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While many of us avid shoppers can attest to the immense benefits of shopping online, it may be a surprise that shopping online for furniture is just climbing the crest of its opportunity for retail e-commerce. According to Google/Compete [note: link loads PDF], for shoppers, the path to purchase is all about the right method, products, price and selection that will influence how they buy furniture online. Here’s how furniture retailers can take advantage of the furniture shopper path to purchase.

Online Is a Tool for the Entire Furniture Shopping Pipeline

While furniture shopping is averaging just an increase of 5% unique visits year-over-year, shoppers are behaving all over the map. Furniture retailers have a huge opportunity to capture shoppers at all stages of conversion online. For example, only one in four furniture buyers purchase online but those that do purchase online tend to spend more than those who purchase offline – the average price paid by furniture purchasers who shopped online was $657 versus $600 for those who didn’t. Two-thirds of these buyers who purchase in-store access the internet for furniture information. That’s 66% of shoppers who are just trying to learn more to help their ultimate purchase, whether online or in a retail store!

Omnichannel Is Right On

Marketing to shoppers through omnichannel efforts is not just to satisfy e-commerce buzzwords – omnichannel is a true tenant of what makes furniture retailers reap the benefits of selling furniture online. In-store buyers rely heavily on retail sites while shopping – 76% of them on furniture store sites. These buyers also cast a wide net while shopping online, with 63% of purchasers visiting multiple furniture brand sites prior to purchase.

In addition, shoppers have specific requirements for furniture that influences purchase, among them style (82%), material (81%), durability (81%), and size (80%). With all of these considerations being made by shoppers both online and off, it’s critically important for furniture retailers to engage shoppers wherever they are in their purchase cycle and through multiple channels.

Mobile Continues to Catch Waves

Mobile and tablets are still increasingly important sources for online furniture shoppers. 13% use a tablet to access furniture information, while 12% use their mobile. While these numbers don’t yet represent the majority of those studied, trends still suggest that mobile and tablets are poised for growth in the coming years for e-commerce. In addition, Blueport’s brick and mortar retailers can count themselves as sites that furniture shoppers visit:

• Furniture-only retail sites (39%)
• Home furnishing sites (40%)
• Online-only retail websites (41%)
• Department store websites (44%)

Furniture retailers that can take full advantage of online commerce, while integrating with their brick and mortar stores and mobile, are poised to seize the billion dollar opportunity ahead of them. And Blueport Commerce is riding the wave right along with them, by helping furniture retailers implement a full-service solution that meets the unique, localized needs of selling furniture online.

Going beyond social networking to social influence is critical to success for retailers in 2013. According to Econsultancy, using social media to its full potential influences consumer purchases, and goes beyond just brand promotion: it takes advantage tools to succeed and increase conversion in the social sphere. Follow these tips to move the social needle away from being part of the crowd to being the crowd-source. 

Tip #1: Location, Location, Location

Here at Blueport, we preach a localized e-commerce experience for furniture retail that allows shoppers to get their pieces just that much quicker while maintaining quality and a fair price. Online, shoppers behave similarly when they shop around a brick-and-mortar store. If something doesn’t stand out to them or they just happen to not pass by that area of the show room (in this case, a website’s landing page), there’s a lost conversion opportunity.

For social media influence, location is important. People interact and share information when the opportunity presents itself, so make social media work harder for you and make it easier for people to talk about your brand and merchandise. How? Strategically locate your social media channels all over your website to allow for greater interaction and influence for your brand and merchandise. Victoria’s Secret has been able to garner the highest Facebook presence because its landing page connects to more social media and works with multiple devices.

Tip #2: He Said, She Said Matters

Although the days of lunch room gossip are long over, no one said we still didn’t crave being in the know. Thankfully, today social media can fill the void and stay ahead of what on trend chevron pattern John Stamos has in his dining room. 63% of social media users feel consumer ratings are the number one source of information about e-commerce products,, and consumers discuss specific brands casually 90 times per week. Retailers can tap into this natural communication, but optimize it in the online space.

Tip #3: Give Shoppers What They Want

58% of Facebook users expect exclusive offers, events and promotions when they become fans of a Facebook page. 74% of consumers rely on social networks to guide purchase decisions. As if that weren’t enough, 70% of active social media users shop online and 47% of them are more likely to be heavy spenders on clothing, shoes and accessories. How can furniture retailers take advantage of this influence online? Specific, exclusive offers help, but it’s also about communicating your brand promise, tailoring your merchandise to your fan demographic and using the data captured to provide insight into your merchandise selection.

Social influence for e-commerce is all about spending just the right amount of time with a few other tips and tricks to make the most of what is offered. Oh and by the way, we’d love to hear from you: @blueportdotcom on Twitter, BlueportCommerce on Facebook and also on LinkedIn. #longliveecommerce

Buy something online last year? You weren’t alone. According to The State of Retailing Online 2013: Key Metrics and Initiatives by Sucharita Mulpuru of Forrester Research, overall growth for web retailers from 2011 to 2012 was 28%. We at Blueport Commerce are thrilled about the continuing trend of increasing e-commerce activity. Statistics from this report we found particularly salient include:

The Explosion of Mobile

Currently Forrester’s mobile forecast shows less than 5% of e-commerce sales coming from phones. However, of the retailers surveyed, smartphone year-on-year growth hit 129%, and tablet year-on-year growth hit 178%. And while the actual sales may not be there yet, as many consumers use their mobile devices to browse while in stores, mobile has a net positive impact on retailers’ conversion rates, as 36% reported that mobile sales and traffic aided their company’s overall web conversion rate.

Blueport’s takeaway: Retailers should be prepared to optimize for mobile and tablet traffic in order to improve conversion rates, both on the web and on mobile. 

The Need for Speed: Optimization

Retailers mentioned their top priorities in 2013 are improving their site’s conversion rates and redesigning their site experience, optimizing their site’s performance. The three top investment areas cited by retailers for long-term growth are site optimization (e.g. website redesign), mobile optimization and international growth (27%), with products and fulfillment to international markets, as well as localization and translation. Under the large category of site optimization, checkout and a responsive design framework were two sub-areas cited as needing improvement in 2013.

Blueport’s takeaway: Optimization boils down to a simple concept: what levers you can pull to make it as easy as possible for browsers to pull the trigger to become buyers. The need to reach consumers where they want and how they want is critical, and retailers should focus on ensuring all consumers’ browsing and buying needs are met with optimized site and mobile experiences.

The Exorbitant Cost of Marketing

Forrester previously found that web marketing usually consumes about 10% of a web retailer’s expenses. However, that figure is only increasing due to greater competition as email marketing continues to become harder to differentiate, SEO and SEM costs are skyrocketing, social media sites are now experimenting with paid models and there are additional costs associated with mobile marketing. Investment in the effort of organic SEO optimization is worthwhile given the ROI – it isn’t as exorbitantly expensive as Pay Per Click (PPC), and, done right, it can increase conversions. Additionally, the benefits of organic SEO last longer than PPC, whose impact goes away the second you cut off the funding.  

Retailers surveyed also noted that IT investments were the most critical for continued revenue in 2013. Adding to their IT resources and improving core site performance were listed as top priorities, at the expense of social media, whose monetization effects haven’t yet been proven.

Blueport’s takeaway: Focus on the levers that will truly push your margin. Since SEO can account for up to 40% of traffic, maximizing low-cost alternatives like organic search are high impact/low cost.

Shipping as an Opportunity, Not a Pain Point

Same-day delivery and broad reach of fulfillment like Amazon’s was all the hype of in 2012, but other than the big players, few retailers are focused on their fulfillment or post-transaction experiences. Forrester recommends retailers follow the path of companies who focus on fulfillment as a differentiator: tactics such as shopper loyalty programs, expedited delivery programs, shipping clubs and store fulfillment.  

Blueport’s takeaway: The key here for furniture retailers is not just focusing on the front end but also on the back end operations. In essence, while many retailers are focused on website redesign and optimization, the back end operational part of the site is virtually ignored. Furniture retailers have the opportunity to offer not only varying delivery options, but also the chance to rethink shipping pricing models overall. By implementing a truly localized omnichannel experience, furniture retailers who allow customers to choose between various delivery options are better set for success.

