Shopping Blog

There’s no doubt that technology continues to transform the pace of business. In the past, it wasn’t possible to track online conversions back to ads in real-time. You couldn’t always be sure you were advertising only in-stock items or immediately traffic out seasonal assortment changes.

But now advanced digital marketers are able to take advantage of real-time conversion and product data in their advertising campaigns to great effect.

Forrester recently completed a global study of 240 retailers’ search campaigns. What they found was… opportunity. Most retailers still don’t take advantage of existing real-time capabilities in digital marketing, and leave a significant opportunity for savvy marketers who do.

Come hear Forrester and Google talk about: 

1. Results from Forrester’s retail search study 
2. Insights about the retail search market, and where you can take advantage 
3. How to become more “real-time” in your own digital advertising 

Speakers:
Shar VanBoskirk, Principal Analyst, Forrester Research
Henry Tappen, Retail Product Manager, DoubleClick Search

Time: 
Wednesday, February 18th at 11AM PST/2PM EST

Register now on the event site. 

We look forward to seeing you there.

December of 2014 may be remembered as the first truly omni-channel holiday season: the year retailers really stretched the sales funnel to include mobile, store visits and online buying under one big connected holiday umbrella.

Let's take a break from the holiday dash to see what we can learn from companies that have been creating unified shopping experiences for consumers while ringing in bigger and better profits for themselves. We'll start with a salute to three great examples of omni-channel thinking: Macy's, Sephora and REI.

Macy's 
When over 15,000 people streamed into Macy's main New York City store at 6 pm this Thanksgiving Day, CEO Terry Lundgren wasn't too surprised. Omni-channel helped put those shoppers there. “So far, people are gravitating to the doorbusters," Lundgren said the next day. "There’s so much information online, so they’re doing that research and going right for those doorbusters."1

Macy's has been working for years to focus its marketing and retail teams into a group with a single vision on omni-channel conversions just like these.

"That incentive, of growing the number of omni-channel customers, is something we have shared over the last couple of years," says Jennifer Kasper, Macy's Group VP for Digital Media and Multi-cultural Marketing.

Sephora 
"In retail, you can't think of mobile as a threat. You have to think about it as a magnet to draw that client into your store." That quote from Bridget Dolan, Sephora's VP Interactive Media, says it all about how Sephora has been winning with omni-media.

Sephora's progressive approach is the result of watching, and actually listening to, its customers. Today the Sephora mobile app lets shoppers scan products right off the shelf and see if they're right for their look. They can also look up past purchases, in case they want that same great shade of lipstick or eye shadow again.
 
New research shows that 46% of shoppers who use mobile devices in-store say they turn to the retailer’s site or app for information while they shop.2 "I really can't believe how much of our traffic is now coming from mobile devices," says Bridget Dolan, "and how many of our clients are using search as the way that they figure out which products they want to buy while they're standing in-store."

REI 
The trusted outdoor retailer’s stores – especially its flagship locations -- are paradise for anyone who plays outside. The company, REI, now uses digital as a way to pull customers right into that local store experience. After researching online, REI customers come into the store to try on those hiking boots or skis and then make the purchase.

Google/Ispos/Sterling research shows 69% of shoppers say they gather information from physical stores at some point in their shopping cycle.3 "One of the things we know definitively is that all of our digital tools really connect our members to our stores," says Annie Zipfel, SVP of Marketing for REI. "So they're often researching product online… and ultimately they're coming in the store to make that purchase."

What can we take away from these three examples of omni-channel success?

1. Care less about where. All three of these retailers are focused on using all channels to drive sales — wherever those sales might happen. As Jennifer Kasper of Macy's puts it, "The bottom line is, we're indifferent to whether [a shopper] converts in the store or online. We just want her to shop with Macy's." 
2. Make mobile a magnet. The best omni-channel retailers make mobile a part of their in-store experience, inviting shoppers to use their hand-held devices as they browse. As Bridget Dolan of Sephora says, "We really welcome our clients to take out their phones in our store. A client that really knows exactly what she's buying, all the reviews, all her options... is actually a happier client and will come back and shop with you more often."
3. Bring down internal barriers. Annie Zipfel of REI says, "It is a smaller and smaller group that shops only in the store, or only online." If you still keep separate online and offline marketing teams, it may be time to think about bringing them, and their incentives, together so they can speak to customers in the way those customers shop now. 

Happy omnidays, retailers!

Visit the Local Retail Playbook to see our new “Digital Impact On In-Store Shopping” research about how consumers are shopping on and offline, and how retailers are responding this holiday season.

Posted by Julie Krueger, Retail Industry Director

Conventional wisdom suggests that the rise of digital is making local retailers obsolete. But the reality is much different—technology actually presents new opportunities to help savvy retailers connect with consumers, drive them to the store and increase sales.

