SEO

5 Trends in eCommerce Marketing in 2011 from Top Retailers US

Three weeks ago on March 15, 2012, I gave a speech at eCommerce Search and Sales event in Sao Paulo on trendsetters in eCommerce marketing in the US and Europe.

Over the last year, I observed through my research from 3rd party industry publications, sessions attended at various search marketing events and personal experience what leading retailers do. I singled out 5 key patterns, which cover natural search, conversion optimization and leveraging new traffic sources or emerging shopping channels. Most US retailers that enjoy steady growth do:

  1. Grow organic search visibility, to enjoy free traffic
  2. Reduce noise and steps pre-checkout, to boost conversion
  3. Tap into impulse buys of “on the go” last minute markets, to leverage emerging shopping situations and trends to bring new sources of traffic or to expand shopping experience for loyal customers (multi-channel)
  4. Tap into discovery buys to capture leisure, commute shoppers
  5. Cater to local needs, but deliver by local means, while expanding global coverage, yet capturing one country at a time.

I am going to expand on each strategy, the rationale behind it and implementation examples (download the deck to follow the takeaways.)

1. Grow organic search visibility

It is a no brainer what good SEO can do for your bottom line, at times at a fraction of cost of paid search. Natural search if done right and from the beginning is there for you to perform consistently and will not run out due to budget overspend. For new, small, upcoming merchants, natural search helps to level the field while competing with big guys. And for large retailers it can provide tons of savings and healthy ROIs and a potential for world domination in search rankings.

It is no wonder that smart retailers, big or small enjoy healthy shares of traffic from natural search. And when, I say healthy, I mean more than 25 % of total traffic. And when I think about organic search, I think of Google as a real estate broker for marketing of your goods & services free of charge as long as it is of value. For good value, you get customers or share of traffic, for sloppy job you get nothing. Natural search is free traffic, but you still have to work for it, especially in lieu of ongoing algo updates. Just for the last 12 months, only Google had about 11 Pandas, 1 freshness major update and many more, while for last month of March, it went through 50 search quality changes! A load full of stuff to consider! Yet, those changes are opportunities to spot, not mere changes to deal with.

To do be present in search engines effectively and even diversify your traffic sources, trendsetters leverage new emerging and current evolving opportunities: rich snippets, universal search, integrating social behavior into site experience, producing fresh, unique content that is worth a share, or a pin or a tweet and making site mobile friendly, all of those are key drivers of micro conversions, which ultimately result in more buys.

Rich snippets are an amazing way to increase click through rates by drawing attention to your listing. It is a low hanging fruit too. Google and Bing support product, prices, events, persons, and recipes.

  • For example, Best Buy implemented rich snippets mid last year and enjoyed 30 % CTR from Google within the a few weeks. Others, as shared at SMX 2012 in San Jose, implemented rel=author & rel= publisher tags, and enjoyed 5-10 % traffic lift within the first 2 weeks, while aggregating 15-30 % total. Though, rich snippets are not a novel idea, not everyone in ecommerce leverages them.
  • For universal and blended search, Advance Auto Parts comes to mind with its videos (product and how-to’s) on product pages, YouTube, Facebook, beautiful video map, as it enjoyed increased conversions for product pages, especially for 1st time visitors, and extended its reach & sound sharing engagement of how-to-videos. I am sure these efforts considerably reduced their costs per leads. You can even scale it up to enterprise level with video publishing platforms available in the market.
  • Or a small retailer, Oyster.com launched its business with SEO and quality content as key ingredients of its product strategy. It has a solid site architecture, quality, original, engaging content, creative copy and great linking & social media integration. Just look at their traffic, which is 50 % free. Brilliant!
  • Fab.com, though behind the subscription site, has a beautiful integration of social into the experience, incentivizing its customers to share and get cash within 2 clicks as simple and as smooth as part of the shopping experience. No wonder, Fab.com enjoys 61 % traffic from Facebook vs. 6 % from Google. It also leverages well its blogs, and has lots of viral links. 40 % are actively engaged with their favorite brands via Facebook and say they are actively shopping on the social network. Bing also favors twitter links and authority signals quite a bit in its algorithm, so tweeting links up, makes a difference.

Differentiating your current content through rich snippets on SERPs, leveraging universal search & making your content worth sharing or part of social discovery allows capturing more traffic into the store. While, making your site SEO friendly and focusing on fundamentals can potentially double your total traffic within a few months; going the advanced route in resonance with algo changes from SEs might bring opportunities to dial up the effectiveness of other traffic sources: direct, social and mobile and even boost your other demand generation initiatives.

2. Reduce noise and steps pre-checkout

Once you got all that traffic to your pages, you want to waste no time to get them buy. Reducing noise and steps pre-checkout is the second best practice that distinguishes top performers and results in more orders.

