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  • Writer's pictureRick Kenney

Benchmark Best of... Traffic

Updated: Jan 10, 2022

In the pursuit of commerce growth, brands and retailers influence two shopper actions: traffic and spend. Influencing shopper spend is the product of conversion and order value - and while sounding simple, is easier blogged about than done.

Delivering traffic, though, is a headline and budget-grabbing topic that touches nearly every role across the commerce organization. Whether improving owned-marketing channels like email and SMS, or finding new ways to deliver organic traffic, this year’s ‘best of … traffic’ runs the gamut of across the heart of traffic.

Into the Unknown

As they say, keep your loyal shoppers close and your anonymous shoppers closer. While you don’t know most of your visitors; 75% of all your site visitors are anonymous, this group makes up 82% of all visits. By a landslide, the number of unknown shoppers carries site traffic. But don’t let that discourage you. A closer look reveals that there is some very encouraging news — you know more about the unknown than you might think.

It turns out that the returning anonymous shoppers are big consumers – this group of 11% of visitors delivers 30% of all of your visits. There is a massive amount of potential wrapped up inside those mysterious repeat visitors.

An Emerging Middle Class of Sellers

2021 was a breakout year for marketplaces, as commerce leaders reluctantly embraced the model that has confounded them for years. If you can't beat 'em, and you've already joined 'em, maybe it's time to also build it. And, for those looking to drive more traffic, cozying up to third party sellers delivered terrific gains. The profile of those sellers has also evolved. Sellers aren't faceless factories of low-price accessories - in fact, the niche and boutique sellers are showing significant signs of growth. As recently as 2020, the largest sellers - the top 25% by GMV - drove 93% of all marketplace GMV. Share-shifting is underway, though, brought on by marketplace growth and maturation.

Tapping Back and Forth

Every tap tells a story. Beyond comments and likes from posts, Insta-followers have the chance to vote with their thumbs within stories. Tap-back to see it again, or tap-forth to exit the frame. Looking through this lens, beauty brands deliver more engagement than other verticals. But, engagement rates vary - each tap providing a unique fingerprint on how followers are consuming your content.

Asking a Better Question

The worst question in email marketing: "how often should I send?" Instead, ask 'when' to send. By far messages that react or anticipate shopper behavior perform far better, with double the click rates and open rates far beyond their promotional peers. By finding and engaging at the key moments, marketers act with relevance, and forge a far more productive relationship.

Seller Lifetime Value

Customer lifetime value is a classic concept that is always in style. The theory of customer value evolves across business models and can be applied more widely, across the commerce landscape. Case in point, the latest must-measure-metric for marketplace operators: seller lifetime value. Just as retailers measure the value of the customer through the tried and true lens of lifetime value, a similar approach applies to the seller - seller lifetime value. SLTV measures the lasting value of the seller relationship.

More best of's...

Best of ... Customer Experience.

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