AMAZON? AREYOUDIGITALLY READYTO FIGHT HOW TO PREPAREFOR THEFUTUREOFONLINE GROCERYSHOPPING BESTBEFORE2018
AMAZON SRECENT ACQUI SI TI ONOFWHOLE FOODSMARKSTHE ENTRANCEOFTHE ECOMMERCEGI ANTI NTO YETANOTHERI NDUSTRY. T oc ons umer s, h s mov ec omes ac r os s as an unex pec ed bul k el yc onv en en ex pans onof Amaz on s emp r e. T o he v as maj or y of s uper mar k e s and gr oc er s, howev er, Amaz on s ak eov erl ooksl k eanom nousgr ayc l ouds hr oud ng hef u ur ew hdar knes sandunc er a n y. Coun l es ss uper mar k e sand gr oc er s haoffera d g alex per enc ehav ebeenpus hed n oaf r an c s c ur r y ng opr epar ef or hef u ur e af u ur e hahas l k el ybeenc ar ef ul l ymappedoubyamaz onw h mon hsory ear sofpr epar a onands r a egy. Howev er, her e sas l v erl n ng o hedar kc l oudof Amaz on sen r anc e n o h s r l l ondol l ar ndus r y. Gr oc er sands uper mar k e s hac anc ap al z eon h s mov e odr as c al l y mpr ov eonev er yf r onw l lno onl y be n a be erpos on o handl e he new c ompe on,buw l lal s obeonapa h obec om ng be erands r ongerbus nes s es.
+37MILLION SESSIONS +300MILLION PAGEVIEWS ConenSquareconducedasudyhaanalyzedofover37mlonsessonsandover300mlonpagevewsforgrocery, realandsupersoresacrossheus,ukandfrance.here swhayoucandookeeppacewhhelaesrealrevoluon.
SECTION I MEMBERSHIP + FOCUS LOYALTY + =CONVERSION
#1 HARNESSTHE POTENTIALOF USERACCOUNTS ANDREWARDS PROGRAMS OneofAmazon ssrongesfeauresssprme Membershp aloyalyprogram harewards cusomerswhfreeshppngandseepdscounson awdearayofproducs. Thereareroughly40mlonPrmeusers he majoryofwhom areacveonlneshoppers.infac, researchsuggesshaheseconsumersconveraa raeha supo22meshgherhanheaverage conversonraeofhelargesonlnemerchansn NorhAmerca. TheConenSquaresudyfoundhalogged-n membersreurnoase23%morehanunlogged vsors.theyalsobounce64%lessandvew148% morepageshanunloggedvsors. Noonlydomembersengagemore heyspend more.memberusershaveaconversonrae10mes hgherhanunloggedusers,andclockup5%more buyngsessonshanherunloggedcounerpars overhecourseofonemonh. Furhermore,membersprospecless,areless volale,andaremoremaureasconsumers.our sudyfoundhanonemonh,membersgeneraed 55.57%morerevenuehanunloggedvsors!
Supermarkesand grocerysoresha encouragemembershp byofferngaracve loyalyprogramswlsee boossnconverson. MEMBERSRETURN 23% MORE Loggedmembersreurnoase23% morehanunloggedvsors. MEMBERSBOUNCE 64% LESS Loggedmembersbounce64%less hanunloggedvsors. MEMBERSGENERATE +55% REVENUE Membersgenerae55.57%more revenuehanunloggedvsors.
#2 BUILDAND RETAIN AN ACTIVEAUDIENCE OFSHOPPERS Supermarkesandgrocerscanalsolearnfrom he nelgencebehndamazon saudencedevelopmen. Whenlaunchedn2005,AmazonPrmespecfcaly argeedcolegesudensbyoffernghem freeprme membershpfor6monhsanddscounedproducs forheduraonofheracademcenure.colege freshmenmarkeedon2009arenearng27years oldoday,andhavesgnfcanlymorespendng powerhanheyoncedd.therloyalyoamazon, however,haslargelyremanedunchanged. Thelessonhere?Whargeedmarkeng,abrand cannurureheloyalyofanenregeneraon. Byalornghedgalexperenceoaspecfcacve audence andmarkengaccordngly supermarkesandgrocerscannvesnacommuny ofshoppershawlbewhhem nhelongrun.
Supermarkesand grocerysores hacanbuldand reanhghvalue andacve audenceswlbe ableorelyon herloyalyo grow.
