Retailer Paid Search; Whole Foods Expands Grocery Pickup; Commerce MarketingBy Cleveland Admin
As eCommerce gains prominence, manufacturers continue to be drawn to paid search advertising activations across different customers. 71% of respondents polled during our Summit indicated they spend 75% or more of their ad budget on Amazon within paid search activations. In addition, investing more and refining paid search strategies on Walmart.com was the top area of focus cited by brands selling on the site. The Instacart panel discussion also highlighted that manufacturers are primarily focused on maximizing the paid search opportunity on that platform before moving onto other digital activations like coupons or delivery promotions.
Whole Foods Expands Grocery Pickup:
Whole Foods is now offering Amazon Prime members free (with a minimum order of $35) one-hour grocery pickup from every U.S. location. Whole Foods has previously been a seemingly under-leveraged part of Amazon’s overall grocery strategy but this recent announcement suggests the potential for a more cohesive grocery strategy that leverages these stores. Utilizing all locations for BOPIS will equip Amazon to remain competitive in the online grocery space.
Nearly every company polled during our eCommerce Summit indicated they are participating in advertising on Amazon, and there is growth occurring with the number of brands participating in similar digital activations on sites like Walmart.com and Target.com. The range of 1-5% of sales is the most common level of investment on both Amazon and Walmart, with 5% and 4% being the weighted averages respectively. Almost two-thirds of brands, however, reported not having enough quality access to data and reporting to efficiently refine and optimize their commerce marketing efforts.
Note: In regards to WMG and Amazon Advertising respectively, Walmart total sales including both stores & online
Source: CRC 2020 eCommerce Summit, n rangers from 69 to 98