Did you enjoy your New Year’s Eve holiday by spending time with your family? Our big-ticket retail clients did, because they weren’t worried about whether their websites would be live during their blowout New Year’s inventory clearance sales. One of the most critical decisions you’ll ever make as a big-ticket retailer looking to transition to e-commerce is whether to host your own website, or to use a managed solution. Blueport Commerce examines the pros and cons of hosting your e-commerce website yourself, or outsourcing it to a managed solution provider.

In-House Hosting Gives You Total Control – And Sole Responsibility

The benefits of an on-premise e-commerce hardware solution include increased control, budget flexibility, owning the source code and being able to make changes at any pace you desire. Because you are hosting the e-commerce hardware yourself, you are able to exert more control over your e-commerce website, and iterate at any time. And at first glance, hosting yourself will allow for lower initial costs.

That said the drawbacks of an on premise e-commerce solution are that as your business grows, the complexities and hidden costs start to multiply. Hosting your own e-commerce hardware means you need a fully trained technical staff to maintain it, servers to keep the website up and running, licenses for all of the hardware and software associated with the website, a budget to stay compliant with federal rules and regulations, and money to stay current with threat assessments. Inevitably, the maintenance, constant availability and security needs of hosting a first-class e-commerce site become something few companies can afford to handle internally, from a resource, bandwidth and cost perspective. You will spend more time, money and effort trying to manage all the disparate puzzle pieces than you would by working with a managed solution provider.

Managed Solution Means Manageable Cost

Blueport Commerce, the only e-commerce technology and services company that localizes big-ticket retail online, embodies the benefits of a managed e-commerce solution. With a managed e-commerce hardware solution, you’re free to focus on what you do best: selling big-ticket items, instead of worrying about keeping a website running at optimal performance. And because you’re not staffing up when you use a managed solution, your overall costs are actually lower – and those savings can be used to grow the business. Additionally, managed solutions like Blueport Commerce have key partnerships and alliances with vendors that allow for enterprise-grade equipment to be purchased at a cost-savings that is then passed on to the client. Blueport’s business partnerships with established best-in-class technology partners like Cisco, Microsoft, Akamai, Dell and F5 include Tier 1/Priority Support, with dedicated local reps and faster response times when needed.

Because Blueport Commerce is an all-in-one managed e-commerce solution, our clients have all of the formerly disparate puzzle pieces already assembled for them – allowing Blueport and our clients to collaboratively focus on customizing their website for optimal return on investment. By figuring out the best way for each particular client to do business online, Blueport Commerce’s managed e-commerce solution sets each client up for success and allows for the one item you can’t really put a price on: peace of mind.

For big-ticket furniture retailers, it’s important to know who is shopping, where, why and how selling furniture online is part of the equation. This week, we at Blueport Commerce are going to give you insights into all of this, drawing on data from a recent Furniture Today and Apartment Therapy study.

The unlikely pair partnered to complete a 1,600-respondent survey on where, why and how different generations shop for furniture. For this survey, Generation Y includes people age 18-36, Generation X includes ages 37-47 and Baby Boomers are 48-66 years old. While you can read the complete study in Furniture Today’s print publication, we provide some of the highlights and our expert insights.

Where People Are Shopping

It’s rare that in a survey, 100% of one group answers a question the same way, however 100% of Generation X and Y respondents answered that they “frequently shop” at lifestyle furniture stores. These stores are defined as retailers that carry furniture and home accents at full price, such as Ikea, Pottery Barn, West Elm, Restoration Hardware, and Crate & Barrel. Baby Boomers’ preferred furniture shopping source is also lifestyle furniture stores, with 69% saying they regularly shop for furniture there. Ikea is the most popular brand, with 44% of Generation Y and 36% of Generation X saying they regularly shop at Ikea.

Traditional furniture stores, where furniture is the store’s total business or single-largest category, were the next most popular shopping destination for many, but with significant generational differences. Half of Baby Boomers commonly shop at traditional furniture stores, but this number drops to 33% for Gen X and only 23% for Gen Y.

Lagging far behind was the  classic department store (defined as full-line operations carrying a variety of merchandise such as Macy’s, JC Penney and Sears), with less than 10% of any generation shopping there regularly.

Why People Shop at These Stores

We believe consumers of all ages respond well to lifestyle furniture stores because they promote a complete experience. Their showrooms and catalogs tend to focus on the feelings and emotions that the furniture and highly stylized rooms provoke, allowing less visual buyers to benefit from product placement and suggestions. They make the entire furniture decision and purchase process more enjoyable for their customers. Many lifestyle furniture stores also sell a wide range of affordable accessories – letting the aspirational shopper get a taste of the brand without committing to a big-ticket purchase.

Shoppers who liked traditional stores cited the quality product and variety as their reasons for shopping there, as well as being locally owned and having top-notch customer service. Comments such as "the store's customer service and free delivery are great" and "I like to support local, small businesses” are typical reasons as to why shoppers preferred to do business with a traditional store.

Blueport Commerce isn’t surprised by these findings, as the advantage of localized big-ticket retail e-commerce is being able to close the gap between brick-and-mortar showrooms and online shopping. Consumers enjoy the experience of the stores and being able to touch and feel the furniture, while reaping the benefits of easy browsing, knowledgeable furniture sales staff and streamlined checkout.

How Furniture E-Commerce Fits In

One of the biggest surprises in this survey is how “online” was a top choice for furniture shopping across all age groups: 39% of Generation Y, 36% of Generation X and 27% of Baby Boomers regularly shop for furniture on the Internet. Why? Because online shopping is “easy” and “a great resource with a wide range of choices.”

It’s encouraging that each generation is more and more comfortable with shopping online for furniture. The increased comfort level is resulting in a significant likelihood to purchase as well. When asked if they’d be comfortable buying a sofa without sitting on it first, 24% of Generation X, 18% of Generation Y and even 15% of Baby Boomers said they would.

As the only localized big-ticket e-commerce solution company, Blueport Commerce has embraced the trend of the growing number of people who are ready and willing to purchase big-ticket items online. By offering consumers more of a lifestyle furniture shopping experience online – for example, using more complete room images and suggesting accent pieces such as lighting and rugs when looking at larger items – retailers can benefit from increased browsing and conversions online.

Additionally, an e-commerce store can offer a targeted experience to consumers, increasing the likelihood of closing a sale. Targeting consumers by generation, for example, makes sense: members of Generation Y may live in smaller-sized apartments and condos, so furniture specifically selected for them, as opposed to Generation X or Baby Boomers in larger homes, can make all the difference. With 46% of respondents claiming they continuously shop for new furniture, providing an engaging online experience could be one of the best investments any furniture store could make.

E-commerce sales continue to steadily rise, with year-over-year sales growth for the period from October 29 to December 25, 2012 reaching 15.2% (Retail Info Systems News). If you're a big-ticket brick and mortar retailer looking to pick up on online best practices and integrate them into their physical stores, you should be taking note very closely. With the goal of engaging customers throughout the year, not just seasonally, you can recapture the potential sales lost through showrooming. And not all retailers need to adopt the Target defense of price-matching all sources – sometimes the best defense is a good (marketing) offense!