To better understand the impact of smartphones and online information on in-store shopping, Google partnered with Ipsos Media CT and Sterling Brands to conduct an online survey. With this new research, we were able to uncover the real relationship between digital and local retail, as well as debunk three common retail myths.

Myth: Search results only send consumers to e-commerce sites.
The Reality: Search results are a powerful way to drive consumers to stores.

Many retailers believe that when shoppers look for products online, they limit their research strictly to e-commerce websites. In reality, three out of four shoppers who find local information in search results helpful are more likely to visit stores. When information about store location, hours and product availability is clearly communicated in a local search ad, shoppers are actually inspired to make the in-store purchase.

Head to Think With Google to learn more retail myths and uncover the realities about technology’s impact on local shopping.

Can online search ads impact offline store sales? The connection seems counterintuitive, but the answer is a firm "yes." A milestone meta-analysis of experiments with 13 top U.S. retailers, conducted by Applied Predictive Technologies, proves that search ads drive incremental offline sales. Results vary by industry and advertiser, but the research offers guidance for multi-channel retailers: Create a seamless connection between your channels and use digital to efficiently drive sales across the board.

 To read the full article visit Google Think Insights.

 Posted by Nina Thatcher, The Google Technology Team

This is the year the store window goes digital. According to our new research, conducted with Ipsos, more people are researching and purchasing holiday gifts online than ever before. They’re also shopping across screens and channels, looking for great deals, and starting earlier than before. So, with the holiday season already underway, we take a look at these and more trends marketers should know for 2013, including the hottest products on Google. Head on over to Google Think Insights to read a summary of the research and download the top stats.

How do shoppers use digital to research and buy luxury goods? Google teamed up with Ipsos to reveal how affluent consumers shop for high-end fashion, accessories and jewelry. We found luxury buyers are digital-savvy: They are multiscreen consumers, they use the internet more than any other medium for research, and most still make their purchases in a store.

To learn learn more about luxury shopping behaviors, access the Lap of Luxury Infographic or full study on Google Think Insights.  

Posted by Katrina Echt, The Google Fashion Brands Team

Demand for mobile phones shows no signs of slowing down - in fact, according to one study smartphone subscriptions in the US increased by 50% year over year in 2012*. There are many ways to purchase a phone today, and even more choices and options that come with it. To better understand how people shop for mobile phones, Google teamed up with Compete to look at shopping patterns for mobile phones and how they have changed over the past year.

Here are some highlights from our findings:

Devices drive more purchases; less buy to upgrade
Year over year, 25% more consumers purchased a phone to get the latest and greatest device while 9% less purchased because they were eligible for an upgrade. In fact, 1 in 3 smartphone buyers select a phone first, then a carrier.

More choices, more online research
The proliferation of non-exclusive devices at carriers has resulted in more switching, brand uncertainty and cross shopping. One in 3 shoppers switched carriers (up 39% YOY) and nearly half (47%) considered two or more carriers when shopping for a phone (up 193% YOY). In addition, most shoppers are undecided on a phone model with 66% considering 2 or more models.

With all the choices available to shoppers today, it’s no surprise that 80% of all mobile phone shoppers research online - in fact they use twice as many digital sources this year compared to last. Most shoppers take 2+ weeks to research, visit more than 3 brand websites while shopping, and conduct 7 searches on average while researching a phone.

Potential switchers research differently: They are far more likely to have a broader research process (eg. searching on non-brand terms like “best smartphone”).

More shopping for phones on phones
More shoppers are now researching across all screens - the number of people using mobile phones and tablets to research mobile phones has more than tripled over last year. A third of these shoppers said they use mobile devices to research online while they’re in a store - 47% of people using devices in a store viewed a product description, 39% checked the price at other locations, and 38% looked for discounts or offers. However, while the majority of shoppers research online, most people will still complete their purchase of a mobile phone in-store.

Test driving with video
Online video has grown to become an important source of information for people shopping for mobile phones. People in the market to purchase a mobile phone were 4X more likely to watch online videos about mobile phones than last year. And they’re spending a considerable amount of time watching videos. Thirty-four percent of those that watch videos about mobile phones spent 30+ minutes watching videos during the research process.

We also found that watching videos online drives action:

• 4 out of 10 people who watched an online video about mobile phones visited a store to look at the product
• 20% of people who watched a video shared that video with friends or family
• 79% of shoppers who saw an online video ad about mobile phones looked up the advertiser for more information

Younger shoppers buy more expensive phones
Younger adults spend more money on mobile phones than any other age group - 62% of 18-34 year olds spend $100+ on phone purchases - making them a valuable consumer segment.

What does this mean for your brand?
Based on what we learned about the path to purchase for mobile phone shoppers, here are a few insights for wireless advertisers:

1) New devices seem to drive more purchases year over year so a strong product launch campaign is important to win and retain customers. Make the most of key launch periods by amplifying campaigns across the web - and on all screens.