The speed and simplicity of how you go about your funnels makes a difference. The less steps you have, before the checkout and within, the more captured traffic is to be converted. So remove extra steps, pages and clicks.

When shoppers landed on your pages, chances are very likely they know what they want to buy and now dealing with “which” one to choose dilemma. Your job to reduce the steps & thinking process for this part and provide enough information upfront as needed.

As needed is key here, that you will want to test, while “as much as possible” can overwhelm people and even concern search engines. Studies have been done that proved too many choices thrown at the customer slow the decision making process.

Some SEOs in the industry, also claimed that reducing the number of search results/product options might boost search results pages quality in terms of traffic and visibility.

  • Evo.com found that customers have to compare products while still in search for a perfect item, hence high abandonment of shopping carts. So they added a compare tool and color swatches right in the search result pages, which both increased conversions and sales.
  • Shopstyle.com, a lead generation site, converts people within 2 clicks on their category and search results pages. Implementation via the vertical slider is awesome from the user experience and friendly for SEO. It also addresses well pagination and duplicate content issue. Moreover, it has no product pages. You convert through the quick-look hoover. Love it.

Simplicity drives the highest profits. It also delivers joy while shopping. Polish your funnels, check if you have too much info and too many links, and streamline those as well for bots so that they do not waist time either. Go many times through your funnels to understand how much time it takes to buy. The less time users and bots spend on your pages, the more cash your estore generates, working like a money making machine.

3. Tap into impulse buys of “on the go” markets

Once you have customers flying through your funnels and placing orders or sharing deals on your site, don’t you wish to have them literally fly and shop at the same time?

With 49 % of all smartphone users researching and actually buying on smartphones, going mobile is necessary not to lose even the sales of loyal customers. It is also a great channel for new users and opportunity to steal competitor traffic:

  • 51% more likely to purchase from a retailer when it was mobile friendly,
  • 40% would visit a competitor’s site instead due to a disappointing mobile experience.

Yet, smart retailers study even deeper what mobile shopping can be all about. Travel category sites dominate mobile. 85 % of frequent flyers use smartphones and adopt mobile shopping, per Internet Retailer.

Mobile shopping loves travel. It thrives on the conditions occurring in travel situations; we might have to make last minute reservations, change of plans, experience airplane delays.

Mobile also syncs well with a spontaneous shopper, who happens to get free time or wanting something right there and now, thus playing up on the instant gratification we all are used to.

And, lastly, retailers that have been active in this channel early on, also saw some synergies among the channels, or marketing initiatives.

It is also noted that email coupled with mobile works like magic. It triggers the attention of shoppers on the go to act on the impulse to take care of that. A beautiful pairing.

  • Hotels.com, which I am a good customer of, doubled their mobile bookings in 2011. They also tapped into the specific segment that only shops last minute on the go. So, now, they feature deals that are exclusively available on mobile app in situations when minutes matter. Last week I was in New York, and got plenty of emails, 4-5 on last minute deals during my stay, just in case. Noteworthy, if we look at the email marketing effectiveness for Hotels.com on Compete, we can confirm the high growth rates from 71% up to 255%, and stellar performance in driving traffic.
  • Last minute booking is highly desirable and growing segment, in such a way that entire app businesses is showing up. Example, here with HotelsTonight, providing deals on that given night only and yet, you still get a deal. Isn’t that great, you are stuck in a city and do not want to pay high rates at the hotel you stayed in or go wherever the airline that messed up sent you? You have a place where offers bid for your business right here, right now.
  • Fandango, a movie reseller site, benefited from a single feature on its app, “Go Now” that allows to make a decision to watch a movie within mins if you happen to have an urge and the time, nearby.

Mobile and last minute offers exemplify the reality that lots online shoppers became very savvy in finding deals, comparing prices and will not settle for less. Mobile, plus instant consumption also reflect the reality of on the go lifestyle. So, if you keep waiting on how far those trends go, without engaging today, you will potentially miss on a new kind of a shopper or even lose a bunch of loyal customers that happen to add mobile to their options to shop for your brand.

4. Tap into discovery buys

Discovery buys are usually the opposite experience with users, shopping in a cozy place vs. on the go. They are also not planned, known; yet if you can engage the user fully in the experience and provide proper tools and merchandising, you can cash in and draw a significant share of all purchases.

Discovery buys emerge in situations when customers cannot engage into searching for the right item as it might be new to them or hard to do, like shopping for art. Or they have to defer the process of buying it, given its high price tag. Or they simply have no time, but have a general idea what would be best and would act on it if matched per expectations.

Tapping into discovery buys requires creativity and it allows finding new ways to shop for your audience, discovery buys can lead to marginal adds-ons to sales.  Some retailers already doing that by exploring curated merchandizing, also known as breaking their inventory into collections, themes, or make me a match site features, and also exploring coach commerce, or tablet shopping, with about 63 % of US retailers planning site redesigns to benefit from the trend, as eMarketer claims.

