It’s hard to believe that less than a generation ago, nearly all consumer-packaged goods (CPG) were purchased in stores. While many shoppers still turn to brick-and-mortar convenience and grocery stores, an increasing number are purchasing CPG items online.
In a survey conducted by Periscope by McKinsey, over 70% of U.S. respondents reported having purchased CPG products online. Beauty and personal care, cleaning supplies and coffee, tea and snacks were among the most popular overall categories of CPG products, with at least a quarter of total purchases in these categories happening online.
This behavior is seen across demographics—users of different ages, genders, income levels and parental or marital statuses shop online for CPG items nearly evenly. These shoppers are motivated by the pragmatic advantages of online shopping: convenience, price, availability and delivery.
To stay relevant, CPG brands must evolve how they reach shoppers. Here’s why a growing number of brands are turning to sites like eBay:
- eBay shoppers search for and purchase basic CPG items regularly. About 1,000 CPG items are searched every hour on eBay, and the demand is especially high among our top categories: one coffee-related item is searched every 6 seconds, one candy-related item is searched every 5 seconds and one home cleaning item is searched every 2 seconds.
- eBay shoppers spend time browsing for CPG items. While many CPG shoppers log on knowing which products they need, they still browse on eBay for an average of 14 minutes before making a purchase. This creates an opportunity for brands to reach the consumer multiple times in their shopper journey.
- Because CPG items tend to be disposable, everyday items, shoppers return to eBay. This creates a growing community of loyal customers for brands to reach.
CPG advertisers looking to generate brand awareness on eBay can activate high-impact ad placements including an instream video solution, pairing the engagement of video with the power of eBay’s shopper data. These placements create an engaging, memorable experience for shoppers, driving brand lift, awareness and ultimately in-store purchases.
Advertisers can also find unique ways to reach the growing online CPG market with eBay’s audience insights and over 700 pre-defined audience segments. For example, eBay’s CPG shoppers are a surprisingly creative audience. They are 5.9 times more likely to purchase art and photographs, 7.5 times more likely to purchase cookbooks and 7.9 times more likely to purchase arts and crafts than the average eBay shopper. Insights like these can help advertisers reach new, qualified audiences at scale.
eBay’s rich market share data can help advertisers understand where to target shoppers along the user journey. For example, although CPG purchases tend to be for everyday items, the shopper journey is relatively long. On average, users purchase items 15 days and three sessions after they first viewed them. This longer journey provides multiple touchpoints for brands to reach users before they make their purchase.
eBay’s advertising platform allows brands to keep pace with the increasingly digital market of CPG shopping. To utilize eBay’s scale and insight to connect with your key audiences, contact our ad sales team.
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New Year means new campaigns, new strategies and new audience tactics. This is the time of year where shoppers are looking to purchase items that will help propel them to their goals. Brands can connect with New Year’s shoppers on eBay to make a splash in 2019.
While many shoppers still turn to brick-and-mortar convenience and grocery stores, an increasing percentage of shoppers are purchasing CPG items – from coffee beans to cosmetics to cleaning supplies – online. To stay relevant, CPG brands must evolve how they reach shoppers, many of whom turn to sites like eBay for everyday items.
There may still be a few weeks left in 2018, but many shoppers have their sights on the new year. Whether it’s the need for a warm-weather getaway or a resolution for adventure, more buyers are on the lookout for low rates and enticing offerings from hotels, travel agencies, resorts and more.
Though consumers are spending more money on experiences, traditional holiday shopping seasonality still drives many of these purchases. According to travel app Hopper, for example, airfare sale activity more than doubled immediately after Cyber Monday last year.
Similarly, millions of active buyers log on to eBay this time of year for suggestions on items and experiences that complement their interests. With more than a billion listings, including in categories such as Tickets & Experiences, buyers rely on the platform for help planning upcoming trips, concerts, sports games as well as to find the perfect travel item to accompany them on their next big trip in the new year. As holiday sales grow throughout the travel industry, brands can unite with eBay’s experience-minded shoppers and inspire them for their next big adventure.
‘Tis the Season to Get Packing
Experience-seeking consumers can discover a number of different events and activities within eBay’s Tickets & Experiences category. Beginning with the Cyber 5, holiday shoppers increase their visits to the category, with purchases spiking closer to the new year. In fact, buyers around New Year’s made twice the number of ticket purchases as they did throughout Black Friday, Cyber Monday and Christmas combined.
These top-selling experiences vary greatly. In 2017, the five most popular ticket sales from September through the end of the year included an SEC college football game, a high-profile pop star concert, museum tickets in Washington, D.C. and amusement park passes on both sides of the country. Whether shoppers are NFL fans or entertainment enthusiasts, they rely on eBay for its unmatched selection of merchandise and the ability to maintain an interconnected retail and entertainment experience. Especially in the lead up to their next excursion, shoppers consult the platform for must-have items to bring along. Fans can find new bathing suits, the perfect outfit to cheer or a favorite team, snow gear to hit the slopes and more across the marketplace.
