RSS feed Get our RSS feed

News by Topic

BizReport : Ecommerce archives : May 18, 2010

Report: Search paying off for retailers

Online retailers, chain stores and even catalog companies are quickly learning more of the benefits of search, at least according to a recent Internet Retailer report. Researchers polled more than 100 online-only retailers, stores and brands and found that 25% of traffic is coming on-site thanks to either natural or paid search.

by Kristina Knight

internetretailer.gifHere are the details:
• Paid search: one-quarter of merchants report that 25% of traffic comes from paid search
• Natural/Organic search: 51% of merchants report that 25% of traffic results from natural search
• Nearly 45% of merchants report PPC conversion rates have increased
• Nearly half of merchants report that about one-quarter of their online sales result from search campaigns
• The bulk of online merchants are using at least half of their ad budgets on search plans

And, although most search traffic continues to come from Google's engine, other engines are showing higher conversion rates for search campaigns. According to comScore metrics Google accounted for about 64% of all searches in April. Closest competitors Yahoo (17% of search queries) and Microsoft's Bing engine (11% of search queries) fall far behind in the number of queries.

But Microsoft's Bing engine, according to one expert, is ">sending more engaged traffic. How do they know this? Because more consumers are converting from Bing's engine than from Google's.

And one more trend: image clicks. As consumer's search habits have evolved so have their tastes in what engages them. For many consumers simple text ads are not enough, which is pushing more e-tailers to incorporate images with search query results. More than one-third of merchants are now trying to incorporate images in search with another 40% saying they have plans to quickly jump to the image-search ship.

Just how big is the click-thrus change? Online merchants note they are seeing between a 5% and 20% increase in click-thrus when using images versus simple text.

Tags: comScore, ecommerce, Internet Retailer, online merchants, online shopping, organic search, paid search, ppc campaign

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.