12 Hour Arbitrage Review

Hey guys! So as some of you may know, I use my blog more for information purposes than promotion. If I find a good product related to the topic I will surely throw it your way, but in general I love to give my readers tips and short guides, not only to improve my own knowledge and extend my experience out, but also to help others stay informed of the latest happenings in our world of online marketing!

Today I wanted to talk to you about something called “Arbitrage”; A term that basically means buying/selling on.
So firstly if you don’t know, Arbitrage is the act of buying and selling, many people use sites like amazon and eBay to do so,  a lot of “Made in china” products are used in arbitrage. Most of the time people buy cheap low end products and sell them at a profit. Which is the aim of the game, but why should you be selling cheap low end stuff? Why not get some mid range brand stuff and do the same? Again, if you know me well you will know I would rather spend that extra buck to make sure my clients and customers get the best out of my work and products.

E-commerce

E-commerce

So I wanted to keep this one short and sweet and share 3 magic things I learnt from my brief but profiting time with 12 hour Arbitrage by James Renouf.

1. Start slow, don’t try and sell everything!

As with any other income stream, it is better to stay focused on one thing than do a hundred things and fail. If you can master selling one product successfully, then maybe you can learn to juggle a few, but don’t jump between products!

2.  Research is the key

Before you even set out to promote a product, make sure you have done the correct research, if you don’t know what the product is and what it does, how do you expect your consumers to understand you? It is always important to be aware of what you are selling and why it appeals to the target audience you are targeting.

3. Don’t settle for a cheap buck

Most arbitrage courses and guides will tell you to go for the cheap stuff, or “Made in China” and sell it at a profit, but this is not always the best bet. It is important to deliver quality to ensure loyalty and return customers. If you are looking for some good Mid-range products to sell, check out this  12 Hour Arbitrage

Have you had any experience with this income stream? Want to share your tips or opinion? Drop a comment below!

Report Finds Improvements in eCommerce Conversion Rates

A quarterly report from Monetate has recently been released for Q2 2015 and it has something of a mixed bag of information for marketers.  First, it found that the conversion rates for eCommerce has improved on all types of devices.  This is significant because over the previous several reports these rates have gone down.  The bounce rate, however, is remaining high, which is something that many marketers will be concerned about. Referral traffic from social networks continued to go up as well as did the average order value, which is always a good thing.

Conversion Rates

The first thing to look at is the overall conversion rate on eCommerce platforms. The report found that conversions for Smartphone’s went up 7%, tablets went up 12% and desktops went up 7%.  This is a nice reversal in the trend over the past several quarters which saw overall conversion rates dropping.  The big jump in tablets is especially promising given the continued growth in tablet use.

Bounce Rate

The bounce rate on eCommerce sites, however, stayed at around an overall average of 31.32%.  This is about even with the previous quarter, which may not sound bad until you see that the current rates are at a 15 month high.  Clearly something is not going right.  The bounce rate is something that all marketers struggle to keep as low as possible since the longer a user stays on the site, the more likely they are going to make a purchase. The bounce rate on smart phones is also significantly higher than on tablets or PCs, which is troubling since smart phones are continuing to grow in popularity.

Referral Traffic

Some good news is that referral traffic that comes from social networks is up about 50%.  This is a huge growth, especially considering the fact that social networks were already a huge source of traffic a year ago.  While social media traffic is not necessarily going to convert at the highest of rates it is a great source of potential customers, especially if they are coming from targeted advertising.

Average Order Value

Another piece of good news is that the average order value (AOV) is up significantly from the previous quarter.  Today the average order on an eCommerce site is $118.26 in Q2 2015.  In the previous quarter the AOV was $116.57.  Related to this is the revenue per session, which went from $3.69 to $3.93 year over year.  Given the sheer number of visitors and purchasers that visit eCommerce sites these little jumps can translate to huge increases in total profits.

If you’re interested in seeing the full report you can view it HERE.

