If you are a marketing (like me) in the world of ecommerce you need to know your stats. That’s because stats help form benchmarks to measure against. And marketers who track their progress win.
Let’s start with the meaningless stat
The most meaningless stat of all is eCommerce conversion rate. Ignore this. If a site has a conversion rate of 4% if that good or bad? It’s impossible to say. There is no industry conversion rate for eCommerce. It’s different for each site.
If you are looking to improve your conversion rate don’t look at industry averages, look at your past. If your conversion rate today is 10% better than what it was last year then you are making progress. How much would depend on your business goals.
But stats do have their place.
Here is a collection of the most interesting ones (maintained by a guy who has been in ecommerce for 13+ years).
There are loads of meaningless stats out there. These are the good ones.
eCommerce site metrics
– 2020 findings: Wolfgang Digital analyzed 130 million website sessions, over €330 million in online revenue, and calculated the average session duration (time on site) for all of e-commerce at 2 minutes and 57 seconds. (Source)
To put this is in perspective their 2019 report had the average session duration for all of ecommerce at 3 minutes 1 second. This means the average time on site is going down year over year.
– In the same 2020 Wolfgang Digital report, they also noted that the average bounce rate for a retail ecommerce site is 41%.
– Databox did a survey of marketers and found that the average percentage of new visitors on a site is 68%. (Source)
– Re-engaging inactive users is 5 times more cost-effective than acquiring new ones. (Source: Forbes).
– “what percentage of online visitors are ready to buy?”. According to Neil Patel’s blog, 96% of your site visitors aren’t ready to buy (source).
– Most eCommerce sites have a 4% conversion rate (though some like Amazon and QVC have conversion rates of 20% and 17% respectively).
– According to Bryan Eisenberg first-time visitors typically convert 2% while repeat shoppers convert 8%.
– Shoppers are crazy distracted. According to Namogoo the most common thing consumers are doing when they’re shopping online is – drumroll – office work. So if you think you have 100% of their attention you are sadly mistaken.
– More than half of customers—58 percent—change brands from one purchase cycle to the next. (source)
– We send a lot of emails. Over 102.6 trillion emails every year. And the numbers keep going up, with 126.7 trillion expected to be sent by 2022. The average email subscriber receives 13 commercial emails a day.
– According to MailChimp here are some interesting e-commerce email stats:
- Average Open Rate = 15.68%
- Average Click Rate = 2.01%
– Compared to traditional marketing efforts, email marketing is super cost effective. Direct Marketing Association estimates that email marketing brings in $40 for every $1 spent.
– Shoppers hate popups. A survey of 1,300 online consumers by Namogoo revealed two-thirds (62%) say they would feel these ads mean the retailer does not prioritize the customer experience.
Interesting Amazon ecommerce stats
– 55% of people in the U.S. now start their online shopping trips on Amazon.com. That’s 25% increase from the same survey last year, when 44% of online shoppers said they turned to Amazon first. (source: ReCode)
– Amazon was running 200+ tests a month in 2004. That was the last time they revealed their testing data. Hint: they’re testing a heck of a lot more now. (Source: @TheGrok)
– Roughly 1,300 purchases generate 1 review on Amazon (Source: Jared Spool presentation)
– Amazon prime is used by over 50% of US households. To put this into perspective:
Interesting stats about ecommerce product reviews
What percentage of e-commerce buyers leave a product review? Well, we know YOTPO’s post-purchase review request email has an 8.1% conversion rate. The industry average is much lower. (Source)
– The ideal average star rating for purchase probability is 4.2-4.5 stars. Surprisingly, perfect 5-star reviews are considered too good to be true. (From Reviews to Revenue, PowerReviews & Northwestern University)
– Negative reviews have an 11% chance of changing purchase intent. (Source)
– Up to 80% of reviews originate from follow-up emails urging shoppers to review their purchases (Power Reviews, 2017)
– Going from zero reviews to one review with 4.2 stars or better improves conversion rates (sales) by 20 percent. (Source)
– PETCO.com found that products without reviews have a 20.4% higher return rate than those with reviews, and products with 50+ reviews have a return rate that is half of those with less than 5 reviews. (Bazaarvoice.com research)
– Effect of product review count on conversion rates: the more reviews you add bigger the effect on conversion rates (Source)—
Investment into conversion optimization (CRO)
– For every $92 marketers spend on driving traffic to their site, they spend $1 on converting that traffic. (Source)
– Users often leave web pages in 10–20 seconds. But, if you have a clear value proposition that entices them to stay half a minute, there’s a fair chance that they’ll stay much longer — often 2 minutes or more, which is an eternity on the web. (Source)
– The average American is considered to have a readability level equivalent to a 7th/8th grader (12 to 14 years old). And even if your audience has a higher educational level because people are multitasking and distracted, from a conversion perspective, it’s best to write at an 8th-grade level. This basic idea is confirmed in a Nielsen Norman Group article.
– Increasing font size improves conversion rates. A ClickLaboratory.com test found increasing font size improved conversions 133%. (Source).
More interesting ecommerce stats …
Impact of visuals
– Impact of product videos: StacksAndStacks.com claims visitors are 144% more likely to purchase after seeing a product video than those who don’t. (Source)
– Shoppers who view video are 1.81x more likely to purchase than non-viewers. (Animoto, 2015)
– Visuals are processed 60,000x faster in the brain than text. (Source: Neo Mammalian Studios)
– 15% of Google searches done by users on a daily basis have never been seen before. (Source)
If page load time change from 1 second to 3 seconds, bounce rates on mobile sites increase 32% (source):
We can see mobile has the worst cart abandonment rate of all devices at 78%, followed by tablets (70%), and desktops/laptops (67%). (OptinMonster)
According to ApexChat live chat can increase online leads by an average of 40%. On top of that, chatbots can further increase sales 4x more than some human workers (source). So as you can see chat has a massive overall impact.
If you like these stats you’ll love our work.