The Retailer s Guide to Back-to-School E-Commerce....................................................... 2 The Retailer s Guide to Back to School E-Commerce Students are still soaking in the summer sunshine, but the late bell is already ringing for online sellers. As the second-largest retail event of the year, back-to-school shopping presents some incredible e-commerce opportunities. Families are spending more and starting earlier than ever in their quests for clothing, cleats, calculators and computers. According to the National Retail Federation (NRF), 44% of back-toschool shoppers plan to purchase these and millions of other items online. It s no surprise they re heading online in droves. But while most sellers know to focus on free shipping and well-timed promotions, there s so much more that e-commerce companies can do to gain a greater share of what s now an $83.6 billion market. All the tasks required to develop an effective back-to-school strategy can stack up, resulting in e-commerce team panic. To help you stay on top of your planning, we ve rounded up important insights you can act on for a successful back-toschool season.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 3 1. They re Ready to Spend on Social With consumer confidence rising and more young people in school, it s not just backto-school and back-to-campus spending forecasts that are reaching record highs. The channels consumers use to shop are expanding, too. One in four plan to use social media when looking for back-to-school supplies, where 75% seek out promotions and 64% look for coupons. If you re not integrating social commerce into your back-to-school strategy, you may get overlooked. Consumers regularly turn to social media when shopping: 60% of Instagram users discover new products on the platform, 93% of Pinterest accounts are used to plan purchases and Facebook influences foot traffic to some 100,000 store locations a day. You can bet those numbers will climb higher as parents and college-bound students prepare to get back to class. By focusing on the social sites proven to be most effective for e-commerce, you can draw in shoppers the moment they re ready to buy. Pinterest Rich Pins, Facebook Carousel Ads and Instagram Dynamic Ads are all great options for reaching back-to-school shoppers as they re actively seeking out promotions and deals.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 4 2. They Look Everywhere The back-to-school crowd searches high and low for the best value and these days, those searches are taking place on mobile. Nearly one-third of parents make back-to-school purchases via smartphones, and one quarter use their phones to research or compare prices. As mobile connects shoppers to brands and stores more than ever before, smartphones are fast becoming the go-to resource for researching products, creating lists, redeeming offers and more. However, even as more shoppers turn to smartphones, there s still strong purchasing power in the PC. While 45% of back-to-school shoppers use their phones to make purchases, 60% do so on desktop and laptop computers and 43% use tablets. Their affinity for multiple devices reflects the fact that they also use multiple channels to tackle back-to-school lists, hitting retailer websites as well as e-commerce marketplace apps and comparison shopping engines. Given these characteristics, consistency of promotions is key to ensuring you re connecting the dots between devices and channels. Take a step back and evaluate the full picture of your back-to-school campaign. How are mobile devices incorporated? Are your marketplace sponsored ads as strong as your paid search ads? Make sure your offer messaging is clear and consistent across the board: Optimize your website landing pages, email promotions and promotional text to align with your backto-school campaign. The shop anywhere, anytime trend is amplified during this season make sure your e-commerce campaigns are seamless!
