Sep 28, 2012 - e-Commerce Share of Corresponding Consumer Spending*. Source: comScore for .... Smartphone Shoppers: 19 M
The Impact of Digital on Path to Purchase Presented at the MMP2P Conference 2012
Josh Chasin; Chief Research Officer September 28, 2012
Agenda
eCommerce and the General Digital Landscape The Game Changer: Mobile Digital Access The ‘Showrooming’ Phenomenon Social Commerce Trends
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comScore’s Global 2 Million Person Panel Powers a Plethora of Digital Insights The Only Global Measurement of Audience and e-Commerce
360° View of Consumer Behavior Web Visiting and Viewing
Demographics Life Stages
Mobile Usage
Advertising Exposure
41 Media Metrix Reported Countries 170+ Countries with Sample Presence
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Online / Offline Transactions
Search Behavior
Streaming Video
The Purchase Funnel
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McLuhan: The content of any new medium is the previous medium
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5
eCommerce and the General Digital Landscape
As consumers continue to shift their spending to the Internet, the overall e-Commerce share of spending approaches 10%
e-Commerce Share of Corresponding Consumer Spending* Source: comScore for e-Commerce & U.S. Department of Commerce (DOC) for Retail
9.4%
10.0%
8.6%
9.0%
e-Commerce Share
8.0%
7.4% 7.3%
6.0%
3.0%
8.1%
5.1% 4.3%
5.3%
4.5% 4.6% 4.3% 4.0% 3.7%
5.3% 5.0%
6.3% 5.9%
6.5% 6.6%
6.8%
6.9%
7.1% 7.1%
e-Commerce share peaks in colder seasons (Q4 & Q1)
2.0% 1.0% 0.0%
*Note: e-Commerce share is shown as a percent of DOC’s Total Retail Sales excluding Food Service & Drinking, Food & Bev. Stores, Motor Vehicles & Parts, Gasoline Stations and Health & Personal Care Stores.
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8.0% 7.7% 7.6%
5.9%
4.0%
7.7%
6.4% 6.7%
7.0%
5.0%
7.6% 7.7%
8.9%
Proprietary.
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E-commerce now accounts for a substantial share of consumer buying, especially in tech categories
Product Category
E-Commerce as % of All Sales
Computers*
37%
Printers*
28%
Navigation*
28%
Still Digital Cameras*
25%
Portable Digital Players*
23%
Accessories*
14%
Footwear*
13%
TVs*
12%
Toys*
9%
Apparel*
9%
Consumer Packaged Goods**
1% Source: *The NPD Group, Inc. and **comScore, Inc.
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Digital Media Fundamentally Shift Power to Consumers by Facilitating Availability of Improved Price Data
comparison shopping sites 85 million monthly visitors
online retailer sites 187 million monthly visitors
coupon sites 45 million monthly visitors
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search 224 million monthly searchers
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SOURCE: COMSCORE MEDIA METRIX, JANUARY 2012
Search-Plus-Display advertising generates greater lift than either alone…
Incremental Lift in Retailers’ Offline Sales per (000) Exposed Source: comScore Ad Effectiveness Solutions
120%
+119%
100%
+82%
80% 60% 40%
+16%
20% 0% Search and Display
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Search Only
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Display Only
…but the reach of a display campaign will far-exceed the reach of a search campaign. • Because, a priori, persons exposed to a search campaign are further along in the funnel (thus filtered/qualified) • As a result, even though the sales lift among those exposed to a search ad is higher, the total dollar sales gained from display ads is often larger than search due to the smaller lift acting on a larger base
% of Households Reached
Incremental Impact on Offline Sales per (000) Exposed
Total Sales Volume Lift Index 198
+11%
Note: 0 equals par in above chart.
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Source: comScore Ad Effectiveness Solutions
Display ads can lift retailer sales-- both on- and offline
Dollar Sales Lift Among Households Exposed to Online Advertising
Conclusions Exposure to display ads doesn’t just impact online sales – it lifts in-store sales as well
% Lift: 17% $11,550 $9,905
The absolute dollar lift in offline sales is 5x higher than the lift in e-commerce sales
% Lift: 27%
$994
$1,263
Online
Offline
Unexposed
Exposed
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Source: “Whither the Click?” 139 comScore studies in the June 2009 Journal of Advertising Research
The Game Changer: Mobile Digital Access
Over 12% of Digital Volume Now Comes From Non-Computer Platforms …and it’s doubled in a year.
14% 12% 10%
4.1%
8% 6%
1.5%
1.8%
1.9%
2.1%
2.2%
2.5%
2.3%
2.9%
3.1%
3.4%
3.6%
5.8%
5.9%
6.1%
4% 2%
4.5%
4.2%
4.4%
4.3%
4.5%
5.2%
4.7%
5.5%
3.7%
6.6%
0%
Mobile © comScore, Inc.
Proprietary.
