Retailers shifting digital marketing spend to capitalize on growing mobile traffic

According to Shop.org/Forrester Research, retailers are investing in mobile email optimization and paid search.

To capture and capitalize on mobile traffic growth, retailers are eagerly looking for ways to optimize their digital marketing campaigns across various devices, according to a press release from the National Retail Federation.  As a result, top investment priorities include a few tried and true favorites: email and paid search. According to the Shop.org/Forrester Research, Inc. (Nasdaq: FORR) study, “The State Of Retailing Online 2013: Marketing & Merchandising,” nearly nine in 10 (87 percent) online retailers surveyed either already have implemented or are planning to implement mobile email optimization in 2013, and seven in 10 will optimize paid search for smartphones and tablets (71 percent and 73 percent, respectively).

“As consumer adoption of smartphones and tablets in the United States reaches critical mass, retailers know that their marketing mix has to work optimally for all customer touchpoints now,” said Shop.org Executive Director Vicki Cantrell. “Email has always been one of most effective customer retention vehicles in the market, so it’s no surprise to see retailers investing to make email engaging and relevant for the increasingly mobile consumer.”
According to the study, retailers say that, on average, 28 percent of emails sent to customers are first opened on a smartphone; the stakes are higher for small retailers who say that on average 42 percent of their emails are first opened on a smartphone.

For merchandisers, improving the customer shopping experience is key. And for online retailers, those enhancements come in the form of video, personalized content, and more. According to the study, product detail page improvements, particularly video offerings, will be a top focus this year: nearly three-quarters (72 percent) will invest in integrating video on their sites. Another 62 percent indicate that recommendations and personalization features will be a priority, including integrating capabilities to create different home pages and creating unique pages for their customers based on purchase history.

“Retailers continue to optimize the customer experience on their site and to that end have made investments in A/B testing, product detail page enhancements, and personalization mainstream,” said Forrester Research Vice President and Principal Analyst Sucharita Mulpuru. “Going forward, however, we expect to see much more emphasis on checkout enhancements, as that is a key obstacle for direct transactions on mobile devices.”

About the Study

The State Of Retailing Online research series, which provides eBusiness & Channel Strategy Professionals with annual industry benchmarks of marketing and business investment and activities, surveyed 65 companies. Industries surveyed included apparel, footwear, general merchandise, home furnishings, and personal care.
 

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