%.Communication capabilities with the retailer are importa

146、nt.19%appreciated the option to notify the store that youre on your way,while 12%cited geolocation technology that detects you are close.We have already spoken about positive experiences with retailers,and it similarly resonates with omnichannel shoppers as 30%highlighted it,while 16%mentioned the s

147、ophistication of the retailers app.RETAILERS HAVE WORK TO DO TO ENSURE CONVERSION RATES REMAIN STRONGWhile retailers cant control the economy and the high prices from inflation,they know it requires diligence to achieve high conversion rates with optimized shopping from the desktop to mobile devices

148、.Retailers must be cognizant of price and should monitor fundamentals including products,stock and delivery.With those well executed,shoppers will continue to expect the process to be fast from the user experience through delivery time.And free is always a welcome shopper favorite.Its a job that nev

149、er ends,but the dividends pay off.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.SPONSORED ARTICLEGOOD,CLEAN DATA HELPS OPTIMIZE PERSONALIZATION AND INCREASE CONVERSIONSAn executive conversation with Meyar Sheik,global president,InsiderHow

150、 important are website design,personalization,descriptive product content,payment options and checkout flow to conversion rates?Every step is important and one isnt more important than the other.Going back to the top of the funnel,if your design or landing page isnt good,the rest doesnt matter becau

151、se the customer will never get to the product pages or checkout.Today,more than ever before,it is critical for retailer and brands to take advantage of the latest modern solutions to truly“orchestrate”the entire shopper journey regardless of entry page,touchpoint or channels and deliver a seamless,c

152、onsistent and individualized shopping experience anytime,anywhere.What are the biggest challenges retailers face when trying to boost conversions?The biggest challenge continues to be having good data flowing into these systems to best personalize the customer journey.Retailers need to understand co

153、nsumer behavior,purchase patterns,sales velocity and inventory levels.They need to know what products people buy together and what they buy subsequent to other products.This all starts with good data and having a centralized customer data platform or customer unified profile.From there,they can appl

154、y different conversion-boosting strategies along the way.How can they overcome these challenges?Retailers need to make the customer shopping experience their top priority.They should focus on data hygiene and data integration to make that priority a reality.And they need to modernize the older,less

155、efficient parts of their tech stack and consolidate wherever possible.Partnering with a technology provider,such as Insider,will help retailers overcome these challenges.We offer retailers a single view of their shoppers through a unified customer data platform.We turn that data into actionable camp

156、aigns that can be tested,segmented and personalized along the entire journey and customer lifecycle,across multiple channels,devices and touchpointsCustomers today have little patience.If they run into friction at any point in their shopping journey,they know that another online retailer is just one

157、 click away.To compete within this chaotic ecommerce space,retailers need to focus on offering a seamless customer experience from start to finish.To discuss how prioritizing data hygiene coupled with a more modern tech stack will help retailers deliver a frictionless customer experience,Digital Com

158、merce 360 spoke with Meyar Sheik,global president at Insider.What are some of the best strategies retailers can use to boost conversions?It boils down to how you can differentiate yourself from your competitor particularly now,as customers attention spans have gotten so short.Customers want fast,rel

159、evant and correct information throughout their entire shopping journey.They want to have choices and they want quick,one-click checkout.They want as little friction as possible.The way retailers can differentiate themselves and increase engagement which will ultimately increase conversions is to fir

160、st make the experience relevant and then personalize it to that individual customer.The reason“relevant”must come before“personalization”is because personalization is hard and very data dependent.The more information you have about a customer,the better you can personalize.So the first step is to ma

161、ke sure theyre getting relevant information along their customer journey so they dont bounce off the site.If you cant keep someone on the site,the conversion game is over.How have these strategies to increase conversions changed in recent years?Traditionally,retailers were focused on just getting cu

162、stomers to their sites,engaging them and making the experience sticky enough to keep them from leaving.Personalization primarily centered on product recommendations.Now,retailers recognize that they need to optimize the shopping experience through segmentation,and create true personalization by test

163、ing different experiences and micro-moments rather than just sticking to product recommendations to see how they can improve the efficiency of their various pages.Not much has really changed in the past decade in terms of best practices;its just about trying to squeeze more juice out of that traffic

164、.RETAILCOMMERCE 360RETAILCOMMERCE 360 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.FIVE EASY PIECES TO BUILD HIGHER CONVERSIONS5.

