The Apparel Purchasing Process in the UK Online Retail ... · The Apparel Purchasing Process in the...

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The Apparel Purchasing Process in the UK Online Retail Market A Clickstream Analysis of Online Purchases in the UK Retail Market Google/Nielsen UK, January 2010

Transcript of The Apparel Purchasing Process in the UK Online Retail ... · The Apparel Purchasing Process in the...

Page 1: The Apparel Purchasing Process in the UK Online Retail ... · The Apparel Purchasing Process in the UK Online Retail Market A Clickstream Analysis of Online Purchases in the UK Retail

The Apparel Purchasing Process in the UK Online Retail Market A Clickstream Analysis of Online Purchases in the UK Retail Market Google/Nielsen UK, January 2010

Page 2: The Apparel Purchasing Process in the UK Online Retail ... · The Apparel Purchasing Process in the UK Online Retail Market A Clickstream Analysis of Online Purchases in the UK Retail

Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Agenda

1 Methodology

2 Analysis for Apparel

3 Summary

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Retail: Methodology

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Methodology •  Custom analysis of Nielsen's NetView metered panel •  Period of analysis: 16th October – 15th January 2010 •  Analysis based on:

–  The pre-defined NetView Category: Retail (Apparel & Televisions) –  Recoded to Google classification criteria –  Approx 28 sites for Apparel and approx 43 sites for Televisions included –  A start event is determined as the first apparel or television related activity in the period

of analysis –  Data checked for outliers and for Apparel, the data that was extraordinary has been

removed –  Analysis restricted to Adults 16+ –  13,750 unique search terms categorised according to Google’s classification structures

(Brand Term Only, Brand with Other, Generic) –  Referrals to data set are also included to identify non-search clickthroughs

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Methodology: Key

Group Designations Usage of each type of website user

UK Retail Period: Mid October – Mid January 2010

Purchase Those that make a purchase

Quotation

Sample Size: 2,779

Research

Sample Size: 1,976

Sample Size: 8,076

Mut

ually

exc

lusi

ve &

E

xhau

stiv

e

Viewed items in basket

Those that visit sites for research

Note: The Quote or Purchase has to occur within 15 minutes of researching the item in question. Also, within that 15 minutes, that particular item has to be the most researched item based on page duration

Retail Sample Size: 12,831

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Methodology: Key

Category: Site Designations

Price Comparison Retailer

Reviews Manufacturer

UK Retail Period: Mid October – Mid January 2010

Retail

Televisions

Price Comparison Retailer

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Retail: Apparel

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

22.7m Visited the category

37 days Average length of time

3.9 Number of sites visited per person

10.8 Number of times sites visited

2hr 41 mins Average time spent on sites

8.9 Web sessions per person

Journeys contained an average of 4 sites, visited 9 times, over 9 web sessions

Apparel: Overview

Base: All in the ‘Apparel’ market Note: Activity of audience in the ‘Apparel’ market

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Audience

Apparel: 22,693,655

Base: All in the ‘Apparel’ market Note: Type of activity of audience in the ‘Apparel’ market

18% made a purchase and 14% got a quote, i.e., viewed the contents of their basket

Purchase 18%

Quotation 14%

Research 68%

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Base: Purchasers in the ‘Apparel’ market Note: Activity of those in the ‘Apparel’ market Index versus All ‘Apparel’ Category Users in the analysis Period

Apparel: Activity of Purchasers

Those that made a purchase visited more sites, more times, over more sessions and spent more time within the category

61 active days in the category on average (index: 166), containing:

•  an average of 6.5 sites (index: 167)

•  visited 25.5 times (index: 236)

•  over 19.9 sessions (index: 224)

•  spending 7hrs 21mins (index: 274)

4.0m made a purchase

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Profile of Purchasers

71

151 151

10287

65

16 - 24 25 - 34 35 - 44 45 - 54 55 - 64 65+

Gender Age

Those that made a purchase are more likely to be women and aged 25-44

Purchasers

139 62

Base: Purchasers in the ‘Apparel’ market Note: Profile of Purchasers in the ‘Apparel’ market; All figures are Based on Index v Active Internet Population

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

1,058,135

709,799

570,280

422,676 397,089350,512 306,359 269,737 224,677

161,232

eBay Next Marks &Spencer

MandMDirect

Very Littlewoods ASOS.com Amazon Debenhams ASDA

Base: Purchasers in the ‘Apparel’ market Note: Website usage by category.

Apparel: Sites Visited

Retailers: Top 10 Sites

1.1m of those that made a purchase visited eBay. Next is the most visited high street ‘online’ store.

