tag:www.econsultancy.com,2008:/topics/multichannel-2 Latest Multichannel content from Econsultancy 2017-07-14T10:52:35+01:00 tag:www.econsultancy.com,2008:BlogPost/69250 2017-07-14T10:52:35+01:00 2017-07-14T10:52:35+01:00 Four reasons behind Superdrug's 41% increase in profits Nikki Gilliland <p>So, why the big turnaround? Here’s a look at Superdrug’s strategy, and the reasons why it’s currently enjoying a resurgence.</p> <h3>Targeting younger shoppers </h3> <p>Boots is the largest health and beauty retailer in the UK, with over 2,500 stores compared to Superdrug’s 850 or so. It’s also got the longest history, as well as a large and loyal consumer base that includes people of all ages and budgets.</p> <p>With Boots catering to such a large demographic, Superdrug has changed its strategy to target a more specific set of consumers. While its rival concentrates on its own-brand beauty range of Botanics, as well as more mid to high-end brands such No. 7 and L’Oréal, Superdrug deliberately targets younger consumers interested in more affordable cosmetics. </p> <p>Cheaper brands like MUA, GOSH and Make-Up Revolution, despite being less well-known, are now sold in most stores.</p> <p>So, alongside a general focus on affordability, how exactly does Superdrug entice younger consumers?</p> <p>In the face of low-price beauty launches from the likes of Primark, H&amp;M and New Look, Superdrug’s work with <a href="https://econsultancy.com/blog/66560-what-are-influencers-and-how-do-you-find-them" target="_blank">influencers</a> certainly sets it apart. The retailer struck a deal with Zoella in 2014 to sell her beauty range, with the collection going on to break sales records. </p> <p>Upon launch, the Superdrug website saw twice as many visitors as usual, with 25% of new visitors clicking on the Zoella range. Since then, Zoella has gone on to release two new collections, both resulting in similar success for Superdrug.  </p> <p>Other popular influencers such as Tanya Burr and Fleur de Force have also partnered with Superdrug to sell exclusive make-up and cosmetics collections, meaning the retailer has been able to capitalise on their existing and loyal audience. </p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr"><a href="https://twitter.com/Zoella">@Zoella</a> <a href="https://twitter.com/ZoellaBeauty">@ZoellaBeauty</a> I've just picked this up from Superdrug it's so pretty <a href="https://t.co/IKAg0QyMdR">pic.twitter.com/IKAg0QyMdR</a></p> — Jessica newman (@jnew135) <a href="https://twitter.com/jnew135/status/883622463531253760">July 8, 2017</a> </blockquote> <h3>In-store experience</h3> <p>Influencers are not the only way Superdrug has aligned itself to younger shoppers. In 2014, it rolled out its new ‘Beauty Studio’ concept, offering beauty services such as threading, manicures and eyelash extensions in-stores. In select locations, it also introduced digital displays and an interactive ‘selfie’ area to encourage shoppers to share their makeovers on social media.</p> <p>Elsewhere, and even in stores that do not include a Beauty Studio, the design and layout of most stores is used to differentiate itself from Boots’ pared down approach. The retailer often uses bright colours and illuminated lettering, bringing a fashionable element into stores. Again, cosmetics is a huge focus, with this area often much larger than other areas.</p> <p><img src="https://assets.econsultancy.com/images/0008/7455/superdrug_cosmetics.JPG" alt="" width="650" height="431"></p> <p>Another way Superdrug has enhanced the in-store experience is to introduce Wi-Fi and its own radio station. ‘Superdrug Live’ is used to support brand campaigns and promotions, as well as create a unique store environment through music.</p> <h3>Healthcare focus</h3> <p>Alongside its Beauty Studio, Superdrug has also expanded into the healthcare market, placing much more focus on its status as a pharmacy as well as cosmetics retailer.</p> <p>While its stores used to have a 70/30 split between beauty and health products, some stores now have a 60/40 strategy, with the retailer introducing consultation rooms and services from pharmacists and nurses, such as flu vaccinations. </p> <p>Interestingly, Superdrug has also introduced its own brand of morning-after pill, selling it at half the cost of the average pill sold over the counter. The move has been praised by the British Pregnancy Advisory Service, which applauded the retailer for giving women greater choice and accessibility. </p> <p>There’s no doubt that Superdrug’s focus on healthcare is succeeding – sales of this category grew 12% last year.</p> <p><img src="https://assets.econsultancy.com/images/0008/7456/wellbeing.JPG" alt="" width="650" height="444"></p> <h3>Rewarding loyalty</h3> <p>Superdrug’s <a href="https://econsultancy.com/admin/blog_posts/69250-four-reasons-why-superdrug-is-succeeding/edit/Six%20tips%20for%20loyalty%20program%20success" target="_blank">loyalty program</a> has also grown over the past few years. In fact, membership is said to have doubled over the past two years, with the retailer having 19m registered members by the end of 2016. </p> <p>The Health and Beauty card is a fairly standard retail loyalty system, rewarding shoppers with points that can be exchanged for discounts. However, Superdrug adds value with exclusive offers and perks, also rewarding long-term loyalty members with exclusive gifts. Regular promotions like ‘Treat Thursdays’ – which offers exclusive discounts – provide incentive for members to collect and spend points.</p> <p>The Health and Beauty card also works in conjunction with the Superdrug app, allowing shoppers to collect and monitor points as well as access offers. By aligning the app and loyalty program, Superdrug has also been able to improve targeting, offering deals and promotions to customers based on their location or past purchase history.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Calling all Health &amp; Beautycard members! Get 10% off Diet &amp; Fitness products until 23:59 tonight <a href="https://t.co/pj1ctMQvf7">https://t.co/pj1ctMQvf7</a> <a href="https://twitter.com/hashtag/treatthursday?src=hash">#treatthursday</a> <a href="https://t.co/qcrKFWzd3g">pic.twitter.com/qcrKFWzd3g</a></p> — Superdrug (@superdrug) <a href="https://twitter.com/superdrug/status/885431137660796928">July 13, 2017</a> </blockquote> <h3>Improved online presence </h3> <p>While most consumers might naturally think of Superdrug in terms of physical stores, the retailer has been making strides to improve its ecommerce capabilities – as well as its general digital presence.</p> <p>With improved delivery and click and collect, it offers customers more flexibility than before – perhaps one of the main reasons its saw a 60% growth in online sales last year.</p> <p>Another reason could be its Online Doctor service, which allows customers to consult with a doctor on various medical issues and arrange prescription for collection or delivery. The popularity of the Online Doctor has spurred on expansion of Superdrug’s healthcare services, with the retailer recently announcing that will open 30 new stores and create 600 new jobs in the UK.</p> <p>Meanwhile, Superdrug uses social media to reach out and interact with consumers. Its Twitter and Facebook strategy involves a lot of user generated content, with the brand also using lifestyle and pop-culture inspired content to engage younger, female consumers.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">Chris says he isn’t bothered… but we have a feeling that he is defo bothered! <a href="https://twitter.com/hashtag/draaaaaama?src=hash">#draaaaaama</a> <a href="https://twitter.com/hashtag/muggymikeisback?src=hash">#muggymikeisback</a> <a href="https://twitter.com/hashtag/loveisland?src=hash">#loveisland</a> <a href="https://t.co/Tzj24KdgFW">pic.twitter.com/Tzj24KdgFW</a></p> — Superdrug (@superdrug) <a href="https://twitter.com/superdrug/status/885590454573641736">July 13, 2017</a> </blockquote> <h3>In conclusion…</h3> <p>Making both beauty and healthcare accessible, Superdrug has managed to carve out a niche in the market, making its high street presence almost indispensable to consumers.</p> <p>While it previously stood in the shadow of Boots, its strong growth and expansion plans means it is a worthy competitor – possibly even winning in the fight for the attention of today’s young consumers. </p> <p><em><strong>Related reading:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/67138-native-apps-for-retail-10-reasons-it-s-now-or-never/">Native apps for retail: 10 reasons it's now or never</a></em></li> <li><em><a href="https://econsultancy.com/blog/66160-how-boots-can-improve-its-customer-journey-from-search-to-checkout/">How Boots can improve its customer journey from search to checkout</a></em></li> <li><em><a href="https://econsultancy.com/blog/68472-three-reasons-behind-whsmith-s-boost-in-profits/" target="_blank">Three reasons behind WHSmith’s boost in profits</a></em></li> </ul> tag:www.econsultancy.com,2008:BlogPost/69236 2017-07-07T12:40:12+01:00 2017-07-07T12:40:12+01:00 10 superior digital marketing stats from this week Nikki Gilliland <p>On we go...</p> <h3>Mobile shopping ads presents growth opportunity for retailers</h3> <p>According to a new report by <a href="http://www.foundit.com/blog/mobile-shopping-search-retailers-biggest-opportunity-improve/" target="_blank">Foundit</a>, mobile clicks on Google Shopping ads represent the largest single source of visitors for online retailers, accounting for nearly 25% of all sessions across direct, paid and shopping search traffic.