Smartphone and tablet devices accounted for nearly a third (28 per cent) of all paid search ad clicks in the run-up to Christmas, according to Kenshoo’s UK Online Retail Christmas Shopping study.
The report, which spans over 450 million paid impressions and clicks across Kenshoo’s platform on search engines including Google, Yahoo, and Bing, showed mobile devices accounted for a larger share of paid ad clicks, with tablets accounting for 15 per cent of clicks and smartphones 13 per cent. Meanwhile PCs still accounted for two thirds (72 per cent) of total paid clicks, according to the report.
All data was gathered during 3 November to 12 December in 2001 and 2012.
The report revealed tablet owners tend to spend more when shopping via their devices, with an average order value of £85.55 compared to £75.93 spent via PC users. Tablets took a 16 per cent share of all sales conversions and 17 per cent of all the total revenue with a 5 per cent conversation rate - nearly matching PCs, according to the study. This means advertisers running paid search campaigns on tablets will pay £0.05 less per click than if they target shoppers via desktop, according to Kenshoo.
Conversion rates on smartphones were lower at 3 per cent and retain the cheapest cost per click rate at £0.16 per click, compared to £0.32 on PCs and £0.27 on tablets.
Managing Director for EMEA at Kenshoo Chris Ward said, “Tablet shoppers are a gold mine. They convert at higher rates and spend more money than the average online shopper. Device segmentation should be a key search marketing strategy for UK retailers to adopt this Christmas shopping season. The savviest retailers are breaking out their keywords, ads and landing pages by computer, phone and tablet to better control budgets and bids.”
Meanwhile online UK retailers spent 20 per cent more on paid-search advertising year on year this Christmas shopping period compared to 2011, according to the study. Approximately £40m was delivered in online sales across the ad impressions tracked in the study from 3 November to 12 December in 2011 and 2012.
Overall the UK retail paid search market has been more competitive this season, having seen a 26 per cent hike on cost per click (CPC) compared to the same period last year.
Kenshoo will release a full year-on-year analysis report in its next report in January next year.