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Purchase Journey Insights from GfK

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Page 1: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Purchase Journey

Insights from GfK

Page 2: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Intro GfK &

Crossmedia Link

1

L

Key Insights

2

Deep dive

3

I Agenda

Page 3: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Best practice solutions

Customized solutions and

advanced research tools.

Big data & smart

analysis

Linking multiple

sources of data for

deeper insight and

more informed

decision-making.

Global network

Global expertise and knowledge

exchange plus local know-how.

Deep industry knowledge

Industry specialists who

understand your customers

and the challenges affecting

your sector.

Qualitative specialists

International qualitative experts

working with clients.

Thought leaders

Innovative thinking,

insight and

opinion from our

experts.

GfK Intro:

Passion, creativity and

expertise for our clients

across the globe

Page 4: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

GfK Cross media link (GXL)

Page 5: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Personal

characteristics

PurchasesPrint

GfK Software

GfK TV meter

Mobile

n=2,900

Online

n=4,900

Radio

GfK App

GfK Consumer Scan

GfK Fashion panel

TV

n=3,350

GXL Panel

n=5,950

GfK media questionnaire

Panel used for Purchase

Journey studies:

GfK Crossmedia Link (GXL)

Single source measurement

of media behaviour and

purchases.

Passively measured on

individual level.

Page 6: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

The changing purchase journey

Page 7: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Consumers’ use of

multiple touchpoints

and devices has

resulted in a highly

complex path to

purchase.

2. Active evaluation

4. Post purchase Experience*

3.

Moment of

purchase

1.

Initial

consideration set

* Not part of purchase journey

Page 8: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Health Insurance

Car insurance

Toys

Mobile subscriptions

Jeans Sneakers

Purchase Journey

studies describe &

visualize buyer

behavior from coming

into market up to

buying.

Sneakers Jeans

Page 9: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Measure online

and offline

research

Identify potential

buyers

?

Measure

purchase specs

Combine all info

and report

?

Create a single source dataset by integration of all touchpoints

How Purchase

Journey’s studies

are created

Page 10: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Key Insights

Page 11: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

0%

20%

40%

60%

80%

100%

% Bought online

Online plays dominant role in today’s journeys

Health

Insurance

Mobile

providerCar InsuranceToys Sneakers Jeans

0%

20%

40%

60%

80%

100%

% Research

20%

40%

60%

80%

100%

0%

% Type of research

Online only Online + offline Offline only

Page 12: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Big differences per Journey in number of actions &

days active

# online actions # offline

actions

0

5

10

15

20

25

# of actions

# online actions # offline actions

Health

Insurance

Mobile

providerCar InsuranceToys Sneakers Jeans

Telco Health Insurance

Car insurance Toys

Sneakers Jeans

0

2

4

6

8

10

# of active days

Telco Health Insurance

Car insurance Toys

Sneakers Jeans

Page 13: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

The more complex a product, the more multi device

behaviour

35%

30%

25%

20%

15%

10%

5%

0%

% multidevice

Telco Health Insurance

Car insurance Toys

Sneakers Jeans

Health

Insurance

Mobile

providerCar InsuranceToys Sneakers Jeans

0%

10%

20%

30%

40%

50%

% Smartphone

Telco Health Insurance

Car insurance Toys

Sneakers Jeans

Page 14: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

70%

60%

50%

40%

30%

20%

10%

Preference as metric works for telecom

providers, not so much for predicting sales of

sneakers & health insurance% bought @ preferred supplier

Health

Insurance

Mobile

providerCar InsuranceToys Sneakers Jeans

Page 15: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

New generations will drive use of search &

Smartphone further in the near future

58%

61%

38%

48%

51%

73%

66%

45%

61%

61%

PJ Telco

PJ Health insurance

PJ Car insurance

PJ Toys

Average

% use of search

30+ 18-29 years old

36%

25%

12%

33%

27%

45%

35%

27%

52%

40%

PJ Telco

PJ Health insurance

PJ Car insurance

PJ Toys

Average

% use of smartphone

30+ 18-29 years old

Page 16: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

# s

up

plie

rs c

on

sid

ere

d d

uri

ng

jo

urn

ey

# actions

More suppliers considered relate to more actions

Health

Insurance

Mobile

providerCar InsuranceToys Sneakers Jeans

Page 17: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Key

Take Outs

Preference for

a brand or

retailer is often

not resulting in

fair share of

sales

The longer a

journey, the

more devices are

used

Search often happens

on smartphones and

has a specific role in a

journey

Younger

generations will

drive smart

phone use &

search to higher

levels

Higher commitment

results in more

complex purchase

journeys

Page 18: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

The changing purchase journeySome key facts

Deep dive:

Mobile telecom

subscriptions

Page 19: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Role of brand in a journey

About 23% of the

buyers did not know

they were going to

close a new contract

up to 3 months

before

They consider 1.6

providers upfront.