The Retailer s Guide to Back-to-School E-Commerce....................................................... 5 3. They Prefer a Mix of Channels The days of brick-and-mortar stores competing heavily with e-commerce sales appear to be approaching extinction, with more than two-thirds of back-to-school shoppers drawn to online shopping experiences that are complemented by physical stores. More than half (56%) of consumers research back-to-school products online before buying them in store, and 49% prefer to buy from retailers that offer in-store return options for products purchased online. This trend is showing up on e-commerce marketplaces, too. Amazon, once the clear winner for back-to-school sales, is experiencing some stiff competition: In 2017, the amount of back-to-school shoppers who planned to buy from Walmart increased 8% while Amazon s draw decreased by 24%. Brainstorm all the ways consumers might shop, and invent a plan of action accordingly. For example, did you know that 76% of people who do a smartphone search for something nearby visit a business within a day, and that 28% of those searches result in purchases? No doubt those numbers are even higher during the back-to-school season. If you re not already leveraging Local Inventory Ads for Google and Where to Buy widgets on your e-commerce website, now is the time to do so. In addition, consider boosting efforts around marketplace selling strategies like algorithmic repricing and multiple fulfillment options. These elements will not only make for a better shopping experience, but can also help you win more visibility in search results on top marketplaces like Amazon, Walmart and ebay.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 6 4. They Have (Much) More than One Thing in Mind What kinds of items are online shoppers looking for? Shoes, clothes, notebooks, backpacks and lunchboxes... plus ready-to-go supply kits, laptops, calculators, charging stations, microwaves and more. If you can promote it, there s likely a need for it. Electronics in particular are playing an increasingly important role in classrooms and on campuses. As schools are increasingly incorporating technology into curriculums, many parents and students are spending more out of necessity and looking for ways to stretch their budgets as a result. For people with long shopping lists covering multiple categories, price comparisons are paramount. How can you stand out and provide value? When discounts and deals aren t an option, don t underestimate the power of free shipping. Across all categories (parents, college students and more), high percentages of back-to-school shoppers say they re more likely to buy from an online retailer that offers free shipping than one that doesn t.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 7 5. Many Are Moving to Marketplaces It s no secret that an increasing number of US online shoppers turn first to Amazon. More than half (55%) begin their product searches on the marketplace giant s website or mobile app, compared with just 28% who start with Google. What many sellers may not realize is that many of those searches are now expanding to include additional marketplaces. An array of channels ranging from ebay and Sears to Walmart and Jet are focusing heavily on back-to-school and back-to-campus promotions starting as early as July and Walmart s online back-to-school sales are growing at double the rate of Amazon s. This shift in consumer search trends highlights the fact that retailers with a strong presence on marketplaces both large and niche have a definite advantage. If you re on marketplaces, boost your efforts. Algorithmic repricing, product content optimization and comprehensive advertising are a few of the many ways sellers can become more competitive on Amazon, ebay, Walmart, Jet and other e-commerce marketplaces.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 8 6. They re Influenced by Kids and Teens Tech-savvy children are assuming more responsibility for and ownership of the back-toschool purchase process. According to NRF, 65% of back-to-school shoppers say at least half of their purchases are a direct result of their children s influence. And while the influence of teenagers and pre-teens is growing, so too is their willingness to help parents pay. Teenagers were planning to contribute 14% more in 2017 than they did in 2016. Among pre-teens, the amount spent on back-to-school items rose by 35%. Gearing your digital marketing toward both parents and students is key. To capture the influx of young buyers mining their networks to see what s cool for school, ensure your promotions and products are appropriately represented across marketplaces and digital marketing channels and that the content is optimized to appeal to multiple generations.
The Retailer s Guide to Back-to-School E-Commerce....................................................... 9 7. They re in a Rush You ve seen it Christmas wreaths in September and Halloween pop-up stores in August. The retail calendar has time-shifted. Much like these other front-running seasonal milestones, the back-to-school selling season is beginning earlier. In 2016, back-to-school related search queries on Google saw a sharp rise the week of July 11 a full week earlier than in 2015. And the sooner families start shopping, the more they ll ultimately spend. Early starters shell out 16% more than their procrastinating counterparts, according to Deloitte. Start your planning earlier than you have in the past, and consider allocating additional budget to extend the lifespans of your back-to-school campaigns for several months leading up to September. If you have a little flexibility with your budget, front-loading dollars may be better, but keep a close watch on sales and key metrics like site traffic and pare back or increase spending according to the activity you see.
Class Dismissed By attacking these trends one at a time, you can begin to see big returns on your back-to-school investments. For extra guidance along the way, we re happy to help. Give us a call at 866-264-8594 or email us at marketinginfo@channeladvisor.com. And for the latest e-commerce trends, tips and best practices delivered straight to your inbox, subscribe to our monthly e-newsletter. A+ Get creative, get to planning and take advantage of one of the biggest buying seasons of the year! Connect and optimize the world s commerce. To learn more: Call 866.264.8594 UK 0203 014 2700 AU 1300 887 239 Visit www.channeladvisor.com Email marketinginfo@channeladvisor.com The global standard for e-commerce leaders. Copyright 2017 ChannelAdvisor Corporation. All rights reserved.