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E-Commerce Traffic: Where Are the Customers?

E-Commerce (1)

In today’s world of ecommerce, marketing has become more and more democratic in the sense that, even small and medium sized ecommerce companies can apply the exact same strategies that big brands apply and can gain significant returns from it.

The ecommerce traffic does not solely rely on SEO or offline marketing spending any more, but instead, social media for example, offers wide opportunities.

It’s just the right time of the year to publish the-state-of-the-art reports on ecommerce market and Yotpo (which topped our “Best Shopify Apps” list a while ago) just did that by publishing their Ecommerce Benchmark report, which gathered data from across more than 100.000 ecommerce sites and around 2 billion online transactions.

In today’s blog post, by drilling down the report, we’ll share a brief overview mainly on the state of the ecommerce traffic and which marketing channels generate and convert how.

Traffic Quality and Quantity of Various Marketing Channels

Social channels are surely a marketing weapon for all sizes of ecommerce companies.

However, conventional traffic channels, being direct, search and referral still beats social traffic significantly.

The average share of direct traffic in ecommerce is around 40%, where search covers around 35% and referral, almost 10%. (See the pie-chart below.)

This still does not deny that social is an important channel, because there is another dimension of the traffic, being its quality, i.e. the engagement level of the visits.

Social traffic, and especially traffic from Instagram is beating other traffic sources like direct, referral or email with its quality, measured as average time spent on site. (See the chart below.)

Non-Mobile vs. Mobile Traffic and Page Views

Non-mobile traffic is still ahead of mobile.

However the gap between is closing fast, year on year.

Currently, mobile traffic accounts for 38% of ecommerce traffic, and it’s getting more and more important, or actually crucial, to set up a mobile commerce strategy as part of the overall omnichannel planning of ecommerce in 2016.

Otherwise, ecommerce companies who fail to feed those visitors coming from mobile will be losing off a major opportunity.

The Action Plan

As it can be clearly seen from the report, social media marketing brings high quality visitors to ecommerce sites. Therefore, gearing up towards a more active social media strategy should be definite must for ecommerce companies of all sizes in 2016. Here, we do not solely mean, just tweeting or posting on Facebook occasionally, but instead really keeping up an active voice in all channels including Instagram and also the rising social star of ecommerce, Pinterest.

Mobile is no longer a nice-to-have, even if you are a small or medium sized ecommerce companies.

Not having it causes companies to simply lose almost half of their potential sales, due to the increasing share of mobile traffic in total ecommerce traffic. Therefore, mobile commerce should be topping the list of to-do’s in all ecommerce executives agenda for 2016.

Generating traffic is tricky, and then comes another challenge : converting those visitors.

More than half of the ecommerce visitors, make their purchasing decisions by comparing prices online, so ecommerce companies of all sizes should be geared up for that channel.

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