Southeast Asian retailers may be inaccurately measuring almost half of all online transactions, says Criteo
Southeast Asian retailers may be inaccurately measuring up to 41% of their online transactions according to The State of Cross-Device Commerce Report by Criteo.
Cross-device measurement is needed to tackle misattribution
This distorted view could result in inefficient allocation of marketing spend in the long run, and affect shopper engagement and volume of customer acquisitIon.
Understanding cross device behaviour is now more important than ever, as turning to user centricity helps to tackle bad metrics likes cookies.
“Consumers are using multiple devices in their buying journeys, from searching and browsing, to buying. Southeast Asian retailers must therefore distance themselves from outdated device-centric marketing and adopt a user-centric approach,” said Alban Villani, general manager, Southeast Asia, Criteo.
“In today’s competitive landscape, eCommerce businesses cannot afford to draw the wrong conclusions and waste money on the wrong channels. They must turn to cross-device measurement to ensure accurate attribution, before investing optimally in high performing engagement and sales channels. Retailers who successfully deliver a seamless and personalised customer experience across devices will then stand out from the rest,” he added.
Cross-device measurement, identification and attribution is now more important when two in five transactions may be misattributed without it. Utitlising a user-centric, cross-device measurement global conversion rates were 1.4 times higher than just using a device-centric approach. In Indonesia, the representative market for Southeast asia, conversion rates were 1.6 times higher than device-centric approach. Buyers’ journeys were also 41% longer when viewed with cross-device measurement than device-centric models project.
Smartphones too are becoming dominant according to the report, which echoes other reports about the region. The adage “browse on your smartphone, buy on your desktop,” has been declared officially dead by Crtieo, as consumers reach for their smartphones for both search and purchasing. This make it even more imperative for a synchronised experience across desktop and mobile devices.
In Southeast Asia, smartphones are now involved in 25% of all online sales, an increase of 44% compared to a year ago, with tablets continuing to decline. Add-to-basket and conversion rates on smartphones have increased 49% and 19% respectively compared to a year ago.
In Indonesia cross-device buyers are represented evenly across three primary purchasing devices – smartphones (40%), tablets (44%) and desktops (41%). Of those numbers, 21% of cross-device desktop transactions started on a smartphone and 37% of cross-device smartphone transactions started on a desktop.
Marketers can no longer have a siloed view of consumer behaviour, warns Criteo. Instead seamless user experience across device to capture purchases is necessary to spend markeing dollars more effectively.