In an interesting interview from Multichannel Merchant, Randall Stone, senior partner and director of customer experience and retail design at Lippincott, has keyed in on a few retail strategies that are being used to enhance in-store shopping experiences. Here are the ones we at Blueport Commerce, the only e-commerce technology and services company that localizes big-ticket retail online, felt most applicable to big-ticket retailers:

1. Integrate Digital Tools Specific to the Showroom: Add digital kiosks and tablets throughout stores to allow customers to access online product information, reviews, as well as full e-commerce functionality to allow them to purchase online after getting to touch and feel the furniture. Provide customers with technology that allows them to visualize products in their everyday lives (read our coverage of augmented reality tools  here). Design a showcase experience that enables on-floor sales associates with tools (such as tablets) to see inventory levels, and allow consumers to customize any products they're interested in purchasing.
2. Embrace Omnichannel: Retailers have a chance to better engage consumers with a browse anywhere/buy anywhere approach. Retailers should allow customers to shop whenever and wherever they please and then pick-up, or have the goods delivered – site to store, store to home, etc.  Retailers who provide an omnichannel experience will be brand leaders.
3. Mobile Apps: Mobile apps allow consumers to shop in-store, pay painlessly with their smartphone and depart. These apps make shopping experiences quicker and easier. Oftentimes, coupons can be loaded onto the mobile app in order to incentivize shoppers to spend while in-store. In fact, in a recent survey, eMarketer found nearly two-thirds of 18- to 34-year-olds reported using their mobile phone for shopping this past holiday season, and almost half said this made their phone a faster resource for accessing information than asking a store associate.
4. Focus on Your Consumer Year-Round: Shopping holidays are high-volume revenue days for retailers, but they don't always mean repeat business. Customer loyalty is dependent on the consistent experience consumers have in your store and online – retailers need to deliver their brand experience all year long. Retailers who concept clever ways to differentiate themselves, such as express frequent shoppers’ lines or loyalty programs, will find retail success year-round. Some stores are experimenting with pop-up stores, flash sales and/or tailored events to appeal to new prospects. Big-ticket retailers can benefit from in-store promotional events that offer a rich, multimedia and interactive experiential component to drive store traffic. Additionally, for big-ticket retailers, design services and email marketing tactics can play a key role in keeping your customers engaged year round.

With big-ticket retail, the focus is going to be inherently local, as consumers often want to touch and feel the big-ticket items they are going to purchase. By focusing on creating a cohesive brand experience from site to store, enhancing convenience and providing a superior customer experience, big-ticket retailers can turn showrooming prospects into satisfied, loyal customers.

What do you think? Join the discussion on our Facebook page.

Fun fact: 61% of customers read online reviews before making a purchase decision according to Econsultancy, making them essential for e-commerce websites. Benefits include optimized SEO, increased conversion rates, improved customer trust, an uplift in sales and more engaged customers. Blueport Commerce, the only e-commerce technology and services company that localizes big-ticket retail online, always encourages our clients to implement reviews on their websites in order to ultimately increase revenue. Here's a look at the benefits of customer reviews, and the numbers behind them.

1. UGC is Good for SEO

User generated content such as product reviews can act as a magnet to crawling search engines like Google and Bing. Because consumers are regularly writing reviews on their purchases, the content is fresh, relevant and updated – just what search engines love. Additionally, consumers often search for the name of the product plus the word "review" or "ratings", which helps with long tail keyword searches. When properly formatted reviews get pulled into search results –for example, with the star ratings or headlines, these rich snippets can produce a 10-20% increase in click-through rates.

2. Trust!

Not surprisingly, consumer reviews are trusted nearly 12 times more than descriptions that come from manufacturers, according to a survey of US internet users by online video review site EXPO. In a Reevoo study, 30% of potential consumers actually suspect censorship or faked reviews when they don’t see any negative reviews on a retailer's website. Additionally, consumers who go out of their way to read bad reviews convert 67% more than the average consumer. So just by having reviews, even with a mixed amount of positive and negative, a big-ticket retail e-commerce website can cause consumers to place more trust in their products and customer service.

3. Sales!

Every big-ticket retailer's ultimate goal is to drive revenue. And reviews produce an average 18% uplift in sales according to Reevoo. Site visitors who interact with both reviews and customer questions and answers are 105% more likely to purchase while visiting, and spend 11% more than visitors who don’t interact with user-generated content, per Bazaarvoice. So by keeping your browsing shoppers engaged with the reviews on your site, you can increase your likelihood of getting them to convert to paying customers.

Blueport encourages all of our clients to implement product reviews on their e-commerce websites and to also actively encourage consumers to leave product reviews, both via emails sent a certain amount of time post-purchase, as well as on product pages. In the end, it can be the difference between a lost opportunity and a closed sale.

Last week, we examined the record-breaking success of e-commerce over US Thanksgiving and Black Friday 2012, and their worldwide impact. This week we examine the numbers and impact of Cyber Monday 2012. As the only e-commerce platform, technology, and services company that localizes big-ticket retail online, Blueport Commerce breaks down the Cyber Monday 2012 holiday numbers to uncover trends and insights relevant to big-ticket retailers.

Numbers are courtesy of MultiChannel Merchant/IBM's Cyber Monday Report; ITProPortal’s Black Friday 2012 Results: $1bn Milestone Hit as Online Spending Soars, But Cyber Monday Nets Even More; Internet Retailer’s A Robust Weekend for E-Retail; The Retail Email Blog’s Alert: Record-Setting Cyber Monday Propels 5-Day Weekend Email Volume to All-Time High and MarketWatch’s Bari Furniture Reports 62% Increase for Black Friday/Cyber Monday.

Cyber Monday

Sure, the term "Cyber Monday" may feel antiquated, but the concept is current enough to be embraced by the millions of people who didn't feel like hitting the local malls or stores to wait in line for hours. Let's face it: shopping from the comfort of your desk, whether at work or at home in your pajamas, is a lot less stressful than braving the crowds and hitting local stores. And online shoppers in the United States agreed, to the tune of $1.465 billion spent on Cyber Monday, making the day the most lucrative ever for e-retailers per comScore Inc. (Internet Retailer). Some more intriguing overall statistics include:

Cyber Monday 2012 Vs. Cyber Monday 2011

• Shopping Peaks at 11:25 am EST: Consumers flocked online, with shopping momentum hitting its highest peak at 11:25 am EST (IBM).
• Mobile Shopping and Mobile Traffic Increase: On Cyber Monday more than 18 percent of consumers used a mobile device to visit a retailer's site, an increase of more than 70 percent over 2011. Mobile sales reached close to 13 percent, an increase of more than 96 percent over 2011 (IBM).
• The iPad Factor: The iPad continued to generate more traffic than any other tablet or smartphone, driving more than 7 percent of online shopping. The iPad also continued to dominate tablet traffic reaching a holiday high of 90.5 percent (IBM).
• Multiscreen Shopping: Consumers shopped in store, online and on mobile devices simultaneously to get the best bargains. Overall 58.1 percent of consumers who were in a store used smartphones compared to 41.9 percent who used tablets to surf for bargains on Cyber Monday (IBM).
• Social Sales: Shoppers referred from Social Networks such as Facebook, Twitter, LinkedIn and YouTube generated 0.41 percent of all online sales on Cyber Monday, a decrease of more than 26 percent from 2011 (IBM).

Blueport Cyber Monday tip: Save the best for last. Black Friday traffic was high for all websites across the world, with traffic from people scoping out deals. However, a big-ticket retailer’s best deals should be saved for Cyber Monday, which had the highest conversions, with people buying online at more than double the rate of Black Friday.

“Despite some news reports suggesting that Cyber Monday might be declining in importance, the day has once again set an online spending record at nearly $1.5 billion,” says comScore chairman Gian Fulgoni. “However, it is also clear that the holiday promotional period has begun even earlier this year, with strong online sales occurring on Thanksgiving Day and Black Friday. Now, we shall see the extent to which continuing and attractive retailer promotions are able to boost sales for the remainder of the week.”

Now what about furniture? In a trend that foreshadows the ROI potential of taking your big-ticket retail items online with e-commerce, home goods continued to grow, reporting a 26.8 percent increase in sales from Cyber Monday 2011 (IBM). Additionally, Bari Furniture, an online and brick and mortar retailer specializing in Leather Furniture, said that Black Friday and Cyber Monday produced record sales, with Black Friday sales up 59% over 2011 and Cyber Monday sales hitting an all-time record with a 64% increase (MarketWatch).

"As our selection broadens, reviews from our customers tell us that year over year growth will continue to expand for niche sites like ours that focus so closely on service, selection and value," President Tom Tilaro said.

Blueport experienced this phenomenon firsthand. One of our clients, TheRoomPlace, had their best-ever online sales day on Cyber Monday, lifting their revenue 14% from 2011. Another one of Blueport's clients, Leon's Furniture of Canada, experienced a 380% increase in revenue on Cyber Monday compared to their daily average sales. The best part of this? Leon's is actually a long-time Canadian retailer, where Thanksgiving is celebrated the month prior, meaning that Cyber Monday is truly becoming a worldwide phenomenon.

