Wolfgang Digital released the third in its series of quarterly e-commerce revenue studies and, while the figures are going up, those flailing behind need to beware of ‘digital marketing Darwinism’.
The Dublin-based digital marketing agency spent recent weeks collecting and collating a large sample of data from Irish e-commerce websites spanning retail, travel and charity verticals, which had a combined revenue in excess of €80m in 2013.
The resulting Irish E-Commerce Study for Q2 2014 comes with good tidings for e-commerce in Ireland. Revenue has increased by more than half (51pc), website traffic is up by 30pc, and average revenue per visit has grown by 17pc compared to the same period last year.
“The Irish consumer is developing a serious online shopping habit,” said Wolfgang Digital CEO Alan Coleman, author of the study. “New data reveals we are spending considerably more time – and considerably more money – online.”
Retail remained the best-performing vertical in the latest study, while travel websites saw a 42pc growth in revenue.
However, while 4 out of 5 participants saw revenue growth, the remaining one-fifth saw an average rate of decline of 25pc.
Coleman sees this as ‘digital marketing Darwinism’, where businesses need to either keep up with the latest advertising technology or get left behind.
“Google releases new advertising features and algorithm updates weekly, and those who stay on the right side of the fast-paced rate of innovation are rewarded with extraordinary returns,” he wrote.
“At the other extreme, let your business suffer as a result of the Penguin update, or fail to implement Product Listing Ads, and you may see important revenue channels fall off a cliff.”
Online shopping image by Jmiks via Shutterstock