Online watch retailers need to create more personalised and engaging customer experiences, according to new research which shows that returning shoppers spend nearly double online than new visitors.
Analysing a random sample of more than 7 billion online shopping experiences, Monetate, a company that provides brands worldwide with big data insights, found that new visitors are half as likely as returning visitors to add an item to their basket.
In Q4 2015, returning visitors, on average, added an item to their basket 15% of the time whereas new visitors, on average, added to their basket roughly 8% of the time.
However, there were some exceptions, with new visitors using mobiles to shop only adding items to their baskets in around 4% of sessions, versus 10% of sessions for returning shoppers.
The trend also saw some differences when it came to visitors reaching sites from social networks, with new customers only adding items to their basket 4% of the time, compared to 9% for returning buyers.
The difference in bounce rates between new and returning visitors also varied significantly depending on specific visitor circumstances, according to the report.
Looking at devices used to shop; mobile still appeared to be lagging behind when it came to the global average: 37% of mobile shoppers in Q4 bounced from the site they were visiting.
Compared with the 26% and 28% bounce rates of those other desktop or tablets, its clear mobile still has certain challenges to overcome.
For retailers to truly tackle bounce rates, they should be aiming for a singular website offering, regardless of the device being used and whether it be for browsing or for finalising a purchase at the check-out page, Monetate suggested.
Christmas contributed to solid conversion rates in the year’s final quarter. On a whole, conversion rates averaged at 3.5%, the highest rate in Monetate’s 12-month analysis.
“Customer retention and acquisition don’t have to be two parallel lines that never meet – every business needs to balance the two,” said Lucinda Duncalfe, chief executive officer at Monetate.
“This struggle for balance leaves many marketers asking, ‘Where do I focus my efforts so they make the most impact?’
“Of all the questions, the most critical answer is, ‘do I invest time and money acquiring new customers, or do I focus on retaining the customers I already have and personalise their experiences? At Monetate, we ask, ‘Why choose?’