What’s On

Around 41% online transactions may be inaccurately measured: Report

Southeast Asian retailers who lack a cross-device perspective will have a distorted view on up to 41 per cent of their online transactions, a report by Criteo found.

The State of Cross-Device Commerce Report by Criteo highlights that in the long run, this distorted view results in inefficient allocation of marketing spend, which would in turn affect the quality of shopper engagement and the volume of customer acquisitions.

“Consumers are using multiple devices in their buying journeys, from searching and browsing, to buying. Southeast Asian retailers must therefore distance themselves from outdated device-centric marketing and adopt a user-centric approach. In today’s competitive landscape, eCommerce businesses cannot afford to draw the wrong conclusions and waste money on the wrong channels. They must turn to cross-device measurement to ensure accurate attribution, before investing optimally in high performing engagement and sales channels. Retailers who successfully deliver a seamless and personalised customer experience across devices will then stand out from the rest,” said Alban Villani, General Manager, Southeast Asia, Criteo.

The report suggested that marketers need to consider how much cross-device shopping may cost in ad wastage if they do not have accurate and scalable measurement. Traditional analytics tools look at activities on a device-by-device basis, providing a limited and siloed view of a customer’s multi-device journey. Shifting to a user-centric approach that leverages advanced cross-device measurement tools can accurately identify a consumer and capture a complete view of their shopping experience. This approach aligns with buying behaviour and intent to more accurately report transaction attribution. The case for proper cross-device measurement, identification and attribution is clear:

• More than two in five transactions may be misattributed without cross-device measurement.
• With user-centric, cross-device measurement, retailers can more accurately track conversions and optimize marketing spend. Observed global eCommerce conversion rates are 1.4 times higher than seen with a device-centric approach. In Indonesia, the representative market for Southeast Asia, observed conversion rates are 1.6 times higher than seen with a device-centric approach.
• Cross-device measurement reveals that buyer journeys are up to 41 per cent longer than partial-view models indicate.

According to the report, consumers now reach for their smartphones for both searching and purchasing, making it even more important for retailers to provide a synchronised experience across desktop and mobile devices:

In Southeast Asia, smartphones are now involved in around 25 per cent of all online retail sales, with a year-on-year increase of 44 per cent, while tablets continue to decline.

On smartphones, add-to-basket and conversion rates increased 49 per cent and 19 per cent year-on-year respectively.

In Indonesia, the representative market for Southeast Asia, cross-device buyers are evenly represented across the three primary purchase devices: smartphones (40 per cent), tablets (44 per cent) and desktops (41 per cent). In addition, 21 per cent of cross-device desktop transactions started on a smartphone; 37 per cent of cross-device smartphone transactions started on a desktop.

This means that marketers can no longer afford to have just a siloed view of their customers’ shopping behaviours, the report suggests highlighting the need for a cross device approach for retailers.

Search