Crossing the E-Commerce Pond: Understanding U.S. Customers
As our world continues to become a much smaller place, the ability to buy goods online from other countries is on the rise. One valuable target group for U.K. online retailers are U.S. customers. We've used our own data to explore the shopping behavior of this particular customer group to help U.K. e-commerce companies maximize the revenue opportunity these shoppers bring.
So what are the specific buying habits of U.S. shoppers and how can U.K. online retailers use this knowledge to their advantage?
Our data reveals that despite U.S. consumers comprising only 4 percent of total visits to U.K. e-commerce sites, those that are shopping are extremely valuable, spending up to 3.88 times more than the average U.K. customer. To put that into revenue terms, that equates to a market size of around £11 billion annually based on current stats. However, the challenge with this group is that while they make up 4.12% of total traffic, they account for only 0.68 percent of conversions. Reasons for this could include no on-site functionality to display the price in dollars or perhaps restrictions on international shipping.
Given the time zone difference, U.S. online shopping peaks at 3:00 a.m. on U.K. websites, compared to 6.00 p.m. for U.K. customers. Also, while U.K. shoppers are most likely to buy on Sunday, Friday seems to be the big spending day for U.S. consumers. Geographically, they're a homogenous group too, with the top 10 visitor locations dominated by New York and San Francisco, in particular.
In order to take advantage of this lucrative customer base, U.K. online retailers need to ensure that their websites are set up accordingly. Here are six tips for maximizing conversion rates for this particular consumer group:
1. Be engaging. Did you know that 80 percent of visitors to your website will never come back? Therefore, it's important to engage potential customers as soon as they land on the page or you'll risk losing them forever. U.S. consumers will need a completely different experience from U.K. shoppers, so it's important that relevant information about the brand and products suitable for that market are highlighted up front.