2) The proliferation of non-exclusive devices seems to have resulted in more switching and cross-shopping, so engage shoppers when they research. Each time a consumer searches on a wireless term (eg. best smartphone) or views wireless content online (eg. cell phone review) is an opportunity to either retain or acquire a customer.

3) Focus on 18-34 year olds since they tend to spend more on phones. Younger consumers tend to be more likely to use digital for both entertainment and research so it’s important to reach them where they spend the most time.

4) Drive consideration and action with digital ads. As consumers spend more time with online video, it can be beneficial to generate demand for your brand with video ads. Consider capturing consumer interest with search ads. In our study, we found that exposure to search ads on category and OEM terms could triple brand consideration compared to those wireless searchers not exposed to ads.

5) Reach prospective customers with search ads on category terms. Potential new customers search differently than existing customers. Shoppers that search on category/non-brand terms are more likely to be prospects than those that search on brand terms.

To download the full research report, visit Think Insights.

Posted by Eva Barbier, The Google Technology Team

*Mary Meeker Internet Trends, Dec 2012

How many times have you started searching for a new pair of shoes on your smartphone while waiting in line, continued your research on your laptop when you got home, and then searched online to find a local store that has those shoes in stock? Today, people no longer see a line between online and offline shopping, and neither do smart retailers. This year online and offline shopping experiences are more seamless than ever before - across pricing, functionality, and promotions - making this the first Nonline holiday season.

Not only is this the first Nonline holiday season, but it’s an important one for retailers as consumers prepare to spend more money -- and spend more time making sure they get the most value for every dollar spent. Our research released today with Ipsos shows that on average, shoppers plan to spend $900 on holiday shopping this year, up slightly from an average of $854 last year. Along with this bump in spending, we’re seeing an increase in research before purchasing by shoppers who are more judicious about their purchases- 46% plan to spend more time shopping around for gifts this year.

Here are the three main trends we see driving this year’s season, and some insights from our survey about how consumers plan to shop:

Online and offline shopping is blurring
We found that 80% of shoppers will research online before making a purchase this season, and they will switch devices to suit their needs. For example, 51% of shoppers will research online and then visit the store to purchase, while 17% will visit a store first and then purchase online. Another 32% will research online, visit store to view a product, then return online to purchase. In short, the shopper’s journey looks less like a funnel and more like a flight map, and the lines between online and offline shopping experiences are blurring.


People are shopping smarter
Shoppers are starting earlier and using more devices to inform their purchases:

• Similar to last season, 54% of consumers will start holiday shopping before Black Friday.
• By the end of Black Friday weekend, 77% of consumers will have started their holiday shopping.

To capture this interest, many retailers are actively promoting holiday deals well before Black Friday.


Mobile devices are now the concierge in every shopper’s pocket - comparing prices, finding a nearby store, looking for offers and coupons.

• 85% of people shop for a gift on one device and then make their purchase on another.
• To do so, 45% will leave an item in the virtual shopping cart, 45% will send themselves an email or link, and 32% will conduct a new search on a new device.

Savvy retailers are stimulating demand on one device and completing a sale on another.

Shopping searches spike on mobile devices on days when people are on the go - out at a Thanksgiving dinner or hunting bargains at the mall. The biggest days for holiday shopping searches on mobile devices last year were Thanksgiving, Black Friday, the day after Christmas, and the weekends in December.


Last year, 62% of shoppers used a smartphone in a store to help with shopping research (Google Ipsos Post Holiday Study, 2011) - this is enabling retailers to inform in-store purchase decisions with a mobile-optimized website or app.

Trusted connections are coming online
It used to be that shoppers and merchants formed connections offline - a salesperson could spark a conversation with a shopper in the store. Now these connections are happening both online and offline. With YouTube and social networks, people are sharing their opinion on products not just with a group of friends, but with millions of people. Retailers are advertising against terms like “reviews” and “haul videos” to promote their message. And for good reason - we found that 13% of shoppers plan to watch online videos to help with shopping research, and 48% will use tablets to read product reviews before purchasing.

Smaller retailers are also building trust with their customers through programs like Google Trusted Stores, which offers a badge for qualified merchants.

To download the full research on holiday shopper intent, visit Think With Google.

Posted by Todd Pollak, Industry Director, Retail, Google

Google and Compete recently completed the Portable PC Shopper Study to better understand the purchase decision journey for tablet, laptop and ultrabook shoppers. Here are a few highlights from our research:

Tablet, Laptop and Ultrabook shoppers are triggered to shop for different reasons.
The top 4 reasons why consumers purchased a device were:

• They wanted a smaller/lighter device (tablets & ultrabooks indexed higher here)
• They needed to replace a lost/broken device (laptops indexed higher)
• They wanted to upgrade their device
• They purchased based on impulse - they just had to have it

Overall, these triggers were pretty even when looking at data aggregated across portable PCs. Ultrabooks & tablets indexed higher against smaller/lighter device and impulse. Laptops indexed higher against replacing a lost or broken device.

