Performics Weekly Research Recap


Posted by Cristina Lucero and Christina Mannarino, Performics Research & Insights Team

Highlighted below are emerging trends and insights from the week of July 25, 2011:

United States

Channel Insights

Mobile & Tablet

– Tablet commerce is expected to outpace mobile commerce (Forrester).

  • Participants prefer tablets to smartphones for shopping – As tablet adoption grows, the role of the smartphone is solidifying as a complement to the in-store shopping experience, while tablets fulfill at-home and portable (but not truly mobile) shopping scenarios.
  • For retailers in particular, tablets present a unique and growing opportunity for deeper customer engagement that can make the internet shopping experience much better for discovery, inspiration and interactivity. 
  • The rich feature set of tablet devices provides retailers an opportunity to create differentiated content and to set one’s brand apart.

Search

– Google study finds that PPC ads DO NOT replace organic clicks (Google).

  • Advertisers that pause their search advertising campaigns sometimes cite concerns about how much of the traffic to the sites is truly incremental to clicks on natural search results.
  • The study found that paid search ads give you an 89% incremental lift in site visitors – above and beyond traffic you would normally expect from your organic listings.
  • Read the full story here.

– Google’s new marketing campaign and eBook, ZMOT, which stands for Zero Moment of Truth should be a priority for all brands.

  • Google defines ZMOT as the period of time where a participant searches for information and is exposed to various sources before arriving at the store.
  • The internet has significantly changed participant shopping habits and process. Now they typically start the process of choosing by checking out blogs, consumers opinion websites, social network, competitor sites, etc, before they visit the store.
  • In order to win at the ZMOT, there are 7 key strategies to follow, such as “Be fast” – Know when something’s making people search for your product, and do something quick to capitalize on it. Speed beats perfection.
  • Read the full eBook here.

– How To Measure The Brand Impact Of Paid Search (Forrester)

  • Interactive marketers consider branding one of the key objectives of their search marketing program; but few of them apply methods to understand the brand impact of search. Rather than focus only on sales metrics, search marketers should strive to use survey methods for measuring brand impact wherever possible and should supplement this survey data with secondary online metrics like impressions, web analytics, and listening data
  • Your ultimate goal should be to secure budget for running lab tests or retargeted brand surveys to measure your search marketing programs and to complement that survey data with digital metrics. In the meantime, using digital metrics alone may provide a stepping stone to surveys.There are three vital steps you should take today to prove the brand value of paid search and to ultimately secure a survey budget:
    • Mine brand-related metrics from your existing dashboards
    • Synchronize your on-site analytics with your search campaign
    • Include search-focused questions in your existing brand surveys

– The Google+ launch may have overshadowed three recent smaller announcements that are arguably far more significant (Google).

  1. Google unveiled a new way for authors to claim ownership of their content around the web – this creates an easy way for companies to insert a mug shot into relevant search results, which arguably can drive clicks.
  2. Google began to make more data available to companies, most importantly, its own “+1” sharing buttons have on site traffic – publishers begin to get more data on how social networks can drive people through the funnel they will look to perhaps reorient their budgets in an effort to secure to get more retweets, likes and +1s.
  3. Google News is starting to get more social with the launch of a program that rewards regular users with social badges of authority for reading lots of news stories in a given subject matter.
  • These shifts in search signals, over time, may revolutionize how marketers think about their visibility in a world of infinite content choices
  • Read the full story here.

Video

– Options for Online Video Ad Viewers Lead to Greater Engagement (eMarketer).

  • The internet provides a channel through which users can simultaneously view and engage with a brand, product or service, yet, many marketers have yet to embrace this interactivity.
  • Findings from online video ad provider AdoTube suggests that marketers who offer video viewers more choice in their ad consumption are likely to draw greater ad interest—and ultimately engagement—for their brand.
  • Interactive overlays offer marketers an additional gauge of how users are responding to their message and interacting with their brand, much more so than view through alone.

Social

– Badoo, a social network for meeting new people, is growing like gangbusters (Business Insider).

  • Although Badoo may not be well known in the US, it has 122 million users in over 180 countries (biggest countries are Brazil, Italy and France) and is profitable on a $120 million to140 million revenue run rate. Their site is bigger than CNN.com.
  • Their biggest demographics are 20-28 years old and, surprisingly, over 40.57% of users are above 30.
  • Read the full story here.

– Are Facebook deals and credits a threat to Groupon and Living Social? (AdAge)

  • Many who were once eager to open their email to see what new product or service would be offered now treat the deals as “spam” and quickly delete from their inbox.
  • Facebook’s first advantage: It doesn’t have to rely on email and can insert enticing deals into the targeted news feed of 750 million people and Facebook Credits have the power to make any deal free.
  • Engagement advertising and socially integrated promotions are more relevant to people than Groupon-like deals and will be more successful and beneficial to the consumer since people are able to gain virtual currency, a la Facebook Credits, to discount deals even further or even all the way to free
  • Read the full story here.

SEASONAL TOPICS

Holiday 2011

– New Epsilon report predicts that the holiday season will be a strong one (Epsilon).

  • According to Epsilon, social media and mobile capabilities were key drivers of sales on Thanksgiving Day last year, as participants used mobile devices for Web site reviews, promotions, to check prices and to check in while shopping at stores.
  • In 2010, holiday email open rates climbed 11% year-over-year, despite high email volumes. The highest open rates occurred the week of Black Friday.
  • With data from the first quarter of 2011 indicating an economy in recovery, marketers who leverage data to develop sound marketing strategies this holiday season are poised to drive significant conversions.
  • Read the full story here.

DEMOGRPHICS

Hispanics

– Where Is the Latino Market Going? (MarketingProfs Daily Fix)

  • The Hispanic market is evolving into a complex niche that is difficult to identify and locate, a segment that has aspirations that are driven by personal life stages and not necessarily by their culture.
  • Culture and heritage without a specific life stage offering will not be a sufficient strategy to help you increase your reach within the Latino segment.
  • For marketers, this means we need to do a greater job at targeting and segmenting our participants and understand that we cannot put all under a same category and that heritage will only grant us the permission to momentarily capture their attention—but not guarantee us a right to solicit.
  • Read the full story here.

– Ad Age releases Hispanic Fact Pack for 2011: Your Guide to the Latino Market (AdAge).

  • As marketers absorb key Census data — including 43% growth in the Hispanic population over the past decade to 16.3% of this country’s population — it’s increasingly clear that Hispanics are the future of America.
  • Additional key insights include the largest advertisers in Hispanic Media (Procter & Gamble), language in which media is consumed (57% English only), and a breakdown of the attitudes toward marketing and advertising (opportunities for marketers in this area).

INDUSTRY

Travel

– Forrester report: US Online Leisure and Unmanaged Business Travel Forecast, 2011 To 2016.

  • An uncertain economy and financially cautious participants will combine to create a tough commercial environment. Nonetheless, online travel will grow.
  • Forrester expects that the 47% of leisure and unmanaged travel sales booked online in 2011 will increase to just less than 53% by 2016.
  • Thirty-five percent of US online leisure travelers own smartphones, as do 55% of business travelers. Smartphone-equipped travelers are making their first forays into mobile commerce.

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