The impact of the global meltdown on online sales
January 20th, 2009 by Ingrid Cliff
Have you ever wondered what are the average conversion rates for online sales?
Retailbiz reports a study by Coremetrics that shows online sale conversion rates for Australia have dropped from 4.4 per 100 to 2.9 per 100 over the past few months. According to Coremetrics, people are also preferring to buy from local companies in AUD$ rather than in US$ as a result of the falling exchange rate.
Coremetrics reported that internet sales were still strong, and Aussies convert to more sales online than their UK and Hong Kong counterparts.
I will be honest – most internet marketers will tell you that a 2% conversion rate is fabulous and anything above that is cause for major celebration. That said, I do expect there is some softening of online sales conversions as the global meltdown hits many industries.
From personal experience I can vouch that I spend less in US$ when the exchange rate trends towards 50cents per US$ compared to 95c per US$ (sorry Amazon!)
What this means for online websites is to consider offering your product in local currency rather than the standard US$.
It also means local businesses need to be more aware of the power of the internet and the need to increase their web presence in order to capitalise on additional sales opportunities.
Until next time
Ingrid Cliff
We put your business into words
This entry was posted on Tuesday, January 20th, 2009 at 5:40 pm and is filed under Web copywriting. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
