{"id":1127,"date":"2016-07-13T00:00:00","date_gmt":"2016-07-13T00:00:00","guid":{"rendered":"https:\/\/www.motionpoint.com\/?post_type=blog&p=1127"},"modified":"2023-09-25T11:55:12","modified_gmt":"2023-09-25T15:55:12","slug":"3-tips-to-beat-the-global-e-commerce-summer-slump","status":"publish","type":"blog","link":"https:\/\/www.motionpoint.com\/blog\/3-tips-to-beat-the-global-e-commerce-summer-slump\/","title":{"rendered":"3 Tips to Beat the Global E-Commerce Summer Slump"},"template":"","blog_categories":[4,107],"resource_categories":[],"targeted_localized_audience":[],"document_categories":[],"class_list":["post-1127","blog","type-blog","status-publish","hentry","blog_categories-e-commerce","blog_categories-translation-technology"],"acf":{"blog_short_description":"Sales on international e-retail sites slow to a trickle during the summer months. Learn how to spark interest and revenue in new markets.\r\n","news_inline_styles":"","blog_video_id":"","article_body":"

As vacationers hit the beach this month and blissfully sweat in the sun, e-retailers and marketers will be sweating bullets. The summertime e-commerce sales slump is here, and it won\u2019t go away until late August or early September, when back-to-school season resuscitates the sleepy-eyed retail industry.<\/p>\n

Ask any e-retail veteran: summer is bad for business. July remains the lowest for e-commerce activity\u2014at least 30% lower than in December<\/a>, when e-retail is at a yearlong high.<\/p>\n

This lull appears to be global in scope. Based on analytics<\/a> from several global websites we operate for retail clients worldwide, e-commerce sales eventually perk back up in September. Some verticals generate 85% more revenue in September than in August. As with American and other Western markets, global e-commerce brightens as the rest of the year unfolds. November sees 119% more revenue in some verticals than October, and so on.<\/p>\n

Ask any e-retail veteran: summer is bad for business.<\/p><\/blockquote>\n

It\u2019s no secret why customers spend less per order in the summer months: they\u2019re traveling more<\/a>, the weather\u2019s great (in the northern hemisphere, anyway), and they\u2019re spending more time outside playing than inside pointing-and-clicking. According to a well-quoted study from 2012<\/a>, e-commerce average order values in July drop nearly 3% below the annual average. They sink nearly 5% below the average in August. Sales are at their slowest in the last week of July. Is your company operating localized e-commerce websites in multiple global markets? Are you looking to put a little spring in their step during the summer retail doldrums? We spoke with Francesco Rocchi, a Global Online Strategist with our Global Growth team, to score some summer survival tips.<\/p>\n

Tip #1: Summer Discounts Make Global Sites Sticky<\/h2>\n

Obviously, start with summer sales, Francesco recommends. Sales help generate brand interest from consumers in your global markets, which often leads to conversions.<\/p>\n

MotionPoint clients that have leveraged summer sales in global markets certainly see results, Francesco says. Sales account for 10% to 25% of website sessions during the year, \u201cbut this percentage can be between 30% and 40% higher during the summer,\u201d he says. \u201cIn some instances, we\u2019ve seen that over 25% of site revenue can be driven by summer sales.\u201d<\/p>\n

Localized sales webpages are more effective in generating high-quality website traffic, so promote them heavily. Our data indicates that visitors are far more apt to visit more site pages after seeing a sales-based page. (In fact, the percentage of page views grows two or three times higher when a consumer sees a sales-based page.) Bounce rates are often 60% to 90% lower on these sales pages, Francesco says. Exit rates are 50% lower, too.<\/p>\n

Sales on global sites are more effective for attracting existing customers than wooing brand-new ones.<\/p><\/blockquote>\n

Be mindful of whom your company targets in these global markets, however. We\u2019ve found that sales on global sites are more effective for attracting existing customers<\/b> than wooing brand-new ones. The proportion of new users visiting sales pages is lower than the average\u2014in some cases, up to 30% lower\u2014which illustrates the value of targeting loyal customers with promotions and outreach. This is probably a smarter play than leaning exclusively on new shoppers to generate higher traffic and sales.<\/p>\n

\u201cSales are invaluable to retaining a current customer base,\u201d Francesco explains. \u201cSome customers tend to only buy on sales: they either wait for their favorite brands to have discounts, or shop around and only select discounted items, no matter who the vendor might be.<\/p>\n

\u201cThat means it\u2019s important for an e-retailer to balance the exact price discount with the frequency of sales,\u201d he continues, \u201csince some customers will only buy when a sale is happening, while others would\u2019ve made the purchase anyway regardless of a sale. Timing these sales is also key, so your site can be in front of the bargain hunters before the competition is.\u201d<\/p>\n

Tip #2: Do What Amazon Did \u2026 Or Ride Its Coattails<\/h2>\n

Retailers should consider launching not just a sale, but an ambitious sales event in local markets. For two years, Amazon has done this to great effect with its Prime Day sales.<\/p>\n

It\u2019s no accident Prime Day occurs in mid-July. As one conversion rate optimization analyst<\/a> put it, the retailer deliberately \u201cplanned a date smack-dab in the middle of the summer\u2014the middle of the proverbial \u2018summer slump.\u2019\u201d By heavily promoting Prime Day within their global target markets and offering compelling deals, Amazon has generated windfalls for two years running.<\/p>\n