Between the success of big-ticket retail's predecessor of home goods and furniture over the holiday weekend, as well as the increased overall spending by consumers via e-commerce, Blueport Commerce remains committed to furniture as the next big category to go online.

As the 2012 Thanksgiving-Black Friday-Cyber Monday e-tailing season is behind us and we look to the December holiday season, big-ticket e-commerce retailers who sent early emails (early in both time of day sent and in advance of the Thanksgiving holiday) reaped the best rewards. Knowing that December is often the splashiest and most profitable holiday season, it’s a best practice to promote sales early and often to your loyal email subscribers and social media followers, as well as offer pre-holiday deals to your VIP customers.

Miss our Thanksgiving Day and Black Friday 2012 breakdown? Check it out here.

Even if the Grinch was an e-commerce retailer, he'd be forced to smile after the close of a landmark 2012 Thanksgiving holiday weekend. By all accounts, from Thanksgiving Thursday to Black Friday to Cyber Monday and everything in between, 2012 was a wildly successful holiday e-retailing period. And retailers have a lot for which to be thankful.

As the only e-commerce platform, technology and services company that localizes big-ticket retail online, Blueport Commerce breaks down the Thanksgiving 2012 holiday numbers to uncover trends and insights relevant to big-ticket retailers in a two-part series. Part one looks at Thanksgiving Day and Black Friday; Cyber Monday will be covered in part two.

Numbers are courtesy of IBM's Black Friday Report 2012; comScore’s Black Friday Billion: Kick-Off to Brick-and-Mortar Shopping Season Surges Past $1 Billion in E-Commerce Spending for the First Time; ITProPortal’s Black Friday 2012 Results: $1bn Milestone Hit as Online Spending Soars, But Cyber Monday Nets Even More; Internet Retailer’s E-Commerce Sales Rise 17.4% on Thanksgiving Day; SearchEngineWatch’s Black Friday E-Commerce Sales Set $1 Billion Record, 2012 Holiday Online Sales Strong; and The Retail Email Blog’s More Retailers Sent Email on Thanksgiving Than Black Friday.

Thanksgiving Day

• Strong Gains Overall: Thanksgiving Day saw strong gains on the e-commerce front, with a 32 percent year-over-year increase in online spending bringing the total for that holiday to $633 million (SearchEngineWatch).
• Promotional Email Frenzy: On Thanksgiving, more than 83% of major online retailers sent their subscribers at least one promotional email, setting an all-time record for the day. In 2011, 75% of retailers sent their subscribers email on Thanksgiving; in 2010, 60% did; and in 2009, just 45% did (Retail Email Blog).
• Record-Shattering Web Traffic: Visits to retail web sites broke records, with Akamai Technologies Inc. reporting a peak of 7.63 million page views per minute from North American consumers to the websites of its retail clients at 8:55 p.m. Eastern Time on Thanksgiving Day (Internet Retailer).

Blueport's tip: It's never too early to start promoting discounts or special offers. Don't feel limited to just Black Friday and Cyber Monday promotions. And don’t think furniture has no place in these sales – it’s about more than just gifts. Even if people are buying for themselves, early awareness of deep discounts is critical to drive big-ticket online purchases. And US Thanksgiving has started to be recognized (at least for e-commerce) in Canada, with Blueport client Leon’s of Canada experiencing a traffic surge, with a visitor increase of 360% from US Thanksgiving Day 2011.This proves that Thanksgiving is now recognized outside of the US as a major e-commerce event.

Black Friday

While Black Friday traditionally conjures up images of overly caffeinated shoppers bundled up in multiple layers of clothes, camping out overnight at their favorite retail stores the night before stores open, an increasing number of consumers prefer to do all of their Black Friday shopping online. According to comScore, Black Friday saw over $1 billion in e-commerce sales for the first time ever, and a 26 percent increase versus Black Friday 2011.

“Despite the frenzy of media coverage surrounding the importance of Black Friday in the brick-and-mortar world, we continue to see this shopping day become more and more prominent in the e-commerce channel – particularly among those who prefer to avoid crowds at the stores,” said comScore chairman, Gian Fulgoni. “With Black Friday online sales up 26 percent and surpassing $1 billion for the first time, coupled with early reports indicating that Black Friday sales in retail stores were down 1.8 percent, we can now confidently call it a multi-channel marketing phenomenon.”

• Social Sales: Shoppers referred from Social Networks such as Facebook, Twitter, LinkedIn and YouTube generated .34 percent of all online sales on Black Friday, a decrease of more than 35 percent from 2011 (IBM).
• Mobile & Tablet Shopping: Mobile purchases (including tablet) soared with 24 percent of consumers using a mobile device to visit a retailer's site, up from 14.3 percent in 2011. Mobile sales exceeded 16 percent, up from 9.8 percent in 2011. The iPad not only dominated the tablet shoppers with 88.3% of share, it reached nearly 10 percent of all online shopping (IBM).
• Multiscreen Shopping: Consumers shopped in store, online and on mobile devices simultaneously to get the best bargains. Of the people already in a physical store, 58 percent of these consumers used smartphones compared to 41 percent who used tablets to surf for bargains while in-store on Black Friday (IBM).
• Brick-and-Mortar Sales Down: As the internet rises, in-store sales were down 1.8 per cent despite slightly improved year-on-year foot traffic amounting to 308 million visits to bricks-and-mortar retail outlets (ShopperTrak via ITProPortal).

Blueport Black Friday tip: The lack of influence of social media is surprising; particularly that it was down from 2011. While we encourage our retailers to keep an active social media presence, it's important to always link to either appropriate sale items or the homepage, allowing viewers to see upcoming promotions. And Black Friday certainly proves the importance of having a mobile-optimized website, if not a mobile app in addition, to encourage active shoppers to engage with your brand and, most importantly, transact.

Blueport client TheRoomPlace had its highest traffic of the year on Black Friday, doubling their traffic from four weeks prior. And Black Friday even hit Canada, with Leon’s increasing their visitors 33% from Black Friday 2011, proving that Black Friday is now recognized outside of the US.  

Blueport Commerce and our clients are thrilled with the increase in e-commerce purchases of the 2012 Thanksgiving holiday season. While Thanksgiving and Black Friday have traditionally been thought of as in-store retail events, this year’s online spending numbers prove that more and more consumers are moving to an e-commerce model for the convenience, discounts, and promotions.

Let us know – did you see improvements – or disappointments – during these two days?

Part two of this series next week will examine Cyber Monday 2012’s numbers and trends.

It is inevitable that any retailer in the e-commerce space will aspire to be the success story that is Amazon, no matter how unrealistic that dream may be. As an e-commerce site that was born in 1994 as a seller of used books, Amazon has morphed into a Goliath in the industry, becoming the dominant retailing marketplace for products ranging from books to electronics to food. With its low prices, rapid delivery and huge inventory, Amazon poses a threat to retailers in all industries.

“It is coming down to convenience, assortment and price,” said the operator of a Los Angeles area consumer electronics retailer to HFN. “And Amazon is beating us on all three fronts.”

However, there are steps furniture retailers can take to counteract Amazon.com before they find themselves floundering like former retail giant Best Buy. We at Blueport Commerce, the only e-commerce technology and services company that localizes furniture online, have our retailers place an emphasis on service, product knowledge and convenience to ensure customer loyalty and retention.

1. Service

While Amazon is known for their accommodating customer service, our clients can actually benefit from showrooming, which extends a personalized touch that Amazon itself can't offer. Shoppers in a brick-and-mortar store may be tempted to see, touch and feel a piece of furniture they like, and then immediately try to find it for less online on their mobile device. With the help of experienced, knowledgeable salespeople in the brick-and-mortar store, as well as an e-commerce website optimized for mobile, plus a mobile app, furniture retailers can turn showrooming from a lost opportunity into a closed sale by keeping the buyer on their brand's site. Additionally, offering iPad and touch tablets loaded with inventory information as well as allowing store consumers to experience online checkout while in their store, can reach more connected consumers. 

