Fresh research has surfaced today from data company, Qubit, revealing that there are only a small number of people who are generating close to half of all retailers’ income.
Slightly more than 1% of those who surf a retailers’ website contribute 40% of their revenue, according to findings from Qubit’s Customer Experience Management platform that is based on analysis of 950 million page views from more than 123 million visits.
On top of that 1%, there is a 17%-sized slice of website visitors who will decide never to make a purchase. The times they choose to view the websites suggests these consumers may be stay-at-home mothers or non-workers.
A core of loyal website fans make up 0.03% of the total number of users, but create 30% of revenue. These individuals visit their preferred site 300 times as often as the average online consumer.
The same demographic shops between 1pm and 3pm, but manages to spend 20 times longer online during the hours of midnight and 4am than the average person. They are more likely to come from London’s suburbs than the centre of the UK capital.
Qubit discovered 2% of users make a habit of filling their shopping basket with goods, but then decide against a purchase. Obviously this category of users generates no revenue for the retailer. They are most likely to reside in the Midlands and north west.
Finally, a small 1% are being categorised by Qubit as speedy shoppers that generate 10% of total revenues by making a purchase with little in the way of consideration. They are the second most valuable segment and are 18% more likely to be using mobile.
Chief executive officer of Qubit, Graham Cooke, recommends breaking down online shoppers into persona-related groups, which will help make decisions based on where the best places to invest marketing spend is.
“Sofa surfers and basket cases show all the traits of ‘real’ shoppers and if you’re not analysing your audience properly you’ll never know that they’re giving you nothing back,” said Cooke.
“Conversely, it’s vital that you encourage and embrace your big spenders and the speedy shoppers because these tiny segments are driving a massive percentage of your revenue.”