Last year, the company\u2019s Prime Day snagged nearly 20% more on-site sales<\/a> than 2014\u2019s Black Friday did, which had held the record for the site\u2019s biggest ever. This year\u2019s recent Prime Day was \u201cthe biggest day ever for Amazon,\u201d according to a company press release<\/a>. Customer orders surpassed Prime Day 2015 by more than 60% worldwide and more than 50% in the U.S., the company said.<\/p>\n

Rivals such as Walmart have launched their own doldrums-killing sales events, opportunistically timed to the same day as Amazon\u2019s Prime Day. (After all, why should Amazon have all the fun?) The move has paid off for these savvy competitors. For instance, Walmart\u2019s differentiating \u201cfive days of free shipping<\/a>\u201d and discounts proved to be profitable this year.<\/p>\n

Does your company have the industry-commanding clout of Amazon or Walmart? Probably not. However, the opportunity is clear: by concocting a unique e-retail sales event, your brand can energize summer sales in global markets. This is a particularly interesting opportunity, should your company coincide its sales with regionally-relevant holidays, or even special holidays celebrated within specific cities.<\/p>\n

We\u2019ve advised numerous companies on how to engage consumers in the Middle East and North Africa during the Muslim holy month of Ramadan. (Read our two-part series here.<\/a>) Online spending increases in these markets during the celebration, presenting companies with unique opportunities to resonantly and authentically connect with local consumers through outreach and discounts.<\/p>\n

By concocting a unique e-retail sales event, your brand can energize summer sales in global markets.<\/p><\/blockquote>\n

We\u2019ve also seen clients take advantage of traditionally regional sales, such as the French fashion industry\u2019s \u201cSoldes\u201d sales event. This six-week-long nationwide sales event occurs each summer and winter. MotionPoint clients that used Soldes as a timely zeitgeist \u201ctrigger event\u201d to launch their own online summer sales saw big gains.<\/p>\n

For instance, one company saw its localized site\u2019s revenue grow by more than 300% on the first day of its summer Soldes e-sale. This single-day increase generated millions in additional revenue.<\/p>\n

Also consider the strategic value of a large summer sales event. Amazon\u2019s Prime Day sale supercharges interest and signups for its Prime service, which provides shipping perks, a Netflix-like streaming movie service, and more. Luring customers to sign-up for Prime pays off for Amazon: annually, Prime customers spend more than double<\/a> on-site than what non-Prime customers spend.<\/p>\n

Does your company have a loyalty or rewards program for faithful global customers? Consider tying its value to your summer sales event, to drive interest and incremental revenue.<\/p>\n

Tip #3: Use Localized Social, PPC and E-Mail Campaigns<\/h2>\n

We mentioned that e-retail summer sales events in global markets often resonate better among loyal customers than new ones. We suggest doubling down on this knowledge and smartly connecting with happy customers through familiar channels to evangelize your summer deals.<\/p>\n

Promotional best practices such as social media marketing, Pay Per Click advertising and e-newsletters should all be leveraged for your global markets. Make sure to localize this content\u2014after all, exchanging ideas and information in a common language is the most resonant way to build consumer trust.<\/p>\n

(For example, when we replaced a client\u2019s English-language \u201cshare this on Facebook\u201d content with translations in one market\u2019s locally-preferred language, Facebook referral traffic site grew by 1,400%!)<\/p>\n

Sixty-six percent of consumers have made a purchase online as a result of an email marketing message.<\/p><\/blockquote>\n

Marketing via social networks sparks lean-in and inbound traffic. Smartly leverage localized social-media content to drive interest to your summer sales events. In-language PPC campaigns can also spark interest in ways that organic traffic simply can\u2019t.<\/p>\n

Finally, we\u2019ve found that localized e-newsletters or email campaigns are especially effective. According to one study<\/a>, 66% of consumers have made a purchase online as a result of an email marketing message. Young people aged 18 to 24 are particularly receptive to email marketing, the study said\u2014about 65% have made purchases sparked by email outreach. Consumers aged 45 to 54 are also heavily influenced; 71% have made email-inspired purchases.<\/p>\n

We\u2019ve found that e-mail outreach is especially resonant in global markets. In 2015, one MotionPoint client saw nearly 45% of its single-day holiday revenue hail from a localized e-mail campaign.<\/p>\n","article_body_code":"","news_image":{"ID":11274,"id":11274,"title":"Hero_Beat-the-Global-Summer-Slump-100.jpg","filename":"Hero_Beat-the-Global-Summer-Slump-100.jpg","filesize":175427,"url":"https:\/\/www.motionpoint.com\/wp-content\/uploads\/Hero_Beat-the-Global-Summer-Slump-100.jpg","link":"https:\/\/www.motionpoint.com\/blog\/3-tips-to-beat-the-global-e-commerce-summer-slump\/hero_beat-the-global-summer-slump-100\/","alt":"","author":"2","description":" \t","caption":"","name":"hero_beat-the-global-summer-slump-100","status":"inherit","uploaded_to":1127,"date":"2016-07-13 00:00:00","modified":"2016-07-13 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