Tablet 14
Other
Source: comScore Device Essentials
7.5%
More than 4 million new smartphone subscribers activated in Q2, taking the audience over the 110 million mark
Acquisition Trend for Smartphone Subscriber Base and Total Smartphone Subscriber Base Source: comScore MobiLens, U.S., 3 Mo. Avg. Sep-2009 to Jun-2012 +7.0
New Smartphone Acquisitions (In Millions) +6.0
120,000
+6.5
100,000
Total Smartphone Subscriber Base (In Thousands)
+5.0 80,000 +4.0
+2.0 +1.0
+2.9
+2.7
+3.0 +1.9 +1.3 +1.3 +1.1
+3.8
+3.6
+3.3 +2.3+2.3 +2.1
+2.7 +2.9 +2.1+2.2 +1.6
+2.0
+1.3 +1.3 +1.0
+1.8 +0.7
+3.5 +3.3
+3.1
60,000 +2.6
+2.5 +2.2
+2.1 +1.4 +0.7
+0.0
40,000 +0.9 20,000
0
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Smartphones are Changing E-Commerce…
E-commerce and Related Services Accessed by % of Smartphone Users Source: comScore MobiLens, US, 3 mon. avg. ending Dec 2011
Deal-a-Day
17%
Shopping Guides
17%
Electronic Payments
19%
Credit Cards
20%
Online Retail
25%
Bank Accounts
35% 0%
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5%
Proprietary.
10%
15%
16
20%
25%
30%
35%
40%
Smartphone Shoppers: 19 Million Buy On Device Top 5 Smartphone Purchase Categories
1
Clothing or accessories
32.4%
Social Networking is the 1 inMost 5 23.5% Tickets Popular Online Activity Made Consumer electronics/ Purchase Worldwide 22.3% household appliances on
Smartphone in April
Meals for delivery/pickup Books (not eBooks)
21.2% 21.0%
Source: comScore MobiLens, 3 mon. avg. ending Apr-2012, U.S.
…and Smartphones are changing the in-store experience
% Smartphone Owners Performing Task in Physical Retail Store Took picture of a product
20.7%
Texted or called friends/family…
17.9%
Scanned a product barcode
17.0%
Sent picture of product to…
16.5%
Compared product prices
10.4%
Found store location
10.0%
Found coupons or deals
8.7%
Researched product features
7.6%
Checked product availability 0.0% © comScore, Inc.
Proprietary.
4.6% 5.0% 18
10.0%
15.0%
20.0%
25.0%
Source: comScore MobiLens, US, 3mo Avg ending June, 2012
Americans’ New Shopping Companion: More than Half of Smartphone Owners Use Phone While in a Brick-and-Mortar Store to Shop
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Social Networking is the Most Popular Online Activity Worldwide Source: comScore MobiLens, 3 mon. avg. ending Dec-2011, U.S.
Nearly 1 in 10 e-Commerce dollars are spent via mobile device
Percentage of Total e-Commerce Dollars Spent via Mobile or Tablet Device Source: comScore Mobile Measurements
9%
Spike in percentage of e-commerce sales via mobile coincides with surge in tablet ownership
8%
9% 8%
6% 6% 3% 3% 2%
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2010 2010 2010 2011 2011 2011 2011 2012 2012
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Mobile App access dominates Mobile Web access for most leading pure play online retailers
Selected Leading Retailer Mobile Web Properties Unique Visitors (000): Mobile Web + App Combined
Share of Mobile Time Spent by Retailer App vs. Mobile Web
Source: comScore Mobile Metrix, U.S., March 2012
Source: comScore Mobile Metrix, U.S., March 2012
App
Amazon
41,215
eBay 13,351
Wal-Mart
12,673
Best Buy
Barnes & Noble
3,508
18% 1%
99%
5,471 4,319
14%
82%
6,927
Redbox
Etsy
86%
27,190
Netflix
Target
Mobile Web
18%
82%
16%
84% 95%
5%
39%
61%
5%
95%
2,423
27%
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73%
Nearly 2 in 5 tablet owners have purchased something online via their device in the past month, more than double smartphone owners
Smartphone Owners Who Purchased Item/services via Mobile (past month)
Tablet Owners Who Purchased Item/services via Tablet (past month)
Source: comScore MobiLens
Source: comScore TabLens
Smartphone owners
18%
Tablet owners
39%
Tablet owners are generally more engaged overall – in addition to the above ‘purchased’ metric, 43% have researched items and 42% have compared product prices in the past month (compared to 21% and 22% for smartphones, respectively) © comScore, Inc.
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Compared to smartphones, tablet ownership is ramping up much faster
40 Million Consumer Tablet Owners in less than 2 years Device Ownership – Smartphones vs. Tablets Sources: comScore MobiLens + comScore TabLens U.S., 3 Mo. Avg.
Device Owners (000s)
100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 © comScore, Inc.
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Tablet owners tend to skew to higher incomes: 6 in 10 make $75k+ U.S. Tablet Owners by Household Income Source: comScore TabLens U.S., 3 Mo. Avg. Jan-2012 to Mar-2012
% Share of Tablet Owners
45% 38%
40% 35% 30% 25% 20%
17%
17%
$25k to