Shopping Among the Community
As many as three quarters of Tickets & Experiences sellers do not have their own branded online storefront – the category is mostly C2C activity: active buyers selling to other eBay users. With eBay’s audience and cross-shopping data, advertisers can learn more about shoppers who don’t engage with a branded experience and include them in activation strategies.
Audience data finds that many of these shoppers overlap with specific audience segments like Evergreen Big Spenders. In fact, over a third of eBay’s travel-inclined buyers are almost 1,000% more likely than the average buyer to have made multiple purchases over $250 on the platform. With this insight, advertisers may find even more receptive shoppers among segments whose buyers also spend big.
Experience-seeking consumers are also highly likely to shop across other categories, which expands contextual targeting opportunities. Clothing, Shoes & Accessories is a popular category among experience-minded buyers, given that 50% of them are twice as likely than the average eBay buyer to shop in the category. Additionally, over a third of these shoppers are also 75% likely to cross-shop in Health & Beauty.
As a hub to share and celebrate consumer passions, eBay attracts shoppers who expect a curated and comprehensive buying experience. While millions of buyers are scanning the platform for gifts this season, they’re also keeping tabs on purchases that will set good intentions for the year ahead. Advertisers who understand how eBay’s communities seek experiences online are one step closer to forming relationships with travel-savvy consumers that will take off into 2019.
Holiday shopping kicks into high gear this month as many prep their wish lists in anticipation of can’t-miss deals. Last year, eBay’s holiday site traffic surged by 28%. This sales boom is vital for small and medium-sized business (SMB) sellers, especially while they’re making preparations of their own for Small Business Saturday.
As the third shopping event of the “Cyber 5,” Small Business Saturday presents an opportunity for SMB sellers to go toe-to-toe with high-profile brands. Take it from Jennifer Werner, eBay’s Head of Industry. As an expert across verticals, Werner helps to drive lucrative relationships between SMBs—who are always highly engaged on eBay, but particularly so during the holiday shopping season—and larger brands. “Big brands come to eBay to offer their products and services to millions of small businesses,” she says. “They’re synergistic toward each other, especially during this important time of year.”
In the lead-up to Small Business Saturday, eBay’s SMBs are stocking up on inventory, expanding marketing budgets and conducting extensive research on their customers and promotions. Because of this increased activity on the platform, Werner says that this is a great time for larger brands targeting SMBs to be highly present on eBay and take advantage of the ability to reach millions of members of their target audience. These brands can develop stronger relationships with SMBs by building activations around key seller moments like Small Business Saturday and the holiday shopping season.
Inside the Small Business Mindset
As the heart of eBay’s marketplace are its small business sellers, who leverage the platform’s technology and entrepreneurial spirit to access millions of active buyers. Programs like Retail Revival and the Shine Awards promote SMBs on eBay to global audiences year-round. But according to Werner, Small Business Saturday is especially important to SMB sellers, who net a large portion of their revenue this time of year.
“Small Business Saturday is a key time where SMB sellers see the majority of their money come in during the holidays, which continues to increase from November into December,” she says.
This Saturday, November 24, eBay will invite shoppers to support and celebrate small business by browsing unique deals offered by eBay’s SMB sellers. Last year’s event drew 5.7x more user traffic compared to the previous year, amassing nearly 3.4 million impressions across the platform.
SMB seller prep begins as early as Q3, shares Werner, as sellers begin targeting eBay’s holiday shoppers. Perhaps most importantly, SMBs purchase more on eBay to strengthen inventory around this time. Already considered one of the platform’s most active segments year-round, SMB sellers typically make 540% more transactions than the average eBay buyer, shopping 2.8x more than other users in the Business & Industrial category and 1.2x more in eBay Motors.
Gearing Up for Next Year
Considering that SMBs on eBay are especially engaged and active this time of year, Werner says Small Business Saturday and the holidays are ideal moments for B2B advertisers to have a meaningful presence to the platform’s SMB community. eBay offers a variety of solutions for advertisers to reach their key SMB target based on their goals and objectives.
“Brands are applying learnings,” she explains. “They’re starting to figure out what they did right and what they could’ve done better to reach SMBs. Typically, we start engaging in those conversations right after holiday campaigns end.”
Thanks to eBay’s proprietary audience data, advertisers can better understand SMB buying behavior. B2B marketers have access to vast amounts of data on SMBs, who have remained active buyers throughout the platform’s 23-year existence.
“SMB sellers are intrinsic to our marketplace. We know their shopping and purchasing behavior, volume of transactions, past sales and high buying behavior,” says Werner. “With those insights, we can help B2B advertisers target them behaviorally.”
