Convenient Return Process Critical in Retaining Shoppers

According to the fifth annual consumer returns survey commissioned by Newgistics, Inc. and conducted by Harris Interactive, nine out of 10 direct shoppers cited a convenient returns policy as very important, important or somewhat important to encouraging them to shop with a new or unknown online or catalog retailer. 68% said the ability to make a return from home was very important or important when deciding whether to shop with an online or catalog retailer.

The survey revealed that, in 2007, 64 percent of adults report having ever shopped online, an increase of 10 percent since 58 percent in 2006, and 51 percent in 2004.

Retailers that don’t offer a hassle-free returns experience for shoppers may find it difficult to retain customers. 69 percent of direct shoppers said they are NOT likely to shop again with a direct retailer if the return process is inconvenient.

Jennifer Melzer, director of customer experience at Road Runner Sports, notes that “Our customers have a lot to do during the holiday season… the least we can do is make the returns process hassle-free for our customers during the holidays and all year long.”

(c) 2007 MediaPost Communications, 1140 Broadway, 4th Floor, New York, NY 10001

A look at the future for many industries?? A recommended read by: Drake Morton

Could traditional three-tier distribution be a thing

of the past for other Industries as well?

Business Week:
A federal court case filed in Seattle is challenging the three-tier distribution system requiring alcohol makers to sell to wholesalers, and wholesalers to sell to retailers as outdated and anticompetitive. Costco Wholesale won an antitrust lawsuit challenging its home state’s three-level arrangement in 2006. The state appealed, arguing that the 21st Amendment ending Prohibition gave states the authority over alcohol regulation.

The Ninth Circuit Court of Appeals is expected to rule on the case soon. The decision could have widespread ramifications for every group with a stake in the beer and wine industry. Brewers and wineries nationwide could eventually gain the power to sell their products directly to retailers. Distributors and state tax collectors could lose substantial revenues.

Costco is pushing for the right to buy beer and wine just as it does soap or flat-screen TVs–bypassing middlemen and negotiating big discounts from manufacturers. Distributors say the current system fosters choice for consumers, while avoiding the excesses of a century ago. “This is alcohol; it’s not toothpaste,” says Phil Terry, CEO of Monarch Beverage, Indiana’s largest distributor. (more…)

How Did Consumers Trend on Internet / October and November 2007?

Prior to shopping, 25.8 million unique visitors went to coupon category sites in search of deals, lifting the category 27 percent over the previous month’s level. Black Friday promotion sites such as BlackFriday.info (3.3 million visitors) and BFAds.net (5 million visitors) garnered traffic. Other sites capitalized on the Cyber Monday phenomenon. CyberMonday.com received 809,000 unique visitors in November, close to 3,000 percent over previous reporting.

Understanding how Teen and Tween Media Behavior Differ

“Drake Morton believes, knowledge is power”

The Nielsen Company announced some of the findings of an in-depth study, “Kids on the Go: Mobile Usage by U.S. Teens and Tweens,” on the mobile media and cross media behavior of U.S. “tweens” (ages 8-12), finding that 5% of tweens access the Internet over their phone each month.

While 41% of tween mobile Internet users say they do so while commuting or traveling (to school, for example), mobile content such as the Internet is also a social medium for this audience. 26% of tween mobile Internet users say they access the web while at a friend’s house and 17% say they do so at social events.

The report estimates that:

35% of tweens own a mobile phone
20% of tweens have used text messaging
21% of tweens have used ring & answer tones

According to the report, young mobile users are also turning to their phones for in-home entertainment:

58% of tweens who download or watch TV on their phone do so at home
64% of tweens who download or play music on their phone do so at home
56% of tweens who access the Internet on their phone do so at home
(more…)

Drake Morton Must Read

Apple Signs Film Deal with Fox Studio

By Matthew Garrahan in Los Angeles and Kevin Allison in San Francisco

Published: December 27 2007 00:07 | Last updated: December 27 2007 00:07

Apple has signed News Corp’s 20th Century Fox studio to a new online video-on-demand service in a deal that could change the way people pay for online film content.

The agreement will allow consumers to rent the latest Fox DVD releases by downloading a digital copy from Apple’s iTunes platform for a limited time, according to a person familiar with the situation.

