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Industry News Update for the Week of June 15, 2012

By Erin Snowden

Here’s a roundup of the top headlines in the NetX Industry News Update:

NetX Launches New Vogue Affiliate Program
NetX is excited to announce the launch of the Vogue affiliate program in Google Affiliate Network, in partnership with Condé Nast. In order to streamline the best user experience for Vogue consumers, NetX created a new affiliate site internally and implemented an order processing system. Marked with enthusiasm, a dedicated team and the valuable support of a talented magazine industry veteran, the new Vogue landing page was designed with the customer experience in mind.

Why A Tablet Strategy Is A Must-Have
According to comScore, one in four Americans used a tablet device in the first quarter of 2012. Tablets have become increasingly popular among mobile phone subscribers showing a usage increase of 11.8% in the past year. Tablets are even becoming increasingly important to video users. ComScore studies show that out of the number of users viewing video at least once a month, 26.7% paid to watch content. Furthermore, Tablets continue to benefit high end brands, due to being skewed toward upper-income households. Nearly three in five tablet users live in homes with income of $75,000 or more.

Online Ad Sales Surge
According to new data, online advertising has been increasing by 15% YoY setting a record of $8.4 billion for the first quarter. A major factor in the rise of online ad sales is due to online media creating conversation between marketers and consumers. In 2011, display online spending rose 15% from $9.6 billion to $11.1 billion. Retail advertising remained the largest category of online ad spending, totaling $7.1 billion. As for this year, mobile has made up double the amount of total online ad dollars by climbing from 2.5% to 5%.

Google Rolls Out Trusted Stores Program
Google announces their new Trusted Stores program which has increased conversion rates by an average of 3% and has increased average order sizes by 5.5%. The Google Trusted Stores Program gives consumers peace of mind when shopping online at unfamiliar stores. The program rates retailer’s shipping and customer service quality using letter grades and detailed statistics. According to Google, the Google Trusted Store seal will soon appear in paid search ads and on product listings in Google Shopping.

For Online Shoppers, Just How Important Is Free Shipping?
According to a February 2012 survey by comScore, shipping costs still play a significant role in converting online users. When asked what aspect of the shopping process retailers could improve, three of the top 5 responses were related to shipping. The desire for free or discounted shipping topped the list with 58%. Shipping was also ranked the main reason buyers abandoned their cart before completing a purchase. 57% of those surveyed said they added items to their cart not to buy them, but to find out the total purchase cost once shipping costs were factored in.