Online retailers increasing paid search clicks by 20%

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UK retail brands are investing 20% more on paid search advertising this Christmas season compared to last year.

That’s according to new figures from Kenshoo that showed tablets (15%) and mobiles phones (13%) now account for 28% of clicks on retail paid search ads through Google and other search enhines.

And the rise is to the peril of traditional devices. The 2012 UK Online Retail Christmas Shopping Report, which compared search ad impressions, clicks and conversions from retailers using the Kenshoo platform during the festive seasons in 2011 and 2012, showed that the share of clicks from PCs is down to 72%.

The report also revealed that more affluent Brits that use tablets to do their shopping are likely to spend more, with an average order value (AOV) of £85.55 compared with £75.93 for computer users. 

Tablets were also shown to account for 16% of all sales conversions and 17% of all revenue, according to the report.

Overall, Kenshoo revealed that the retail paid search market has been more competitive in the UK this season with cost per click (CPC) rates up by 26% on the same period last year.

Chris Ward, MD for EMEA at Kenshoo, 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.”

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