25 Oct 2010

Social Commerce and Product Research Are Gaining Ground

If you’re surfing the Internet for information about a product or service you’re about to buy you're not the only one. Three in five (58%) Americans say they do online research before buying a product or service. This is an increase since 2004 where half (49%) said they researched online before buying a product or a service.

Every day 21 per cent of American adults are researching products and services online, in 2004 only one in ten (9%) did this, The Pew Internet and American Life Project reveals in a study on American’s e-commerce behavior.

Researched a product or service yesterday:

Feb 04          Feb 05           Feb 07         Feb 10

9%             13%           15%         21%
Source: The Pew Internet and American Life System (September 2010)

It is not only information researching which has increased. Also Social Commerce is gaining ground. The online shoppers are also contributing with ratings and reviews and in this way sharing their opinion. This is mostly done on social networks like Facebook and Twitter. One in four (24%) American adults have posted comments about a product or service they've bought.

Not surprisingly the percentage of Americans shopping online have increased from 36 per cent in May 2000 to 52 per cent in 2010. The study shows that the more affluent Americans do more online research than those less affluent. The more affluent with more education are also more active in relation to Social Commerce and post reviews and comments more frequently.

The product and service information research and sharing coincides with increasing use of social networking sites. 46% of Americans reporting the use of Internet sites such as Facebook or LinkedIn which has increased from 5% in February 2005.

See the whole The Pew Internet and American Life Project on Online Product Research.

17 Oct 2010

E-commerce in Scandinavia and the Nordic Countries

If you want to expand your online business or web shop into to Nordic countries or Scandinavia but don't know how the Danes, Swedes, Norwegians and Finnish behave on the Internet, well don't worry. Read this blog post and you'll save yourself some time and hopefully earn some money. Eventually.

In 2009 the turnover for distance selling in the Nordic region was €8,583,230,513 (£7,531,804,220) and it is rinsing. In the same period distance selling increased by 17%, a report from Post Norden shows. Last year on an average each person living in the Nordic region bought articles for €692 (£607). If your shop or company isn't situated in the Nordic Countries - don't worry. Because nearly half the citizens who shop online have bought their shirt, cream or radio in another country.

Differences within the Nordic countries
Below you'll find some difference and similarities with in the Nordic countries regarding online shopping. I have only listed the most common and top 3-5 in each group.

The Danes are bargain hunters and the Finns are all for convenience.
Reason to purchase online:
Country S DK  N  SF
It's cheaper 24%    34%  25%  17%
Shop when I want   20%    18%  23%  30%
It's easier 25%    22%  14%  21%
Source: Posten Norden (May 2010)

The Swedes expect to get an invoice and the Danes love their Dankort/Visa card.
The most common payment methods:
Country S DK  N  SF
Invoice 41%    8%  30%  32%
Credit card   24%    66%  33%  13%
Bank transfer 22%    22%  20%  37%
COD   11%      4%  16%  17%
Source: Posten Norden (May 2010) 

Apparel and shoes are the most popular products.
The most common product purchased online:
Country S DK  N  SF
Shoes/clothes 47%    43%  39%  48%
Computers and electronics   39%    46%  40%  33%
Books 28%    23%  24%  19%
CDs and film   24%    25%  20%  29%
Source: Posten Norden (May 2010) 

Search engines rule the world and comparison sites are second.
First step when purchasing:
Country S DK  N  SF
Search engine 65%    81%  69%  70%
Comparison sites 54%    67%  45%  48%
Catalogues 41%    39%  53%  64%
Ratings and reviews   48%   43%  49%  39%
Social Media   18%    15%  24%  35%
Get retail inspiration   19%    26%  13%  14%
Source: Posten Norden (May 2010) 

The Norwegians go bargain hunting abroad, the Swedes are looking for larger selection.
Reason to purchase abroad:
Country S DK  N  SF
It's cheaper than home     47%    61%  65%  46%
Can't find it online in my country   33%    32%  27%  37%
Larger selection 36%    28%  32%  28%
Source: Posten Norden (May 2010)

These were the most interesting figures from the Nordic region. If you are missing some numbers or categories you are welcome to contact me and I will look into the report from Posten Norden and see what I can dig out for you. You can find my e-mail under contact.

See the latest number on Scandinavian and Nordic e-commerce