</p> <p>However, the report – which reviewed over 60m shopping sessions across leading retailers – also states that search is the worst channel for bounce rate, with users typically viewing just two and half pages before quitting.</p> <p>In terms of the difference in bounce rates between Google shopping on mobile and desktop, just 27% of sessions browse past the first page, compared with 38% on desktop. </p> <p><img src="https://assets.econsultancy.com/images/0008/7342/foundit.JPG" alt="" width="706" height="318"></p> <h3>TV sponsorship increases positive brand associations</h3> <p>According to a study by Thinkbox, brands that sponsor TV shows are able to improve brand health metrics – mainly thanks to the strong affinities viewers have with their favourite programs.</p> <p>Research found that there was a 53% increase in ‘personality fit’ between viewers of a TV show and the sponsoring brand when compared to non-viewers. In turn, viewers were far more likely to recommend the brand than those that didn’t watch the TV show. </p> <p>Meanwhile, when the sponsorship creative was a natural fit with the program, key brand health metrics for viewers were 5% higher than for non-viewers. </p> <h3>UK shoppers buy from just three online stores</h3> <p>According to a YouGov poll commissioned by Apptus, online fashion retailers are struggling to attract new and loyal customers.</p> <p>In a survey of over 1,500 online shoppers, 62% of people were found to have a core group of favourite online retail stores – a figure that rises to 68% for women.</p> <p>Interestingly, younger shoppers appear more likely to stick to a narrow selection of sites, with 78% of 18-24 year olds and 70% of 25-34s staying loyal to a select few retailers.</p> <p>In order to tempt them away from their favourites, 66% of shoppers said that other retailers should offer greater value for money, while 48% said they should make it easy to find products they are looking for. In contrast, just 4% pointed to ‘lifestyle content’ as a means of grabbing their attention and building loyalty.</p> <p><img src="https://assets.econsultancy.com/images/0008/7346/online_payments.jpg" alt="" width="718" height="487"></p> <h3>North Dakota named the best US state to start a business</h3> <p><a href="https://wallethub.com/edu/best-states-to-start-a-business/36934/" target="_blank">WalletHub</a> has compared 50 US states across 20 key indicators to determine where startup businesses are most likely to succeed.</p> <p>It found New Jersey to be the worst, mainly due to high office space and labour costs as well as inaccessible financing.</p> <p>On the flip side, North Dakota was ranked the best, seeing the highest average growth in small businesses. The state also has the most startups per 100,000 residents – three times more than West Virginia, the state with the fewest.</p> <p><img src="https://assets.econsultancy.com/images/0008/7341/Start-ups_US.JPG" alt="" width="780" height="311"></p> <h3>75% of users are searching on mobile more often due to voice technology</h3> <p>New research from Google shows that voice search is influencing user behaviour, with 75% of consumers saying that they now search on their mobiles more often because of the technology.  </p> <p>People who started using voice search in the last six months are said to be the most frequent users, with 42% now using it daily. In comparison, just 25% of people who started using voice search over four years ago use it as frequently.</p> <p>The research also found that both visual and text search remain popular, with 51% of respondents using the two interchangeably.</p> <h3>Cyber-attacks on UK businesses increase 52% in Q2</h3> <p>A new report by Beaming suggests that the number of cyber-attacks aimed at UK-based businesses increased by more than half in Q2 2017. This means that businesses saw almost 65,000 attacks in just three months – an increase of 52% from the previous quarter.</p> <p>68% of attacks targeted connected devices such as networked security cameras and building control systems. However, there was also a marked increase in attacks on company databases, with businesses experiencing an average of 105 attempts per day compared to just 14 in the first quarter.</p> <p><img src="https://assets.econsultancy.com/images/0008/7340/Cyber_attacks_UK.JPG" alt="" width="780" height="192"></p> <h3>Mobile traffic at an all-time high across Europe</h3> <p>A new <a href="https://www.slideshare.net/adobe/adi-2016-europe-best-of-the-best" target="_blank">report from Adobe</a> – which includes analysis of the top 20% of companies using Adobe Experience Cloud and a survey of over 5,000 consumers across Europe – suggests mobile traffic is increasing across Europe.</p> <p>It states that smartphones accounted for 31% of all European web visits in 2016 – an increase from 22% in 2015. In comparison, desktop accounted for 58% of browser traffic - down from 65% in 2015. For the top-performing companies, 41% of web traffic came from a smartphone in 2016, up from just 31% the previous year. </p> <p>Meanwhile, the report found that consumer expectations are driving mobile usage, with 57% preferring to use a smartphone over another device when completing tasks in 2016 – up from 51% in 2015.</p> <h3>Shoppers’ dual-screening habits present big opportunities for retailers</h3> <p>Data from eBay has revealed there was a huge spike in consumer spending during last summer’s sporting events, indicating the potential for retailers to tap into dual screening behaviour.</p> <p>On the final day of the Tour de France last year, searches for ‘Pinarello’ – the bike that Chris Froome rode – rose by 62% on eBay.co.uk. Meanwhile, searches for ‘cycling shorts’ and ‘road bike’ increased by 46% and 71% respectively.</p> <p>Similarly, in the two weeks of the Rio Olympic Games, searches for ‘running shoes’ rose by 66%, and interest in running watches jumped by 113%.</p> <h3>Uber gains more customers than any other US company in the past year</h3> <p>Despite the series of scandals that have plagued the company in the past year or so, Uber has made the largest customer gains since the first half of 2016. </p> <p>26% of all US millennials are said to have recently used the service, which has increased its <a href="http://www.brandindex.com/article/ride-sharing-brands-top-biggest-millennial-customer-gains-over-last-year" target="_blank">Adobe BrandIndex</a> ‘current customer score’ by 8.2 points.</p> <p>Other companies in the sharing economy have also grown, with Lyft – Uber’s biggest US rival – becoming the third biggest gainer, and Airbnb coming 12th in this list.</p> <p><img src="https://assets.econsultancy.com/images/0008/7343/uber.jpg" alt="" width="724" height="483"></p> <h3>Online consumers desire security over transaction speed</h3> <p><a href="https://mypinpad.com/consumer-trust-report/" target="_blank">New research</a> suggests that retailers who favour speed and convenience over security measures could be losing customer trust. This is because 67% of consumers surveyed said they are concerned about their online banking and shopping security, with one in four respondents being ‘very concerned’.</p> <p>In order to improve levels of trust, retailers must implement greater transparency around security practices, as well as increased security steps. </p> <p>40% of respondents said they would like to use cardholder PIN to authenticate online transactions, while 50% would like to use a combination of both PIN and biometrics. Only 2% of consumers believe transaction speed is more important than security.</p> tag:www.econsultancy.com,2008:BlogPost/69216 2017-07-07T10:12:39+01:00 2017-07-07T10:12:39+01:00 Four factors fuelling the growth of fast fashion retailers Nikki Gilliland <p>So, what’s fuelling this boom? Here’s a bit of a deep dive into Hitwise’s <a href="http://www.hitwise.com/gb/articles/urgency-catwalk-look-fuels-fast-fashion-industry/?bis_prd=1" target="_blank">research</a> and how brands are capitalising on the consumer desire for instant and affordable fashion.</p> <h3>What is fast fashion?</h3> <p>Before we go any further – what exactly determines a fast fashion retailer? </p> <p>Essentially, it is when the production process is accelerated in order to get new catwalk trends into stores or online as quickly as possible. It also reflects the growing consumer desire for speed and value within retail. </p> <p>It means that, instead of waiting for new seasonal collections (i.e. spring/summer), consumers can get their hands on a continuous cycle of trend-led clothing, all year round.</p> <p>Brands such as H&amp;M and Zara were said to be among the very first fast fashion retailers. When the latter opened its first US store in 1990 (having first launched in Spain in the 1970s) it announced that it would only take 15 days for a garment to go from concept to completion.</p> <p>So, what’s fuelling fast fashion brands?</p> <h3>Speed and agility</h3> <p>Hitwise data suggests that ASOS, New Look and Very are the most popular brands in the category, accounting for 47% of the UK’s fast fashion market share. </p> <p>For brands like ASOS, the ability to capture millennial consumers is key, with this demographic now reportedly having an estimated spending power of $2.45trn. One way it does this is by delivering on the demand for new fashion, as younger consumers typically spend around seasonal events (such as festivals) as well as after payday.</p> <p>ASOS stocks over 60,000 items at any given time, allowing the ecommerce retailer to constantly update its inventory with ‘new in’ products.</p> <p><img src="https://assets.econsultancy.com/images/0008/7155/ASOS_social.JPG" alt="" width="750" height="475"></p> <p>Research by Goldman Sachs suggests that ASOS is able to do this by mastering its supply chain. The below screenshot shows the correlation between supply-chain lead times and like-for-like sales growth, with the results showing just how important speed is for both <a href="https://www.econsultancy.com/blog/69044-five-reasons-behind-boohoo-s-97-increase-in-profits" target="_blank">Boohoo</a> and ASOS.