  • Art.com launched “Inspire my discovery” and “Find my image” visual search feature, and noticed that customers that use those, spend 2X more and convert 75 % faster.
  • Wine.com gets 6 % of all traffic from iPad and enjoyed increased spends from tablet shopper and even 20 % of revenue on the last day of Xmas.

Other retailers start paying attention to a common 50 % share of iPad in relation to all mobile traffic, a growth worth cultivating.

Tapping into discovery shopping experience is an ongoing trend, with ample room for creativity from the user experience and art of merchandising. Tablet shoppers are enthusiastic and happy about shopping.  With the number of tablet owners expected to skyrocket over the next few years, these shoppers are among the most important market segments to merchandize for.

5. Cater to local needs, deliver by local means

In a situation when you conquered your home base and ready to cast a wider net at international markets, you better be ready to spend lots on infrastructure to build it for each country. That is what top retailers from US do when they have their sights on shoppers of Europe.  You have to be an early entrant there to succeed. You also have to look deeper, segment by country.

There are specific needs and conditions for each country that must be met to be relevant there. Trendsetters focus on a hot category around a very specific niche and take over, or win over one country at a time, building custom marketing, merchandising, and fulfillment.  They also understand that the time and investment needed to build trust and break adoption barriers, because the payoff eventually will be much bigger due to the 1st comer benefit.

  • I was in Toronto, Canada in February and was amazed how condensed the city is and how many people are in the downtown. No one drives in the city and it gets rather crowded, there are thousands of great restaurants, you do not need to cook. I could live with that! Yet, it is perfect for grocery delivery business or restaurant delivery, Justeat.ca. UK, especially, London is also displaying the same conditions. In fact, Tesco, a UK retailer already dominates that hot category and is expanding it to Eastern Europe.
  • Easter Lauder also targets by country, yet providing global inventory, yet it still markets differently and is honoring country specific payment options to foster adoption.

In the past, some retailers tried to scale and approached Europe as one whole market, quickly learning that only country specific segmentation; country specific demand and shopping preference by category will work with all that fragmented infrastructure. And once you are in and accepted, you are there to rip the benefits of expansion.

So, to do effective eCommerce marketing, you can leverage natural search, new traffic sources and new shopping behavior trends & conditions by:

1. Investing into content production of items, worthy sharing every day

2. Reducing noise, barriers to buy

3. Feeding impulse buys, convert the always connected shopper: on the go, coach, in transit

4. Tapping into discovery buys, make your shoppers a match in heaven

5. If expanding markets (segments, countries), thinking and delivering local (as Romans do).

The list of strategies identified is not exhaustive; yet, some retailers only focus on 1-2 and make a difference. Imagine if you get all five strategies on the roadmap within your team!

Bonus:

The Future of Publishing And Content Marketing

Lately, I have done an impromptu talk with Murray Newlands and Oliver Roup on Future of Publishing with two other guests who run businesses within that space (Paul Edmondson, CEO of HubPages and Pirouz Nilforoush, President and Co-Founder NetShelter). Our discussion covered the nature of content quality for driving SEO and monetization initiatives, whether you a blogger, or a large ecommerce site. It is a 30 min video, yet here are the key points that outline recent changes in the world of social, search and publishing:

1) Authorship is key, it allows to discriminate the original author or source of the content and also helps to leverage social tagging and integrate editorial from multiple profiles. It shapes up a single (individual) voice and leverages the level of influence (what is rel= author tag?). Google Plus integrates all your publishing channels, as an example.

2) Universal search is becoming necessary for effective SEO strategy. A killer piece of content is multi-formated: video, photos, graphics, text, social media posts (tweets, Facebook comments, etc.) People love infographics, they tag and share them. Video or photo reviews with personality become key pieces of sharing and engagement: they drive demand and close the purchase decision. Brands and publishers have opportunities to gain search visibility by producing multi-format content on and outside their own sites. (In depths thoughts on universal search as future of SEO is shared by Mike Grehan).

3) Quality content is original, unique, not copied and a must-have to be Google friendly, especially post Pandas. It must engage users, be creative and relevant to users. Look at Amazon and Zappos product pages, big retailers add their own content in addition to the one provided by manufacturers. Other ecommerce sites engage audience & produce killer reviews, guides and buying suggestions, which are surfaced throughout the shopping funnel.

4) Fresh content becomes golden in order to surface or sustain visibility on search engines, thus ongoing content publishing cadence is rewarded given Google freshness algorithm change in Nov 2011. Sustained effort when it comes to content marketing is important to stay relevant and be able to enjoy successful content monetization.