34% of the buyers,

did not buy at their

preferred provider

claimed at the start

of their Journey

23% 34%1.6

Page 20: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Provider X brand dynamics

Consideration set

Initial – Real – Eventual

Consideration set

Preference - Purchase

Page 21: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

0%

0%

0%

1%

3%

3%

5%

6%

13%

14%

21%

34%

Website Keyword

TV/Radio programs

Website Manufacturer

Visit Retailer

Call with provider

Visit Provider

Reading brochures

Website Comparator

Discuss with family/friends

Website Retailer

Search

Website Provider

0%

0%

1%

1%

2%

4%

5%

6%

13%

14%

22%

31%

Website Keyword

Website Manufacturer

Call with provider

TV/Radio programs

Visit Retailer

Visit Provider

Website Comparator

Reading brochures

Discuss with family/friends

Website Retailer

Search

Website Provider

0%

0%

2%

2%

3%

3%

3%

4%

9%

12%

23%

40%

Website Keyword

Website Manufacturer

TV/Radio programs

Call with provider

Website Comparator

Visit Retailer

Reading brochures

Visit Provider

Website Retailer

Discuss with family/friends

Search

Website Provider

Provider website and search are common first

actions in the journeyFirst action

Light researcher Medium researcher Heavy researcher

Page 22: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Average journey Mobile Telecom

Clickstream

All

researchers

Finished in

21 actions

4 on smartphone

29 days

83 minutes

49 online

34 offline

Search

Comparator

website

Provider

website

Manufacturer

website

KRD website

Read brochures

Retailer website

Visit provider

store

Visit retailer

store

Discuss with

family / friends

Call with

provider

1.1

1.1

1.1

1.1

1.2

2.1

2.1

4.13.1

2.1

5.1

1.2

1.3

1.2

3.1

1.1

1.1

1.1

2.2

3.1

1.4

Page 23: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Provider sites are not successful in attracting

consumers using generic or device related search

queries

20% 24%

5%

15% 11%

73%36% 23%

8%

4%

1%

28%38%

13%

0%

20%

40%

60%

80%

100%

Generic search terms(n=446)

Device search terms(n=868)

Provider search terms(n=688)

Comparator website Provider website Retailer website

Manufacturer website KRD website Search

Websites type visited after using search

Page 24: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Key take outs

People are

relative loyal to

the provider in

Mobile

subscriptions

Visiting a

Provider Website

or a Search

Engine are most

common first

actions

In the average

journey search is

mostly used in the

first half, offline

actions more in

the second phase

Search is mostly

device related i.e.

“deal Samsung

Galaxy”

Page 25: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

The changing purchase journeySome key facts

Deep dive:

Purchase

journey

Sneakers &

Sport Shoes

Page 26: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

74%

26%

12%

R.O.P.O.

Purchase

32%

Offline

Online

2/3 of the offline purchases with research involves an

online component

31%37%

Research for offline purchase

Online

Online & Offline

Offline

55%33%

Research for online purchase

Online

Online & Offline

Offline

Page 27: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Role of brand in a journey

About 65% of the

buyers did not know

they were going to

buy sneakers up to 3

months before

They consider 2.7

retailers upfront.

65%

84% of the buyers,

did not buy at their

preferred retailer

claimed at the start

of their Journey.

84%2.7

Page 28: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Day 1 473

hm.com

Type website

Brand

Generic retail

Sneaker specialist

Sports retailer

Pure player

Comparison

Discount/affiliates

Inspiration

Social media

Activity

Website

Search

Offline research

Visited Intersport

Visited adidas

11 12 15 19 26 33 41

“Nike air vapor

advantage heren”

“zalando”

zalando.nl

“brejaart breda tennisschoenen”

decathlon.nl

footlocker.nl

perrysport.nl

aktiesport.nl

adidas.nl

adidas.nl

omoda.nldecathlon.nl

47 days10 website visits

8 unique websites

Sports shoes

Online

€27

42 minutes15 research actions 52 years old

Average education

Low income

Single person household

City > 100,000

Reason:

Low prices

Retailer:

Reason:

Good experience with this brand

Brand:

n=1 example of a real journey

Page 29: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

24% used their smartphone to do research

Devices used in research

18%

13%

2%

0%

25.6% 15.5%

15.8%

3.8%

0.3%

4.1% 4.3%

24.0%Used smartphone (excl. apps)

33.7%Used desktop

24.5%Used tablet (excl. apps)

69.4%Used online

Page 30: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Two thirds of brand related search terms consist ofboth brand name and product name

Search including brand term

(76% of total search)

Brand name(e.g. adidas or

Nike)

Product name(e.g. stan smith or air

max)65%

12%

23%

Brand name and product name in search

Only product name in search

Only brand name in search

Page 31: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Key takeaways

Preference for

retailers does

not predict

sales

Search is used

most intensively

on smartphones

Branded search is

by far biggest

Use of mobile

devices (tablet &

Smartphone) is

higher than fixed

devices

Page 32: Purchase Journey - GfK...Preference for retailers does not predict sales Search is used most intensively on smartphones Branded search is by far biggest Use of mobile devices (tablet

Contact

+31 6 23 19 89 36

Consultant Media

[email protected]

Marcel Buskermolen

For more information please contact your Google contactperson