Kathee Tesija, Target’s executive vice president of merchandising and supply chain, said it best when she said, “Do we love being a showroom? Yes, when we can book the sale.”

And we at Blueport Commerce are confident that in this case, our clients can book the sale.

2. Product Knowledge

Currently, Bed, Bath & Beyond is one retailer most at risk of losing out to Amazon. “Our work suggests there is 89 percent direct product overlap with Amazon in kitchen electrics, 83 percent in cookware and 83 percent in cutlery, all key traffic-driving categories,” said Matt Nemer, retail analyst with Wells Fargo.

Bed, Bath & Beyond is responding by changing its merchandise mix toward more exclusive products, mirroring that of Williams-Sonoma, Crate & Barrel and Pier 1 Imports, who are less vulnerable to Amazon due to name cachet and exclusive products. Bed, Bath & Beyond now has its own specialty food, as well as home textiles. In a similar vein, by offering a strong range of one-of-a-kind, name-brand products, as well as having a plethora of information about each product available both online and in-store, furniture retailers can benefit from consumers who aren't just price shopping, but are looking for durable and stylish furniture and appliances that last. 

3. Convenience

Bed, Bath & Beyond, which currently receives only 3 percent of their total sales from e-commerce, has invested heavily in improving their website and opening an 800,000-square-foot e-commerce fulfillment center in Georgia. Convenience-based improvements they are exploring include in-store pickups and returns on e-commerce purchases, identical pricing on merchandise between stores and online, more exclusives and increased private label. Like Bed, Bath & Beyond, furniture retailers who can most successfully merge the in-store and online e-commerce experiences to result in the most seamless, customer-centric experience possible will succeed. 

“Having a unique product mix, backed by a strong knowledge of the products and consumer needs, will definitely help smaller brick and mortar retailers hold off Amazon,” said Alan Mendelson, a business reporter based in Los Angeles.

Our retailers who offer quality service, a deep product knowledge and convenient ways for customers to shift between digital and physical channels are the stores who will survive as Amazon continues its rapid growth. 

As all consumers know, 'tis the season to be thankful, merry and wise – especially when shopping! And from a big-ticket retailers' perspective, it's more crucial than ever that social media be part of any e-commerce marketing campaign. No longer just for individuals, social media actually affects consumer holiday spending – for example, in 2011, 66% of Black Friday purchases resulted from social media interactions (Fast Company). Here are three ways you can make your social marketing as seasonally appropriate as possible.

1. Be Responsive

Responding in a timely manner and encouraging social sharing are critical to retail chains' success. A recent survey by Fast Company found that brands only respond to half of the posts on their social media pages. This is problematic, as 80% of users who receive a response will end up purchasing. Additionally, when a brand actively communicates with its social media followers, 28% of them will pull the trigger on a purchase specifically because of that outreach. Prioritizing real-time engagement with social media fans, aka your potential consumers, can monetize your social media investment. While this is important to keep in mind every day of the year, with the heightened activity during the holiday, a fast response could make or break the sale.

2. Don't Be Too Sales-Centric

Consumers are consistently bombarded by holiday season retail advertisements, offers and promotions. YesMail's holiday marketing survey found that campaigns aimed strongly on getting consumers to buy showed below-average engagement, while messages about holiday spirit performed much better.

"Consumers are oversaturated with holiday messages this time of year,” said Michael Fisher, president of Yesmail. "Brands have to be especially careful about not being overly promotional during the holidays, even though customers are increasingly turning to social channels to find deals."

It's important that retailers are not viewed as too pushy. When in doubt, focus on what the holiday spirit means, not pushing big-ticket retail product. An example might be a big-ticket furniture retailer sending a regularly-scheduled promotional email about the in-laws visiting during the holidays and the importance of making them feel comfortable in your guest room, while featuring a relevant bedroom collection.

3. Encourage a Social Dialogue

Facebook's mission is to "give people the power to share and make the world more open and connected." Likewise, Twitter's is to "instantly connect people everywhere to what's most important to them." Social media networks were initially concepted on the idea that people could be friends digitally, and share things that matter to them – including brands. Think of your organization as a "friend" in the sense that while obviously the bottom line ROI matters, it's key that your social media channels are seen as approachable, helpful and timely – especially at this time of year. How can you encourage a better social dialogue?

• Enable content that's easily shareable: keep your tweets and Facebook statuses concise, so they can be easily retweeted and shared.
• Similar to young children on Christmas Eve, holiday spirit never sleeps! Timing matters – schedule holiday posts for off-hours. A YesMail survey recently found almost 60% of consumers prefer to interact with brands on social media between 6 p.m. and 2 a.m., but the majority of brands run social campaigns during office hours (Business News Daily).
• For added holiday spirit, run a holiday-themed promotion, contest or offer on Facebook or Twitter via a third-party app to grow your fanbase and increase virality.

Since May 2012, consumer spending on durable goods, which includes big-ticket items such as cars, washing machines and televisions, climbed 3.6% (Benzinga). As the only e-commerce technology and services company that localizes big-ticket retail online, Blueport Commerce wishes both retailers and consumers a joyful holiday retail season, spurred by a flurry of timely, helpful and friendly social media activity.

Did you know Canadians lead the world in online engagement, with users spending an average of 45 hours online a month? Consumers in Canada are heavily engaged in social media channels, as well as online search and banking. In 2010, 8 out of 10 Canadian households (79%) had access to the internet, and over one-half of connected households used more than one type of device to go online.

Yet in contrast, Canada's internet economy is expected to grow by 7.4% a year through 2016, better than the country's overall GDP, but still lagging many global peers. And shockingly, only 1% of retail expenditures in Canada are from online transactions, compared to 8% in the United States. Compared to similarly connected nations, eMarketer notes that product assortment, payment paths and the number of online operators still lag in Canada’s e-commerce ecosystem.

So with all of these connected Canadians, one would think the consumer demand for e-commerce is there, yet the retailers aren’t. Why the disconnect? Blueport Commerce, the only e-commerce technology and services company that localizes big-ticket retail online, examines some of the reasons for e-commerce’s failure to thrive in Canada.

Lack of Government Support

The federal government could do a lot more to create incentives for the internet economy to take off, said Tawfik Hammoud, partner and managing director at BCG who worked with Google on a study on Canadian e-commerce. Hammoud points to the governments of South Korea and Australia as examples of countries that worked to get e-commerce up and running.

“Canada needs a bit of a shot in the arm to get its e-economy growing going forward and if we don't do that we'll probably lose even more in terms of the ranking,” said Hammoud.

Canadian businesses are investing 40% less in information and communications technologies, or about $2,400 less per worker, than American businesses, according to Canadian Business. This means potential vendors struggle to justify the expense of building out a channel and lack the tools to overcome the challenges.

Selection, Payment & Technology Options Lag Behind

Canada is currently lacking the large presence of small online retailers that the US has. Although 71% of small businesses purchase products online, only 18% actually sell products online. And in order for a consumer to get the selection they want, they are often forced to shop for products from other countries, such as the US or the UK. There are hefty import and tax fees involved for Canadians that choose to purchase from other countries online using a credit card. For example, a $30 shirt imported from the United States could cost as much as $58 after taxes and fees. The inflated price makes many Canadian consumers decide to visit their local brick-and-mortar retailer rather than order it online, even if they can locate the product for less online (before fees and taxes).

Even in-country Canadian credit card transaction costs are prohibitively high for Canadian merchants. Per CBC News, merchants pay two to four percent of the sale price in various transaction fees whenever they accept a credit card for payment. Money first goes to the credit card network (Visa or MasterCard in the vast majority of cases), the company that processes the payments and the merchant's bank. A Bank of Canada survey looked at the estimated cost of processing a $36.50 transaction, which was the median cash transaction in its survey. Costs broke down like this:

• Debit card: 19 cents
• Cash: 25 cents
• Credit card: 82 cents

Additionally the provincial tax system has been cited as an obstacle – in Canada, different provinces have different retail taxes and it is an onerous compliance burden for businesses to attempt to follow all of the rules, leading to less interest in e-commerce. 