THETAKEAWAY Encouragngusersocreaeanaccoun wlensurereurnvssandreducehe #1 bouncerae. #2 Rewardngmemberswhdscounsand preferenalshppngraeswlgrealy encourageconversons. Buldngandreannghghvalueand #3 acveaudenceswlhelpfocus markengefforsandsreamlnehe shoppngexperence.
SECTION I BENEFITSOFTHECURATED SHOPPINGEXPERIENCE
#1 KNOW YOUR CUSTOMERS BETTERTHAN THEYKNOW THEMSELVES OneofAmazon sbggesassessheablyo curaeproducsuggesonsforsusers.afewclcks aroundamazon ssewlhrowupaseresof suggesedemsbasedonwhaoherusers wha smlarhsoryorpoenalysmlardemographcs endedupbuyng.themoreyousearch,hemore fne-unedhesesuggesonsbecome. Graned,Amazonhasaccessoanalmos ncomprehensbleamounofdaaabousshoppers preferencesandpurchases.theyalsoarelkely maknguseofmachnelearnngandarfcal nelgenceobeerundersandandaconrends andpaerns. Theresmuchonlnesupermarkesandgrocerscan dooacheveasophscaedundersandngofher cusomers needsandexpecaons andshape herplaform accordngly.dgalylsenngo cusomersandundersandngwhyheybehavehe wayheydofrom searchopurchasealows busnessesoopmzedgalexperencesowards success.andarfcalnelgencesnowavalable noonlyoheganbrands,buobrandswhoare readyonnovae.
Daa-drven undersandngof userengagemen shefrssepo desgnnga personalzed shoppng experence.
#2 EMBRACETHE CONVERSION POWEROFTHE WISH LIST Wshlssareaerfcopporunyoncrease busness.compledbycusomersandfeaurngems heywouldlkeoreceve,heyareplacesheygo backoaganandagan.somewshlsscanbe sharedwhfrendsandfamlyforspecaloccasons lkebrhdays,babyshowers,ec. Inoursudy,wefoundhahewshls whchwas usedby9%ofhepopulaon hasaconverson raehasdoublehaofheoveralse.the averagemespenonhewshlspages84% hgherhanheaveragemespenonanyoher pageofhese. Offerngheoponodownloadhelsodfferen onlneformasandosharehroughsocalmeda ncreasessmpacandusablyandresulsnmore engagemenandsales.wshlssarealsoa convenenwayocross-selandrepurchase,so makesureyouofferdfferenoponsandplaforms oneracwhhem.
Supermarkesandgrocery soreshaalowcusomers ocreaeandsharewsh lssseeanncreasen reurnshoppersand loyaly. TIMESPENTON THEWISH LISTIS 84% HIGHER Theaveragemespenonhewshls pages84%hgherhanheaverage mespenonanyoherpageofhese. THEWISH LISTHASA X2CONVERSION RATE Thewshlshasaconversonraeha sdoublehaofheoveralse.
#3 COMBINING DIGITALSHOPPING WITH PHYSICAL PICKUP Aswelaspledgngoreducehecosofmany grocerysaples,amazonsalsoplannngoequp somewholefoodswhsamazonlockers,alowng cusomersopckuphergroceresaherown convenence. Whyshssgnfcan?BecauseConenSquaredaa showshan-sorepckupcusomersconver6mes morehanradonalecommercerealcusomers. Thesen-sorepckupcusomersareslconverng5 mesmoreondeskophanonmoble,hghlghng heneedformprovnghemobleexperence. Evenbeer,n-sorepckupcusomersareshowno spendmorehanohers,wha6%hgheraverage carhanecommercerealcusomers.theaverage carforn-sorepckups$133ondeskopand$126 onmoble. Bycombnngasreamlneddgalpurchasng plaform whaphyscalpckupopon,busnesses wleffecvelyexpandherreachandbrdgehegap beweenonlneandn-sore.
Supermarkesandgrocery soresneedoundersand how cusomerslkeoshop, andadaphersysemso ncludeconvenenpckup opons. IN-STOREPICKUPCONVERTS 6TIMESMORE In-sorepckupcusomersconver6 mesmorehanradonalecommerce realcusomers. IN-STOREPICKUPCUSTOMERS SPEND+6%MORE In-sorepckupcusomersspendmore hanohers,wha6%hgheraverage carhanecommercerealcusomers. DESKTOPIN-STOREPICKUP CONVERTS5XMORE THAN MOBILE In-sorepckupcusomersconver5mes moreondeskophanonmoble.
