Wednesday, August 15, 2012

Mac Owners Love eCommerce but Social Media is a Hard Sell

When it comes to ecommerce, Mac owners take the cake (the decorations, the plates, the party favors. . . ) with the highest average order value of $102.83. But the real surprise is what comes next. It’s not the PC owners, it’s the iPhone users with 97.49.
The numbers come from Monetate’s Ecommerce Quarterly data report for Q2 which looks at online shopping trends. And while you can’t control what device people use to shop, you can control how they access your e-store in the first place.
According to Monetate, that social media link that we all love so much, isn’t doing us any favors.
  • Social media referral traffic lags far behind email and search, with the Average Order Value (AOV) of social traffic $26.21 less than search traffic and nearly $20 less than email referral traffic
  • Conversion rates from social referral traffic in Q2 were .59% when compared with 4.25% for email and 2.49% for search
Let’s get a visual on that:
Wow, that’s quite a difference. Once again, it makes me wonder why we’re bothering with social media at all. Yes, I hear all of you shouting “it’s branding” and all exposure is good exposure but that only goes so far. At some point, you have to convert. You have to bring in new buyers, users, readers, listeners or whatever it is that pays the bills.
What I get from this, is that it’s not worth dumping money into social media ads like Facebook Sponsored Stories or Promoted Tweets. Seems like a free Twitter and Facebook account will get you just as much of a return with no (or very little) out of pocket.
Maybe that will change as social becomes a regular part of everyone’s life. But will it ever convert like Search does? I can see it getting close, but I can’t see it ever taking over. As for email, I think it’s become so common place that we forget about it, when clearly it’s the best channel for driving ecommerce sales.


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