And finally, with Canada being a smaller country, there is a lack of capital for funding the necessary expenditures on new technologies needed to drive e-commerce. With telecommunications, for example, this problem is further exacerbated by foreign ownership restrictions. The cost of implementing an e-commerce platform is high and many retailers are unable to currently accept online payments.

Shipping Challenges

Canada’s low population density makes shipping difficult and highly expensive for retailers – and that gets passed down to the consumers. The result is Canadians tend to research products online, but not actually make purchases via the internet, unlike Americans. Additionally, the poor showing of e-commerce as only 1% of Canada’s annual retail expenditures may also be affected by Canadians who shop online but from US retailers who ship north of the border, thus their e-commerce spending is reflected in the US’s annual retail expenditures, rather than Canada’s.

A Brighter Future

However, there is hope on the horizon. Large Canada-based retailers have begun to compete with US-based Canadian operators such as Amazon, online offerings have begun to expand, and creative solutions to supply chain difficulties have been implemented. One of Blueport Commerce's success stories, Leon's Furniture, has worked for five years to bring their furniture, electronics and appliance sales online. Their e-commerce revenue now holds its own against their physical store locations. And Canadians’ noted preference for going to brick-and-mortar stores to shopping online could work to big-ticket retailers’ advantage. Because of the consumer’s need to oftentimes see the furniture in a physical showroom, Blueport Commerce is able to localize the big-ticket retailer experience, creating an integrated shopping experience. This also applies to shipping, with consumers entering their Canadian postal code to allow for their local supply and local delivery, cutting down on shipping costs. With eMarketer predicting $35 billion in e-commerce spending by Canadians in 2016, it’s in Canada’s best interest to incentivize Canadian retailers to get their big-ticket retail items online.

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In the mid-1990s, it was inconceivable that people would want to buy shoes online. Yet in 1999, Zappos was born, became a giant in the e-commerce industry and now brings in a cool $1 billion in revenue just 13 years later. Blueport Commerce saw a similar opportunity in 2001 around selling big-ticket items online such as furniture and appliances, and launched the industry's only e-commerce technology and services company that localizes big-ticket retail online. With higher price points and slower buying cycles, big-ticket retail can take longer to reap rewards. However when a world-renowned company like BMW decides to sell cars online, it makes us feel like we're onto something big.

On June 13 in London, Ian Robertson, head of global sales at BMW, spoke with Bloomberg about online retailing and sales strategy for the new BMW i electric car. Two topics Robertson touched on are particularly relevant to big-ticket retail: pricing for big-ticket items and channel optimization.

Pricing for Big-Ticket Retail

Ian Robertson revealed that BMW will be selling the new electric icars over the internet, in addition to their traditional physical dealerships around the world. "It's clear in my mind that the actual experience that a customer has with a dealer, with a point of sale, is still the backbone of what we're going to do."

When asked if the price of the cars would be discounted online, Robertson responded, "Absolutely not. We have a very clear policy – our dealers ultimately will do the deals for vehicles. What we are not going to do is have different channels offering different price points. Our dealers are responsible for this around the world - this is not new, this is our normal business."

Although deep discounting has come to be associated with e-commerce, for example in the world of online marketplaces such as Amazon, BMW recognizes that price-slashing is not an effective technique for big-ticket retail. Or, in the words of Robertson, "This is not something that people are likely to just look on the internet...and say 'yes, that's for me....this is expensive product, and in many cases, is the most expensive product people buy. And that experience of the product, both in the physical sense and the driving sense, is a fundamental part of that actual decision."

With this insight, it is clear BMW agrees with Blueport's assessment that having two disparate buying channels, with physical stores and a branded e-commerce website competing with each other on price, is not a model for success. Blueport firmly believes that BMW is on the right track by keeping the dealers in control of setting the prices of the cars and the website being a connected and cohesive channel for optimized buying. Blueport frequently advises our big-ticket retail clients to think of their e-commerce website as a branded hub, while also being a tool to help their showrooms compete in local markets. By keeping prices consistent, bi-directional web and physical traffic allows for greater lead generation, as well as increased sales.

From Channel Conflict to Omnichannel Optimization

On the topic of potential channel conflict, between traditional dealers and online stores, Robertson stated, "It's no secret today that a very large percentage of all the customers that buy BMW have done research on the internet so when they arrive at a dealership they've almost made their decision. And we want to actually make sure that the customers have the option to do whatever they so desire."

"The worldwide dealer body remains the backbone of what we're doing with all the products for BMW....the actual availability to experience the car, to sit behind the wheel, to drive it, is a very important part. But we will have multichannel approaches which will be useable for the i products and, in time, other products as well."

Robertson mentioned the dealers in this equation as the equivalent of local heroes, with higher knowledge than any website could provide, able to interface in real time with the customer as needed and close the deal with their rapport and experience. This sets up the online and physical stores to combine for greater total sales, appealing to consumers who do internet research before arriving at a dealership, as well as those willing to pull the trigger without setting foot in a physical showroom.

Like BMW, Blueport recognizes the need for brick-and-mortar stores to work in harmony with an e-commerce presence. Blueport long ago realized that physical stores were the heart and soul of the big-ticket retail experience, with the online stores acting as an additional channel that allowed for both research, comparison shopping and added purchasing convenience. By coordinating both prices and discounting online and offline, the stores benefit from increased foot traffic of people who have researched online, but want to touch and feel the furniture or appliances in store. The web benefits from being available as a channel for people who are confident in their internet research and are ready to buy immediately, without needing to travel to a physical location or talk to a salesperson. And while it may be awhile before all cars are available online for immediate purchase, it's nice to see a world leader in the automotive industry like BMW taking that step into big-ticket e-commerce retail. 

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Growing your e-commerce and digital presence is as essential for the holiday season as Rudolph's glowing nose is to Santa Claus on a cloudy December 24th eve. If executed correctly, your web presence can be a beacon to consumers, guiding them to checkout online and in store, depositing gifts to your bottom line.

Retailers know that November and December can make or break their annual sales. This year, a projected $54.5 billion in online holiday sales for November and December could account for 24.3% of the total $224.2 expected e-commerce sales, according to eMarketer – nearly 25% of an online retailer's sales could be closed in the last two months of the calendar year.

Retailers should already be preparing for the onslaught. Being prepared entails increasing inventory levels, adding warehousing resources and adjusting your product catalog.

In October, you'll want to start building holiday content into your e-commerce store. By November, you'll want to launch overall holiday marketing. For December, you'll need to focus on delivering a superior customer experience. The “Cyber 5,” the Thursday-through-Monday window that includes Thanksgiving, Black Friday and Cyber Monday, is a key stretch for businesses whose strategy includes hefty discounting and significant sales. From 2010 to 2011, online Black Friday sales leapt 24.3% from 2010, while Cyber Monday sales were up 33%, according to Forrester Research.

With all this in mind, we at Blueport Commerce, the only e-commerce technology and services company that localizes big-ticket retail online, have several tips to get big-ticket retailers locked and loaded for a joyous 2012 holiday season. This is an essential time to make sure you’re doing everything right, beginning with the basics.

1. Review Your Transactional and Triggered Email Messages

Ensure all text, such as contact information and return policies, is up to date. Make sure the sending information, such as from name and from address, match your non-triggered messages. Send tests to be sure the message renders properly and all links are functional. Bronto Software recommends a general rule that 80% of the message must relate to the transaction and 20% can be used for marketing purposes. Per Forrester Research, marketing effectiveness in driving site visits is on the upswing. The percentage of site traffic driven by overall marketing—including email, paid search and display ads—reached a new high of 32% during the November/December 2011 holiday period, up from 29% about a year earlier. So get your holiday marketing set before Black Friday and Cyber Monday to ensure increased site traffic for the holidays.

2. Merchandise Your Products for the Holidays

Think about what big-ticket retail items become more in-demand according to the season. For example, dining tables become more popular around the late October and early November with the onset of Thanksgiving, followed by Hanukkah and Christmas in the US. The highly anticipated holiday season could bring sales and promotions on dining rooms and dinettes. Big-screen TVs remain popular gifts in November and December, so inventory and merchandising around these items should reflect this, as well as marketing and discounting. You may even want to pair a popular December item, such as a big-screen TV, with a year-round purchase such as a sofa, and offer a package deal in order to move more inventory.