New Report Shows US E-Commerce Growing Rapidly

The full numbers for eCommerce in 2013 are finally out from the US Census, and the results are looking quite good for anyone who is involved with the online marketing industry at all.  The report found that US retailers had 13.6% growth from 2012 to 2013 on their eCommerce platforms.  This brought them up to $261 Billion, from $229 Billion in 2012.

goldfish in cart - e-commerce concept

The growth is not exactly surprising, but it is always a good idea to work with the best and most accurate numbers possible to avoid getting caught up in the hype that is commonly found in this industry.  Taking the time to look at these results, even if they are nearly two years old, is very important.  In many ways it will confirm what the estimates had been up to this point.

The official report, which is titled, “E-Stats 2013: Measuring the Electronic Economy” says that in 2013 retail sales accounted for about 5.8% of total sales.  This is up from 5.3% in 2012.  The total sales also went up by 3.8% to a total of $4.5 trillion in 2013 (2012 had $4.3 trillion).

One thing that marketers should pay close attention to from this report is that the eCommerce is still just a small piece of the total retail puzzle.  As you can see, it is just 5.8% in 2013.  That percentage will likely go up some in 2014 and 2015 but the reality is, even digital marketers should be looking to see how they can benefit from offline sales as well.

Over time, however, most experts believe that the balance between traditional retail stores and eCommerce will start to get closer to even.  This isn’t likely to happen in the near term, but slowly over time.

Where is the Money?

The report found that the largest category for retail merchandise sold through the Internet in 2013 is clothing and clothing accessories.  This segment includes footwear.  This one segment is generating $40 billion in eCommerce sales at this time, and has gone up since.  For anyone looking for a new niche to enter for online marketing efforts, this is clearly a great option.  Of course, the vast majority of these sales go through well established companies.  Some of them, however, do have affiliate programs in place.

Importance of Reports

These types of reports are an important tool for all marketers to be aware of.  They can serve a number of purposes.  First, it can provide valuable data about where the money is being spent and how much of it there is.  Second, and perhaps most importantly, is that the reports can be used to show potential clients just how essential a good digital marketing strategy can be.  When managed properly it can contribute a significant amount to a brand’s bottom line and increase both online and offline sales.

This report can be found HERE.

Cart Abandonment a Huge Problem for Mobile

MarketLive has recently released a new report about digital marketing and it had some pretty grim news for those of us who use mobile in their marketing (which should be everyone).  The report found that approximately 90% of all ‘shopping carts’ are abandoned when people are using smart phones to shop online.  This means that even though millions of people go through the trouble of finding products they are interested in and adding them to their online shopping cart, they very rarely actually make the purchase.

Education. Back to School Supplies Sale

Now, even in physical stores you are going to get some small percentage of people who abandon their cart, so you can’t expect this number to get to 0%.  The reality is, however, that 90% is one of the highest rates of abandonment around, if not the highest.  This indicates that there are some pretty severe issues with the way people are making their mobile eCommerce sites.

Improving the Site Design

Most marketers have spent considerable time and effort improving the look and functionality of their sites when it comes to mobile devices.  This is great, and it has helped to allow smart phone traffic to become a huge part of the overall internet browsing experience.  In fact, smart phone internet use has gone up by 269% over the past year according to the same report.

Despite the improved design and functionality, however, people still aren’t completing the sale when they are on their smart phone.  Further study will need to be done to identify the exact cause for this, but some things can be assumed to be causing the problem:

  • Entering Personal Information – When you shop online you often have to enter a lot of personal information such as name, address, credit card name, credit card number, CVV number and more. This is a big hassle when you’re on your smart phone, and many people will just give up.  Learning to make this an easier process is very important.
  • Security Concerns – Some people still worry that smart phones aren’t as secure as traditional browsing. Putting up a message of some sort to ease their minds can help them to be more willing to go through with the purchase on their phone.
  • Questions – When on a smart phone it can be a little bit more difficult to scroll around to find the answer to a question someone has before making a purchase. If they can’t find it within seconds, they are more likely to leave the site entirely.  You may want to give people the option to just tap to call you if they have any questions.  This will give them an additional option rather than abandoning their cart all together.

There are undoubtedly many other problems related to smart phone shopping that have yet to be discovered.  This is a big advancement in the whole eCommerce industry.  None the less, this is not a statistic that can be ignored.  Anyone who is marketing online should be experimenting with ways to reduce the overall cart abandonment rate on their pages.