Wednesday, October 1, 2014

Asia-Pacific's Fast-Growing Economies Make for Fast-Growing Ad Spending

Asia-Pacific will remain the fastest-growing region of the global economy over the next two years, according to the International Monetary Fund, driven by expanding manufacturing sectors that serve international markets, as well as a burgeoning middle class that has helped to increase domestic consumption. Despite differences in economic growth projections among Asia-Pacific’s constituent countries, the overall trend in ad spending for the region is a positive one. eMarketer expects that spending on all measured media in Asia-Pacific will reach $152.00 billion in 2014—a 6.3% year-over-year increase. Overall, the region will account for more than one-quarter (27.9%) of global ad spend this year, behind only North America’s 35.6%. 

Tuesday, September 30, 2014

Mobile Affects Purchases Way Before the Store

Thanks to mobile devices, consumers now start researching retail products way before they step into a store to buy, according to a June 2014 study by Ninth Decimal. The research found that 81% of US mobile users turned to their devices to research retail items at home or work—meaning before heading to a brick-and-mortar—while 19% engaged with mobile during a shopping trip. 

The average lead time for researching retail products via mobile among smartphone and tablet users varied by cost, with research for items priced at $1,000 or more starting 45 days in advance of buying, on average. Even for the lowest price range though, $1 to $49, research typically began about 10 days before the purchase was completed.
Likely a result of their out-of-store research habits, mobile users were most likely to engage with mobile retail ads before they shopped, cited by 73% of respondents. In comparison, the remaining 27% were more apt to respond to ads on their mobile devices while on a shopping trip or in-store.
Retailers serving ads that include discounts and sales may stand the best chance at grabbing mobile researchers’ attentions. Fully 60% of mobile device users said they were likely to respond to retail-related mobile ads that contained information about discounts and sales, the most popular response by a long shot. Product reviews (36%) and product information (35%) rounded out the top three.
The opportunity to reach mobile retail researchers is huge. According to eMarketer, there will be 145.9 million US mobile shoppers this year. Among this group, which includes mobile users ages 14 and older who use their mobile device to browse, research or compare products via mobile web or app, nearly 70% will make a mobile purchase.

Monday, September 29, 2014

How to Make Social Commerce More Appealing

Social commerce isn’t new, and Twitter’s recent announcement of an in-tweet “buy” button is yet another effort to fuel customer purchases via social. But how many digital buyers in the US actually take the final leap on a social platform? Not too many, according to August 2014 polling by Harris Poll for DigitasLBi, which found that just 5% of US adult internet users had made a purchase on a social network such as Facebook, Twitter or Pinterest. 

Based on the research, better security measures could motivate social networkers to buy through a social platform. Fully 42% of users said they would be more likely to make a purchase via social if they knew their credit information was secure, while 38% said knowing their purchase wouldn’t be shared would increase their likelihood of completing such a transaction.
One-third of respondents would be more apt to make a purchase if the total was under $25, and further responses indicated that cost definitely had an influence in whether or not users clicked the social buy button. The majority said that price played a big role in their decision to buy something on a social site, and 35% would even use a social hashtag if it meant getting a discount.
And despite many showing a desire for security around social purchases, about one-quarter of respondents said they wouldn’t hold back from buying via social even if that meant a brand would know their purchase history.
eMarketer expects the number of US social network users to rise by 4.5% this year and hit 173.2 million people. This represents 68.5% of internet users and 54.3% of the population—as well as a big audience for retailers trying to up social commerce.