Apps lose 77% of their users in the first three days, so retailers need to ensure that theirs deliver experiences worth the storage space. John Gillan, Managing Director UK and Northern Europe, Criteo looks at how they can prevent shoppers from hitting delete.
Mobile apps can be something of a goldmine to retailers. In the smartphone dominated world in which we live (and shop), they represent a dedicated, personalised shopping experience.
Recent research from Criteo found that retailers investing in their own shopping application see over half of European mobile sales take place in-app. What’s more, app shoppers are more likely to convert and spend more. So, as retailers continue to face fierce competition from the likes of Amazon and eBay for their customers, a strong app strategy has become more and more important in the battle for smartphone screen-share.
However, in a world where apps lose 77% of their users in the first three days, retailers need to ensure that theirs deliver experiences worth the storage space. So, what do they need to do to prevent shoppers from hitting delete?
The app-adoption hurdles
The first hurdle for retailers when it comes to apps is convincing shoppers to download their app in the first place. Despite the average person using 30 smartphone apps per month, shopping apps are used only 1.5 times.
With over 5 million individual apps available across the two dominant mobile platforms (Apple’s App Store and the Android Play Store), becoming an app worthy of download and screen space being is an exclusive club. But even after being downloaded, it’s a fight for survival. It’s commonplace for apps to lose users rapidly for a number of reasons: too many notifications, slow loading times, poor user interface. The list goes on. When push comes to shove and people are turning to their smartphone to make a purchase or complete an action, the decision often comes down to whether an app offers a better experience than the other smartphone-based option, mobile web.
Use your data
To clear the app-adoption and retention hurdles, retailers need to utilise the wealth of data available to provide valuable in-app shopping experiences. Native advertising and retargeting is key to engaging shoppers. That’s why it’s essential retailers use app browsing data to reengage with shoppers.
For example, imagine a shopper named Joe is looking for running trainers. As Joe browses a certain retailer’s app, intent data is captured at each event level. Joe finishes browsing, but gets distracted and starts playing a game. If the gaming app is part of the retailer’s publisher network, the retargeting process continues in real-time. In this case, Joe’s purchase intent has been calculated, the impression purchased, product recommendation determined and the ad designed, all in real-time. The end product? Joe is served an engaging, personalised ad, reminding him about the trainers he was so interested in. Plus, a host of other options based on style, availability and pricing, all with a deep-link back into the retailer’s app where Joe can continue browsing/make a purchase.
In addition to getting smarter about retargeting, retail apps also need to streamline product feeds and overviews. Unlike mobile web, where formats are at the mercy of a browser, retailers have the opportunity to use their data to optimise product feeds and provide an increasingly engaging experience suggesting paired products, new creatives and much more. Netflix changes the thumbnails for shows based on browsing preference – why shouldn’t retailers?
Stand out from the crowd
Beyond just using data to personalise their app offerings, retailers need to find a way to provide a service that is as indispensable as smartphone stalwarts like Uber or Facebook to secure on-screen their position. For example, offering users recommended products not only to purchase, but also to add to their favourites. This helps to build a shopper’s faith and reengagement with an app, and can be followed up with notifications about when that item is on sale, complementary items or interesting content.
Another customer experience-boosting solution lies in technology. For example, ASOS recently added search-by-photo functionality to its app, allowing users to upload photos featuring clothing they’ve seen in the real world which the brand then matches to similar items available in the marketplace. Bloom & Wild app-shoppers also receive a personalised experience – they can sync their mobile calendar with the app and receive reminders and suggestions for birthday and anniversary gifts. These little gestures provide valuable, differentiated services that tick the boxes of the modern app shopper.
Apps represent a huge opportunity for retailers and their performance really does speak for itself. Getting the shopper experience right though isn’t as simple as deciding to create an app in the first place. It’s no longer good enough for retailers to have an app for apps’ sake. The graveyard of discarded apps will be huge compared to the success stories currently available to download – each one a reminder of why experience is everything.
It’s also key retailers stray away from focusing on metrics like number of downloads – as we know making it on to the homescreen is only the first hurdle. In order for retailers to make their shopping apps the success we know they can be, they need to turn to data to provide personalised experiences that engage shoppers and capture their interest while intent is high.
By John Gillan
Managing Director UK and Northern Europe