When they start shopping, Portable PC shoppers are often undecided on a brand or retailer.


Portable PC Shoppers use digital sources to inform decisions throughout the research process and search is a key resource.


With so many shoppers relying on digital throughout the purchase process, it’s no surprise that visits to websites that sell tablets, laptops and ultrabooks have grown 10% and online conversions have grown 36% year over year!

Portable PC shoppers are also intense online researchers using many different resources, comparing several brands and searching a lot.


Searchers are often undecided with a third starting their search on a category term.
We evaluated how portable pc shoppers searched online and found the following:

• 63% of all search paths included a category term (ie tablet, best laptop)
• 38% of all shoppers and 34% of online purchasers started their search with a category term (ie tablet, best laptop)
• While a third of converters started with a category term, 42% of them ended with a manufacturer term (ie Dell laptop) or a retailer term (ie Best buy tablet)
• We also found that 17% of shoppers exclusively search on category terms. In other words, if a retailer or manufacturer does not appear in either paid or organic results on these term, they miss reaching 17% of researchers

Video viewership has tripled year over year.

The number of shoppers watching online video about Portable PCs tripled YOY. Of those shoppers who watched online video about portable PCs, 44% spend 30+ minutes viewing these during the research process.

Video viewers also take action. As a result of watching videos about Portable PCs:

• 35% visited a store online
• 29% visited a physical store
• 23% searched a store’s availability for that specific product

Online video ads especially drive action: 78% of shoppers who saw an online video ad looked up the Portable PC advertiser for more information

Mobile researchers have grown double digits year over year.
The number of tablet, laptop & ultrabook shoppers researching on mobile devices has grown double digits YOY and a third of mobile researchers have used their phone to shop for portable PCs while in a store.


Here is what they are doing on their phones:

• 36% compare prices and features, read reviews and general product information
• 27% looked up a store they were interested in purchasing from
• 34% used mobile to research in a store. Of those, 40% viewed a product description and 33% looked for discounts
• 70% of mobile shoppers used a search engine to shop for a portable PC

Most purchases occur in-store
While laptop, tablet and ultrabook shoppers research online, most purchases still occur in-store. Well over half of laptop & tablet sales occur in store, and approximately half of those in-store sales are influenced by online research. (Traqline)

Re-engage customer post-purchase to reduce returns & build loyalty
91% of consumers were satisfied with their purchase and most of them would purchase the same brand again. However, 11% of purchasers reported returning their portable PC. When we ask purchasers why they returned their portable pcs, a large portion of returns had nothing to do with a broken device: 40% said it didn’t meet their expectations or they were just dissatisfied with the product. Here are a couple theories why these customers returned their device:

• The brand messaging set expectations that were not met after consumers purchased the product.
• There is a need for more customer education. Technology can be complex and educating customers post-purchase will help increase usage and make them feel like they are getting the most out of their purchase.

Key Recommendations:

1) Portable PC shoppers are often undecided on a brand and they use digital resources to inform decisions. Make digital core to your marketing strategy because consumers are using digital sources to make brand choices

2) Search is a key resource for shoppers and a third of searchers start their search with a category term (ie tablet, best laptop). Influence undecided shoppers with ads in top positions on category terms, ensuring a place in the consumers’ consideration set.

3) The number of shoppers watching online videos about Portable PCs has tripled YOY and 78% of consumers who see a portable PC video ad look up the advertiser for more information. Enhance your online video advertising strategy to reach these consumers.

4) The number of Portable PC shoppers researching on mobile devices has grown double digits YOY. Optimize websites for mobile and reach shoppers with ads on their #1 mobile shopping resource - search.

5) Although most shoppers research online, most purchases occur in-store.
Measure online influenced in-store sales when evaluating online ROI.

6) 40% of shoppers who returned a product said it was because they were dissatisfied with the product or it didn’t meet their expectations. Returns are costly to both OEMs and retailers and bad experiences will influence future purchases. Since a large portion of returns had nothing to do with a broken device, it’s important to deliver on your brand promise and educate customers so they get the most out of their new tablet, laptop or ultrabook. Apple does a great job with this by hosting classes and giving customers easy access to Apple experts. We’ve also seen some brands & retailers educate customers through online video tutorials and product reviews.

Posted by Eva Barbier, The Google Technology Team

Source: Google/Compete Portable PC Study Sept 2012

It’s no secret that the way consumers shop today has fundamentally changed. Purchase decisions are highly researched and much more calculated than they were ten years ago. According to a 2011 Google/Shopper Science study, the number of sources used by any shopper for any average shopping occasion is now up to 10.4. This is nearly double the amount used as recently as 2010!

So what’s the impact to furniture retailers? According to Forrester research, 6% of furniture sales will be e-commerce by 2016, and 60% of all furniture sales will be online-influenced. To better understand the role that online plays in furniture shopping, we investigated into how digital and mobile influences the furniture purchase path. Check out this infographic to see some of our key findings:

Stay tuned for more great insights into the furniture category, including data around the consumer's online path to purchase, later this year.