</p> <p><img src="https://assets.econsultancy.com/images/0008/7154/goldman.JPG" alt="" width="650" height="483"></p> <p>ASOS constantly tracks how well (or poorly) trends are selling online, before adjusting its inventory accordingly. This means that it reduces the risk of unsold stock, and in turn, delivers a steady stream of new trends for fashion-hungry consumers.</p> <h3>Celebrity endorsement</h3> <p>Hitwise data also shows that PrettyLittleThing.com is the fastest growing brand in the fast fashion category, with the site seeing a whopping 663% increase in online visits year-on-year since 2014.</p> <p><img src="https://assets.econsultancy.com/images/0008/7150/Hitwise.png" alt="" width="297" height="233"></p> <p>For PrettyLittleThing, working with celebrities and influencers has allowed the brand to drive awareness of its products. A popular search term relating to the site is ‘celebrities wearing Pretty Little Thing’ – mainly thanks to endorsements from the likes of Kylie Jenner and Sofia Ritchie.</p> <p>However, Pretty Little Thing does not only use celebrities to merely promote its clothing. Well-known names, like former TOWIE star Lucy Meck, have also created their own clothing lines with the brand. </p> <p><img src="https://assets.econsultancy.com/images/0008/7151/PLT.JPG" alt="" width="550" height="546"></p> <p>In doing so, it has allowed the ecommerce retailer to strengthen its connection with customers, offering them something more authentic and original than a shallow celebrity endorsement.</p> <h3>Sales through social</h3> <p>Alongside influencers, fast fashion brands have mastered the use of social media to drive sales. </p> <p>Today, consumers are constantly craving fashion and lifestyle-related digital content, not just to inspire their choices, but also for the purpose of entertainment. So, in order to deliver this, many retailers have started to act more like media brands – fusing the worlds of shopping, entertainment, and social media. </p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">SHINE BRIGHT Shop the leggings - <a href="https://t.co/BAozK9oxRq">https://t.co/BAozK9oxRq</a> the shoes - <a href="https://t.co/ybfQaGIWuX">https://t.co/ybfQaGIWuX</a> <a href="https://t.co/7Nnp9xFv7m">pic.twitter.com/7Nnp9xFv7m</a></p> — boohoo.com (@boohoo) <a href="https://twitter.com/boohoo/status/879474400445292544">June 26, 2017</a> </blockquote> <p>Unsurprisingly, Instagram reigns supreme as the most effective platform for fashion brands, with many posting videos, Instagram Stories, and including links to shoppable content to allow users to smoothly transition from the act of browsing to buying. </p> <p>One brand that has effectively used social to increase sales volume is Missguided. It has even incorporated the recognisable user interface <a href="https://econsultancy.com/blog/67600-missguided-launches-tinder-inspired-app-experience-review">of another social app – Tinder – into its own</a>.</p> <p>With its ‘swipe to hype’ feature, consumers can dislike or like products to create their own wishlists.</p> <p><img src="https://assets.econsultancy.com/images/0008/7152/Missguided_app.JPG" alt="" width="550" height="483"> </p> <p>This ‘tinderisation’ of ecommerce shows how fast paced the industry has become, with consumers making impulsive decisions – often based on the knowledge that there will be continuous stream of new products in the pipeline.</p> <h3>Sustainability and ethics</h3> <p>The fast fashion industry has come under fire in recent years for its impact on the environment, as well as suggestions that the demand for cheap clothing is driving poor working and labour conditions. </p> <p>Interestingly, research shows that 19% of the top fast fashion related searches are linked to the environment, ethics and sustainability. In order to counteract this, many brands are now displaying increased levels of transparency, with some also introducing initiatives relating to ethical and environmental issues.</p> <p>H&amp;M, for example, launched a conscious beauty collection in 2016 which included ‘planet-friendly’ products. Similarly, it has set itself the goal of using 100% sustainably sourced cotton by 2020.</p> <p><img src="https://assets.econsultancy.com/images/0008/7153/H_M.JPG" alt="" width="760" height="321"></p> <p>Meanwhile, Zara has pledged to boycott Uzbek cotton, which is an industry linked to forced labour. The brand has also joined the Better Cotton Initiative to promote sustainability and best practices for workers in the cotton industry.</p> <p>Of course, there is still a long way to go before fast fashion retailers prove themselves, however these examples are helping to satisfy increasingly conscientious consumers – as well as enhance their brand reputation.</p> <h3>Other brands playing catch-up</h3> <p>So, what impact has the fast fashion had on the wider industry in general? Interestingly, mid-tier and luxury brands are recognising that the consumer desire for fast fashion is not only based on low prices. </p> <p>Often, it can simply be because consumers do not want to wait for seasonal collections. </p> <p>As a result, some brands are introducing ‘runway to retail’ concepts to allow consumers to get their hands on clothes as soon as they’re seen on the catwalk. Elsewhere, JC Penney has accelerated the delivery of merchandise in order to update stock mid-season, while GAP has announced that it will be trialling a fast-fashion model to see whether it increases sales.</p> <p>As the continued growth of retailers like Missguided and ASOS demonstrates, fast fashion could be a trend that’s here to stay.</p> <p><em><strong>Related articles:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/68728-how-fashion-retailers-can-use-search-trend-data-to-inform-marketing-product-strategy/" target="_blank">How fashion retailers can use search trend data to inform marketing &amp; product strategy</a></em></li> <li><em><a href="https://econsultancy.com/blog/66501-how-fashion-brands-are-setting-trends-in-digital/" target="_blank">How fashion brands are setting trends in digital</a></em></li> <li><em><a href="https://www.econsultancy.com/blog/68404-10-examples-of-great-fashion-marketing-campaigns" target="_blank">10 examples of great fashion marketing campaigns</a></em></li> </ul> tag:www.econsultancy.com,2008:BlogPost/69131 2017-06-15T11:43:00+01:00 2017-06-15T11:43:00+01:00 How shopping malls are enticing consumers offline Nikki Gilliland <p>More specifically, how retailers are struggling to strike the right balance between online and offline channels.</p> <p>One member prompted the question: Are high street loyalty programs pointless compared to offerings like Amazon Prime – whereby unlimited free content keeps consumers hooked? How can high street or bricks-and-mortar stores possibly compete?</p> <p>On the flip side, when we’re constantly being told that consumers want experiential shopping experiences in physical environments, are we focusing too much online? It amounts to a lot of confusion, especially for multi-channel retailers. </p> <p>So what about targeting consumers in shopping malls? After all, these environments act as a sort of middle-man, with the potential to help bridge the gap between brands and consumers, as well as the online and offline worlds. With this in mind, here’s a bit more on how they're targeting today’s (increasingly digitally-focused) consumers.</p> <h3>Creating destination shopping</h3> <p>From children’s soft play areas to pop-up catwalks – shopping malls have always included more than just the retail stores themselves. </p> <p>However, these services (not including mid-tier entertainment such as cinemas and bowling alleys) are generally geared around basic convenience or blatant PR as opposed to anything truly customer-centric. This appears to be changing, with shopping centres now focusing on how they can use the spaces between shops to create a truly immersive experience for customers, from beginning to end. </p> <p>One way the likes of Westfield and Bluewater are achieving this is by strategically placing champagne bars in the middle of malls.</p> <p>It’s not rocket science of course – giving people a reason to linger (and make them more relaxed) is bound to drive extra footfall to stores. But it’s not just a case of any old alcohol either. Interestingly, locations such as the Intu Victoria Centre in Nottingham UK have deliberately chosen prosecco bars instead of champagne, with the former drawing in a wider demographic and better aligning with high street retail brands. In contrast, you’ll find Searcy’s champagne in Westfield London, located opposite high-end brands like Jimmy Choo and Versace.</p> <p>This shows that it’s not as simple as creating an immersive experience for the masses, but one that aligns with the specific commercial environment and target customer.</p> <p>Meanwhile, shopping malls are striving to make leisure and entertainment the primary reason for people to visit - not just an added bonus. This is particularly the case in the US, where shopping malls are massively suffering due to the rise in the ecommerce market, with one in three <a href="http://www.cnbc.com/2016/05/12/1-in-3-american-malls-are-doomed-retail-consultant-jan-kniffen.html" target="_blank">reportedly set to close</a> within the next decade.