Retailers shift their ad spending from TV, radio and print ads to digital ads.
May web sales are up 9.5% year over year driven by sales of full-priced items.
Web sales for the 300 retailer clients of personalization technology provider MyBuys Inc. jumped 9.5% in May 2011 compared with May 2010. A 24% increase in revenue on full-priced item sales and a 19% decline in the number of products sold with a discount drove sales growth. These factors pushed the MyBuys E-commerce Wellness Index up 21%.
These results, combined with a 3% increase in the April index, show that e-commerce is healthy and poised for continued growth, MyBuys says.
“The e-commerce economy is thriving,” says Robert Cell, CEO of MyBuys. “We have seen 18 straight months of improved profitability and wellness in e-commerce.”
The index also tracks the effect personalization can have on web sales. The May 2011 index finds retailers realized an 11% increase in average order values for personalized transactions compared to sales without personalization.