Walt Disney is the only Hollywood studio selling its new releases on iTunes but these are available to buy rather than rent.

Paramount, Metro-Goldwyn-Mayer and Lionsgate sell older library titles.

The Apple-Fox deal, likely to be announced at the Macworld show on January 14, has the potential to transform film distribution.

(more…)

Do you know the words your potential customers use to describe your product or service?

When it comes to Search Engine Optimization, your understanding of what search words and phrases your potential customers will use, is absolutely essential to the success of your site.

Take some time and think it through.

This article is recommended by: Drake Morton 

Writing For Search Engines Is Really About Writing For Your Customers

by Ambar Shrivastava , Friday, December 21, 2007 

 

SEARCH ENGINE OPTIMIZATION IS SOMETIMES characterized as a practice that panders to an algorithm. In reality, an increasing number of potential customers and readers are using search engines to find content. It’s a misnomer to say that SEO is about writing for search engines. Content generation is really about writing for your customers. 

 

According to Nielson / Net Ratings, 46% of Web sites are found through search, and 55% of all online purchases result from Web sites found through search engines. Savvy SEO professionals think about content creation as writing for this audience. 

 

(more…)

“The demand for email marketing products and services is large and growing, driven by organizations’ desires to leverage the efficiency and effectiveness of this marketing channel. According to Forrester Research, the size of the U.S. email market for technology and services related to integration, strategy, delivery, creative and analytics is expected to grow from $2.3 billion in 2007 to $3.5 billion in 2010, representing a compound annual growth rate of 15%. We believe these segments of the market will grow at a higher rate due to increased outsourcing to email providers as well as growth in event-triggered email communications. Additionally, we believe our total addressable market opportunity will be larger as organizations embrace emerging one-to-one marketing technologies such as short messaging service, or SMS, really simple syndication, or RSS, web landing pages and voice automated solutions.”

Thank you MediaPost Communication

(c) 2007 MediaPost Communications, 1140 Broadway, 4th Floor, New York, NY 10001

In its fourth annual survey, GiftBasketsDeluxe.com finds that 60% of holiday gift baskets were sent using the term “holidays” on the gift card as opposed to “Christmas.” The company says it’s a “stark reversal” of the previous three-year trend. The percentage preferring “holidays” was:

 

In 2004, 58%

 

In 2005, 43%

 

In 2006, 27%

 

In 2007, 60%

 

“The most surprising element of this test is the huge swing from last year,” says Don Crowther, president of GiftBasketsDeluxe.com. “For something to more than double in one year indicates that a major factor has changed.

 

 

“Perhaps it is because of the election season (note that the previous high was in 2004, a national election year), or perhaps it is due to the increasing sensitivity to other cultures and their holiday celebrations.”   

 

 

 

Up 18 Percent Versus Year Ago, As Retailers Prepare for Final Week of Pre-Christmas Shopping

Online Spending Growth Soft among Households Making Less than $50,000

comScore, Inc.toady released this press release. Looking at the digital world, today released an update of holiday season e-commerce spending for the first 44 days of the November – December 2007 holiday season (November 1 – December 14). More than $22 billion has been spent online during the season-to-date, marking an 18-percent gain versus the corresponding days last year. Monday, December 10 reached $881 million in sales (up 33 percent versus last year), registering as the heaviest online spending day of the season and the heaviest online spending day on record.

69.4% say they would rather give than receive
70.9% like it when employees wish them a “Merry Christmas” while shopping
92.6% feel malls, stores and parks should be allowed to display the Christian Nativity Scene

Regarding mood of the consumer this year:

56% say they will be looking for sales more as they Holiday shop
59.1% will be spending less this year than in Holidays past
47.7% feel that compared to one year ago it is becoming harder to pay monthly bills and are living paycheck to paycheck??

Other key findings regarding the Holiday season (of those who participate in gift giving/receiving during the Holidays):

82.4% say gift cards are a smart gift alternative for people they don’t know well
10.5% have “re-gifted” gift cards received
22.5% have “re-gifted” gifts received
22.7% like to exchange gifts for things they would rather have
13.5% have received gift cards that they’ve never redeemed
16.1% have received gift cards that they’ve only partially redeemed