San Francisco, CA (December 1, 2010) – Kenshoo, a global leader in search marketing and online advertising technology, announced today the release of the Kenshoo 2010 Online Holiday Shopping Report.
Kenshoo’s digital marketing software is used by five of the top ten U.S. retailers and drives more than $15 billion in online sales for its customers from over $1 billion in annual advertising spend.
This report is based on the newly created Kenshoo U.S. Retail Index that will serve as a barometer for examining online holiday shopping trends. By showing how a cross-section of Kenshoo retail customers are investing and profiting from Internet advertising during the peak shopping season, this report delivers insights into the state of the U.S. economy and provides benchmarks for marketers to improve performance.
The Kenshoo 2010 Online Holiday Shopping Report breaks down the 26 day period from November 4th through November 29th and isolates performance on Thanksgiving Day, Black Friday, and Cyber Monday.
Key findings in the report include an increase of 31% in year-over-year search advertising budgets for the holiday season to date as well as 83% more online sales transactions and a 60% lift in total online sales revenue.
The report covers six key trends identified by analyzing the data from the Kenshoo U.S. Retail Index:
1. The Holiday Shopping Season is Starting Earlier
2. Online Shoppers are More Responsive to Paid Search Advertising
3. Consumers are Buying More Often With Smaller Basket Sizes
4. Paid Search Advertisers Have Increased Effectiveness
5. Thanksgiving is Now “Cyber Kickoff Day”
6. Competition for Retailers Peaks on Cyber Monday
“As more and more holiday shopping is conducted online, the dynamics of paid search marketing and online advertising have changed dramatically,” said Aaron Goldman, Chief Marketing Officer at Kenshoo. “To capture share of mind and wallet, advertisers must start the planning process early and build in flexibility to react to market conditions. By focusing on relevancy, experimenting with merchandising, and leveraging advanced bid algorithms, retailers can approach online advertising with confidence.”
This report will be updated following Christmas to provide a full view of the 2010 holiday shopping season. There are plans to make this an annual report and, in future editions, include regions outside the U.S. as well as online advertising channels beyond paid search such as social media and display. Please visit www.Kenshoo.com/HolidayReportto download the report and get the latest updates.
Kenshoo provides a global technology platform for search marketing and online advertising. Kenshoo’s digital marketing software delivers the control, automation and efficiency needed to make better investments across search, social and display campaigns. Advertisers, agencies, and marketing providers use the Kenshoo EnterpriseTM and Kenshoo LocalTM suites to drive more than $15 billion in online sales revenue from over $1 billion in annual ad spend. Kenshoo’s world-class engineering team creates SaaS solutions that power the 7 largest ad agency networks and 5 of the top 10 retailers. Kenshoo customers include such brands as Facebook, Havas Digital, Hitwise, iREP, Jobsite, John Lewis, LendingTree, Omnicom Media Group, SMG Search, and Zappos. Kenshoo operates in every major country from nine international locations and is backed by Sequoia Capital and Arts Alliance. Please visit www.Kenshoo.com for more information.
Chief Marketing Officer, Kenshoo