Six in 10 merchants to invest more in e-commerce this year: survey

Share this content:

As the economy begins to rebound, marketers are planning to reinvest in their e-commerce portals with a particular emphasis on targeted e-mail marketing, improved on-site search and enhanced on-site merchandising, according to a survey by The E-tailing Group.

The organization's Ninth Annual Merchant Survey found that 59% of respondents plan to invest more in e-commerce in 2010 than they did last year. At the start of 2009, 36% said they would increase e-commerce investment.

With the economy in recession last year, e-commerce, though a bright spot on the broader retail landscape, fell 2% to $209.6 billion, marking the first yearly decline for the category, according to ComScore figures. Nonetheless, 92% of those surveyed predicted their 2010 e-commerce revenues would increase from last year, with 33% predicting growth of between 6% and 15%.

“Seasoned sellers, emerging retailers and manufacturers are all positioning themselves for growth as the economy rebounds,” said Lauren Freedman, president of The E-tailing Group, in a statement. “Results of our Ninth Annual Merchant Survey find retailers taking a laser-like focus on performance where results dictate category-centric demands and solid execution sets the tone for incremental revenue.”

Keyword search, cross-sells, seasonal promotions, sales or specials and e-mail remain the most valuable tactics, but merchants continue to improvise new ways to sell.

Online conversion rates remained at 3% or lower, according to the survey. To increase engagement and profitability, merchants are relying on analytic data such as conversion rates, but they also plan to increase targeted e-mail (79%), refine onsite search (72%) and enhance merchandising (70%). Other popular improvement tactics for 2010 include usability or A/B testing (58%), videos (48%) and social networking efforts (58%).

Merchants also mentioned social networking efforts considerably more than last year (44%). More respondents also added blogs, customer reviews and community features such as forums and share-by-social to their sites as well. Facebook fan pages ranked as the top social tool for merchants, though 80% also will employ Twitter in the next year. In addition, nearly 40% plan to use mobile to improve e-commerce performance, compared to 19% last year.

The Chicago-based consultancy surveyed 152 merchants in the first quarter of 2010.

Loading links....
close

Next Article in Multichannel Marketing

Sign up to our newsletters

Company of the Week

Since 1985, Melissa Data has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa Data offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

DMN's Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here