Shopping Blog

Canadians started shopping for the holiday season in early November but that does not mean they will stop any time soon. The buying fever is here and will continue until the end of the holiday season. In fact when we spoke with consumers in our Google/OTX Canada Holiday Shopping Intentions Survey, 37% of Canadians will do the majority of their purchasing by November, while 42% will do so in early/mid December.

We are seeing similar trends as in 2008. According to our survey, the Internet remains the top Canadian source of information for holiday shopping both as a research tool and to help make a purchase. The “Internet” was actually selected as the leading shopping resource ahead of “in-store” by a large margin as Canadians are more likely to research their holiday gifts online before going to a store to make their purchase. In this context, it is not surprising to realize that online advertising is more important than TV commercials when it comes to influencing Canadian purchase decisions this holiday season. In fact, search engines were cited by almost 50% of Canadians as the leading online resource for making holiday purchase decisions. [1] Rising searches in Google Insights for Search can help to identify the hottest gifts for 2009. Some of the top rising searches include: GI Joe, Transformer toys, Barbie games, Beatles Rockland, Twilight DVD release, Laptops, iPhones and more.

So, is your holiday campaign ready? Are your online ads visible from now until Christmas? Google Insights for Search data shows that search activity for the boxing day and boxing week start ahead of time and 54% of Canadians intend to take advantage of post holiday sales. Did you know that in 2008, searches for “boxing day sales” started to climb on Dec 20, and lasted until around Dec 29? Search volume for “boxing day sales” has shown growth year over year. [2]


So make sure you do not miss out on the opportunity to finish strong in 2009 and start 2010 on a positive note. The number of Canadians online is at an all-time high, keep your campaigns on and relevant to reach last minute and boxing week shoppers throughout the holidays. Happy holiday season!

Source: [1] Google/OTX Canada Holiday Shopping Intentions Survey, October 2009, n=1,004, [2]Google Insights for Search, 2009

Posted by Xavier Pepion and Andrea Wahbe, the Google Canada Team

In today’s difficult economic environment, savvy marketers are realizing that there are internationally-focused buyers within and beyond our shores, who represent a new potential revenue stream. As we began discussing here, you too can be on your way to generating incremental revenue and increasing brand awareness.

201 More Advanced Strategies

• Full Site Translation. There are many third parties that can provide this service. The only danger here is to be certain you are culturally relevant. Did you know that a sweater is called a “jumper” in the UK? Perhaps you remember that the Chevrolet Nova was a great selling car in the United States. However, when the Chevrolet introduced the vehicle in Mexico, sales were dismal. Why? If you speak Spanish at all, you know that no va translates into no go. You must consider the native language of your target customers when naming products.

• Develop Localized Content. This will allow you to communicate with customers through each stage of the purchase funnel - awareness, interest, decision, and loyalty. Customs vary in each country so be sure to “test” your specialized content for appropriateness.

• Highlight any offers that are significant to that market. Shipping internationally can be expensive. If this is an area you have a competitive advantage, let your customers know. It can make a difference in your shopping cart abandonment rate.• Go the extra mile - Beyond website translation, consider having your follow-up e-mails to come “in-language”

• Outsource the ability to transact in currencies to third parties. This can be complicated because of the abundance of currencies and localized payment methods and preferences.

• Experience. There is no replacement for using an experienced search engine marketing team that knows the international landscape.

In summary, technology and broadband access has made us less aware of borders - why should retail be any different? Internet marketing is an outstanding medium to expand the boundaries of traditional retailing and enable advertisers to transact and interact with customers more easily than in the past. Bonne chance!

Posted by Tom Fochetta, The Google Retail Team

Ever wanted to send flowers or a gift to a friend or family member while they were staying in Rome? Have you ever lived abroad and wanted to buy something from a US based web retailer? Marketers sometimes forget that it’s the World Wide Web, not the US web.

Many brands are unaware of the significant demand for their products outside the US. More importantly, traffic reports show that enormous amounts of organic traffic from international locations go unnoticed. Particularly in the US, there’s a tendency to have a much narrower view of the world. Many marketers only think in English and market their products in English. A recent Google internal study into the top U.S. based search query demand for the gift & floral market revealed over 15% of queries were targeted to countries outside the U.S. How well are you connecting with shoppers who want goods and services shipped abroad?

If you are thinking about expanding your brand internationally, you may want to consider some general best practices:

101 The Basics

• Fish where the fish are.