</p> <p>With the aim of reclaiming the shopping mall as the heart of the community, many are combining fine dining, brand pop-ups, showrooms and even sporting activities to entice consumers. The Mall of America in Minnesota is a rather extreme example, but its aquarium and dinosaur walk museum demonstrates the true potential of destination shopping.</p> <p><img src="https://assets.econsultancy.com/images/0008/6446/mall_of_america.JPG" alt="" width="780" height="499"></p> <h3>Utilising space and design</h3> <p>While there is a huge danger of over-generalising when it comes to gender, there’s no denying that men and women typically shop in different ways – meaning that they also want different things from physical retail environments.</p> <p>According to BI Intelligence, 40% of men aged 18 to 34 would ‘ideally buy everything online’, while just 33% of women feel the same. </p> <p>So, what actually drives men into malls?</p> <p>Research suggests that most males are likely to use physical stores to seek out unique products that they can’t find online or, in the case of those at our Digital Advisory Board meeting, if they are accompanying friends or family members. Interestingly, one person cited the difference between a shopping mall that includes relaxation areas (including comfy sofas and water stations) in multiple areas - and one that didn’t. Naturally, they said, you’ll find a greater percentage of males using these areas, often waiting for others while they shop.</p> <p>This is not a revelation, however it does demonstrate how shopping malls can effectively utilise space and design – even if it just means a comfier seat - to enhance the customer experience and increase the chances of return. </p> <p>Many new malls are also being designed with the wider environment in mind, regardless of how urban it might be. Take Cabot Circus in Bristol UK, for instance, which was built with a huge shell-shaped glass roof to create the illusion of being in the open-air. Similarly, the Fornebu S mall in Oslo was voted the most sustainable shopping mall in the world for its green roof and bicycle park, which encourages consumers to cycle to and from.</p> <p><img src="https://assets.econsultancy.com/images/0008/6447/cabot_circus.JPG" alt="" width="760" height="474"></p> <h3>Using technology to merge online and offline</h3> <p>Finally, it would be foolish to ignore the growing popularity of online shopping, specifically how consumers are using a combination of the two channels. Whether it’s showrooming (which means visiting stores to buy online later) or webrooming (the other way around) – retailers need to find a way to facilitate and enhance both experiences, instead of convincing customers that one is surperior.</p> <p>One way is to increase the amount of technology in-stores, for example using a tablet to quickly search if a product is in stock. Or even just a slick buy-and-collect service to give consumers greater flexibility and freedom.</p> <p>A few years ago, Kate Spade launched one of the first examples of integrated technology, installing touchscreen storefronts that allowed customers to purchase items based on real-life ‘window shopping’. Now with the introduction of VR and AR, high-tech stores and pop-ups like this are becoming even more innovative, meaning that customers are turning to physical retail for the sole purpose of discovering what brands are doing with it.</p> <p><img src="https://assets.econsultancy.com/images/0008/6448/Kate_Spade.JPG" alt="" width="614" height="464"></p> <p>Essentially, whether it is a touchscreen or a prosecco bar, it’s all about giving consumers a greater value proposition. Not just in comparison to ecommerce - but to the standard shopping malls of the past.</p> <p><em><strong>Related reading:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/69098-could-ai-revolutionize-high-street-retail-as-well-as-ecommerce/" target="_blank">Could AI revolutionize high street retail as well as ecommerce?</a></em></li> <li><em><a href="https://econsultancy.com/blog/68023-think-retail-how-brands-are-targeting-the-phygital-generation/" target="_blank">Think retail: How brands are targeting the ‘phygital’ generation</a></em></li> <li><em><a href="https://econsultancy.com/blog/68893-four-digital-priorities-for-retailers-in-2017/" target="_blank">Four digital priorities for retailers in 2017</a></em></li> </ul> tag:www.econsultancy.com,2008:BlogPost/69071 2017-05-09T11:00:00+01:00 2017-05-09T11:00:00+01:00 M&S to trial grocery delivery service: Will it take off? Nikki Gilliland <h3>Growing UK delivery sector</h3> <p>According to <a href="https://igd.com/About-us/Media/IGD-news-and-press-releases/Online-grocery-delivers-huge-potential/" target="_blank">IGD</a>, Britain’s online food market is expected to nearly double to £17.2bn by 2020. It’s not just the big supermarkets that are involved, of course. The likes of <a href="https://econsultancy.com/blog/68508-the-four-goals-underpinning-deliveroo-s-growth-strategy/" target="_blank">Deliveroo</a> and HelloFresh – companies that offer takeaway options and <a href="https://econsultancy.com/blog/67861-four-reasons-recipe-box-brands-are-delivering-success/" target="_blank">at-home recipes kits</a> – are also taking a slice of the pie. </p> <p>Meanwhile, M&amp;S has been missing out. </p> <p>Despite the retailer’s previous insistence that its product-range and basket-size is too small to offer a legitimate and price-worthy service, the emergence and popularity of the delivery market is bound to have been a factor in its decision to get involved.</p> <p>The question is – how will M&amp;S convince customers that it’s worth paying for a proper delivery? </p> <p><img src="https://assets.econsultancy.com/images/0008/5947/grocery_delivery.jpg" alt="" width="700" height="466"></p> <h3>Changing consumer perceptions</h3> <p>With its ‘dine in for 2’ range, M&amp;S Food is typically seen as a top-up shopping option or a special occasion store. That being said, it is a very profitable one, with M&amp;S’ clothing business dwindling in light of the success of its food arm.</p> <p>Last month, the retailer confirmed it was opening an additional 34 food shops following a review of its UK store portfolio. Meanwhile, it already operates an ecommerce service for its wines by the case, as well as party food, homeware, flowers and other non-food items.</p> <p>As well as a focus on physical stores, M&amp;S has also been concentrating on food in marketing terms. Interestingly, news about its delivery trial aligns with a new campaign that aims to get consumers to think of Marks and Spencer in a different light.</p> <p>The ‘Spend it Well’ campaign is more about promoting brand values than its product-range, telling consumers that life is too short not to spend time and money on the things that matter the most. </p> <p>This, alongside clear investment in physical food stores, is perhaps a sign that M&amp;S is serious about getting consumers to view it as more than just a place to pick up a sandwich.</p> <p><iframe src="https://www.youtube.com/embed/hYbh7PbYq5g?wmode=transparent" width="940" height="529"></iframe></p> <h3>Potential partnerships</h3> <p>So, back to the biggest obstacle of a viable business model.</p> <p>According to reports, M&amp;S is currently in talks with Ocado about a potential partnership to handle order fulfilment. The most likely scenario would also involve M&amp;S products being available on Ocado’s website, rather than a new standalone website being set up for M&amp;S. </p> <p>This would solve the problem of small-basket values, giving consumers the option to pick and choose from Marks and Spencer alongside other food brands. </p> <p>However, with Ocado currently having a deal in place with both Waitrose and Morrisons, it’s not yet clear whether it’s actually possible to bring M&amp;S into the mix. Ocado’s current contract with Waitrose specifies that 70% of all non-own brand products sold have to come from Waitrose. If M&amp;S is classed as a brand – the deal will be unable to go ahead.</p> <p><img src="https://assets.econsultancy.com/images/0008/5948/M_S.JPG" alt="" width="760" height="528"></p> <h3>In conclusion...</h3> <p>With a proper logistics model, success with online grocery delivery is not totally implausible for M&amp;S.</p> <p>Even if consumers do not buy into the idea of a weekly shop, perhaps the introduction of speciality delivery services could prove enticing. If the popularity of its seasonal food is anything to go by - with Christmas and Easter ranges typically seeing shoppers flock to buy a large amount of ingredients in one go – consumers are likely to lap up the added convenience if it is on offer.</p> <p><em><strong>Related articles:</strong></em></p> <ul> <li><em><a href="https://econsultancy.com/blog/67883-marks-spencer-what-does-putting-the-customer-at-the-heart-of-everything-mean/" target="_blank">Marks &amp; Spencer: what does 'putting the customer at the heart of everything' mean?</a></em></li> <li><em><a href="https://econsultancy.com/blog/68355-how-online-grocery-retailers-are-capitalising-on-the-need-for-convenience/" target="_blank">How online grocery retailers are capitalising on the need for convenience</a></em></li> </ul> tag:www.econsultancy.com,2008:BlogPost/69063 2017-05-05T13:07:06+01:00 2017-05-05T13:07:06+01:00 10 juicy digital marketing stats from this week Nikki Gilliland <h3>Ecommerce decision-makers bank on new tech</h3> <p>A new study from Salmon suggests ecommerce decision-makers are increasingly investing in new technology like IoT and virtual reality.</p> <p>Research found that 61% are currently investing in IoT (Internet of Things) enablement, while 69% plan to invest in robots and 60% in machine learning within the next five years.