Posted by Jacalyn Stolt, Google Retail Team

(Cross-posted from the ZMOT Blog)


As Woody Allen opens, showing up is a big part of life. And as we’ve seen with the Zero Moment of Truth, showing up with at the right place with the right content is a big challenge in today’s marketing landscape. To help marketers apply the principles of the Zero Moment of Truth, we’re introducing The ZMOT Handbook, a new online resource that shows exactly how to show up at the right place with the right content and win shoppers. You can download the ZMOT Handbook right now, right here.


This new book is the much-requested followup to Winning at the Zero Moment of Truth, the 2011 ebook that's been downloaded over 200,000 times. While ZMOT is being universally embraced as the new critical moment for brands, many marketers are wondering how to get started. The ZMOT Handbook provides practical tips on how to apply ZMOT principles to your marketing strategy, along with detailed insights from Todd Pollak, Google's Retail Industry Director, plus other Google and industry experts. You'll learn how to:

• Multiply your impact at ZMOT by going multi-screen
• "Point the way to your store" on mobile devices
• Make sure you have the right ZMOT content for the right customers
• Stay ahead of the tablet explosion and be a leader in "T-Commerce"

You'll also find extensive tips on advertising issues, like brand vs. non-brand keywords and managing bids instead of budgets to get clicks with the ROI you need. Here's a sample from The ZMOT Handbook:

77% of viewers use another device while they are watching TV.

If you want to make a splash at ZMOT, go multi-screen.

That was the message from a recent Google study, where we looked at all the screens consumers use over the course of a week. We found that a full 90% of all media interactions are now screen-based: they take place on a smartphone, laptop, PC, tablet or TV. Radio and print now account for only 10%.

Consumers are now fluent at toggling their attention across screens. That means marketers have the opportunity to stimulate on one device and spark a visit to ZMOT on another.

...If you’re ready to crack the nut of multi-screen campaigns, here are some ways to start:

✔ Make sure your brand messaging is consistent across TV, tablets and mobile phones. Think about the call to action in your TV ads: Does it promote discovery at ZMOT?

✔ Make sure your site loads quickly and clearly on any mobile device. 80% of customers will abandon a mobile site if they have a bad user experience, according to Google’s recent Mobile Playbook. Don’t have a mobile version of your website yet? That’s a great place to start. Creating one is one of the best steps you can take to win local users.

The ZMOT Handbook provides more than 50 sturdy pages of tips and ideas on how to do your very best at ZMOT. And like the original, The ZMOT Handbook is absolutely free.

Are you ready to start showing up at ZMOT? Download the handbook now.

(cross-posted on the Google Mobile Ads Blog)

Retailers are largely focused on how consumers are shopping across channels and devices. We know consumers love their mobile and tablet devices, but we are just beginning to develop a strong understanding of how they engage with these devices as they make their purchase decisions. To gain greater insight into this key behavior, we partnered with Ipsos during the 2011 holiday shopping season to study online shoppers. We uncovered a number of interesting consumer behaviors across desktop computers, smartphones and tablets. The powerful data we uncovered can drive best practices for advertisers at every holiday and year round.

The first key mobile insight every advertiser should know is that consumers use their smartphones at many different points in their purchase path. 41% of those who used their mobile phones to help with shopping said they made a purchase directly on their smartphone. 46% said they researched an item on their smartphone then went to a store to make their purchase. 37% said they researched an item on their smartphone then made their purchase online.


Another key mobile insight that emerged is that consumers used all three devices throughout the research process, but some activities were more popular on specific devices. Consumers who owned tablets read product reviews and looked for product information more from their tablet devices than from their desktop computer or smartphone. This is likely due to the combination of the large screen and portability of the device that enables consumers to use it more often and in more places. Consumers are carrying tablets with them to the couch, while in the kitchen, and even to bed.

Not surprisingly, more consumers used their smartphones to contact a retailer. With the natural calling ability of phones and many click-to-call phone numbers on websites and in ads, smartphones make it easy to contact retailers, whether to see if the store has the product in stock, get directions or find store hours.


While the 2011 holiday season is now firmly behind us, it’s clear that smartphones and tablets are only going to become a bigger part of the consumer shopping experience. Among consumers that used their devices to shop last year, 80% of smartphone shoppers and 70% of tablet users said they used their device more frequently this year.

To stay ahead of this shift in consumer behavior, advertisers need to make sure they have a mobile optimized site, make it easy for customers to reach them with click-to-call and deliver a seamless experience between online and offline in-store. It’s the advertisers who engage with their customers across all three devices that will have a distinct advantage in 2012.

To learn more about consumer shopping behavior across the desktop computer, smartphone and tablet and view a full report on Post Holiday Learnings for 2012.

