Small . . .Is Big Again · Copyright © 2015 Criteo 10 Mobile conversion rates are increasing...

Copyright © 2015 Criteo

Small . . .Is Big Again

Sunil Bhagwan

Head of Sales, Mobile

Eye For Travel, San Francisco 2015


7,000+ ADVERTISERS

R&D REPRESENTS

40% OF THE WORKFORCE

90% RETENTION RATE3

130+ COUNTRIES

8,000+ PUBLISHERS

(Networks, Exchanges & Premium Direct Partners)

1: 2nd in ComScore global rankings - March 2014 ComScore report

2: in 12 months preceding June 30, 2014

3: Annual rate

$198 Billion

Transactions

Analyzed / Yr

590 Billion+

Ads Served / Yr

$12 Billion Post-click Client sales generated2

925 Million Internet Users Reached Monthly1


Mobile now accounts for 30% of global ecommerce transactions

49%

45%

41%

28%

27%

26%

24%

24%

21%

20%

10%

Mobile Share of Online Retail Transactions, by Country

Japan

South Korea

UK

Spain

US

Germany

Italy

Netherlands

France

Russia

Brazil

Asia

Western

Markets

Emerging

Markets

Source: Criteo State of Mobile Commerce



Majority of mobile transactions are now on smartphones

6

US, Q4 2014



Smartphone vs. Tablet Share of Mobile Transactions

Smartphones Tablets


Standards emerging Mobile payments

getting easier

Enhanced Mobile

sites and apps

Smartphones getting

bigger & better


What are the advances driving this shift?


Form factor (size/screen) of midsize devices is ideal for apps, web and media consumption

Better for Apps Better for Web

Device form factor has normalized on ideal app/web size


Amazing Acceleration of iPhone Sales

US: % of Client Sales by Mobile OS

iPhone

Growth Rate

outpaced

Android by

100% during

the previous

8 months…


Mobile conversion rates are increasing

Mobile

Overall

Android

Smartphone iPhone

Android

Tablet iPad

2.5% 2.2%

2.0%

3.0% 3.1%

Mobile Retail

Conversion Rates

US, Q4 2014

Conversion Rate = (No. of Sales) / (No. of

*Users)

* Users include those with more than a single

**event on the websites

** Each time a visitor sees a web page, adds a

product to the basket, or makes an online

payment, etc., it is counted as an event.



Copyright © 2015 Criteo Copyright © 2014 Criteo

85

90

95

100

105

110

115

120

125 Mobile

Index

Desktop

Index

Mobile bookings growth

is faster than desktop


Mobile travel bookings by category


Reaching the Inflection Point

Android Desktop IPad

$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000

Flights

Apartments

Car Rental

Cruise

Hotel

Packages

Rail

IPhone

Average booking

value by device and

category

H1 2014

worldwide


Mobile behavior with last minute bookings

Air

+21%

Hotels

-30%

Car

Rental

+13%

Booking value on mobile

14


What about apps?



Share of In App Transactions for Sample Customers

16

• Some clients

who invested

early are seeing

>10% of total

sales from Apps

• Audience size

and usability are

important areas

of consideration


Mobile App Challenges Today

MAJORITY OF APPS

INFREQUENTLY USED :

3.7 FREQUENCY OF

USE BY WEEK1

MOST APPS HAVE

RETENTION LOWER THAN

35% AFTER 90 DAYS1

HISTORICALLY,

VERY LOW CONVERSION RATES FOR MOBILE APP2

1 SOURCE : FLURRY ANALYTICS

2 INMOBI, “APP INSIGHT REPORT”

8


Downloads ≠ Revenue

18

Total app downloads

500k

Users who have

used the app once

and/or uninstalled

325k

Monthly active users

175k

In-app purchasers

70k


Source: digital strategy consulting 2013


So What

Should

You Do?


iPhone share of mobile

transactions 0 70.0%

Know Your Mobile Benchmarks

Device Share YOU

Industry

Average

40% ??

Mobile AOV in relation to

desktop 0 100.0%

Shopping Cart 94% ??

Industry

Average

YOU

Mobile share of Total

eCommerce transactions 0 40.0%

33% Mobile Revenue Share

??

Industry

Average

YOU


Invest in

your Apps

Mobile

optimize

site

Consumers are no longer

only show rooming…

they are going to buy.

Know

your

“3”

Share of mobile, conversion

rate and AOV should be

tracked monthly

Build for usability, make it

transactional and stay

engaged

Mobile marketer’s playbook…

21


Thank you!

Sunil Bhagwan

Head of Sales, Mobile

[email protected]

Small . . .Is Big Again · Copyright © 2015 Criteo 10 Mobile conversion rates are increasing...

Documents

Transcript of Small . . .Is Big Again · Copyright © 2015 Criteo 10 Mobile conversion rates are increasing...