</p> <p>What’s more, 74% of decision-makers plan to switch ecommerce platforms in the next 12 to 18 months, with 92% of organisations recognising the need to better analyse data to improve the customer experience. </p> <h3>82% of UK consumers are unaware of the filter bubble</h3> <p>Research from the7stars has found that most consumers are unaware that their online experience is limited by social media and search preference algorithms. In fact, 82% have never heard of the term ‘filter bubble’. The study also found that consumers want more serendipitous content online from brands, with many stating positive emotions when asked how relevant but unexpected ads make them feel.</p> <p>In contrast, when asked what they associate with expected advertising based on recent searches or expressed interests, the majority of consumers chose negative words such as ‘targeted’, ‘intrusive’ and ‘annoying’.</p> <p><img src="https://assets.econsultancy.com/images/0008/5904/the7stars.jpg" alt="" width="780" height="463"></p> <h3>75% of consumers say Amazon would be their go-to physical store</h3> <p>According to new research from <a href="http://www.fujitsu.com/uk/solutions/industry/retail/forgotten-shop-floor/">Fujitsu</a>, four out of 10 consumers in the UK are disappointed by the state of in-store technology. 75% say they would choose Amazon or eBay over traditional names if these retailers had a physical presence on the high street. </p> <p>When it comes to the reasons for this disillusionment, 42% say it is because the technology is slow, while 37% say it is unreliable. Three quarters of consumers say they can access more information than retail employees as a result, with 73% saying they can get it quicker. This means that around 65% of employees are even using their own devices to try to bridge the gap.</p> <p><img src="https://assets.econsultancy.com/images/0008/5900/Fujitsu.jpg" alt="" width="464" height="336"></p> <h3>360-degree technology is fuelling investment in digital video </h3> <p>A new study by AOL suggests that new advances in technology are contributing to the rise of digital video. Research shows 55% of buyers and sellers in the UK believe immersive formats such as 360-video will provide one of the best revenue streams over the next 12 months. </p> <p>That being said, these formats are still in the early days of adoption. According to the study, 20% of consumers in the UK watch virtual reality video once a week or more, and 68% of Brits say they never watch VR at all.</p> <p>While immersive formats have yet to truly take off, live formats are becoming mainstream – 42% of consumers in the UK now watch live content once or more than once a week versus 55% globally. In truth even these numbers seem quite high.</p> <h3>Eight in 10 shoppers think music makes in-store shopping more enjoyable</h3> <p>A report by <a href="http://moodmedia.co.uk/shopping-with-emotion/">Mood Media</a> has highlighted the importance of improved customer experience in-store. In a survey of 2,000 consumers, 89% said they are likely to revisit a store if it has an enjoyable atmosphere. Eight in ten like background music while they shop in-store, with 75% saying waiting times are less dull if it is playing. </p> <p>When in a shop with enjoyable elements like music, visuals, or scent, the study also suggests that shoppers are more likely to stay longer, revisit, and recommend it to others – as well as choose the store over buying online.</p> <p><img src="https://assets.econsultancy.com/images/0008/5901/Music.jpg" alt="" width="750" height="365"></p> <h3>Ad campaigns using audience IDs predicted to triple by 2020</h3> <p>Audience IDs – which are the online identity profiles used to recognise and match users across different devices and channels – will be used in 58% of total UK online ad spend by 2020.</p> <p>This comes from a new report by Yahoo and Enders Analysis, which also suggests that audience ID ad spend will triple to €7.9bn by 2020, compared with €2.7bn in 2016.</p> <p>Predictions also suggest that growth in the volume of ad spend which uses audience IDs will slow when GDPR comes into effect in 2018. However, it will continue to grow as the industry responds and adapts to the new regulatory requirements.</p> <h3>UK grocery sector grows 3.7%</h3> <p>The <a href="https://www.kantarworldpanel.com/global/News/Britains-sweet-tooth-helps-grocery-sales-rise">latest figures</a> from Kantar Worldwide show that all 10 major UK retailers saw growth in the 12 weeks ending 23 April 2017, with the sector growing 3.7% as a whole. Britons spent an extra £1bn this year compared to last, with both Easter and inflation contributing to increased spend. A preference for premium confectionary lines was also a factor, with the average price paid for an Easter egg rising by 8.6% to £1.65.</p> <p>In terms of the big supermarkets, Sainsbury’s sales rose 1.7%, while Tesco's were up 1.9%. Meanwhile, Iceland, Aldi and Lidl saw greater success, with sales rising by 9.3%, 18.3% and 17.8% respectively.</p> <h3>Data privacy of retail apps is still a big concern for consumers </h3> <p>According to Apadmi’s latest <a href="https://www.apadmi.com/pdfs/retail-app-report-2017.pdf">retail report</a>, concerns over data privacy and security are still preventing consumers from downloading retail apps. </p> <p>In a survey of UK 2,000 shoppers, 74% said they were most concerned about the security of their information, while 34% said they don’t like the idea of retailers storing their information and not knowing what it would be used for. </p> <p>It’s not solely a generational worry, either. The report states that 36% of 45-54 year olds, 41% of 55-64 year olds and 44% of over 65s share the same concern.</p> <p><img src="https://assets.econsultancy.com/images/0008/5903/Apadmi.jpg" alt="" width="318" height="423"></p> <h3>89% of UK retailers have seen a drop in foot traffic over the last five years</h3> <p>Research by <a href="http://unbouncepages.com/retail-research-517/">LoopMe</a> suggests that the shift to online shopping has resulted in a loss of revenue for high street stores, with 93% of UK retailers agreeing this has been the case. </p> <p>In a survey of over 250 decision-makers within retail, 89% said they have seen a drop in foot traffic over the last five years, and 17% state they have lost between 31% and 50% of income from physical outlets.</p> <p>As a result, AI-powered campaigns could help to bring back footfall, with 74.5% of retailers suggesting the in-store experience is an ‘extremely important’ part of the purchase journey.</p> <h3>Young agency execs place less value on viewability metrics</h3> <p>New research from <a href="http://www.turn.com/resources/2017-agency-report-split-opinions-could-impact-videos-evolution">Turn</a> has highlighted how agency executives under 30 are turning their back on current viewability standards, with only 28% viewing it as a key requirement in ad buying.</p> <p>Younger execs are also less likely to see fraud as a major concern, as only a quarter of survey respondents aged under 30 believe fraud-free guarantees will drive future video spend. Meanwhile, almost 40% of brands still consider online conversions and clickthroughs to be the chief measures of video success. </p> <p><img src="https://assets.econsultancy.com/images/0008/5902/Viewability.jpg" alt="" width="659" height="412"></p> tag:www.econsultancy.com,2008:BlogPost/69047 2017-04-28T10:36:48+01:00 2017-04-28T10:36:48+01:00 10 mind-boggling digital marketing stats from this week Nikki Gilliland <p>If that’s not enough to wet your whistle, head on over to the <a href="https://econsultancy.com/reports/internet-statistics-compendium" target="_blank">Internet Statistics Compendium</a> for even more.</p> <h3>Two thirds of UK consumers are worried about data privacy</h3> <p>According to <a href="https://www.gigya.com/blog/state-of-consumer-privacy-trust-2017-fear-hope/" target="_blank">Gigya</a>, 68% of UK consumers are concerned about how brands use their personal information, with two-thirds specifically questioning the data privacy of IoT devices like smartwatches and fitness trackers.</p> <p>The results of a poll of 4,000 consumers also found that the majority of people think privacy policies have become weaker rather than stronger – 18% predict it will worsen under Theresa May’s government.</p> <p>Apprehension over privacy was found to be higher in older generations, with 73% of people aged over 65 expressing concern.</p> <p><img src="https://assets.econsultancy.com/images/0008/5812/Gigya.JPG" alt="" width="760" height="409"></p> <h3>Nearly half of parents agree that personalised marketing is the future</h3> <p>A survey by Mumsnet has found that 46% of parents expect personalisation to become a big part of advertising in future.</p> <p>However, there is certainly some resistance, with 58% saying that their data is private and only 26% liking the idea of personalised ads.</p> <p>That does not mean that parents don’t see the value. 35% say they’d be open to seeing ads that apply to their lives, while 24% say that personalised ads would make them more likely to buy. The majority surveyed also said that they’d prefer to see tailored ads based on their previous search behaviour rather than online habits.</p> <h3>UK online retail sales grow 13% YoY in March</h3> <p>The <a href="https://www.imrg.org/data-and-reports/imrg-capgemini-sales-indexes/sales-index-april-2017/" target="_blank">latest figures</a> from IMRG Capgemini e-Retail Sales Index show solid growth for UK online sales, driven by a rise in the average spend through mobile devices.</p> <p>Mobile retail was up 18% in March 2016, while overall online sales grew 13% year-on-year. More specifically, the home and garden sector saw a 10% YoY growth, while health and beauty sales increased by 15% YoY – most likely driven by Mother’s Day.