Posted by: Dai Pham, Google Mobile Ads Marketing

Between my husband and I, we have 14 devices that connect to some type of wireline service. And with a new batch of cool gadgets clamoring for our attention during the holiday season, that number is sure to grow. Not just for us, but for the millions of other consumers lining up to buy TVs, tablets, laptops and so on.

On Black Friday this year, nearly 40% of shoppers purchased electronics and TV purchasers increased by 30%. With all those new, shiny and sleek electronics flooding the market, many consumers are looking to upgrade their current wireline services.

So what good is the piece of hardware without the service provider to deliver the content? And, more importantly to the bottom line of cable TV, high-speed internet and home phone service providers, how are consumers finding the information to make those purchase decisions?

In Google’s new custom research study with Compete, we looked at the surprising and powerful role digital and mobile play in influencing wireline service shopper behavior.

Online presence and Search are the keys to the consumer’s wireline decision process.
The two most-used resources are: provider websites and search engines, in that order. And in terms of most-useful resources, search engines are leading the way, ranking higher than customer service reps and provider websites.

Recommendation: Almost half (49%) of online conversions were directly referred by paid ads, and 50% of all search queries happen on the day of conversion for online purchasers, so maintaining a constant digital presence is vital to reach these in-market consumers.

Customers are looking for the best price, and are willing to wait for it.
We found 20% YoY growth in “deal” queries for wired services. 40% of online purchasers cross-shopped and visited two or more provider websites prior to conversion. And 66% take longer than a week to research the best deal and make a purchase.

Recommendation: Include comparison and “deal” keywords in your mix and keep creative centered around your value proposition. And utilize remarketing to capture consumers who don’t immediately convert on your site.

Mobile researchers are on the rise.
One in 5 wireline service shoppers used a smartphone or a tablet to help them shop, and search is the most popular mobile resource. Not only is the mobile audience growing, but they are potentially a more valuable audience for wireline service providers as they are less price-sensitive and more interested in specific service features than non-mobile shoppers.

Recommendation: Mobile researchers are 20% more likely to purchase via a phone call, so advertisers should use click-to-call ads to make it easy for shoppers to connect with them. And ad creative should focus on features rather than price for this more-sophisticated audience.

Don’t sleep on “generic” queries.
An average of 18% of search queries made at every stage in the purchase cycle were non-brand queries. Even on the day of conversion, almost 1 in 5 search queries is not attached to a brand or service provider.

Recommendation: Advertisers should maintain a consistent presence on non-branded and generic terms to capture all in-market shoppers.

For more information, you can download the full study here.

Posted by Kristin Sutter, The Google Technology Team

‘Tis the season for toy shopping. Fijit Friends, Leap Pads, Monster High Dolls, and of course, Lego, Barbie, and American Girl Dolls are top of the list this year.

We’ve already seen toy queries increase 38% in 2011 versus 2010. And we all know that November and December are key times for toy shoppers (see query trends here). As the online channel becomes increasingly influential, many toy retailers and manufacturers are asking how to best reach these shoppers.

We’re excited to announce that Google and Compete recently completed a custom study on the Toy industry, investigating how digital and mobile influences toy purchase decisions. Here are 4 key insights and recommendations on how marketers can reach toy shoppers this season!

Digital is core to the toy buying process: Digital resources are used more throughout the toy purchase cycle than traditional sources. 43% of shoppers use video sharing sites, 39% visit manufacturer websites, and 39% rely on paid search for information on the latest and greatest toys. And, shoppers turn to digital after seeing a tv commercial or store circular; most shoppers research online within one week of offline ad exposure.

Recommendation: Make digital a core element of your marketing mix, and align your online campaigns with your offline media plan.

Category terms are crucial for reaching toy shoppers in Q4: Many toy shoppers are undecided. In fact, almost 30% of shoppers search only on non-branded, category terms. These terms play a huge role in assisting conversions. When considering online conversions. 30% were assisted by category terms.

Recommendation: Guarantee coverage on these terms to reach those undecided shoppers this holiday season. Ensure that category terms are included in your keyword mix

Toy shoppers research and cross shop: Toy shoppers begin researching two weeks prior to purchase and those that convert search more (on average, 8.2 queries). Toy consumers also tend to shop around: 40% visit more than four sites.

Recommendation: Re-market to customers who don’t immediately convert on your site.

Retailers dominate in the research and purchase process: Consumers turn to retailers the most when shopping! 50% of consumers start with a retailer term when shopping for toys, and of those, 84% end with a retailer term.

Recommendation: Toy Manufacturers should partner with retailer to ensure they are the brand that wins, especially during the pivotal holiday season.

Be on the lookout for our complete toy study and presentation to be delivered shortly. In the meantime, Happy Toy Shopping!

Posted by Amy Lovin, The Google Retail Team

Approximately 19% of footwear purchases occurred online in October and online footwear purchases are up 14% year over year, the 23rd month of consecutive double digit growth! (Mastercard) The online channel is increasingly influencing footwear shopper decisions leaving many footwear brands and retailers asking, "How do I best reach these shoppers online?".

