The e-commerce giant has the data that all advertisers want -- what millions of people are shopping for -- and now it plans to use it.
Natalie Stewart's insight:
Since last year, the world's largest online retailer has been packaging information on what it knows about consumers so that some marketers can use it to make split-second decisions about where to buy ads online and how much to pay for them. This automated process occurs on real-time ad exchanges that sell ad impressions as a person loads a web page.
Ecommerce businesses should concentrate more of their efforts on traditional online marketing tactics like search and e-mail than social media.
Ecommerce businesses should concentrate more of their efforts on traditional online marketing That’s the conclusion of a Forrester study released Tuesday, which examined 77,000 online transactions made between April 1 and April 14. The study found that less than 1% of them could be traced back to social networks like Facebook or Pinterest.
Determining how web activity influences purchases is tricky; although many often credit the last touchpoint for a sale, Forrester found that half of repeat customers and a third of new customers touch multiple touchpoints prior to a purchase. As such, certain funnels, like display advertising and e-mail, may be undervalued.
Nevertheless, ecommerce websites still convert more highly than any other channel, accounting for 30% of transactions. Thus it’s smart for retailers to promote their domain names as much as possible.
E-commerce in Australia is a complex, fragmented landscape and one that’s a hot topic in the marketplace - constantly being at the forefront of discussions within the digital industry and wider public sphere.
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