Fashion & trends in online retailing. A new catwalk for fashion brands. tradedoubler.com

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1 Fashion & trends in online retailing A new catwalk for fashion brands tradedoubler.com

2 Consumers are reinventing the way that they experience and buy fashion; brands that refuse to adapt to new channels risk being shut out of the spotlight When it came to shopping, the fashion category once followed its own rules. Consumers valued the experience of shopping as much as the purchases they took home, revelling in being inspired by immersive retail environments. By providing a good fashion experience, brands could travel a long way down the path to securing a fashion purchase. But no longer. Performance Marketing from First Impression to Last Click, the latest study from the Tradedoubler Insight Unit, reveals how the traditional fashion purchase journey has been blown apart by a combination of digital media and constrained shopping budgets. Today s consumers have the choice of experiencing and buying fashion through a far greater range of offline and online channels than ever before, and they are using this choice to reinvent fashion shopping. New shopping fashions Amongst connected shoppers, who are familiar with buying online and also own a smartphone, 39% say they are more likely to buy fashion online now than they were a year ago. Over half (52%) frequently buy fashion through digital channels, gaining rapidly on the 61% who frequently buy through high-street stores. Nor do traditional boutiques and department stores have it all their own way when it comes to offline purchases. A quarter of fashion shoppers turn to supermarkets to pick up their outfits and accessories. ONLINE GAINING ON HIGH STREET AS FASHION SHOPPING DESTINATION 61% 39% Frequently buy fashion on the high-street Are more likely to buy fashion online than a year ago 52% Frequently buy fashion online tradedoubler.com 2

3 And although brands owned assets such as retail stores and websites still feature strongly in the inspiration stages of the consumer journey (with 57% browsing in fashion stores and 48% on fashion retailers own sites), they have far less control over actual fashion purchases. When it comes to buying fashion, 56% of shoppers turn to performance marketing channels such as pricecomparison, voucher code, cashback and daily deal sites, far more than trust fashion stores or retailers websites to deliver the best price. Inspiring fashion shoppers is no longer any guarantee that they will buy from you. INSPIRING FASHION SHOPPERS NO LONGER GUARANTEES THE SALE 57% Browse in-store 48% Browse on retailer websites 56% Purchase via Performance Marketing With the fashion purchase journey fragmenting so rapidly, what can brands do to reassert control? The answer lies in developing integrated strategies that embrace the touchpoints consumers now trust to guide their fashion purchases and recognising that these new channels are becoming an accepted part of the fashion shopping experience, not an interruption to it. The evolution of performance marketing for fashion Online shoppers don t have to abandon fashionable, aesthetically appealing online environments in order to secure the best price. From fashion-focused content verticals and blogs (such as stylenest.co.uk in the UK and blondinbella.se in Sweden) to category-specific voucher code and price comparison sites like footmall.se and fashionhunt.co.uk, performance marketing channels for the fashion sector increasingly deliver both. They have been rewarded with a role throughout the consumer journey from inspiration through to purchase: 69% use blogs and content verticals as their source of fashion inspiration, significantly more than seek out ideas by browsing high-street stores. And almost half (47%) are happy to look through price-focused performance marketing channels such as pricecomparison or voucher code sites when in the mood for some retail therapy. In their domination of both inspiration and purchase behaviour, performance marketing sites are increasingly the consistent thread that stitches the fashion shopping experience together. PERFORMANCE MARKETING CHANNELS ALSO INSPIRE FASHION SHOPPERS 69% Use blogs and content sites for fashion inspiration 47% Use Performance Marketing channels for fashion inspiration tradedoubler.com 3

4 SECOND SCREENING ON MOBILE DEVICES 57% 48% 37% 25% Mobile fashion The growth of mobile performance marketing adds a new dimension to this evolving trend with just under a quarter of connected consumers (24%) researching their fashion purchases using a mobile phone. Second screening consumers, who use the internet on their mobile whilst watching TV, can recreate the full experience of fashion shopping without leaving their living room. Inspiration from magazines and TV shows flows naturally through to casual browsing of blogs and content sites or more purposeful research through price comparison and loyalty sites. And the After watching a TV ad Find out more information Buy something fashion-focused nature of these performance marketing channels means that consumers do not have to shift out of a fashion shopping mindset when completing a purchase through them. Almost half of connected consumers have used a mobile to research the products that feature in TV ads, and a quarter have gone on to purchase them using their phone. Amongst owners of tablets, 57% have looked up product information with 37% completing a purchase. Showrooming threat and opportunity The presence of fashion-focused shopping apps on mobile phones introduces the threat of showrooming, whereby shoppers try on items in one store whilst using their handset to find a better price for the same item elsewhere. Amongst connected consumers, 20% use a fashion app on their phone, and 18% use apps that enable them to make purchases directly from other retailers websites. And they are quick to take advantage of such tools when shopping: 70% use their mobile to look for a better price elsewhere, 60% will go on to buy a product online rather than in the store, 55% will go to a rival retailer where they found a better price through their phone, and 44% will complete the purchase through an online channel using their mobile. Mobile performance marketing channels are a first port of call when exploring options in this way. FASHION APPS ARE 'A LA MODE 20% Use mobile fashion apps 18% Use apps that enable purchases tradedoubler.com 4

5 The most effective solution for retailers faced with the showrooming threat is to construct offensive and defensive mobile strategies of their own, ensuring a presence on relevant mobile performance marketing channels and apps in order to secure purchases or pull consumers in from elsewhere. Voucher code sites and apps can provide a particularly powerful channel for drawing shoppers into the store, and ensuring that they complete a purchase when there; 44% use vouchers that they have received on their phone when shopping. MOBILE AND PERFORMANCE MARKETING ARE DISRUPTING SHOPPING ON THE HIGH STREET Check for a better price Buy online after mobile research Buy in another store 55% 60% 70% Performance marketing: delivering a new fashion experience Fashion shopping today is a fusion of the emotional and the rational. Delivering the right price is increasingly important; but so is delivering the right price through a context that reflects what shoppers enjoy about fashion. Consumers have given performance marketing channels such a central role in fashion purchasing because they so effectively balance these two very different needs. Fashion brands and retailers need to do the same. MOBILE VOUCHERS CONVERT IN STORE 44% Use mobile vouchers when shopping To find out more contact Purchase on mobile 44% tradedoubler.com 5

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