</p> <h3>19% of professionals have landed a job through LinkedIn</h3> <p>This week, <a href="https://blog.linkedin.com/2017/april/24/the-power-of-linkedins-500-million-community" target="_blank">LinkedIn announced</a> that it has reached half a billion members worldwide, with 23m of these coming from the UK.</p> <p>As part of the announcement, it also revealed that London is the most connected city in the world, with professionals having an average of 307 connections. </p> <p>It also stated that a casual conversation on LinkedIn has led to a new opportunity for 29% of professionals, while 19% have landed a job through using the platform.</p> <p><img src="https://assets.econsultancy.com/images/0008/5815/LinkedIn.JPG" alt="" width="344" height="469"></p> <h3>UK adspend was 3.6% higher in Q4 2016</h3> <p>According to the Advertising Association/WARC Expenditure Report, adspend was <a href="http://expenditurereport.warc.com/" target="_blank">3.9% higher</a> in the fourth quarter of last year, with digital formats driving growth.</p> <p>Internet spending was up 15.3% during Q4 and 13.4% over the entire year. Meanwhile, mobile took a 37.5% share, hitting £3.9bn for the year and accounting for 99% of the new money spent on internet advertising. </p> <p>Lastly, forecasts for the next two years indicate continued growth, with 2.5% predicted in 2017 and 3.3% in 2018.</p> <h3>64% of marketers do not believe it is their job to analyse data</h3> <p>Research by <a href="https://www.bluevenn.com/resources/ebooks/data-deadlock-report-1" target="_blank">BlueVenn</a> has found that nearly two-thirds of UK and US marketers believe it is their role to collect customer data, but not actually analyse it.</p> <p>However, it appears this is due to sheer volume rather than a lack of aptitude, as 93% of marketers say they are ‘confident’ or ‘very confident’ in their ability to analyse complex customer data.  </p> <p>The findings suggest a general discord amongst marketers, with 51% of UK and US marketers feeling that they spend too much time analysing data in their day-to-day work, with too little time left to spend on more creative aspects of the role.</p> <h3>Eight in ten consumers forget branded content</h3> <p>Upon discovering that eight in 10 consumers forget most of the information in branded content after only three days, while more than half are unable to recall a single detail, a <a href="https://prezi.com/view/RZXW2soO8IFMkzAFoNY7/" target="_blank">new report by Prezi</a> has highlighted the reasons why.</p> <p>Irrelevancy of ads is the biggest reason for a lack of recall, with 55% of consumers citing this reason. 37.7% said a lack of motivation to remember it, while 30% said there is simply too much content to retain.</p> <p>In contrast, content which 'tells the audience something new' was found to be the most memorable, helping 27% of respondents to remember a brand. This was closely followed by content which teaches, inspires, or entertains. </p> <p><img src="https://assets.econsultancy.com/images/0008/5813/Prezi_report.JPG" alt="" width="760" height="436"></p> <h3>Half of retailers unable to predict shopper traffic</h3> <p>New research from <a href="http://d3fi73yr6l0nje.cloudfront.net/Lists/TRS-ResourceAssetsLib/EKN-TYCO_ebook_03-Excellence_Scorecard-20170427.pdf" target="_blank">Tryco</a> has found that retailers are failing to monitor store performance correctly, with 50% unable to predict shopper traffic. Consequently, it is becoming increasingly difficult for retailers to balance operational tasks and customer service. </p> <p>Other findings show 60% of retailers do not consistently manage inventory performance and turnover on a store-by-store basis</p> <p>Lastly, retailers spend 70% of their time on operational tasks as opposed to 30% on customer service, reducing the opportunity to build important relationships with consumers. </p> <h3>eBay sees spike in searches for home and garden sector</h3> <p>eBay has revealed that it saw big spikes in searches within the Home and Garden category around the May bank holidays last year, with online shoppers showing two distinct purchasing mindsets.</p> <p>On one hand, consumers appeared to be looking for quick-fix cosmetic items at the beginning of May, with sales of candles and plant pots leaping by 172% and 214% respectively.</p> <p>On the other, shoppers were planning bigger renovation and DIY projects at the end of the month. This was reflected by sales of saws and lawnmowers rising by more than 1,000%, and sales of sofas jumping by 194%.</p> <p><img src="https://assets.econsultancy.com/images/0008/5816/ebay_search.jpg" alt="" width="700" height="466"></p> <h3>46% of UK consumers open to relevant ads despite surge in ad blocking </h3> <p>Trinity McQueen has revealed that consumers will tolerate relevant online advertising, despite the popularity of ad-blocking.</p> <p>In a study of 1,000 UK adults, it found that 56% of consumers now use ad-blocking software on their laptops and PCs, yet 46% say they don’t mind online advertising as long as it’s relevant to them.</p> <p>The study also highlights the changing ways UK adults consume traditional and digital media. 29% of UK adults would be happy never to watch scheduled TV again, while one third say that scheduled TV does not fit in with their lifestyle.</p> <p>Finally, 41% of UK adults now subscribe to an on-demand service such as Netflix, Amazon Prime or Now TV.</p> tag:www.econsultancy.com,2008:BlogPost/68954 2017-03-31T13:25:00+01:00 2017-03-31T13:25:00+01:00 10 mesmerising digital marketing stats from this week Nikki Gilliland <p>If that’s not enough, head on over to the <a href="https://econsultancy.com/reports/internet-statistics-compendium" target="_blank">Internet Statistics Compendium</a> for more.</p> <h3>Video advertising outperforms desktop display</h3> <p style="font-weight: normal;">A report released by Integral Ad Science has revealed that video advertising outperformed desktop display for the first time. </p> <p style="font-weight: normal;">Compared to the first half of 2016, video viewability showed significant improvement in the second half of the year, increasing from 40% to 58.2%. Meanwhile, the completion rate in view increased from 26.7% to 35.1%.</p> <p style="font-weight: normal;">Video brand risk also improved, decreasing from 11.2% to 8.9%. That being said, with the advent of fake news, brand safety remains a critical issue for advertisers, highlighting the need for a solution to protect brand reputations.</p> <h3>One in nine online visits were made to news and media sites in 2016</h3> <p>Hitwise suggests that there’s been a shift in the British public’s media consumption, predicted to be due to the impact of today’s political landscape. </p> <p>Data shows that, as well as consuming more news across broader sources, people are now beginning to question the validity of news providers and changing their preferences of media titles as a result. One in nine visits online were made to news and media sites in 2016 compared to 1 in 10 visits in 2015.</p> <p>Articles focusing on Trump and Brexit accounted for five out of the top 10 read articles in January and February 2017. Meanwhile, in the month before and after Trump’s inauguration, left-leaning newspapers such as the Guardian and The Independent gained readers from traditional tabloids, such as The Sun, Express and Daily Mail.  </p> <p><img src="https://assets.econsultancy.com/images/0008/5157/Hitwise_1.png" alt="" width="510" height="464"></p> <h3>Consumers increasingly favouring mobile loyalty programs</h3> <p>The 2017 <a href="http://www.vibes.com/resources/2017-uk-mobile-consumer-report/" target="_blank">Mobile Consumer Report</a> from Vibes highlights a link between digital loyalty programs and greater consumer loyalty.</p> <p>Research shows that 70% of consumers would have a more positive opinion of a brand if it allowed them to save a loyalty card in their smartphone. Over one-third of people are said to store information from brands in a mobile wallet such as Apple Wallet and Android Pay.</p> <p>83% of smartphone users also say that receiving surprise rewards, exclusive content and special birthday or anniversary messaging would have a positive impact on their brand loyalty overall.</p> <p><img src="https://assets.econsultancy.com/images/0008/5161/Mobile_Consumer_report.jpg" alt="" width="763" height="756"></p> <h3>Mobile consumers in emerging markets are more intolerant of bad user experiences</h3> <p>A new report by <a href="http://wearefetch.com/cms/content/media/2015/12/Fetch-Global-Mobile-Consumer-Survey.pdf" target="_blank">Fetch</a> suggests that brands should consider shifting their mobile advertising focus to emerging markets, as levels of engagement rapidly increase.</p> <p>According to research, 31% of users in emerging markets define themselves as mobile-first, compared to 15% in Europe and 18% in North America.</p> <p>Similarly, where 66% of European consumers claim to access social media every hour, this rises to 72% amongst emerging markets.</p> <p>Lastly, mobile-first consumers in emerging markets are more intolerant of bad <a href="https://econsultancy.com/reports/user-experience-and-interaction-design-for-mobile-and-web/">mobile web experiences</a>, with 84% saying they would leave a mobile website if it loaded slowly, compared to 69% in Europe and 75% in North America.</p> <p><img src="https://assets.econsultancy.com/images/0008/5160/Fetch_mobile_consumer.jpg" alt="" width="780" height="280"></p> <h3>62% of consumers will stick to premium if prices rise post-Brexit</h3> <p>New findings from Centre for Retail Research and Rakuten Marketing suggest that consumers have differing views of how the referendum result will affect prices in the UK.