THETAKEAWAY #1 #2 Dgalylsenoyourcusomerso undersandherbehavoranddenfy rendsandpaerns,henranslaehs knowledgenoaseamless, personalzedshoppngexperence. Provdeyourcusomerswhheopon oqucklyandeaslyseupuser-frendly, shareablewshlss. Offern-sorepckupoponsoreach #3 aclenelehaspendsmoreand conversmore.
SECTION I AHAPPYUSERIS ACONVERTED USER
#1 STREAMLINING YOURDIGITAL EXPERIENCEFOR AFLAWLESS INTERFACE Dgalbrandsareconsanlybenchmarkngheruser experenceandusernerfacesoamazon s. Thankfuly,grocersandsupermarkesdon haveo nvesblonsoresearch,es,andfne-uneher ownuser-experence.busnessesodayhavehe luxuryofsandngonheshouldersofgansosee whaworksandwhadoesn,andapplynghose real-worldobservaonsoherspecfcsesoge real-worldvaldaon. Inoday seraofdgalconvenence,asumblng blocknhecusomerjourneysasumblngblocko converson.supermarkesandgrocerysoresha wanohrvenhepos-amazongroceryworldwl needorevewhersysemsandackleeverysngle panponheycandenfy. Forexample,oursurveyshowedhahe pre-homepage,hewelcomepageharequessa lognoralocaonbeforealowngheuserobrowse heproducs,hasa76%hgherbounceraehanhe averagewebsebouncerae.why?becauseusers arepuoffbyhequanyofnformaonheyare bengaskedoprovdebeforeheycanshop.wh 13%ofraffclandngonhspage,soresarelosnga loofbusness. Awayoacklehssoofferapre-populaed localzaonordsplayhepopupnonlyparofhe page,sodoesn blockheablyoaddocar.
Supermarkesand grocerysoresneedo denfypanponsnhe cusomerjourneyand sreamlneheshoppng experenceaccordngly. THEPRE-HOMEPAGEHASA +76%BOUNCERATE Thewelcomepageharequessalocaon beforealowngheuserobrowsehe producshasa76%hgherbouncerae hanheaveragewebsebouncerae.
#2 SHIPPINGASA KEYCOMPONENT OFUX Onerecurngpanponsshppng.Whleshppng sn asmuchofadgalexperencessue,ssla crcalcomponenofhecusomerexperence overal.consumerslovefreeshppng.infac,free shppngsusualyoneoffewheguaraneedwayso ncreaseaconversonraeforanyndusryacrosshe board. Addonaly,28%ofshoppersabandonhercars dueoanunexpecedshppngcos aheadache haamazonhasackledbrlanlywhsfree shppngprmebenef.thssasgnfcanpanpon forgrocersandsupermarkes,however,asonlne shppngcosscanvarysubsanalydependngon heszeofhecar.
Grocersandsupermarkes haadverseclear, aracveshppngpolces wlseemorecheckous. UNEXPECTEDSHIPPING COSTSLEADTO 28%CART ABANDONMENT 28%ofshoppersabandonhercarsdueo anunexpecedshppngcos.
THETAKEAWAY #1 #2 Idenfypanponsnhecusomer journeyandsreamlneheenre shoppngexperence,from addngo caralhewayodelvery/pckup. Smplfyhecheckouprocesswh easerforms,fewerscreens,andfewer seps. #3 Haveaclear,aracveshppngpolcy.
FINAL THOUGHTS WhleAmazon sralblazngmayseem daunng fordgalrealers,herearemanylessonsha canbelearnedandborowedfrom hebrand s successes. Grocersandsupermarkescancompeewh Amazononhedgalfronbyulznganumber ofdfferensraegesnunson. From developnganressblemembershp schemeoundersandnghow yourcusomers lkeoshopandadapngyoursysems accordngly,hereslosgrocersand supermarkescandooreanandgrow her clenbase. Dgalyundersandngshoppers,andopmzng plaformsbasedonhsundersandng,wl removeheguessworkfrom hschalenge.ial sarsandendswhhecusomer. Welcomeohebravenew worldof groceryshoppng,andhelpyourself oaslceofhepe.
SOURCES -ConenSquareOnlneShoppngSudy -hps:/www.dgalcommerce360.com/2015/06/25/amazon-prme-members-conver-74-me/ -hps:/blog.kssmercs.com/5-ecommerce-sas/ -hps:/www.dgalcommerce360.com/2015/02/26/growng-reach-amazon-prme -hps:/www.dgalcommerce360.com/2015/06/25/amazon-prme-members-conver-74-me/ -hps:/www.dgalcommerce360.com/2015/01/27/45-amazons-us-cusomers-are-prme-members/
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