Retail-Blog

Until recently, technology for increasing online conversion rates has generally been the domain of large retailers.

The high ROI (Return On Investment) associated with increasing online conversion rates is driving retailers of all sizes to now focus on the technology. Online conversion occurs when a website visitor becomes a buyer. A conversion rate of 5% means that 5% of the new visitors to the site have searched the site, found the item or items they want and have made a purchase. Even small changes in conversion rate translate into big revenue dollars. For example, if a site doing $20 million in revenue increases its conversion rate from 3% to 4%, revenue would increase by almost $7 million.

The Nielsen NatRatings report for December 2006 Online Retail Results are in. The top 146 Online Retailers generated more than 140 million visitors and served over 41 million customers with an average order size of $72.30 for the month compared to 124 million visitors and an average order size of just over $74 in December 05.

In December 2006, the top 5 online retailers were:

1 eBay
2 Amazon
3 Wal-Mart Stores
4 JCPenney
5 Overstock.com

eBay recorded more than 69 million visitors in 06 compared to 64 million in 05 almost an 8% increase. Barnes & Noble slipped from number 4 to number 6 in 06 and Overstock moved up from number 6 to number 5 in 06.

How about buying the popular Apple 2GB iPod Nano for only 99¢? Or, if you’re in the market for a scooter, are you willing to shell out another 99¢? If these bargins sound like the right price for you, be one of the first customers to join the ribbon-cutting grand opening of the newest 99¢ Only Stores® on Thursday, March 29th, 2007 at 8 a.m. in San Antonio, TX.

The next 99 customers can buy a pair of Innovage automatic/cordless powered scissors - a $19.99 value - for 99¢ only!

If your are lucky enough to be one of the first customers at this huge grand opening, just remember this important warning: PLEASE DO NOT LISTEN TO YOUR iPOD WHILE RIDING YOUR SCOOTER WITH THE SCISSORS IN YOUR HAND!

See the entire release at:

http://home.businesswire.com/portal/site/home/index.jsp?epi-content=GENERIC&newsId=20070316005172&ndmHsc=v2*A1142514000000*B1174078779000*DgroupByDate*J2*M619*N1001081&newsLang=en&beanID=1963892417&viewID=news_view

An Italian Panel Rules that Numico, A Baby Formula Competitor in Italy, Engaged in Misleading Advertising for Baby Formula

Heinz Company announced today that Plasmon, its brand of infant nutrition products in Italy, has received a favorable ruling on its complaint that Numico, a competitor, engaged in unfair and misleading advertising and product labeling.

In its complaint, Plasmon charged that Numico’s advertising and labeling for follow-on formula and growth milks on their brands sold in Italy made an unproven claim that those specific products reinforced the immune systems of children. Plasmon argued there was not adequate scientific evidence to support Numico’s advertising and labeling claims. The I.A.P. jury agreed, ruling that Numico’s claims were not supported by scientific evidence.

See the press release by clicking on More...

Internet Retailer 2007 annual exhibition and conference took place in San Jose, CA June 4-7th. The Conference boasts the single largest gathering of retail executives in the United States with more than 4,000 attendees, 105 speakers, and 245 exhibitors. Attendees report that site search and improving conversion rates were the hottest topics during this year’s conference. It was clear from the variety of eCommerce practitioner speakers that bullet-proof site search was essential to increasing conversion rates.

AT&T and Apple hope the introduction of the new iPhone on June 29th will cause the next retail frenzy. The device, which uses a touch-sensitive screen rather than a keypad, has been hotly anticipated with more than 1 million people signing up with AT&T to receive notice when the device is available.

Using the same hype techniques that toy manufacturers use for the launch of new gadgets and games like the Tickle-Me-Elmo doll, we will certainly hear about people camped out in lines for days and the ridiculous and inevitable stampedes of customers rushing to order the $500 - $600 unit.