E-Commerce Enabled Brands Perform Better Across Digital Channels

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Last month L2 held a webinar to offer a deeper insight into our Digital IQ Index: Watches & Jewelry, released in October. During this online event we opened the chat box for Q&A, and were intrigued by the many great questions we received.

One of our participants asked whether selling high-priced items online was a viable strategic move for luxury brands. While we do not believe that all brands must immediately sell their products online, there are two main facts that emerged from our research that are worth considering:

1) E-commerce enabled brands performed better in most other digital marketing practices in our study, meaning brands that have invested in online transaction have also invested in the supporting digital instruments such as SEO, SEM, and email marketing, as well as employ retargeting tools on their sites. As such, they have positioned themselves better for traffic growth and overall digital competence.

2) Brands that are not e-commerce enabled should be doing more to facilitate offline purchase through their online channels.  For example, only 4% of non e-commerce enabled brands offer a gift finder, a stark difference to the 70% of brands already selling online. Additionally, only 44% of non e-commerce watch & jewelry brands allow users to find a retailer directly from a product page and only 32% encourage users to create wish lists.

Brands without an e-commerce platform should facilitate offline purchase through their online channels and move toward an online commerce solution. The digital landscape is highly competitive and strong digital retailers are happy to take advantage of their competitors’ digital shortcomings.

This entry was posted on Monday December 12, 2011 at 2:00 pm and is filed under Watches & Jewelry. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.