Currently, the majority of consumers use the internet for decision-making, but complete their purchases in conventional establishments. For this reason, more and more brands are orienting their efforts toward not only measuring the behaviour of users in the online channel, but to collect accurate data on how digital campaigns influence the levels of traffic to physical outlets.
Tiendeo.co.uk, the leading portal for online catalogs and deals, offers retailers the possibility of closing the circle of digital investment thanks to its Tiendeo Geotracking tool. Throughout the year and a half that it has been running, Tiendeo Geotracking has facilitated the integration of the online and offline channels, which allows retailers to know their consumer better and to accompany them during all phases of the purchase process. Thanks to this experience, Tiendeo.co.uk highlights three fundamental metrics to better understand the influence of online promotion in a scenario that continues to occur in the physical store.
One of the main concerns of retailers when they start an online promotion campaign is to know how many consumers are being reached effectively. The in-store conversion indicates the volume of potential customers that visit a store during a certain period of time after having been exposed to the online promotion catalog of the brand, in relation to the total number of users who have been exposed to a certain brochure.
In order for the data of this metric to be precisely adjusted to reality, it is important to take into account the exposure time to a given online promotion. For this reason, Tiendeo.co.uk established that the time spent reading a catalogue must be greater than 5 seconds. In fact, the average duration is around a minute and a half, which would point to an interaction of high value. This means that the user is in the process of planning and would be consulting offers and detailed information on nearby stores with the objective of going to one of the branches to carry out the purchase.
Cost per visit (CPV)
ROI (return on investment) is one of the fundamental metrics when it comes to having a quantitative vision of the success or failure of a certain digital campaign. While measuring ROI is apparently simple in the online channel, its calculation in physical stores is more complicated given the difficulty in obtaining reliable metrics of the behaviour of potential customers until they reach the establishment.
The cost per visit is one of the metrics obtained through Tiendeo Geotracking which allows increased accuracy in the calculation of the ROI. To discover the CPV of a digital campaign it is necessary to divide the investment that the retailer makes among the number of users who have ended up visiting the store through the influence of this campaign. The calculation of the CPV implies an integration of a metric of the physical environment into the digital environment, which facilitates the allocation of budgets and, with it, a more precise understanding of the ROI of a particular digital campaign.
One of the keys to the success of a promotional campaign lies in the influence it has on potential customers. This is where the concept of uplift is born, which measures the effect of a certain marketing action on a selected population group in relation to a control group.
In the case of digital brochures, uplift helps us to understand the impact that a particular campaign has had on consumers, which could serve to improve certain aspects of the promotion in future campaigns.
Tiendeo Geotracking: offline metrics born from a digital campaign
Since its launch in November 2016, Tiendeo Geotracking has become a feature that helps distributors to better understand the behavior of buyers, allowing the optimization of future digital promotion campaigns. “Thanks to our algorithm, we can know exactly which store visits are influenced by a digital catalogue,” says Eva Martín, CEO and co-founder of Tiendeo.co.uk. “This allows us to know how many consumers visit an establishment with the intention of making a purchase without the need to install any type of device in the store.”
Tiendeo Geotracking is based on the constant collection and analysis of data that users generate in real time from the queries they make via Tiendeo.co.uk’s catalogues. “The data we collect is anonymous, always with the consent of our users. The operation of Tiendeo Geotracking also adheres to the new General Data Protection Regulation, which will come into force in May throughout the European Union,” says Eva Martín.