165、Incentives and perks such as free shipping or free gifts with purchases are also effective ways of boosting conversions;offering something extra that customers dont expect can encourage them to check out and follow through with their purchases.But pay attention to your costs!Theres no such thing as

166、a free lunch,and theres no such thing as free shipping for a retailer.4.Customer reviews are another great way to instill confidence in potential buyers;seeing positive reviews from other customers can push them past indecisiveness into making a purchase.1.Improve your site search capabilities.Make

167、sure search results are accurate and relevant,and let shoppers use autofill when possible.Additionally,adding imagery to your search results can help shoppers find what they need faster and make them more likely to purchase from you.2.Product detail pages need special attention if you want to see an

168、 increase in conversions.Make sure these pages have high-quality images as well as detailed descriptions of the product.And if youre selling on multiple marketplaces,pay particular attention to the nuances of each platforms product page requirements.3.Adding a trust badge such as PayPal or Apple Pay

169、 can give customers confidence in purchasing from you.A World of Possibilities To Tell Your Story&Broaden Your ReachWhat Projects Can We Create?WebinarsThought Leadership&Custom Research ReportsBenchmarking DataCharts&InfographicsCase StudiesDigitalC helped countless businesses turn their research v

170、ision into a reality RETAILCOMMERCE 360RETAILCOMMERCE 360Ecommerce has changed much about the way merchants sell and how shoppers buy.But the single most fundamental change is that shoppers in the digital age have an infinite number of choices about what and from whom to buy.Marketing is about getti

171、ng a potential customer to consider a purchase.Advertising,search-engine optimization(SEO)and more are aimed at bringing a shopper to a website or app.Once that shopper arrives,an entirely new fight begins to convert the potential customer into a satisfied customer.Driving conversions is as much art

172、 as it is science.And a look at the conversion landscape of 2022 shows that art and science may have reached a ceiling.Conversion rates are largely unchanged from the prior year.And there seems to be little in the data to suggest that rates will move much one way or another in 2023.So,the challenge

173、for retailers now is to hold the line while seeking incremental gains.CONCLUSION Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.9 U

174、NIQUEDATABASESReveal the Performance of Leading Online Retailers Around the World:Sales Rankings&Financial Metrics Benchmarking Markets and Industries Technology Providers that Power Each RetailerDigitalC view of the ecommerce market,and where its headed,becomes clear with Digital Commerce 360RETAIL

175、COMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROI34 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.DIGITAL COMMERCE 360 RESEARCHLAURA BERRIGANSenior Project Manager,R312-572-6261PAUL CONLEYDirector of Editorial

176、for Research and Retail N312-946-2048LAUREN FREEDMANSenior Consumer Insights A312-572-7004ABBAS HALEEMAssociate E312-572-6260JONATHAN LOVEAssociate Data A312-362-0069JAMES REEVESMarket Research A312-362-9533BRENDAN REILLYSenior Data A312-362-0076JAMES RISLEYResearch A312-572-7005JILL SUCHOMELData A3

177、12-362-0273This 2023 Ecommerce Conversion Report includes key featured articles published directly from the full 2023 Ecommerce Conversions Report.Purchase$399Learn more about the full reportABOUT THE AUTHORSApril BertheneEditor,Strategy Insights Abbas HaleemAssociate EditorPaul ConleyDirector of Ed

178、itorial for Research and Retail NewsGretchen SaloisSenior EditorRETAILCOMMERCE 360CONVERSION RATES FOR RETAIL:BEST PRACTICES AND HOW TO IMPROVE ROI35 Copyright 2023 Digital Commerce 360&Vertical Web Media LLC.All rights reserved.Content published April 2023.COPYRIGHTCopyright 2023,Vertical Web Media

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186、imeliness,usefulness,adequacy,completeness or suitability of the Digital Commerce 360,Report.ABOUT DIGITAL COMMERCE 360Digital Commerce 360,formerly Internet Retailer,has been a global leader in retail and B2B ecommerce research and media for over two decades.Our organization provides daily news,tre

187、nd analysis,and competitive data to a vast community of executives,retailers,financial firms,manufacturers and more.Our team of experienced journalists and researchers publish a multitude of products each year,including dozens of research reports,newsletters,charts and infographics,webinars,live eve

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189、erence&Exhibition.ABOUT DIGITAL COMMERCE 360 RESEARCHDigital Commerce 360 Research tracks hundreds of metrics on thousands of online retail companies around the world,including critical data metrics like web sales and traffic,conversion rates,AOV and the technology providers that power their busines

190、ses.We publish our analysis of the data in numerous annual reports on timely ecommerce topics like marketplaces,omnichannel,platforms,and many more.In addition,our robust custom research department is skilled at creating personalized projects including reports,surveys,raw data pulls and more to support retailers,consultants,financial analysts and technology providers meet their goals.