NEW YORK, Feb. 1 /PRNewswire/ -- With US online retail sales for 2007 totalling $128 billion(1), an independent study has revealed that US online retailers are better positioned to compete when they view the online world not as separate channels, but as an ecosystem that requires a diversity of marketing approaches and an embrace of new and ever-changing methods to engage increasingly sophisticated online shoppers.
Outlined in a custom research survey of 1,044 Internet users conducted by JupiterResearch in December 2007 and sponsored by LinkShare Corporation, the companies that are positioned for success in online retail are those that leverage the most effective platforms and channels on the Web, including affiliate networks, search engine marketing, lead generation and ad networks.
"As the online market matures, organic growth from new customers coming online will slow. Ecommerce marketers need to understand the implications," said Steve Denton, president of LinkShare. "Today's consumers have become increasingly savvy in their approach to online shopping, discovering new sources of product, pricing and information. Marketers must respond to this new world by deepening their customer engagements, broadening their online marketing portfolio, and creating a richer shopping experience."
The survey results reaffirmed some observations, but offered some surprises as well. It showed the impact of social networking websites among younger online shoppers, and the continuing interplay between online research and offline purchases. It underscored the importance of coupon and loyalty websites for some shoppers, but it also reinforced the staying influence of store websites and search engines.
David Schatsky, president of Jupiter Research, unveiled the survey results to over 400 ecommerce leaders assembled at the LinkShare Summit in San Francisco on January 31.
Overall, the LinkShare survey conducted by JupiterResearch revealed the following about online shoppers in the US:
-- 95% of higher spenders -- those spending an average of $2,203 online in
the last 12 months -- look to multiple sites when researching a product
purchase; 20% don't trust just a single site.
-- 87% of all online buyers in the US visited multiple websites before
making their most recent purchase online.
-- Social and community sites impact the purchase decisions of 51% of
online shoppers aged 18-24. This is far beyond any other age group,
which averaged less than 26%.
-- More than a third (36%) of online shoppers affected by social/community
sites said they buy offline even though they use online
social/community sites to make their decisions.
-- 42% of online shoppers said consumer product reviews would make
social/community sites more useful when researching and buying online;
24% of online shoppers said top 10 product lists would make
social/community sites more useful when researching and buying online.
-- 77% of online buyers who used store websites when researching their
most recent online purchase found them useful. 75% of online buyers
who used search engines when researching their most recent online
purchase found them useful. Yet online shoppers continue to seek out
additional product insight, commentary, and promotions elsewhere.
References
1. JupiterResearch's Internet Shopping Model (dated December 2007)
About JupiterResearch
JupiterResearch provides unbiased research, analysis and advice, backed by proprietary data, to help companies profit from the impact of the Internet and emerging consumer technologies on their business. The company helps online businesses make critical decisions about technology selection, spending, staffing, and Web site effectiveness; advises consumer-facing companies with online advertising, marketing, and customer service strategies to understand, attract, convert and retain customers; and guides technology vendors and service providers on market opportunity, positioning, product definition, and pricing. JupiterResearch is headquartered in New York City and has offices throughout the US and Europe. For more information, visit http://www.jupiterresearch.com.
About LinkShare Corporation
LinkShare Corporation provides ecommerce businesses with a vast, high quality pay per action marketing network, along with expert consultative services and patented technology. LinkShare's cost-efficient pay per action (PPA) affiliate, search and lead generation campaigns acquire new customers, increase revenue and drive results. LinkShare clients are Fortune 500 and prominent companies doing business online, including J.C. Penney, 1-800-Flowers.com, American Express and Avon Products. LinkShare was founded in 1996 and is headquartered in New York City, with offices in San Francisco, Chicago, London and Tokyo.
About Rakuten
Headquartered in Tokyo, Rakuten is one of the world's largest and most comprehensive Internet service companies, providing leading services in e-commerce, portal & media, travel, financial services, and professional sports. Rakuten focuses on new business development and increasing its scope in order to improve and diversify service offerings. Rakuten is a publicly traded company in Japan (JASDAQ: 4755).
Website: http://www.linkshare.com/
Website: http://www.jupiterresearch.com/