New research from Submission Technology, operator of the UK-based GreasyPalm cashback shopping portal, has found that reward sites are delivering strong results for online retailers, as online consumers attracted by rewards-based loyalty web sites proved more valuable to e-retailers than other visitors.
The research drew data from affiliate networks, advertising agencies, and online retailers to help analyse the key performance indicators of incentivised visitors compared with non-incentivised visitors.
Higher propensity to buy
Incentivised visitors were seen to have a much greater propensity to buy than their non-incentivised counterparts. Earnings per click ('EPC' - a common e-commerce metric) across a variety of brand name retailers were shown to be significantly increased. For example, Dorothy Perkins noted a 183% uplift and Comet reported a 309% uplift from incentivised consumers.
The strongest evidence for increases in propensity to buy was in the area of online insurance. A leading car insurance brand saw a 512% increase in EPC, with GreasyPalm's incentivised visitors performing at 5.32 per click compared to the average visitor being worth only 1.04 per click.
Higher average order value
Further beneficial effects of incentivised traffic were seen when examining data for average order values across a range of retailers. A well-known High Street clothing retailer showed an average order value of 105.12, compared to 118.16 from GreasyPalm's incentivised visitors.
Similar uplifts in average order value were reported by other retailer web sites, including a popular chocolate retailer whose average order value for incentivised visitors showed an uplift of 30% over non-incentivised visitors.
Neil Durrant, Marketing director for GreasyPalm, said: "Our research shows that reward-based web sites actually direct high value traffic to online retailers and, as such, are an integral part of the marketing mix. Retailers working in conjunction with reward sites can tap into loyal and motivated shoppers, benefiting immensely from their association."