Digital Transformation Omnichannel Retail

The 80-20 rule still applies as omnichannel consumers increase spending on in-app purchases


By Ginger Conlon | US Editor

December 21, 2018 | 3 min read

The omnichannel consumer continues to be a highly valuable audience, increasing their mobile and online purchases even as they stay true to their penchant for shopping in-store.

Consumers increase spending on in-app purchases

Consumers increase spending on in-app purchases

Based on an analysis of Q3 2018 browsing and purchase data from more than 5,000 retailers across 80 countries, Criteo’s Q3 Global Commerce Review found that transactions completed on the mobile web, and especially on smartphones, has continued to grow in most countries and regions. Mobile transactions account for anywhere from 40% (North America) to 52% (Asia Pacific) of all transactions globally.

Additionally, the share of app transactions continues to steadily increase for advertisers who promote their shopping app. Mobile transactions represent 63% of all transactions for retailers that actively promote their shopping apps. When online-only retailers promote their app, 31% of transactions come from the in-app purchase channel; that drops to 21% for brick-and-mortar retailers—which presents a significant growth opportunity.

In fact, in North America conversion rates are three times higher in shopping apps than on mobile web transactions and nearly two times higher than on desktops, according to the study. That shift represents an opportunity for retailers looking to increase sales in non-traditional channels.

“Given that the share of mobile transactions continues to grow in most countries and that the share of in-app transactions continues to grow in all countries, retailers are well positioned to drive awareness, consideration, and conversion through digital audiences,” Jaysen Gillespie, vice president and head of analytics and data science for the advertising platform, said in an announcement.

Despite that growth, brick-and-mortar shopping is far from dead. The study found that omnichannel customers have the highest lifetime value; on average, they generate 27% of all sales, despite representing only 7% of all customers

“The omnishopper is one of the most valuable audiences, demonstrating the desire from consumers to have both an in-person experience and the convenience of purchasing online,”Gillespie said. Data from the study confirms the notion that omnichannel retailers that combine offline and online data can better optimize their marketing efforts.

Digital Transformation Omnichannel Retail

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