Retailers and brands have thousands of data points at their disposal today, but new research by commerce marketing technology company Criteo shows many lack the ability to act upon the intel in a meaningful way.
Criteo has unveiled the findings from two third-party studies, as part of the company’s new initiative to create the highest-performing and open commerce marketing platform.
The Criteo Commerce Marketing Ecosystem (CME) will provide retailers and brands access to a much broader data set and more intelligent technology than is currently available.
Pressy Sankaran, head of Criteo for Australia and New Zealand, said the CME is designed to help brands and retailers better understand consumer purchasing behaviour across platforms and analyse the collected data at scale.
“Collaboration in an open ecosystem allows commerce companies to shape their own future by levelling the playing field,” he said.
“This is particularly critical for companies with a strong e-commerce offering in Asia Pacific, where the market is expected to grow to almost US$4 trillion by 2021.
“We have developed the Criteo Commerce Marketing Ecosystem to unlock the potential of collaboration and the power of data to all who participate.”
To highlight the necessity of the CME, two Criteo commissioned studies have been released.
Examining the value of data and the strength of shared pools of knowledge within the industry, the findings are a timely reminder for Australian brands that need to innovate through collaboration and harness the collective power of data to engage with consumers at every moment and across any screen or device during the shopper journey.
The first study, conducted by Forbes Insights, highlights the value of data collaboration and pooling data to better meet customers’ needs, drive value and compete.
Here are the key findings:
- Retail industry disruption is re-shaping commerce: 50 per cent of brands demonstrate concern that physical-digital giants will limit access to their products, and 41 per cent are concerned they will not have access to information about their own customers and products. Retailers also worry that this trend will cause consumers to turn away from smaller retailers.
- Brands and retailers realise data’s potential, but lack activation capabilities: four out of five brands and retailers include customer data as a key part of their business strategy. But while retailers have access to more data than brands – especially online – they are less confident than brands in their ability to activate data into actionable insights.
- Pooled data assets are a powerful way to get ahead: brands and retailers see value in collaboration and pooling data assets to meet customer needs and drive value for their business. In fact, 71 per cent of retailers are willing to contribute online search data to a pool, and three-fifths of those surveyed are already part of a data cooperative, with almost seven out of 10 of those companies happy with their collaborations as well as the data they receive. Additionally, 72 per cent of marketers cite ‘increased revenue’ as a key benefit they experience from pooled data.
The Shopper Study 2017, also commissioned by Criteo and conducted by an independent researcher, highlights the rise of ‘omnishoppers’ – those that use a variety of devices, channels and platforms to browse and buy products.
Here are the key findings from this study:
- More than three quarters of shoppers globally engage in omnishopping: most consumers are going online to shop and buying in-store, and vice versa.
- ‘Webrooming’ and ‘showrooming’ are the norm: 66 per cent of consumers occasionally browse products online and then purchase in store, with 24 per cent making this a regular occurrence; whereas 74 per cent of consumers occasionally make purchases online after seeing a product in store, with 15 per cent saying they do this regularly.
- Digital drives conversion: As mobile continues to permeate everyday life, online is now a critical point of purchase driver; with nearly half of all omnishoppers from various countries sharing that websites were the last influence before purchase, and 62 per cent of consumers reporting that they use their phone while in-store to research products online.