Value of Customers by Digital Channel
By Kerry Guard
ClearSaleing, the analytics and attribution provider, provided data to eMarketer that showed the average revenue per order & revenue per click based upon which paid & earned media touch points consumers interacted with online.
The data showed …
Social and display were the top two performers in terms of average revenue per order.
Social and paid search were the top two performers in terms of average revenue per click
Aside from the top line numbers, the data also shows agencies the following:
- Price Dictates Tactic: Paid search and affiliate programs, two strategies that generate extremely cost efficient conversions, were the two lowest performers in terms of average revenue per order. How could this be? While we have no idea which products / prices were being analyzed in this study, one could argue that paid search and affiliate marketing would be better suited for less expensive items that experience a shorter sales cycle (like iPod chargers and shampoo) as opposed to longer sales cycles (like a brand new Jaguar XK-8, for example).
- Social Acts as Bottom Funnel: In terms of driving top revenue per order AND revenue per click, social acts like a bottom of the funnel tactic. Bottom funnel tactics are conversion tactics; strategies that are prime drivers in closing the sale with the consumer online. This proves that users are really turning to their social networks to engage with brands, obtain advice from friends, and ultimately make a purchase decision.
- Multi-Channel Strategies Work: Agencies need to be at the forefront of pushing multi-channel strategies, or engagements that utilize multiple channels (mobile, web, comparison shopping sites), to generate awareness and trial / purchase from consumers online.