</p> <p>A survey of 1000 consumers across the UK found that, over the next six months, 37% of people are sure they will be better off, while 40% think they will be worse off.</p> <p>Regardless, the survey also found that shoppers will not stop purchasing premium products if prices have to rise as a result of Brexit. If faced with a price increase of up to 10%, only 6% of Brits claim they would refuse to buy the item, while 62% would buy the premium brand anyway.</p> <p>There does seem to be a tipping point, however, with a 15% price increase expected to make 21% of shoppers switch to a cheaper brand.</p> <h3>UK companies unprepared for business pitching</h3> <p>Research from <a href="http://buffalo7.co.uk/uk-companies-are-not-prepared-for-pitching/" target="_blank">Buffalo7</a> has found that the majority of UK companies are not properly prepared to win new business pitches.</p> <p>From a survey of industry professionals, 61% of respondents said their companies did not employ any staff with slide-deck design expertise. In contrast, 60% wished their companies did have such expertise in-house, with 62% believing it would help their companies to win more pitches. </p> <p>Despite this recognition, a whopping 75% of respondents said that that their companies do not provide any formal training for delivering pitches.</p> <p>Perhaps unsurprisingly, the survey also found that 76% of companies have pitched for business in the last 12 months, but that 54% are losing half or more of the pitches they contest.</p> <p><img src="https://assets.econsultancy.com/images/0008/5159/Buffalo7.jpg" alt="" width="721" height="458"></p> <h3>YouTube is number one for consumer positivity</h3> <p>According to a new study from Trinity McQueen, YouTube tops the list of media brands that people feel the most positively about.</p> <p>In a survey of ‘unbound consumers’ - people who reject scheduled media for on-demand services -  21% cited that they feel positively about YouTube, followed by 20% feeling positive towards the BBC and 16% about Netflix. </p> <p>New content appears to be a key factor in a media brand’s popularity, with 46% of unbound audiences most likely to believe YouTube always has new content, while 35% saying the same about the BBC.</p> <p>Lastly, 41% of unbound audiences feel that Facebook offers the most personalised experience, while 41% thinks YouTube offers the best overall online experience.</p> <h3>Car brands see Instagram follower growth of 20% in two months</h3> <p>A new study by <a href="https://www.quintly.com/blog/2017/03/the-10-most-liked-uk-brands-on-instagram/" target="_blank">Quintly</a> has revealed that five out of the top ten most-liked UK brands on Instagram are car manufacturers. </p> <p>What’s more, they all had a follower growth of at least 20% in the period of October to December 2016.</p> <p>Other analysis shows that Jaguar had the most successful post in terms of the number of likes, with a post showing the model F-Type garnering over 110,000 likes. </p> <p>This is just one example of the popularity of luxury brands on Instagram, which is also reflected by the success of other big brands like Burberry and Rolls Royce.</p> <p><img src="https://assets.econsultancy.com/images/0008/5154/Jaguar.JPG" alt="" width="760" height="489"></p> <h3>Mobile accounts for more than 60% of digital minutes in global markets</h3> <p>According comScore’s <a href="http://www.comscore.com/Insights/Presentations-and-Whitepapers/2017/Mobiles-Hierarchy-of-Needs?cs_edgescape_cc=GB" target="_blank">Mobile Hierarchy of Needs</a> report, mobile devices now account for a majority of consumers' digital minutes, with most of that time spent in apps.</p> <p>The growing share of consumer time claimed by mobile devices accounted for more than 60% of all digital minutes in nine major markets, rising to 91% in the case of Indonesia.</p> <p>Apps represented more than 80% of mobile minutes in all markets studied, rising to 99% in the case of China.</p> <p>The top apps are no surprise, with WhatsApp, Facebook Messenger, <a href="https://econsultancy.com/blog/67490-10-things-you-didn-t-know-about-wechat/">WeChat</a>, QQ Instant Messenger and Line showing the popularity of messaging apps</p> <h3>63% of consumers believe the media needs more regulation</h3> <p>A new report by Network Research shows that public trust in the reliability of media information has declined significantly in the last 12 months, with 63% of people now believing that media outlets need more regulation.</p> <p>In a survey of 1,000 UK adults, the study also found that 39.5% of people feel the government has significant influence on the media agenda, while 32% feel that businesses do.</p> <p>Almost half of the public are suspicious they may have seen or read fake news recently, with 75% subsequently trusting publications to a lesser extent. 83% of people also believe there should be greater penalties for reporting fabricated news.</p> tag:www.econsultancy.com,2008:BlogPost/68888 2017-03-14T10:08:00+00:00 2017-03-14T10:08:00+00:00 Six examples of Mother’s Day marketing from online retailers Nikki Gilliland <p>Here are a few Mother’s Day campaigns that have caught my eye, including activity online, via email and social.</p> <h3>The Body Shop</h3> <p>With L’Oréal reportedly planning to sell it on, the future of the Body Shop hangs in the balance. Meanwhile, the brand has been attempting to counteract negativity with a strong multichannel campaign for Mother’s Day.</p> <p>Built around the #GotItFromHer hashtag, it encourages users to share photos of the women that have passed on quirky and empowering traits. The email creative is also one of the strongest to land in my inbox, making a refreshing change from the standard images of product-heavy gift guides.</p> <p><img src="https://assets.econsultancy.com/images/0008/4576/Mothers_Day.JPG" alt="" width="500" height="666"></p> <h3>Interflora</h3> <p>Mother’s Day is unsurprisingly a busy time for flower retailers, with brands typically ramping up marketing activity in the run up. This year is no exception, with Interflora releasing video content as long as a month ago.</p> <p>Created as part of its #ChallengeTheFlorist series, the video sees an Interflora-employed florist creating a spring bouquet by special request. While it’s certainly not the most impressive or slick style of video content, its behind-the-scenes element – showcasing the expertise of its employees – is used to effectively instil confidence in the quality of the product.</p> <p><iframe src="https://www.youtube.com/embed/fpHlMqul--M?wmode=transparent" width="854" height="480"></iframe></p> <h3>Marks &amp; Spencer</h3> <p><a href="https://econsultancy.com/blog/67883-marks-spencer-what-does-putting-the-customer-at-the-heart-of-everything-mean/" target="_blank">Marks &amp; Spencer</a> has been using extra incentives to drive flower sales, with free chocolates worth £5 for early bird flower orders.</p> <p>While this is sure to pique the interest of consumers searching for deals, M&amp;S’s online gift guide is also one of the best examples of its kind.</p> <p>Nicely showcasing its product range, the guide draws attention to under-the-radar categories like cards and sweet treats – not something online shoppers might even realise they could order online. By including them here, M&amp;S is likely to increase add ons or <a href="https://econsultancy.com/blog/68877-how-retailers-are-capturing-the-loyalty-of-impulse-shoppers/" target="_blank">impulse purchases</a>. </p> <p><img src="https://assets.econsultancy.com/images/0008/4578/M_S.JPG" alt="" width="680" height="548"></p> <h3>Paperchase</h3> <p>You might pop into Paperchase for a Mother’s Day card, but you probably wouldn’t turn to the brand for an actual gift. This is the idea behind Paperchase’s main Mother’s Day marketing push, which cleverly encourages users to get crafty in celebration of their mum. </p> <p>Created by expert crafter Emily Dawes, its blog on ‘quilling’ tells users how to create their very own paper creation in the form of a heart. </p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr">We've teamed up with the lovely Emily Dawe to show you how to make a Mother's Day gift with heart. Give it a twirl: <a href="https://t.co/S8kV8npluy">https://t.co/S8kV8npluy</a> <a href="https://t.co/Tuekoa2dx0">pic.twitter.com/Tuekoa2dx0</a></p> — Paperchase (@FromPaperchase) <a href="https://twitter.com/FromPaperchase/status/839484730538082305">March 8, 2017</a> </blockquote> <p>As well as being a nice example of online content, it also prompts users to think differently about the brand, effectively pushing them towards its Art and Craft category.</p> <p><img src="https://assets.econsultancy.com/images/0008/4581/Paperchase_Journal.JPG" alt="" width="680" height="504"></p> <h3>Pandora</h3> <p>Pandora is another brand using Mother’s Day to ramp up engagement on social media. This year, it has created the ‘Pandora Mum Awards’, asking users to upload an image to Twitter or Instagram with the hashtag #DOTreatMum. </p> <p>Using the incentive of a Virgin Experience Days package for two and £50 gift card, it’s a clever (if slightly predictable) way of capturing consumer data during a key time period.</p> <blockquote class="twitter-tweet"> <p lang="en" dir="ltr"><a href="https://twitter.com/PANDORA_UK">@PANDORA_UK</a> <a href="https://twitter.com/VirginExp">@VirginExp</a> <a href="https://twitter.com/hashtag/DOTreatMum?src=hash">#DOTreatMum</a> she's been making me laugh 'til I pee my pants for 40 years! I love all her jokes, good and bad! <a href="https://t.co/5KkPF7UU3p">pic.twitter.com/5KkPF7UU3p</a></p> — Olivia Kirby (@sayhelloflo) <a href="https://twitter.com/sayhelloflo/status/839894453548642307">March 9, 2017</a> </blockquote> <h3>Etsy</h3> <p>Lastly, Etsy deserves a mention for its comprehensive gift guide, which I particularly like for its inclusive nature.