The Value of Retail Search and Position

Searchandise Commerce Study Confirms that Search Position Matters in Retail Media

 

BEVERLY, MA – September 14, 2011 – Searchandise Commerce, provider of site monetization and retail search media solutions, today announced the results of its ongoing click distribution study.  Based on click data collected over the past 2 years, Searchandise concludes that over two-thirds of clicks occur in the top 20 search and browse results on retail sites, with the top 3 positions accounting for 33% of the clicks within that universe.

Searchandise’s research revealed many similarities with studies analyzing the value of position on search engines like Google. While recent studies strongly support the importance of attaining premium position in search results, with the lion’s share of clicks occurring in the top 20 positions, the Searchandise study reveals a more gradual decline in clicks from position 1 to 2.   

“Retail sites have emerged as strong media vehicles giving advertisers access to the ultimate in true behavioral targeting. After all, who is more important to influence than the consumer researching TVs on a retail site?”  said John Federman, president and CEO, Searchandise Commerce.  “Further, this research identifies the payback for retailers who have invested deeply to make their sites relied upon resources for consumers. The fact that the clicks are distributed more evenly than on paid search engines makes sense – retailers are delivering search results that are relevant with product selections and shopper intent.”

 

 

The study was conducted over Searchandise Commerce’s retail search network comprised of:

• 3 of the top 12 retail chains
• 4 of the top 20 computers/electronics retailers 
• 4 of the top 12 mass merchants*

*Internet Retailer Top 500 Guide 2011

While this is the first study directed towards understanding how search and browse position affect share of clicks on retail sites rather than traditional search engines, the results are largely consistent with those provided by other vendors in the past year:

• July 2011: Slingshot SEO reported that click through rates went from 18.2% in first position to 10.05% in second position to 7.22% in third position, and continued to drop significantly thereafter.
• May 2011: Optify reported that CTRs for the top 3 results on search engines account for 60% of clicks
• July 2010: Chitika examined traffic coming into its advertising network from Google and found that the first position drove 34.35% of all traffic, nearly as much as slots two through five provided combined and more than positions five through 20 combined.

 For more information on this data, please contact sales@searchandise.net.

About Searchandise Commerce
Searchandise Commerce is a retail search media network that combines the pay-for-performance tactics of search marketing with in-store merchandising practices. Product marketers leverage cost-per-click bids to enhance product position within search listings across a network of retail sites, similar to purchasing premium shelf space in the brick-and-mortar world. Retailers benefit by monetizing those search listings, generating an incremental revenue stream without disruption to the consumer experience. For more information please visit us at searchandise.net or on our blog, Position Matters, or call 978.712.4554.