5) Content monetization and site monetization must be balanced and prioritized. Your best converting pages might not include lots of content and your lesser converting pages might be just as good for the audiences that are still searching and deciding what to buy. Test your content placement and ad placement carefully and see what level is optimal for your conversion first, SEO & RTB second. Or optimize various pages on your site per monetization goals they have: is that affiliate revenue that you are growing or lead generation? Optimize your site on what takes importance and priority based on revenue stream shares.

Watch full video discussion on future of publishing.

Online Marketing Opportunities With Google Plus

Google Plus launched with fireworks as exemplified in tweets and blogs lately, posing questions to brand marketers, social media folks and SEOs on what it means as a new tool or marketing channel. Its scalable integration with other Google products allows for many ways to easily expand its user base. Though, it still has to resolve the issue of having various accounts for various services. Still even if a small percentage of all active customers from each Google product is converted, the total sum might pose a sizable competition for Twitter and Facebook within the next 1 to 2 years. To which, its early rapid adoption rate of 10 million within 2 weeks of its launch validates this thought. So, it is better to start getting familiar with it today and there are plenty of guides and how-tos and face offs available to do so.

Mashable media site alone has a handy article with 19 resources to start with Google Plus (and also serves as a good sample of smart and timely internal linking optimization).

Among the early adopters of this technology are social media sites and various SEOs from Search Engine Land and beyond. What also is intriguing how aggressive the mainstream media has become to respond to this new technology. Journalists use hangouts right on air time and test audience engagement rates on Google Plus and other networks to get a measurable idea of its value as a channel.

So what are the emerging benefits Google Plus is likely to provide to marketers?

1) It is excellent for SEO and if you have a site and a Facebook like button, make sure you add a Google Plus button to enter the game. Also, I find it only applicable to pages where you have quality content, or already have a Facebook Like button. Adding it to all pages, might be excessive and not useful since there should be a good reason to Plus One the page. It can become a good proxy for you to take stock of your unique content and see how it performs with users: a very good metric given Google Panda updates that gave more weight to sites with quality content.

SEOs also speculate that Google Plus statistics will factor in your site search visibility as much as the clicks to your site from Google SRPs. It especially makes sense with the recent stop of real-time search feature on Google, given its contract expiration. It is very likely that Google will substitute this functionality, previously delivered by Twitter API by Google Plus. See Rand Fishkin’s SEO test on how Twitter and Google + interactions play out in Google search results.

What I also noticed is if you already have writtent about a specific topic and have some presence on Google Plus, your picture and name will show up in the right next to the related post of Google search results. Which has a huge potential for influential experts to stand out and market themselves more effectively. Now, with a face against the search result to aid recognition. So, think first what picture you want to use on Google Plus profile!

There are probably more SEO benefits that are easily visible at this stage. I could see external linking opportunities and use cases to surface within the platform.

2) It is well-suited for targeted messaging. With its massive intent data, and already advertised user base statistics for Google +,  Google is working on a powerful ad platform. Meanwhile, using circles you can communicate with topics very relevant to the custom segments within your circles and enhance your influence on those folks the way you want it. Facebook does not make it easy as of now to custom message to your audiences without making selective messaging so obvious.

3) It is mobile friendly. Google Plus is already on Android, and will be available on iPhone, which will allow you to engage with your audience outside the desktop. Techcrunch provides a brief overview of Google Plus mobile presence, covering what works and what is yet to come.

4) It is integrated in web and search analytics tools. Google Analytics, Google Webmaster Tools and some 3rd party search analytics tools (Link Research Tools) already show reports on 1+engagement metrics (search impact, activity or what pages invoked Google plus acts and audience (number of unique users doing those), so you are at a good start to measure your content attractiveness and user engagement.

5) It might provide opportunities in brand management. Though, company profiles are not favored yet, given its testing period, it is likely that company pages and profiles will be available. It could be fantastic for public announcements, virtual conferences, while connecting various audiences without needed IT setup.

6) It can be excellent for product management. Getting in touch with potential users of your new product or collecting feedback on the existing service using hangouts functionality makes it a good tool to collect insights directly from your audience on what works and what does not. It also allows you to capture body language and clues from the environment of your conversations to enrich your learnings about a topic at hand. Though, limited to 10 parties to participate, it can still foster a quality focus group session.

7) It can be benefit your people search. If you are new to some aspect of internet marketing and trying to get into the new area, finding and connecting to experts becomes somewhat personal and more engaging via Google Plus directory. You can find people who joined the network. It also allows you to find experts in various fields based on the provided statistics and much eye-eappealing UI than Twitter search. It might even become a people search filter on Google in the future. How exciting!

It is likely that more applications of Google Plus are to come within the next few months, and using them early in your marketing campaigns might very well provide some first entry advantages.

I am playing with it rather lightly as of today myself. Are you?

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