</p> <p><img src="https://assets.econsultancy.com/images/0008/4604/Etsy.JPG" alt="" width="760" height="710"></p> <p>While most brands tend to go down the traditional route, Etsy recognises that mother figures of all kinds should be celebrated, highlighting gifts for mothers-in-law, step mums and even new mums.</p> <p>This is effective for showcasing the varied array of products on offer, as well as encouraging all consumers to buy.</p> <p><img src="https://assets.econsultancy.com/images/0008/4603/Etsy_2.JPG" alt="" width="760" height="575"></p> tag:www.econsultancy.com,2008:BlogPost/68886 2017-03-10T14:45:00+00:00 2017-03-10T14:45:00+00:00 10 mega digital marketing stats from this week Nikki Gilliland <h3>Correlation between spam rates and subscriber engagement</h3> <p>The latest report from Return Path highlights how industries that outperform the average on key email marketing metrics (like read rate, reply rate etc.) also see less email delivered to spam folders.</p> <p>While the <a href="https://returnpath.com/downloads/hidden-metrics-email-deliverability/?sfdc=70137000000MhwH" target="_blank">Hidden Metrics of Email Deliverability</a> shows that overall spam placement has increased slightly year on year  - from 13% in 2016 vs 12% in 2015 - levels of positive engagement have significantly improved.</p> <p>In terms of industries, the banking and finance and distribution and manufacturing categories saw just 6% of email delivered to spam folders, while this figure rose to 28% in the automotive category. </p> <p><em>Chart shows percentage of email delivered to spam folders</em></p> <p><img src="https://assets.econsultancy.com/images/0008/4558/Spam_rate.JPG" alt="" width="780" height="353"></p> <h3>Generation X perform four in 10 family travel searches</h3> <p>New research from Bing Ads has revealed how families are searching for holiday inspiration and services online.</p> <p>The <a href="https://advertise.bingads.microsoft.com/en-us/insights/set-sail-for-family-travel-searches-and-clicks" target="_blank">report</a> shows that 59% of searches for family holidays are undertaken by women compared to 41% by men. Similarly, Generation X (those aged 35 to 59) perform four of every 10 searches.</p> <p>Other highlights from the report include how consumers are more likely to use mobile devices to search for inspiration and PCs or tablet devices to make a final reservation. Meanwhile, it appears consumers dream of visiting the beach all year long, meaning companies need to invest in year-round campaigns to capture this evergreen interest.</p> <p><img src="https://assets.econsultancy.com/images/0008/4559/Bing_Ads.JPG" alt="" width="780" height="221"></p> <h3>Nine in 10 consumers concerned about how companies use personal data</h3> <p><a href="http://www.businesswire.com/news/home/20170307005123/en/Global-Study-Ten-Consumers-Concerned-Data-Security" target="_blank">New research</a> from Verint has found that while more consumers crave highly personalised customer service, they are also increasingly sceptical about how businesses collect and store personal data. </p> <p>From a study of more than 24,000 consumers, 80% said they like service that is personalised to their needs (which in turn relies on the use of customer data to deliver). </p> <p>However, 89% of consumers also want to know how companies keep their personal information secure, and 86% insist that they should know when their data is passed on to third parties.</p> <h3>Kinetic emails increase unique click rates by 18%</h3> <p>Experian’s Q4 2016 <a href="http://www.experian.com/marketing-services/email-benchmark-q4-2015.html" target="_blank">Email Benchmark Report</a> has revealed that kinetic emails – i.e. those that include interactive content like carousel navigation - see greater levels of engagement than any other kind.</p> <p>From analysis of seven brands in 2016, kinetic emails were found to increase unique click rates by as much as 18.3% and click-to-open rates by more than 10% compared to standard emails.</p> <p>The report also highlights that email volume increased 17.4% year-over-year, while metrics like click and transaction rates, revenue per email and average order volumes all remained relatively stable during the same period.</p> <p><img src="https://assets.econsultancy.com/images/0008/4557/Kinetic_emails.JPG" alt="" width="609" height="446"></p> <h3>British SMEs grow online exports by more than a third</h3> <p>New data from <a href="https://www.paypal.com/stories/uk/open-for-business-paypal-reveals-online-exports-boom" target="_blank">PayPal</a> has revealed how small and medium-sized businesses benefitted from the record lows of the pound last year. </p> <p>SMEs in the UK saw their rate of growth treble to 34% year-on-year from July to December 2016. Similarly, while there was an uplift in PayPal sales for British businesses overall, the biggest impact was seen on small and medium-sized organisations, with the amount international shoppers spent with UK SMEs rising 13% per transaction in the last six months of 2016. </p> <p>Fashion and sports experienced the highest growth, with a 49% year-on-year increase in goods from these categories sold to international shoppers.</p> <h3>Native video ads boost ROI</h3> <p>Yahoo’s <a href="http://b2bmarketing.yahoo.net/yfp-state-of-native/infographic?utm_source=AYC&amp;utm_campaign=Q12017YFPStateofNative&amp;utm_medium=organic" target="_blank">State of Native</a> report suggests that native advertising continues to reign supreme, with the brand seeing exponential growth of native ad consumption in all regions and across all devices.</p> <p>Data from more than 74.5bn native ad impressions show that publishers have seen a 446.7% lift in eCPMs (effective cost per thousand ad impressions) on native video ad placements compared to display.</p> <p>The report also highlights how consumer engagement for specific apps and devices vary by time of day and location. For example, in the US, users spend the late afternoons and evenings on their smartphones, while their nights are spent on desktop. This is compared to other parts of the world, where nights are typically spent on smartphones. </p> <p><img src="https://assets.econsultancy.com/images/0008/4561/Yahoo.JPG" alt="" width="780" height="286"></p> <h3>Household gifts drive the biggest basket value for Mother’s Day</h3> <p>According to Criteo, Brits are still lacking in imagination when it comes to buying Mother’s Day gifts online.</p> <p>Data reveals that household gifts such as kitchen, laundry appliances and vacuums drive the biggest basket value for online sales. Similarly, gardening tools typically see a boost in sales with spring just around the corner. Last year, there was a 193% increase in units sold in the two week’s leading up to Mother’s Day.</p> <p>In 2016, it was suggested that we spent a total of <a href="http://www.cityam.com/235965/mothers-day-2016-brits-will-spend-928m-this-year-on-mothers-day-gifts" target="_blank">£928m on the day</a>, with this figure expected to rise even higher this year.</p> <h3>TV accounts for 94% of viewed video ads in the UK</h3> <p>New data from <a href="https://www.thinkbox.tv/News-and-opinion/Newsroom/TV-accounts-for-94-percent-of-video-advertising" target="_blank">Thinkbox</a> has revealed that TV accounted for 93.8% of video ads viewed in the UK in 2016. This is the equivalent of 18 minutes and 53 seconds a day.</p> <p>These figures are slightly down on 2015, when TV saw a share of 94.4%. However, other forms of video advertising saw far less engagement, with YouTube accounting for 0.7% of viewed video ads in 2016, while other online video (including Facebook) collectively accounted for 5.2%.</p> <p>The average person is said to have watched 20 minutes of video ads a day in 2016, while total daily video consumption increased to 4 hours, 37 minutes in 2016.</p> <p><img src="https://assets.econsultancy.com/images/0008/4562/Thinkbox.JPG" alt="" width="780" height="435"></p> <h3>Wearables now at an all-time high</h3> <p>The International Data Corporation has revealed that the global wearables market reached a new <a href="http://www.idc.com/getdoc.jsp?containerId=prUS42342317" target="_blank">all-time high</a> in the fourth quarter of 2016. In this period, 33.9m units were shipped, representing a year-on-year growth of 16.9%.</p> <p>A total of 102.4m wearable devices were shipped in 2016 – a figure up 25% year-on-year. Insight suggests this could be due to single purpose devices evolving into hybrid ones, fusing together multiple health and fitness capabilities with smartphone technology.</p> <p>In terms of brand dominance, Fitbit continued to reign supreme, with 22.5m shipments being made over the course of the whole year.</p> <p><img src="https://assets.econsultancy.com/images/0008/4560/IDC_wearables.JPG" alt="" width="457" height="396"></p> <h3>64% of decision-makers say sales and marketing teams could be more aligned</h3> <p>According to a YouGov survey of 725 business leaders, commissioned by Huthwaite International, 92% of respondents believe sales and marketing teams should work closely together.</p> <p>Despite this fact, 64% also say that sales and marketing teams need to do more to facilitate this alignment. </p> <p>When it comes to the benefits of working more closely, 52% cited a consistent message delivered to clients and prospects, while 50% said the opportunity to gain new customers. Just 8% of respondents said they didn’t believe there was any benefit.</p>