How the Web Influences Offline Sales

According to new numbers released this month, Google and other internet search engines have a major influence on a customer’s purchasing journey. Marketing research group Forrester approximates that the internet will influence 50 percent of offline retail sales in the U.S. by 2017. That number translates to roughly $1.8 trillion in-store sales.

The internet’s influence and the correlating marketing numbers for recent years are as follows:

• U.S. ecommerce increased 11 percent from Q1 2013 to Q1 2014
• Online orders increased 13 percent from Q1 2013 TO Q1 2014
• Online retail increased 105 percent from 2009 to 2013
• Offline retail increased 26 percent from 2009 to 2013

Studies show that online sales through mobile devices have also increased. In 2013, 8.2 percent of purchases were from a tablet, 5.5 percent through a phone, and 86.3 percent on a desktop. In 2014, purchases on a tablet equaled 10.3 percent, purchases through a phone 8.2 percent, and 81.5 percent on a desktop.

Google searches also boosted eCommerce transactions nearly 44 percent in Q1 2014. Twenty-four percent of purchases originated through organic searches, and 20 percent through paid search ads.

Consumers are also more likely to use search engines to research products while in store over any other method, as these numbers show:

• 82 percent of consumers prefer search engines
• 62 percent prefer store websites
• 50 percent prefer brand websites
• 21 percent prefer store apps
• 20 percent prefer deal websites

YouTube plays a major role in consumers’ purchasing decisions, especially in comparison to television ads. Out of the consumers surveyed, 78 percent agreed that YouTube had a stronger influence in purchasing beauty products, 61 percent on YouTube’s influence for purchasing smartphones, and 73 percent for automotive vehicles. Forty-nine percent of surveyed consumers said that television ads had a greater influence when purchasing beauty products, 52 percent said the same for smartphones, and 60 percent for automotive vehicles.

Sources:

“How does Google influence the retail customer journey?” 2014. Econsultancy.com

“Q1 2014 Pulse US E-Commerce Update: Double-Digit Growth.” 2014. Blog.custora.com

“Forrester: Mobile Phone and Tablet E-Commerce to More Than Double by 2018.” 2014. Blogs.wsj.com