As Online Supermarkets’ Sales Skyrocket, So Does Stolen Revenue
- Einat Etzioni
- March 30, 2020
While the coronavirus outbreak is wreaking havoc on industries around the world, online supermarkets now face unprecedented (and often overwhelming) customer demand. But as online grocery shopping has increased rapidly in recent weeks, we at Namogoo have also seen a sharp jump in the revenue these supermarkets are losing to Customer Journey Hijacking.
So far this month, the online supermarkets we work with have received 162% more visitors per day than they did in March last year. And all of that additional traffic is paying off: These supermarkets have seen nearly five times as many conversions this month as they did in March last year– an increase of 397% – as their online conversion rates have climbed from 5.4% to 10.2%.
But the more these supermarkets see their online traffic and conversions increase, the more Customer Journey Hijacking costs them in lost sales revenue. So far this month, these companies’ websites have been subjected to 190% more attempted ad hijacking than they were last March. All told, our technology now detects attempts to hijack ads during more than one in four visits (26.7%) to these online supermarkets – a significantly higher rate than the 20% of online shopping sessions that are typically subjected to Customer Journey Hijacking among industries across the board.
hijacked ads, which are designed specifically to make money by diverting traffic from one website to a competitor (or to an entirely different site), pose a serious threat both to online supermarkets’ short-term sales revenue and to their long-term customer relationships. Not only do these ads distract shoppers and promote competitors, but they impair the customer experience by cluttering the screen and consuming precious bandwidth.
As a result, each hijacked ad a shopper encounters creates a real danger that that visitor will be diverted to a competing website before making a purchase, never to return – an especially great risk given the many consumers turning to online grocery shopping for the first time.
And the threat continues to grow, as consumers become increasingly dependent on – and increasingly accustomed to – the ability to shop for groceries via eCommerce.
How can online supermarkets overcome this threat?
Like other retailers and eCommerce companies, online supermarkets have the option of recovered hijacked ads and unauthorized promotions with Namogoo. Our Customer Hijacking Prevention solution has a proven track record of boosting conversion rates by between 1.5% and 5% for industries across the board. And, given the ongoing boom in sales among online supermarkets, those kinds of increases are especially promising right now.
Perhaps most importantly, our Customer Hijacking Prevention solution produces immediate results. As soon as a supermarket (or another retailer or eCommerce company) starts using our technology, visitors to its website will be prevented from seeing hijacked ads and unauthorized promotions. This way, we can offer each of our new clients an instant increase of at least 1.5% in its conversion rate.