A never before registered level of consumers buying through the digital channel and thousands of businesses activating online sales anticipate a “unprecedented” Hot Sale; they assure from the retail area of Google Argentina.
For the search engine, and despite the retraction that consumption has shown in recent weeks, the collective promotion of ecommerce that the Argentine Chamber of Electronic Commerce carried out on July 6,7 and 8 will set records. And it is an open opportunity for old and new sellers.
This was pointed out by Google executives in a virtual press conference with media from all over the country; at the time of presenting a study on new consumption habits via the Internet in the country.
Evangelina Suárez, commercial director for the Retail Industry of Google Argentina, pointed out some of the key indicators: among Internet users and according to a Google survey, there is a 12 percent that bought for the first time online in quarantine, and another 46 percent increased their frequency of consumption.
On the other hand, searches related to retail or mass consumption grew to a level never recorded. In Córdoba, the jump was 42 percent (May 2020 vs. May 2019), almost double the national average (25 percent).
One category with an explosive leap in Córdoba among the highest in the months prior to quarantine was technology: it grew 64 percent, just slightly below the national average (75 percent). It is worth noting that the highest percentages were registered in the Northwest provinces, presumably those with the least development of electronic commerce prior to quarantine.
Fashion, for example, grew seven percent in Córdoba, against a 50 percent achieved in the country. Nationwide, the largest explosion of searches was for electric household products (120 percent), followed by technology, beauty (51 percent), fashion, sports (45 percent) and children (35 percent).
All this interest was also reflected in unprecedented spikes in searches associated with warehouse and supermarket delivery, which grew by 191 percent; those of take away and restaurant delivery, 103 percent, and 60 percent, and those of gift delivery, compared to January and February of this year.
Only 28% decided
In short, the above data shows the massive transfer of consumer interest from the physical to the digital world and anticipate, in Google’s reading, a strong demand for new buyers in the imminent Hot Sale.
To strengthen that reading, the search engines assures that compared to 2019, the “awareness” of the digital promotion doubled: 53 percent of Argentines know about the Hot Sale against 33 in 2019).
On the other hand, the supply of sellers is also assumed to be expanded. Google data shows growing digitization of businesses: searches for “web development and design” increased 65 percent, “shopping portals” jumped 35 percent, and keywords related to “how to sell on the Internet” soared in May.
In relation to the consumer, Google highlights that interest in the Hot Sale is growing: 63 percent of potential buyers say they are going to research day prices to validate the offer and 67 percent research more than three sites before buying.
“More people are going to buy, but most do not yet know what products. And it’s searching, spinning. This entails a great opportunity for businesses, ”Evangelina Suárez graphed.
According to a Google survey, to date only 28 percent of Internet users say they know what they will buy during the Hot Sale and from what site.
What products will be purchased
What can be the most demanded? Search statistics provide clues: all the technology related to “moving” work and entertainment is on the cutting edge.
Searches for notebooks increased 230 percent, searches for consoles 132 percent, and computer accessories 175 percent (May 2020 vs. May 2019).
In the fashion category there were important changes: compared to last year where the protagonists were sneakers and accessories, the products related to home clothes are the ones that are growing the most in searches: 222 pajamas, sweaters, 70s and underwear 5, in all cases percent.
In cosmetics, luxury items lost relevance compared to wellness and personal care items (facial care plus 117, skin care 66 percent, and hair care 56 percent).
The redirection of demand between categories is read by some as one of the great challenges of this Hot Sale. It happens that “trips”, the historical leader and strong contributor to peak sales during promotions, is supposed to perform well below the usual in this edition.
Technology, meanwhile, must resolve the tension between the jump in demand and the stock problems that are registered in relation to some products.
To capitalize on the ecommerce leap in the country, Google launched a new tool with services for buyers and sellers: Google Shopping.
It is a new ad system that gives visibility to products sold online, in a way aligned to the variables that the consumer prioritizes according to Google’s own research: product photo, a title, description, characteristics, price, the name of the retailer, the valuation of users that exists on that retailer and the financing with which the good or service is offered.
Another point that buyers are paying special attention to is the product delivery service, they point out from the platform.
The tool works for the consumer as a price comparator, from which he can go to the store of his choice. For the seller, it is a channel for promoting their products, which works with the cost-per-click auction system that is already used in AdWords.