Two Thirds of Online Companies Ignoring 'ReMarketing' Revenues
Surrey, 30 March 2007 – Online companies are making a big mistake by not targeting shoppers who have ditched baskets and left websites empty-handed, according to ‘The case for re-marketing’ discussion paper from CheetahMail, an Experian® company.
CheetahMail’s research found that 30 per cent of UK shoppers who abandon baskets would go back online and complete their purchases if something as simple as a small discount or free postage and packing offer was e-mailed to them. Yet only a third of shoppers, who have left a website empty-handed have ever received a permission-based email with such an incentive.
The reality is that 41 per cent of the UK’s 25 million (IMRG, December 2006) online shoppers admit to regularly getting all the way to the checkout, only to abandon their basket for no apparent reason. In its latest discussion paper, CheetahMail examines ‘re-marketing’ tactics and how best to use them to maximise ROI.
Matt Potter, Head of Client Services at CheetahMail UK and lead author of the discussion paper, commented: “When you put these statistics into context, it’s hard to comprehend why more companies aren’t employing re-marketing techniques when there’s clearly a huge revenue opportunity just waiting to be tapped into. It’s a no-brainer.”
The case for re-marketing
While empty shopping carts are unavoidable, it is clear that companies can keep these to a minimum by using re-marketing. Website analytics give online stores a major advantage over their high street counterparts, in that they can tell precisely where a visitor dropped out of the buying process.
CheetahMail asserts that re-marketing is a simple, but highly effective way of maximising ROI, and can be used in a variety of ways. Used in conjunction with web analytics data, companies can quickly send highly targeted permission-based follow-up emails to customers who abandoned baskets, e-mail reminders about existing shopping baskets, through to e-mail promotions specifically targeted at browsers.
According to CheetahMail, companies that ignore re-marketing are doing so at their peril, as the projected value from it is immense.
Aside from opening up a new revenue stream and reducing list fatigue, conversion rates are estimated at five to 10 times higher than those of broadcast mailings (CheetahMail testing and analysis) and revenue is estimated at three to nine times higher than what is yielded from broadcast mailings (Jupiter 2005).
Potter concluded: “Every business should take a long, hard look at itself and ask itself whether it’s taking re-marketing seriously. There’s simply no room for complacency in today’s highly competitive online environment.”
To download a free copy of ‘
The case for re-marketing’ discussion paper from CheetahMail, please
click here.
About CheetahMail
Experian CheetahMail is the trusted service provider of online marketing solutions for top enterprises worldwide. Offering industry-leading email marketing and customer intelligence solutions, as well as providing a broad range of client services, Experian CheetahMail enables clients to build data-driven, relevant relationships with their customers. Servicing the world’s most recognizable brands, Experian CheetahMail’s globally diverse client base includes Barclays, Borders Books, Discovery Communications, H&R Block, KLM, Sears Holdings Corporation and Wyndham Hotels. Experian CheetahMail, a business unit of Experian® Group Ltd. (LSE:EXPN), was founded in 1998 and is headquartered in New York City with offices in Los Angeles, San Francisco, London, Dublin, Amsterdam, Paris, and Barcelona.
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