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Base: Purchasers in the ‘Apparel’ Market Note: Distribution of purchase events. Only one event can be performed on a particular site within each web session

Apparel: Number of Purchases

1 purchase 65%

2 purchases19%

4 purchases4%

3 purchases8%

5+ purchases4%

Audience (%) 35% of purchasers made two or more apparel related purchases

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Look or Quote > Purchase

Base: All in the ‘Apparel’ market Note: The % of People who look for a product on a site who go on to purchase on the site

Retailers

Look Purchase

17.6% Quote Purchase

55.5%

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Activity Up To and After Purchase

Base: Purchasers in the ‘Apparel’ market Note: Length of journey and visits UP TO and AFTER the first purchase event

25 days

Before After

61 days First Purchase

in the apparel market before making the first purchase

10 visits to apparel sites

before making the first purchase

2.5 visits via search engines

before making the first purchase

36 days in the apparel market

after making the first purchase

15 visits to apparel sites

after making the first purchase

3.7 visits via search engines

after making the first purchase

35% made an additional purchase

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

less

than

24

hour

s

1 - 5

day

s

6 - 9

day

s

10 -

14 d

ays

15 -

19 d

ays

20 -

24 d

ays

25 -

29 d

ays

30 -

39 d

ays

40 -

49 d

ays

50 -

59 d

ays

60 -

69 d

ays

70 -

79 d

ays

80 -

89 d

ays

Apparel: Time Taken to Make the First Purchase

23% purchase within 24 hours

Base: Purchasers in the ‘Apparel’ market Note: % of those that get a Purchase and the length of time UP TO the point of the event occurring. Based on first event in the category.

Purchasers

48% purchase within 19 days

71% purchase within 39 days

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Search

Base: Purchasers in the ‘Apparel’ market Note: Activity of Audience in the ‘Apparel’ Market. Searches are defined as only those that lead to a Retail content site.

76% Use search at any point in the journey

Start their journey with search

Of searchers who use sponsored searches

26%

61%

Those that purchase are more likely to use search and sponsored searches

Purchasers

Average number of searches 12.6

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Brand v Generic Searches Purchasers

Brand Only Terms60%

Brand with Other14%

Generic 26%

% of Searches 26% of searches conducted by purchasers used Generic terms

Base: Purchasers in the ‘Apparel’ market Note: % of searches that were Generic, Brand Only Terms & Brand with Other; Searches are defined as only those that lead to a Retail content site

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

% of Audience

78%

47%

62%

Brand Only Terms Brand with Other Generic

62% of searchers that purchased used Generic terms

Apparel: Brand v Generic Searchers Purchasers

Base: Purchasers in the ‘Apparel’ market Note: % of searchers that were Generic, Brand Only Terms & Brand with Other; Searches are defined as only those that lead to a Retail content site

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Brand v Generic Overlap Purchasers

50% of searchers used both brand and generic terms

Generic Search Only

Base: Purchasers in the ‘Apparel’ market Note: The figures shown are the number of people who have made both or only one type of search which lead to a Retail site; Searches are defined as only those that lead to a ‘Retail’ content site

Both 50.4%

Brand Search Only

38.2% 11.4%

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

94

41

2 1 0.4

Manufacturer/Designer

Affiliate/Redirects

Product Non-Retail Discount/Coupon

Base: Purchasers in the ‘Apparel’ Market Note: Brand Only Terms searches by sub group; A search is defined as one that results in a clickthrough to a Retail content website. The Search Term subcategories are entirely overlapping and will not add up to the Total. Affiliate/Redirects are e.g. price comparison and review websites

Apparel: Brand Only Terms Purchasers Brand Only Terms: 60% of searches

22,648

Retailer

Number of searches (000s)

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

ww

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Generic Terms

Base: Purchasers in the ‘Apparel’ Market Note: Generic searches by sub group; A search is defined as one that results in a clickthrough to a Retail content website. The Search Term subcategories are entirely overlapping and will not add up to the Total. Affiliate/Redirects are e.g. price comparison and review websites

9,249

809 42 30 5 0.7

Product Non-Retail Discount/ Coupon

Manufacturer/ Designer

Affiliate/ Redirects

Retailer

Number of searches (000s)

Purchasers Generic: 26% of searches

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Purchasers Brand With Other: 14% of searches

Apparel: Brand With Other Terms

Number of searches (000s)

4,670

2,378

713

37 0.3

Retailer Product Manufacturer/ Designer

Discount/ Coupon

Affiliate/ Redirects

Base: Purchasers in the ‘Apparel’ Market Note: Brand with Other searches by sub group; A search is defined as one that results in a clickthrough to a Retail content website. The Search Term subcategories are entirely overlapping and will not add up to the Total. Affiliate/Redirects are e.g. price comparison and review websites

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Search Paths

B = Brand, G= Generic, N = No further searches

Search

Generic Brand 71% 29%

B 69%

G 14%

N 17%

B 27%

G 53%

N 20%

B 73%

G 11%

N 16%

B 37%

G 56%

N 8%

B 69%

G 19%

N B 21%

G 60%

N 19%

3rd Search

3.0m

2.5m

2.1m

Audience

Purchasers

Base: Purchasers in the ‘Apparel’ Market Note: Each of the first three Apparel searches performed by the audience. Figures Tree: % of Audience, Funnel: Actual Audience; A search is defined as one that results in a clickthrough to a Retail content website.