3. Lure Customers Back with Holiday Marketing

Target your existing customers first. Per Amazon, existing customers can be up to 80% more likely to purchase from your business than new customers. A nicely targeted email campaign can make sure your most loyal fans are shopping with you again. Social networks, like Facebook, Twitter and Pinterest, are good places to reach them with holiday messaging, too. For big-ticket retailers, social media can be a great way to drive in-store traffic with holiday-themed events that allow followers to come into your brick-and-mortar store to touch and feel the furniture.

Remember to add a little joy into your brand image. Absorb this upbeat vibe in your e-commerce store's copy and promotional materials to enliven your brand and get site visitors in the mood to make holiday purchases. Additionally, make the shipping policy and details clear and prominent on your e-commerce site. How long will shipping take, and how much does it cost? And most critical to the holiday season: when is the last day a consumer can submit an order, and still be guaranteed to get their item by the holiday?

4. Narrow Your Marketing

Avoid broad messaging and targeting. The narrower you can focus on your target market, the better. For example, instead of creating a guide of the “best holiday dining room tables,” consider something as focused as the “best dining room tables for Thanksgiving.” The search volume for such niche-specific terms will be lower, but you can concentrate on driving better qualified (aka higher converting) traffic instead. Use this as a seasonal opportunity to target only your most ready-to-purchase leads for the holidays. Also tie this in with your historically best-selling products for each month.

5. Staff Up to Be Helpful

If you post a phone number or email address for customer questions, ensure you have the resources dedicated to it during the holiday season. Customers will require speedy answers to their questions, and it’s in your best business interest to answer them before they shop with your competitors.

Don't forget that January 2013 can yield valuable data and insights when retailers take stock of what worked best in the 2012 holiday season! This allows big-ticket retailers to spend the first half of the year putting together strategies for the 2013 holiday season.

Here at Blueport Commerce, we feel holiday retailing can never be done early enough. As our big-ticket retailers traditionally look to gain a significant boost in revenue from November and December, it is our goal to help our clients with their marketing efforts every step of the way to ensure they seize this opportunity for sales growth. By improving an online retailers' holiday marketing, staffing and merchandising for e-commerce, big-ticket retailers will drive qualified traffic to both the e-commerce site and in-store, thereby fueling growth.

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Part of being a smart retailer is recognizing the need to drive traffic, both online and to your physical stores. But to be a successful omnichannel retailer, you must use your digital presence to drive traffic to stores, and store traffic to digital, including your social media sites. According to comScore, users spend 1 in 7 minutes online on Facebook. And per State of Search, Twitter has over 100 million active users. So if you aren't promoting your in-store events online via your social media channels, you're not doing all you can to drive traffic to your event. At Blueport Commerce, we're an e-commerce platform and services company that localizes big-ticket retail online, and we recommend a multichannel strategy for retailers that involves leveraging social media in the following ways to promote in-store events.

1. Use all social media channels available. In order to reach the largest audience possible, make sure you use all social media channels in which your audience participates. Some of these might include Facebook, Twitter, Google+ and LinkedIn, as well as any niche social media groups of which you are a member. It's important to remember that not every consumer participates in every social media channel, so you may reach Bill only on Facebook, while Suzanne is on LinkedIn and Twitter. Additionally, remember to tailor your messaging to each channel's particular style: Facebook is a great place to use images and focus the content on sales, while Twitter will usually require a URL shortener to link to your event page, as well as a 140 character limit. Content on Twitter tends to be a short and brief call to action. If you're a part of a LinkedIn Group, you could write about your event if it has some sort of relevant charity tie-in that furthers your knowledge in your industry. Remember that social media is about engaging your audience in a discussion, versus talking at them. You could even post questions compelling them to answer, such as, "What are you most looking forward to at our Super Savings Sales Event on March 15?"

2. Regularly update your channels about your event and stay alert during and post-event. One of the sins of social media marketing is to "set it and forget it". Whenever you have news about your upcoming event (price markdowns, new inventory, special guests, contests, in-store raffles) you should update your social media channels. Just creating an event page on Facebook is not enough. You want to stay top of mind with your followers, so be sure to post a status update or tweet when you add a noteworthy element to your event. By creating a hashtag, you can stay on top of the conversations followers and others are having about your event. Another advantage is after the event, you can gather post-event feedback to help you make the next in-store event even better. You may think that once the event starts, all your social media work is done and you are home free. In fact, just the opposite - while you have successfully driven traffic to the store, it's crucial you stay on top of social media during the actual event. People may have questions while the event is happening - everything from directions to the store to what time the event ends. You want to be constantly encouraging dialogue and conversation with your followers, aligning your products with their needs. By answering questions quickly during the event, you can encourage even more traffic and add to the legitimacy of the event and your company.

3. Incentivize attendance. It's key not only to promote your event, but to make sure it's worthy of people's time to attend. The best way to get people to your event is to create special reasons for them to go, whether it's face painting or other entertainment for the kids, business card raffles or free furniture giveaways. You may also want to post teaser graphics on your Facebook wall, digital flyer links on Twitter or videos on YouTube leading up to the event, to give people a sneak peek of what to expect.

We recognize that the success of local ecommerce retailing for big-ticket items depends largely on the brick-and-mortar stores, and vice versa. As a result, we at Blueport encourage all our clients to use the free and effective social media channels available to them in order to drive attendance to in-store events and increase their in-store sales. One of our clients did just that - they had a very large in-store event and promoted it online months in advance leading up to the big day. They posted photos of the furniture and appliances that would be featured, asked engaging questions to their followers to encourage discussion, and had multiple free furniture giveaways leading up to the event, available only to their social media followers. Both during and after the event, they kept the buzz alive by posting photos of the event, people at the event and the contest winners with their new furniture. Because it was a multi-day event, it was important that they communicated during the event to get followers who may have been on the fence to attend. It led to them growing from 600 to 22,000 likes on Facebook and increasing their engagement and viral levels. Over the course of one week they reached 1.89 million people and had over 72,000 people engaged with them. And best of all, it was free and allowed them to find a whole new online fan base that translated into in-store traffic and sales.

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Mobile users spend 144 minutes a day — 26% of the nine hours they use various media — with their mobile devices. For the first time, television came in second with 141 minutes. This is according to this Business Insider article, where people were asked how much time they spend interacting with all forms of media.

In fact, a survey by InMobi, a mobile ad company, found that people now spend more time watching their phones than watching TV.

 

Interesting findings include:

• 55% of those surveyed used their mobile device to shop.
• 59% said mobile advertising impacts their purchasing decisions, compared to 57% who said television advertising did.
• 24% of users said their mobile influenced their in-store purchase.
• 69% of people used their mobile to find local resources.

Retail chains, take note.

It is clear mobile's popularity (both tablet and phones) is steadily increasing, and the influence of traditional channels like television, desktop, radio and newspapers is declining. But how can you reach your audience if your current multichannel marketing mix isn't working? What should omnichannel retailers do? The answer: Go where your audience is.

How Big-Ticket Retail Can Succeed with a Refined Mobile Strategy

Adapting to a world that embraces mobile can seem daunting even for those who have already taken their retail stores online. But via a multichannel analysis, there are some quick and easy steps that you can take so that your mobile viewers can convert into mobile purchasers. Following the best practices of SoLoMo (Social Local Mobile), you can ensure shopping experience that is optimized for anyone on the go. At Blueport Commerce, we help our big-ticket retail clients not only transition to e-commerce, but provide their customers with an optimized mobile shopping experience.

1. So (Social Media): Include social sharing buttons. Many mobile users spend hours on social media sites such as Facebook, Pinterest, LinkedIn and Twitter. Often, if they are following their favorite e-commerce stores, this can be their first source of information about an upcoming sale or in-store event. By including these buttons, all it takes is one quick click by the consumer to share his favorite sectional on his Facebook wall for all of his Facebook friends to see in their newsfeeds. Congratulations, you've just advanced your multichannel marketing strategy, and better yet, have had others do it for you.