1. Perform a cursory analysis of general market statistics such as GNP, economic and social indicators, political analysis, etc. Does it make sense to start in Latvia or Italy? Some things may surprise you, so a good first step is to verify where your current international traffic is coming from.
2. Perhaps to make it even simpler, US retailers can start with one of the biggest markets first – the US Hispanic market. This market represents almost 15% of the US population with domestic spending at just over $1 trillion [1]. Over half of that market wants or needs to communicate in Spanish. It’s not simply a matter of preference; it’s a requirement to access this lucrative market.
3. Canada is an ideal opportunity for cross border sales since this market is familiar with many US brands. It is the perfect place to jump in and get your feet wet.
   

• In-Language Splash Pages for English sites. Drive potential customers to your site and greet them with an in-language splash page. Speak to those users in their native tongue and you’re sure to see a lower bounce rate than if you hadn’t.

• Display prices in the local currency. Particularly in light of today’s economy, buyers are price sensitive. If they can’t figure out how much something costs, they likely won’t pull the trigger.

• Keywords and ad copy for paid search should be in local languages. People tend to search in their native languages. Leverage translation services that many SEMs offer for a fee.

• Include negative keywords to prevent mishaps and ads showing against unwanted/inappropriate content. Be careful with your choice of keywords. There are many linguistic nuances that could cause you to be associated with the wrong type of content that may damage brand perception.

With these simple strategies, you can easily enter a new international market, often without needing additional resources. On Thursday we’ll discuss some more advanced strategies.

[1] US Census and 24-7pressrelease.com, December 2008.

Posted by Tom Fochetta, the Google Retail Team

Where is Dear Abby when you need her most? Dear Abby, the ubiquitous advice column launched in 1956 and now published in over 1,400 newspapers, always has the right answer to life's most perplexing situations. Not sure how to deal with pushy in-laws? Wondering how to write a condolence letter? Dear Abby always has a simple, uncomplicated answer.

As retailers deal with one of the most challenging quarters in recent times, what might Dear Abby advise? Is there some simple, straightforward advice that might help all retailers navigate today’s challenges?

Dear Abby,

I am so confused by the sales on my website (which sells a unique assortment of this and that.) This quarter, everything seems to have stopped! Earlier this quarter, lots of shoppers were coming to the site, looking around, spending more time than ever…but just not buying. I have to admit my traffic and sales increased between Black Friday and Cyber Monday….but now I’m seeing a slowdown again.

My products haven’t changed. My marketing is the same. It all used to work so well! Why aren’t people buying these days? What is this nonsense of “trading down and across?” I’m so confused - should I quit spending on search and banners? Can I just turn off the site, bunker down at home and flip the switch on again next spring?

Signed,

Perplexed

We believe that Dear Abby would offer some basic, no-nonsense recommendations that any retailer could follow.

Dear Perplexed – This is certainly not the time to shy away from the challenge! You need to maintain your focus and work through the remainder of this quarter. Your efforts today will not only help you weather today’s troubling economy, but will help build a stronger foundation for the future.

Want to continue to drive sales? This is the time to continually test and optimize. One of the benefits of digital marketing is the ability to test different messages quickly and relatively inexpensively. Consider A/B testing to find those tactics that lead to an online sale. Try offering free or reduced shipping to a select group of consumers and watch the impact on sales. Continually refine your offers, landing pages and promotions. Pay attention to what your consumers are reacting to – and stop wasting time (and money) on those that aren’t.

Ted Vaughan, from the Retail and Consumer Product Practice at BDO Seidman, reminded us in a recent article "the Internet makes it so easy to browse; they (consumers) will be able to find other products they may not have had in mind”

Greg Thomas, the Director of research and programs at The Emory Marketing Institute agrees, recently advising retailers to “…shift assortments and promotions toward a value focus.” So listen to these experts - be creative, suggest cross sells, accessories and upsells to your site visitors – make it easier for your consumers to find new and unexpected items to add to their shopping cart.

While you’re testing offers, don’t lose site of the value of your brand. Ensure consistency across your channels so that every touchpoint with the consumer works to reinforce your brand. Don’t confuse them with different colors or offers on your site. Snowflakes in your store? Then make sure they’re on the site. Circuit City’s “One Price Promise” is the latest example of brand consistency across channels…can you say the same about yours?

This is not the time to lose market share to your competitors. Although it’s tempting to reduce spend, the competition is still spending. Maintain those marketing expenses that provide the strongest return. Make sure you continue being top of mind and part of the consideration set for your existing customers. Those same messages reinforcing your brand to existing customers will introduce your brand to new customers, giving you an opportunity to increase your customer base for future growth.

The Internet may be an accepted channel for those of us in the business, but many Americans have yet to discover the convenience and ease of online shopping. Use this time to learn more about your customers, test your marketing and reinforce your brand so that you’re even stronger for future opportunities.

- Abby

Posted by Kathy Daly-Jennings, the Google Retail Team