With ecomm set to soar, merchants need social, optimization
A new forecast from Forrester Research predicts that ecommerce spending in the US will surpass $278 billion by 2015, thanks in part to more options in the online shopping world. In addition to site optimization, researchers believe social shopping, flash sales and daily deals - in which certain opt-in consumers are notified of special savings - will keep interest and participation in online shopping high.
"Competition is fierce, and retailers must have a clear understanding of their customers' behavior in order to make the tough choices to optimize site experiences that drive profitability," said Lauren Freedman, President of the e-tailing group. "Getting it right is imperative, and if [brands] aren't testing, they're guessing. Guesswork does not guarantee sales."
Among the interesting findings:
• 71% of etailers are testing for optimization; of those who have tested once, none have abandoned website testing
• 61% are testing to improve user experience
• 57% are testing to improve conversions
A full copy of The Merchant's Cheat Sheet for Testing and Targeting may be downloaded here.
Now for the social aspect, SortPrice has released their 2010 numbers, which show $3.8 billion in merchandise and more than 7.5 million products sold through their storefronts - and their Store Application for Facebook.
"Last year, retailers across the board began to realize the importance of hopping on the social shopping bandwagon," said Asaf Klibansky, Co-founder and CTO with SortPrice.
The growth rate from the Forrester Research report is 10% Compound Annual Growth (CAGR), and points to user experience as another leading factor in the ecommerce increase. In 2010, ecommerce reached $176.2 billion, with more than $32 billion spent online during the holiday season.
