SimilarWeb Retail Market Intelligence Report

SimilarWeb Retail Market Intelligence Report

Contents

Introduction 3

General Merchandise 4

Home & Garden 6

Consumer Electronics 8

Apparel 10

Beauty 12

Sporting Goods 14

Food & Beverage 16

Outdoor & Hunting 18

Methodology

This paper examines incoming traffic from the US to the top ten websites in each of eight Retail sub-categories on desktop and mobile from May 1, 2016 through April 30, 2017. Additionally, the paper provides usage stats for Android apps associated with the top sites in several sub-categories.

The retail landscape in 2017 is undergoing a dramatic transformation. Big-name retailers teeter on the verge of the bankruptcy. Department stores are struggling with significant declines in foot traffic and sales. At the same time, E-commerce continues to hit new heights as the entire customer journey shifts online, from discovery through research to purchase. This white paper explores the digital performance of key retailers across eight sub-categories: General Merchandise, Home & Garden, Consumer Electronics, Apparel, Beauty, Sporting Goods, Food & Beverage, Outdoor & Hunting. Among the categories there are common elements, such as seasonality, and clear distinctions, such as geographic distribution, discrete patterns for traffic sources and evolving models of app engagement.

IntroductionDavid and Goliath

Leaving aside the General Merchandise category which is a huge outlier due mostly to Amazon, we looked at each of the categories and mapped average monthly traffic to the top ten sites against the relative concentration of traffic to the top three. The categories demonstrating the highest concentration of traffic to the most visited three sites are Consumer Electronics and Home & Garden. At the other end of the scale, the flattest categories where traffic is spread more evenly outside the top three are Apparel and Outdoor & Hunting.

3

General Merchandise

Amazon leads the General Merchandise category from the front accounting for more than half of all traffic to the top ten and maintaining its importance as a marketplace for brands across several verticals.

While many retailers are reducing costs, and closing brick-and-mortar stores, Amazon is heading in the opposite direction and experimenting with opening retail outlets in carefully selected locations. Amid considerable turmoil across several retail verticals, Amazon continues to challenge brands to up their eCommerce game.*

4

fidget spinner#1 most searched non-branded

keyword at amazon.com, ebay.com and walmart.com so far in 2017.

22.5%of referral traffic to

walmart.com comes from coupon sites.

© www.similarweb.com 2017

Top Ten General Merchandise Sites

*For more Digital Insights like these, visit similarweb.com

*https://www.nytimes.com/2017/04/30/technology/tipping-point-for-amazon-in-apparel.html

# DomainTotal Traffic

Jan - Apr 2017Traffic Share

Jan - Apr 2017

Conversion Rate*

April 2017

1 amazon.com 6,950.8M 55.8% 8.6%

2 ebay.com 2,916.1M 23.4%

3 walmart.com 1,101.5M 8.8% 4.2%

4 target.com 464.5M 3.7%

5 etsy.com 449.7M 3.6%

6 aliexpress.com 168.4M 1.4%

7 sears.com 120.7M 1.0%

8 overstock.com 113.5M 0.9%

9 jet.com 109.0M 0.9%

10 qvc.com 70.7M 0.6%

https://www.similarweb.com/corp/similarweb-insights/

https://www.nytimes.com/2017/04/30/technology/tipping-point-for-amazon-in-apparel.html

5 © www.similarweb.com 2017

Visits per Unique Visitor to amazon.com by State

General Merchandise

App Data

AppCurrent App InstallsApril 2017

Avg. Daily Time on appJan 2017 - Apr 2017

Amazon Shopping 11.5%

eBay - Buy, Sell & Save Money

15.2%

Walmart 8.1%

Monthly Traffic May 2016 - April 2017

Traffic Sources, Desktop, May 2016 - April 2017

0:08:25

0:20:36

0:36:44

Walmart.com gets a

far greater proportion

of its traffic search

than other general

merchandise site.

Amazon’s seasonal

bump is significantly

greater than its

rivals.

Home & Garden

Home & Garden remains one of the most concentrated of the online retail categories. So far in 2017, traffic to the top three sites has been three times higher than all the rest of the top ten.

In this highly contested category, third place wayfair.com stands out as the lone online-only retailer in a sea of bricks-and-clicks brands. The lowest proportion of direct traffic among the top three sites indicates that Wayfair lacks the brand recognition of both Home Depot and Lowe’s, but it combats this disadvantage with a greater focus on paid campaigns, display ads and more.