We’re excited to announce that Google and Compete recently completed a custom study on the footwear industry, investigating how digital and mobile influences footwear purchase decisions. Here are 6 key insights and recommendations on how marketers can better reach these shoppers:

Digital is core to the footwear purchase process: 37% of people who have researched footwear online solely rely on online resources when shopping for footwear. This means that they did not use other sources like TV, Magazines or even advice from family & friends while researching/shopping for shoes.

Recommendation: Ensure digital is core to your media mix and that your digital campaigns align with your offline campaigns or you'll miss reaching a large portion of footwear shoppers.

Footwear buyers cross-shop online before purchasing: Prior to purchasing online, footwear buyers visit an average of 2-4 competitive sites and 45% wait to purchase 2 weeks or more after starting their research.

Recommendation: Re-market to customers who don’t immediately convert on your site and adjust your attribution windows to capture those that are starting their research 2 weeks prior to conversion.

Shoe shoppers use search throughout the shopping process: 43% of shoe shoppers use search throughout the purchase process and 39% of online footwear sales from searchers came from clicks on search ads.

Recommendation: Implement paid search coverage throughout buying process, optimizing ad text to drive immediate sales.

Footwear shoppers search in thousands of different ways: Footwear shoppers conducted 25K+ unique query paths using category, manufacturer and retailer queries. However, we found that 18% of all query paths only contained category terms (ie shoes, boots), meaning these shoppers never searched on manufacturer or retailer terms. If footwear retailers and brands aren’t appearing in search results on category queries, they are missing nearly 1 in 5 footwear shoppers! Footwear Category terms also drive online purchases. In the study, they represented almost 20% of online purchase assists and 15% of last click purchases.

Recommendation: Invest in footwear category terms to acquire undecided customers. Manufacturers and retailers should partner and dedicate co-op funds to assist in achieving a high position in paid search results. These ads should push manufacturer brand sales at retail via ad text messaging and landing page. It's a great strategy because both manufacturer and brand will increase awareness among undecided customers while splitting the cost of the CPC!

Searchers are more likely to purchase offline than non-searchers: 43% of searchers said they ended up making a purchase in-store while only 36% of non-searchers purchased in store.

Recommendation: Measure search influenced in-store sales and incorporate into your ROI metrics

Mobile allows pureplays & manufacturer online stores to compete in-store: 24% of respondents who used their mobile device to shop for footwear, used it in the store. While shopping in-store on mobile devices, price comparison and coupon searching were the two primary uses for mobile devices.

Recommendation: Ensure your site is optimized for mobile phones and use mobile ads to influence customers across channels.

For more information on our footwear shopper study, download the full presentations here:

• Footwear Path to Purchase and How Shoppers Search
• Online Cross Shopping Behavior for Footwear
• How Search Drives In-Store Sales for Footwear
• Category Insights on the Footwear Shopper

Posted by Eva Barbier, The Google Retail Team

(cross-posted on the Google Mobile Ads Blog)

Tablets have quickly emerged as a distinct third digital screen in consumers lives that fill the gap between desktops and smartphones. But there are still many open questions about exactly how consumers are using them. We explored tablet search trends earlier this year, but wanted to dig deeper and answer key questions such as: What are the contrasts between tablet use, laptop use, and smartphone use and how are consumers engaging across these devices? What are the most common activities (playing games, searching, reading, etc.) that tablets are used for? What ads are most relevant and useful based on how people are using the devices?

Tablets are for fun, entertainment, relaxation, while laptops are for work
One of our studies, a diary study that had people record every occasion that they used their tablet over a two-week period, found that most consumers use their tablets for fun, entertainment and relaxation while they use their desktop computer or laptop for work. Tablet devices are personal - 91% of the time that people spend on their tablet devices is for personal rather than work related activities. When a consumer gets a tablet, we’ve found that they quickly migrate many of their entertainment activities from laptops and smartphones to this new device.

Tablet owners are building the device into their daily routine. Our research found that the most frequent tablet activities are checking email, playing games and social networking. We also found that people are doing more activities in shorter bursts on weekdays (e.g. social networking, email) while engaging in longer usage sessions on weekends (e.g. watching videos/TV/movies).

Tablets are multi-tasking devices with at least 42% of activities occurring while doing another task or engaging with another entertainment medium. Of all the activities that people do on tablets, checking email, playing games, social networking and searching are the ones most frequently done in front of the TV. Many consumers also used their tablets to check email while eating, and listen to music while cooking.

The activities shown in the above chart were self-reported by respondents.

Tablets primarily stay home, few travel
But unlike smartphones that go everywhere and laptops that travel between work and home, few consumers take their tablets with them when they leave the house. However, consumers do take their tablets on vacation or work trips where they use them as a laptop replacement and a small number take them on their commute. Interestingly, our recent research found that tablets are for the most part a one-person device, although there are consumers who share their tablet with other family or household members.