Brands can also tap eBay tools that allow for contextual targeting. eBay’s Client Insights and Analytics team is able to customize unique segments and build shop-alike models for brands that imitate audience shopping behavior.
As Werner puts it: “We’ll ask advertisers to put aside a small testing budget and try out different audience segments to see what works well and what doesn’t. These test audiences are fueled from insights we’ve gathered from our analysis of past and current campaigns with similar goals and KPIs.
With Small Business Saturday just around the corner, advertisers are set to learn from eBay’s wide range of SMB sellers. Similarly, large B2B brands that pay attention are positioned to build a foundation for steadfast relationships with these valuable users in the new year.
Ready to target passionate SMB buyers? Contact our ad sales team today.
Millions of consumers shop online to find items that match their personal interests and beliefs. As brands increasingly make bold social and political statements, consumers are responding passionately with encouragement and long-lasting connections.
Nike is still measuring the effectiveness of choosing former NFL quarterback and social activist Colin Kaepernick as the face of its Just Do It campaign’s 30th anniversary. On eBay, the impact already shows—for example, in the first nine days of the campaign, average daily purchases of Kaepernick-related items soared nearly 600%.
These shoppers represent just a fraction of eBay’s values-conscious buyers. From environmentally sustainable products to secondhand furniture, these shoppers browse eBay for thousands of listings of socially-conscious items. Our tools can teach advertisers about the issues close to audiences’ hearts—and how these buyers might be more accessible to marketers than they think.
Values-Conscious Shoppers on eBay
Values-conscious shoppers, or shoppers who purchase from brands that support their personal values, are highly active across several product categories. For example, lifestyle audience segments like “Willing to Buy Secondhand,” make up as many as 70% of all purchases within categories like Music, Sports Memorabilia and Collectibles.
These shoppers heavily overlap with some brand loyalist segments, who buy more than once from a singular brand and are highly likely to repurchase. And values-conscious shoppers also intersect with eBay’s steadfast seller community, who make up to 20% more purchases on the site each year than the average buyer. In just the “Secondhand” shoppers segment alone, users are more than 500% likely than an average buyer to have their own online storefront.
Other values-oriented shoppers also congregate on eBay for Charity— a portal that guides charitable shoppers to brand fundraising campaigns and donation pages that promote anything from small, local charities to high-profile celebrity auctions. On average, values-conscious buyers who visit the hub will browse it nearly 150 times in a year and spend up to $3,000 on purchases supporting brands and organizations they believe in. Just in 2017, the eBay community raised more than $80 million for more than 50,000 charities on the platform.
Use eBay Advertising Solutions to Reach Passionate Shoppers
It’s no surprise values-conscious shoppers are one of eBay’s most engaged communities. eBay’s Hariss Yousuf, head of the Client Insights & Analytics team, knows this firsthand. Yousuf keeps his ear to the ground for new and enduring consumer trends so he can help advertisers deliver effective messages to their audiences.
According to Yousuf, values-conscious buyers are easy to find among marketplace trends. Their behavior often explains sudden dips or surges in a brand’s sales, like those experienced by Nike.
“Once, an outdoor lifestyle brand decided to cut ties with a controversial group,” he recalls. “There was a group of people who valued that decision, and these people voted with their pocketbooks. On eBay, keyword searches for the brand’s items increased exponentially for a three-month period.”
Trending keyword searches cue Yousuf’s team to examine users’ shopping behavior. Using eBay’s proprietary first-party audience data, he and his team can determine who among the trending audience matches brand targets, and then work with advertisers to develop a campaign.
To increase accuracy, Yousuf tracks a shopper’s path to purchase to determine if items were bought through a brand’s own storefront or by browsing item pages. This allows brands to visualize a shopper’s exact journey and make a connection at the right moment. “We want to personalize the experience for brands and have them follow the shopping experience as a consumer would,” Yousuf says.
Trending behaviors are just one way Yousuf and the CIA team recognize the platform’s values-conscious shoppers. These shoppers also live within eBay’s Essential Audiences, hundreds of evergreen audience segments that help inform the CIA team what kinds of messages appeal most to buyers. From there, Yousuf develops custom segments.
“Because these shoppers tend to spend more time searching for items that support their values, we have more informed data to help us represent buyer needs to brands,” he explains. “Thus, brands will have more opportunities to strategically reach and influence values conscious shoppers within their purchase journey.”
Shoppers are increasingly using their purchases to personalize their experience and express themselves in alignment with their values. Whether buyers are new to a cause or have stood by their beliefs throughout their online shopping career, they know they can rely on eBay for support. Brands, too, can depend on eBay for help jumping in on these passions—and making genuine connections along the way.