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Report: Paid Search Top Acquisition Tool for Retailers

Written on
April 17th 2008
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by Kathleen  |
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shoppingcart.jpgADOTAS – In a year of dismal retail sales projections, a recent report says Americans will continue to snap up clothes, computers and cars online. A Shop.org conducted by Forrester Research found that online retail sales should climb 17% this year to $204 billion.

Shop.org also found that 53% of online retailers marketing budgets are allocated to online customer acquisition and that 21% is devoted to customer retention. Retailers are finding that search engine and affiliate marketing are also powerful retention tools – as well as methods of attracting new shoppers.

Search-engine marketing is responsible for 35% of sales, the report said. Nine out of 10 online retailers use pay-for-performance search placement and 79% say they will make search-engine marketing a top priority in 2008.

Shop.org is a division of the National Retail Federation, a community devoted to digital retail.



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