2. Lo (Local): Get found – both online and in person. Because 69% of people use their mobile devices to find local stores, having a store locator app (which automatically finds the user's current location with GPS or allows them to plug in a preferred zip or postal code) can be the difference between making or breaking an in-store sale. In many instances, buyers feel the desire to see, touch and feel big-ticket items in person. By leading them to your brick-and-mortar store, they feel more confident completing their big-ticket purchases. Additionally, offering localized content for big-ticket items, such as less expensive delivery or shorter wait times, can help close a sale.

3. Mo (Mobile): Make your e-commerce website mobile-friendly. Shoppers on mobile devices tend to be on the move and cannot wait for slow-loading, complicated graphics or a disorganized site that renders strangely on a portable device. You can either reevaluate the mobile version of your website or create a unique mobile experience.

The Big-Ticket Retail Takeaway

Big-ticket items, such as furniture and appliances, often have long purchase cycles and require more research before potential buyers will pull the trigger on purchasing. By including social sharing buttons, offering localized content and a store locator app, and optimizing your e-commerce site for mobile, you're leading your mobile customers to what they're really seeking: more information. And as you lead them further down the funnel, closer to purchase, you are creating engaged, informed online shoppers who are interacting with you through their chosen medium.

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Right about now, retailers -- whether large or small; online, offline or every line -- are gearing up for their busiest quarter of the year. The quarter that, in itself, can define the health of the business. And in a year when Pinterest went full force and tablets became affordable, the sky will be the limit for social media and mobile promotions.

But hold it right there! Don’t miss out on the point of the season for retailers: Sales. And how do you get sales? Of course, pricing is a major component, but customer service and branding can be equally important.

A recent iMedia Connection article implores retailers and their marketers to breathe new life into omni-channel retailing by reigniting the one-on-one connections with customers. The author calls it soul retailing, “stirring an emotional response that gets people to talk, share and love your company or product.” He says every retailer can get there by:

• Go back to basics: Worry more about letting your customers shop than driving them to one of your channels.
• Bring back one-to-one engagement with targeted offers rather than batch sends you hope will sometimes stick.
• Use all the technology out there to create well-aligned experiences that drive sales over playing games.
• Keep it all simple – customers do not want to have to work to find and buy your merchandise.

The point is that all these different channels and technologies can only help you move your retail business forward if you use them correctly, and before you grab the most cutting edge technology, you need to figure out how it will improve the experience for your customers. For example, Neiman Marcus’s NM Service app lets customers use their mobile devices to create a uniquely personalized experience in-store by alerting sales associates to the individual’s presence in the store, shopping history and merchandise scanned for more information that day.

Of course, the goal is for the channel to match the message. In social media, a hard sell just won’t work. We work closely with our furniture retail clients to help them focus their brands and refine their messaging for online. Design information and even content on entertaining and recipes, for example, is a great alignment for a Facebook page. One of our clients, Leon’s Furniture in Canada, has a rich history that the company has documented. Part of their strategy is to resurface the information and old photos, building up interest and their timeline at once. And then on sites like Pinterest, where everything is so visual, announcing the newest items with great artwork is a great win.

To keep the buying process personal, we help our clients craft blogs that extend their thought leadership within their subject matter expertise. We also use the blog platform to connect with customers by answering their questions in this longer format. Additionally, we work hard to create targeted email campaigns to boost the bottom line in-store and online.

Are there other ways you use modern technology to create good, old-fashioned meaningful connections with your customers? We want to hear about them! Please share in the comments below.

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New York may be the city that never sleeps, but perhaps if its tech workers got a little more rest, then the Big Apple would be declaring itself home to the most IPOs in the East over the last 18 months. Instead that title goes to the city Blueport Commerce calls home, Boston.

Flybridge Capital general partner Jeff Bussgang recently wrote a piece comparing the two cities’ scorecards for IPOS as a follow-up to a two-part blog he had done a year earlier on the state of East Coast IPOs. At the time, he believed NYC had a stronger pipeline of pre-IPO companies. But now, 18 months later, he sees Boston has had nine IPOs compared to New York’s, um, zero. None. Zip. Bupkis.

First, I’d like to take a moment to congratulate my Boston brethren; here is the list of Boston-based tech IPOs: Brightcove, Carbonite, Demandware, EXA, Kayak, Tesaro, TripAdvisor, Verastem and Zipcar. I don’t care what you doing for a living, you’ve heard of at least four of those.

Second, as someone who has had the pleasure to live in both of these cities, I believe they both have a lot to offer on personal and professional levels. But note which one I chose as my home, the one I chose to use before it used me. While I have my reasons for that decision, Bussgang theorized a few of his own as to why Boston has been better for technology IPOs as of late. They include:

• New York City doesn’t have the IPO culture. One Tweeter seemed to agree with this sentiment, posting: “Hipsters don’t build companies…operators do. NY is full of Hipsters.”
• New York’s strong sectors aren’t in favor right now. Although, Bussgang disproves this one himself as some of Boston’s IPOs were consumer-focused.
• New York gets more media play, making it seem like those companies being mentioned may have progressed their businesses more than they really have. This is the theory that seems to have the most meat. New York has more presence from TechCrunch and Business Insider than Boston does, so the stories do not hit the mainstream in the same way.

“E-commerce companies like Etsy, Gilt Group and Rent the Runway get a lot of ink compared to, say, Boston-based Wayfair and RueLaLa,” he writes. “But if you objectively examined their financials in terms of actual revenue and scale and profitability, who is really closer to being ready to file their S-1?”

Of course, we at Blueport have a few additional theories as to why Boston is attractive to these emerging technology companies:

• Boston is a fantastic city with a deep history in innovation and sparking change.
• Relative affordability -- Boston doesn’t even appear as one of the top 10 most expensive US cities, which surprises me, but it is a hard fact.
• With centers of innovation and all the area colleges producing top-notch folks who stay in the area, Boston has a very attractive talent pool and new ideas to match.
• And of course, the Red Sox, Pats, B’s and Celts.

Yes, we definitely feel in good company here in Boston, especially as we see some bigger players, like Amazon and Paypal, increasing their own footprints in the area. If Boston sounds like a great place to work to you, or you are already here and ready for a change, let me know, because we’re always looking for the best talent to help move Blueport forward.

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Once upon a time, it was believed that site load speed depended on the size of your website. So for e-commerce businesses, that meant the more products you featured on the home page, the more images you displayed for each product and the more advanced widgets consumers could interact with would all lead to a longer site download time and the risk of losing your customers. But technology has advanced and things have changed.

There are some new truths in the world of e-commerce:

• While a 3-second download time is the target, it’s not as important to consumers as it used to be.
• The size of a website does not directly correlate to its download speed.
• Metrics now have a major impact on how long it takes for an e-commerce site to load.

RetailWeek recently wrote an article that examined a Pingdom study comparing the performance of the top 100 e-commerce websites. It found that site size and the number of files requested do not seem to have much of an impact on speed. For example, “two of the fastest sites (REI.com and Kohls.com) are also among the most bloated – they’re more than twice the size of an average site in the study…. CVS, at just over half the average size, is simply slow compared to almost all the other retailers.”

Then what dictates site speed? “Ironically, what’s slowing down some of the big-chain sites are services that rely on third parties – such as web metrics and tracking services – that drag down site load times but are outside the control of retailers. What’s slowing down some of the big-chain sites may not be problems that retail IT shops can easily fix.”

As a business, e-commerce fuels itself with its data, and in some cases, slower load times are the price to pay for it. Here at Blueport, we put a premium on the data the e-commerce channel can provide in targeting consumers as well as informing local business decisions. Of course, much of this data collection and monitoring requires third-party partners. We work with our big-ticket retail clients to determine which services make the most sense and then help them analyze the impact each cookie might have on site speed versus the value it provides. We continuously monitor how the third-party calls affect performance and proactively work with the vendors should any issues arise.

If you are working with third parties of your own, here are some things to keep in mind. Ask the vendors what systems they use – this will give you an idea as to where the files are hosted. You can also monitor your site’s performance with a free tool like Pingdom or Firebug that will help you see which files are coming from your own site and which are coming from someplace else and how long it all takes to load.

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