Liam is a proven eCommerce pioneer, having started his first online business in his early teens, Liam has gone onto creating several successful eCommerce brands still continuing to this day. Identifying that online retailer required a more streamlined and efficient method of management, has lead to the development of the Bidnamic System being used by clients globally.
What will you find in this article ?
- What trends do you think are defining e-commerce in 2018 and that will be key during 2019?
- Name 3 bad practices that you see in the day to day PPC of ecommerce, and how you would correct them.
- In e-commerce, what relevant KPIs do you think are often neglected
- Do you think Google Shopping is enough? or is it necessary to have other complementary sales channels?
- Can you give us an update on what you’re currently working on in Bidnamic?
What trends do you think are defining e-commerce in 2018 and that will be key during 2019?
2018 has seen the continued rise of platforms such as Shopify which have made it effortless to launch an eCommerce storefront and increased adoption of Amazon as a go to shopping destination this has been underpinned by the rapid growth in Amazon prime.
In 2019 I think retailers will start to become increasingly aware of the importance of owning the customer and the downside of marketplaces selling which often prevent any access to the customer details and where data on top performing SKU are visible to competitors resulting in low margins due to fierce price competition.
Name 3 bad practices that you see in the day to day PPC of ecommerce, and how you would correct them.
Poor campaign structure, using broad group bidding as opposed to granular data driven approach. Incorrect conversion tracking and infrequent bid updates.
Poor structure is easily rectified by setting out a plan for what you are hoping to achieve, Googles best practice is to mirror the site however in practice this is very inefficient. We have seen first hand how by structuring at the individual SKU you regain granular control which enables efficient use of budget, provided it is managed properly.
Broad bidding strategies such as grouping ‘similar’ products prevent retailers from accurate targeting and ultimately costs your bottom line, with either overbidding just to capture traffic or not concentrating on high margin items because they are grouped with lower margin products.
Ultimately the most valuable thing that can be gained from PPC is not the sales generated but the data collected that can identify how the business should grow. Bestsellers, margin focus and even what products are in demand that you do not stock all this data when analysed is invaluable on ensuring the retailer is maximising the growth opportunity despite this the data collected via Google Shopping is often lost in its translation to pounds and pence.
In e-commerce, what relevant KPIs do you think are often neglected
Customer lifetime value, average order value and gateway products are more than often, not considered relevant when setting a bidding strategy. Understanding your highest converting search terms and products allows you to be highly informed about the business and indicates which direction retailers can maximise opportunity.
Do you think Google Shopping is enough? or is it necessary to have other complementary sales channels?
This entirely depends on the individual business and whichever goals they are looking to achieve, We have experienced the majority of platforms through our own e-commerce store, Dizinga, and so we understand not only the problems faced by retailers, but also the solutions. We see the most success with Google Shopping as the main avenue with our clients. In our eyes, we would rather concentrate on one channel and do it extremely well, then do a mixture of channels with a very average performance. If it is done correctly then it can definitely be enough as a sole channel.
Can you give us an update on what you’re currently working on in Bidnamic?
The Bidnamic system constantly evolves and improves and as a result, we never stop innovating, much like Alice in Wonderland exploring down the rabbit hole, when we analyse the data within the system using neurolinguistic programming, an ever-expanding opportunity to improve presents itself. Scaling our bidding via parallel processing enables much larger data sets to be actioned in seconds, which would typically take days.
In the new year, Bidnamic is focusing on educating and sharing hidden knowledge of how to succeed via Google Shopping through a series of events and talks nationally, as well as publishing white papers to enable online retailers to decipher what their data is telling them. We will also be attending multiple trade shows after a very successful first stand at eCommerce Show North 2018 and increasing the brand awareness of Bidnamic. If you would like to learn more about how to get the most out of Google Shopping we offer a free performance audit of your account to see if and how Bidnamic could support your growth.