Tablets are, however, mobile within the home, with the highest usage taking place on the couch, from the bed and in the kitchen.

The activities and locations shown in the above chart were self-reported by respondents.

Consumers are shopping on tablets
Many consumers do a lot of window shopping on their tablet and our data shows that they are making more and more purchases on their tablet devices. Indeed, tablets figure to be a significant new way for people to be shopping this holiday season. While shopping they are engaging with familiar brands through social media sites, deals discounts, and navigating directly to trusted shopping sites.

We also found that people are using their tablets for activities that they are also doing in the real world, such as searching for something in their local area, shopping (browsing and purchasing), and managing finances.

For many people, websites and apps designed for smartphones just don’t cut it on tablets. Instead consumers are taking advantage of the bigger screen and prefer using fully featured apps and the full desktop sites on their tablet.

We found that some of those activities also extend to additional devices (e.g. smartphone, laptop, etc.). These activities included shopping (both browsing and purchasing), searching for information, managing finances, checking the calendar and checking email.



Consumers don’t view ads differently on tablets, but they do expect more interactivity
Consumers are engaging with useful, relevant and rich ads that take advantage of the touchscreen interface on tablets. Some consumers expect more interactivity from ads on tablets than they do from ads on their desktop computer.

We believe that tablet ownership will continue to rapidly grow in 2012 and that tablet usage may change over time, particularly as smaller devices come on the market. We plan on continuing to conduct research to understand consumers’ uses of their tablet devices and are excited to share these research insights with you.

Posted by: Jenny Gove and John Webb, User Experience Research, Mobile Ads

If Halloween didn’t scare you enough this year, the fact that holiday shopping has already begun is sure to be a hair-raiser. Over half of polled shoppers fresh off of their sugar highs have taken to the Internet to search for [Christmas gifts] this season.*


Additionally, according to Compete’s Holiday Insights™ survey, early gift seekers prefer the online channel and tend to spend more generously.* There are still days to reach early shoppers, as 50% of Holiday purchasing will start by Black Friday.**


Top and rising searches on Google indicate that these industrious shoppers are strategizing shopping plans around [black friday] and upcoming sales.


What are proactive shoppers searching to buy?
Traditional gifts like clothing and tech gadgets are always appreciated, but this year’s predicted new breakout category is jewelry, with 57% of shoppers planning a jewelry purchase.** We see a particular interest in [watches] this month relative to the gems and jewelry category.


How are these gifters shopping?
It is no surprise that consumers are “going mobile” this year. NRF’s 2011 Holiday Consumer Intentions and Actions Survey states, “53% of those who own a smartphone will use their device to research products, redeem coupons, use apps to assist in their purchase, and purchase holiday gifts and items”. Tablets will also have a strong presence this year according to Shop.org’s eHoliday 2011 pre-holiday survey, with 46% of consumers planning to purchase gifts on this device.

Social and deal-centric sites will play an increasing role in Holiday shopping this year. The largest jump will be attributed to social networking at a 8% increase over last year.**


Let’s not underestimate the strong influence various traditional consumer considerations continue to impact shopping choices. Free shipping continues to be a highly compelling selling tool, affecting 32% of surveyed participants’ purchase decisions.***

Graphic by Infographics***

What can I do to target early shoppers?
Retailers that focus on building mobile & tablet friendly presence aligned with existing purchase channels will facilitate the shopping experience and likelihood of a conversion. Additionally, ensure consumer consideration by generating awareness across review site and interest categories. Finally, capture hand-raisers with enticing holiday messaging across both mobile and desktop search campaigns.

The Google Retail Team sends our best this Holiday Season! All we want for Christmas is for your cash register bells to ring loud into the New Year.


Posted by Julie Krueger, The Google Retail Team Big-Box Industry Director

*Compete, Holiday Insights™Survey
**Google/OTX Holiday Intentions Survey
***Infograhic, “How Much Money Will Consumers Spend This Holiday Season?”

Example of a presentation ready chart on ourmobileplanet.com

Advertisers often wonder whether search ads cannibalize their organic traffic. If search ads were paused, would clicks on organic results increase, and make up for the loss in paid traffic? Google statisticians recently ran over 400 studies on paused accounts to answer this question.

In what we call “Search Ads Pause Studies”, our group of researchers observed organic click volume in the absence of search ads. Then they built a statistical model to predict click volume for given levels of ad spend. This model generates estimates for the incremental clicks attributable to search ads (IAC), or in other words, the percentage of paid clicks that are not made up for by organic clicks when search ads are paused.

On average, the incremental ad clicks percentage across verticals is 89%. This means that a full 89% of the traffic generated by search ads is not replaced by organic clicks when ads are paused. This number was consistently high across verticals:


You can find a video on the study here. The full study can be found on research.google.com.


Posted by Lizzy Van Alstine and David Chan, The Google Quant Management Team