Social Commerce: How and why its a big deal!

groupon2 Driving traffic to a site is much easier than converting that traffic into sales.  Average e-commerce conversion rates are pitifully low, ranging from 2-4%.  For an etailer who purchases media (e.g., keywords for paid search, banners on other sites),  96%-98% of their budget is wasted by driving traffic to their site without making a sale, resulting in horrifically negative ROIs (aka, spending much more than you make!).  We have already discussed the importance of multivariate testing of landing pages and better online merchandising to improving e-commerce conversion rates.  Two trends have emerged that are dramatically improving conversion rates: Social Commerce and Mobile Commerce.  Today, I will discuss the impact of social commerce and reserve my thoughts regarding mobile commerce for my next post. Continue reading

A Brief History of Online Merchandising and Thoughts About the Future

shopping-websiteBefore the web came along, catalog companies were the first to experiment with merchandising techniques designed to overcome the lack of a fully immersive in-store shopping experience. Punchy and persuasive product descriptions, detailed specifications, and imagery were needed to compensate for the lack of interaction with sales agents. The better catalogs have included lifestyle shots of how customers use their products, rather than merely listing products or showing photographs of products. Instead of listing products in alphabetical order, they tried groupings based on themes, styles, designers, complete outfits, etc. Continue reading

Why Tweet?

My social Network on Flickr, Facebook, Twitter...

I can’t believe how many people still can’t see the value of  Twitter! That’s because the hype has focused on the tremendous growth of Twitter as a social network. and the apparent lack of  Twitter’s ability to monetize their traffic (although this too is changing). That leads many veterans of the 2000 tech bubble to be wary of  “eyeball metrics” when business models haven’t been fully thought through or well executed.  Then of course everyone gets in on the 7 Tips for Optimizing Your Presence on Twitter gravy train which propels the lemmings into the Twitter sea, with no sense of  why they are there or where they are actually going. Continue reading

Marketing Your Way Through The Great Recession

RecessionSo your company is taking a big hit during this severe recession and analysts tell us that things will get worse before they improve.   Typically, marketing expenditures are the first to be cut in order make up for losses in revenue.  But is this the right thing for your business? Continue reading