With the ecommerce industry poised for tremendous growth in the future, merchants are signing up for Google’s new paid shopping platform, which will completely replace the previous program, Google Product Search, by the fall of 2012. Tablets are proving to be a valuable asset to ecommerce vendors, as conversions on the tablet are nearly the same as conversions on a desktop or laptop computer. Facebook is now testing a new advertising mechanism that will list ‘sponsored results’ in the Facebook search bar when users search for specific pages, apps, and events.
New Google Shopping Platform Gains Momentum
As Google Shopping shifts to a paid platform for online retailers, merchants are gradually jumping on board but are also looking for more information on how it works and what it will cost. Google Shopping will soon replace Google Product Search, which was previously used by merchants and allowed for free clicks to the product website. The new bid-oriented program is designed to “attract online comparison shoppers.” The new ecommerce program will launch in time for the fall shopping extravaganza, so retailers will need to learn the ropes of Google Shopping in the next few months to take advantage of holiday shopping trends.
Facebook Sponsored Advertising Now in Testing Phase
Facebook is testing a new form of online advertising called Sponsored Results, according to TechCrunch. This new search option will display sponsored ads in the typeahead and allows for advanced targeting capabilities. Competitors can even target the users that other businesses in their industry are targeting if they choose to do so. These sponsored results will appear in the Facebook search bar and will be purchased by businesses on a cost-per-click basis. While the CPC (cost-per-click) aspect is not revolutionary, Facebook will be changing the way that users bid on the spot for specific keywords, pages, apps, and places.
Stock Outlook for Ecommerce Predicts Remarkable Growth
The ecommerce industry is a dynamic and expanding sector of the economy that is poised for more growth in the future. The rapid evolution of this cutting edge industry has made it challenging to gather accurate data to determine the true impact of online shopping portals. Several driving factors have made this particular industry extremely viable including convenience, time saving, simple comparison shopping, and ease of purchase. With the introduction of mobile devices and tablets, the ecommerce industry is predicted to continue to grow rapidly in the future. Mobile users are predicted to surpass desktop Internet users by 2014, and recent market research indicates that the availability of simple product comparisons, reviews, and shopping options will continue to propel future growth.
Tablets Driving More Online Conversions than Ever, Nearly Equal to Desktops
A new study by Shopatron finds that tablet computers are becoming an unstoppable force in the online shopping arena. With 6% of all orders completed through an iPad, tablets are driving nearly as many conversions as desktop computers. According to the study, conversion rates from tablet shoppers has been only 5-8% lower than traditional laptop and desktop computer sales. Mark Grondin, Shopatron’s senior vice president, noted, “It’s no surprise that conversion rates on tablets are nearing or outpacing the conversion rates of desktops. Browsing on a tablet is intuitive and user friendly, providing portability without sacrificing interface quality or functionality.”
Double Digit Increase in UK Sales in June
In the United Kingdom, online retailers saw an incredible increase in sales in the month of June. IMRG, a UK ecommerce retail association, released figures that indicate online sales increased by almost 4 billion in June 2012 as compared to June 2011, a 12.6% increase overall. With this increase in sales, ecommerce vendors are finding that there are more opportunities than ever to capitalize on this rapidly evolving market. Figures have been consistently increasing for online sales, and merchants are finding new ways to deliver products and services to customers through intuitive, user-friendly platforms and innovative ecommerce solutions. The rate of growth differs depending on the line of products, but overall online sales show tremendous potential for future growth.