N 11%

1st Search

2nd Search

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Conversion Rates

13%

20%

35%

47%

1 search 2-5 searches 6 - 9 searches 10+ searches

% of Purchase based on the number of searches a user does

Purchasers

Base: Purchasers in the ‘Apparel’ market Note: Conversion Rates. Searches are defined as only those that lead to a Retail content site. Correlation not cause.

All Searches

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Value of Sponsored Links

18%

29%

25%

Total Clicked on Sponsored Links

Clicked on Natual Search

1.7 times more likely to purchase apparel

Purchasers

Base: Purchasers in the ‘Apparel’ Market Note: % of those who clicked on the type of search and purchased; Searches are defined as only those that lead to a Retail content site; A sponsored search/Link is one that requires a Search Engine redirect to point it to the website.

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Conversion Rates

% of Purchase based on the number of sponsored searches a user does

Purchasers

Base: Purchasers in the ‘Apparel’ market Note: Conversion Rates. A sponsored search/Link is one that requires a Search Engine redirect to point it to the website. Correlation not cause.

13%

32%

55%

66%

1 sponsored links 2-5 sponsored links 6 - 9 sponsored links 10+ sponsored links

Sponsored Searches

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: First Entry Point Top 10

Base: Purchasers in the ‘Apparel’ market Note: The first Entry Point of purchasers; An Entry Point is defined as the first Retail content page visited, however if this is referred from another web page the referring page is used. The most likely Entry Retail Category is shown for both the very first Retail content page and for the web session when the Group event occurs..

47%

24%

3% 3% 3% 2% 1% 1% 1% 1%

Ret

aile

r

Goo

gle

Sea

rch

Non

-Ret

ail:

Cla

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Auc

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Non

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ail:

E-

mai

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Oth

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earc

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Ret

ail:

Oth

er

Non

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ail:

Sea

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Non

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ail:

App

arel

/ Bea

uty

Non

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ail:

Gen

eral

Inte

rest

Por

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& C

omm

uniti

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Non

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Cou

pons

/R

ewar

ds

Purchasers

For 24% of purchasers, the first entry point into the apparel Market is via Google Search

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

53%

21%

4% 3% 3% 3% 2% 2% 2% 2%

Ret

aile

r

Goo

gle

Sea

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Non

-Ret

ail:

Oth

er

Ret

ail:

Oth

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Oth

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earc

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Non

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ail:

Mul

ti-ca

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ryH

ome

&Fa

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n

Non

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Cla

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Non

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E-

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Non

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App

arel

/ Bea

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Non

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Cou

pons

/R

ewar

ds

Purchasers

Base: Purchasers in the ‘Apparel’ market Note: The Event session of purchasers; An Entry Point is defined as the first Retail content page visited, however if this is referred from another web page the referring page is used. Based on the session where the purchase was made

Apparel: Event Session Top 10

For 21% of purchasers, the first page visited in their purchase session is Google Search

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Route to Making a Purchase

Direct = 59% 1,370,062

Referral = 19% 436,703

Natural Search = 18% 411,400

1st route to site

Sponsored Search = 5% 115,653

Total = 100% 2,333,817

Direct = 58%

Referral = 21%

Natural Search = 17%

Sponsored Search = 4%

Purchase route to site

*Accounts for 58% of purchases

Base: Purchasers in the ‘Apparel’ market Note: Routes taken to reach a website when making a purchase plus the route taken the first time the website was visited. This analysis only includes routes where the website was visited at least one other time before the event took place.

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Apparel: Final Arrival Route

Direct = 52% 2,081,682

Retail Referral = 9% 377,070

Natural Search = 19% 778,092

Route to site

Sponsored Search = 6% 242,432

Non Retail Referral = 13% 514,393

Purchase 3,993,670

Base: Purchasers in the ‘Apparel’ market Note: All the routes taken to reach a website when making a purchase.

Purchasers

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Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Retail: Summary

Page 33: The Apparel Purchasing Process in the UK Online Retail ... · The Apparel Purchasing Process in the UK Online Retail Market A Clickstream Analysis of Online Purchases in the UK Retail

Source: Google/Nielsen, Purchasing Process in the UK Online Retail Market, UK, January 2010

Summary

12.9m

GENERIC

1.7

Search is an important part of the customer journey. 12.9m or 57% use search at anytime throughout their journey, increasing to 76% of those that purchase

People who click on sponsored links are 1.7 times more likely to make a purchase

There are over 22.7m people in the ‘Apparel’ Market

Based on those that search, those that purchased searched an average of 12.6 times. 6.6 searches per person up to the first purchase event

N

62% of searchers that purchased used Generic terms

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