6

South Dakotais the only state where more traffic goes to menards.com

than the top 5 sites.

wallpaper#1 most searched for

product in the Home & Garden category


Top Ten Home & Garden Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 homedepot.com 436.1M 40.7% 0.4%

2 lowes.com 226.8M 21.2% 1.7%

3 wayfair.com 160.9M 15.0%

4 bedbathandbeyond.com 76.9M 7.2%

5 harborfreight.com 57.6M 5.4%

6 menards.com 38.0M 3.5%

7 potterybarn.com 20.9M 2.0%

8 northerntool.com 18.7M 1.7%

9 williams-sonoma.com 18.2M 1.7%

10 acehardware.com 16.8M 1.6%




Home & Garden



The Home Depot 1.2%

Lowe's 0.7%

Wayfair - Furniture & Decor 0.5%



0:10:59

0:14:02

0:14:48

App Data

Traffic to Home &

Garden sites hits

its lowest point in

the Winter month

of February.

On-site Search

On-site searches within lowes.com searches feature more brand names, while consumers search homedepot.com for products

lowes.com:

1. dewalt2. grass seed

3. kobalt4. soil

5. 2x4x8

homedepot.com:

1. mulch

2. plywood

3. pressure washer

4. grass seed

5. toilet

Top 5Searches

Consumer Electronics

Consumer Electronics is another fiercely contested category with the top ten making room for big box retailers like bestbuy.com as well as more specialist stores focusing on photography like bhphotovideo.com and adorama.com. Visits to music specialist sweetwater.com have gradually increased over time bringing its average monthly visits within a whisker of competitor, guitarcenter.com.

Among the top three sites in the Consumer Electronics category bhphotovideo.com stood out by generating 16.3% of its traffic from paid search, more than double the proportion of category leader, bestbuy.com.

8

Nintendo Switch#1 most searched Consumer Electronics Product in 2017

26.1%of visits to adorama.com came from organic search in 2017,

up from 20.5% in 2016


Top Ten Consumer Electronics Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 bestbuy.com 391.3M 48.5% 3.0%

2 newegg.com 170.0M 21.1% 3.0%

3 bhphotovideo.com 85.6M 10.6% 2.0%

4 guitarcenter.com 33.9M 4.2%

5 sweetwater.com 31.8M 3.9%

6 crutchfield.com 28.1M 3.5%

7 microcenter.com 22.7M 2.8%

8 adorama.com 21.0M 2.6%

9 monoprice.com 13.5M 1.7%

10 mouser.com 8.4M 1.0%




Consumer Electronics

App Data



Best Buy 1.2%

Newegg Mobile 0.4%



0:11:00

0:16:18

On-site Search

NintendoFour of the top five on-site searches at bestbuy.com in April 2017 were for Nintendo products.

Bestbuy.com

1. Amiibo2. Switch3. Macbook Pro

4. Nintendo Switch5. NES Classic

Top 5Searches

Bestbuy.com makes the

most of holiday season

with traffic in November

2x higher than the rest

of the year.

Apparel

Apparel is one of the most competitive categories in the retail space where the category leader has the second lowest traffic share of all the verticals reviewed. The marketing mix for each brand varies enormously with over 42% of traffic to kohls.com arriving directly while jcpenney.com relies heavily on paid search to boost its numbers.

Companies are still trying to find the right way to reach consumers across all their properties with Kohl’s anticipating that their “Buy Online, Pick Up In Store” program may account for up to 10% of online purchases in the near future.*

10

49%of search traffic to

jcpenney.com is paid search

54%of traffic to nordstrom.com

comes from mobile, the highest in the top five.


Top Ten Apparel Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 macys.com 227.1M 21.7%

2 kohls.com 166.9M 16.0% 6.0%

3 jcpenney.com 129.0M 12.3% 5.0%

4 nordstrom.com 121.4M 11.6%

5 gap.com 98.7M 9.4%

6 victoriassecret.com 80.2M 7.7%

7 forever21.com 78.5M 7.5%

8 zappos.com 58.4M 5.6%

9 asos.com 43.4M 4.1%

10 hm.com 42.2M 4.0%


*https://www.digitalcommerce360.com/2016/11/11/kohls-focuses-e-commerce-efficiency-and-store-pickup


https://www.digitalcommerce360.com/2016/11/11/kohls-focuses-e-commerce-efficiency-and-store-pickup


Top Apparel Sites by State

Apparel

App Data



Macy's 0.6%

Kohl's: Scan, Shop, Pay & Save

1.4%

JCPenney 0.5%

kohls.com

nordstrom.com

macys.com

jcpenney.com



0:08:55

0:10:15

0:11:11

Kohls.com and

jcpenney.com peaked in

November, macys.com

in December.

February is the worst

month for all three.

11

Beauty

Amid declining fortunes for many US chain stores, the makeup and beauty industry is definitely having a ‘moment’. Potentially driven by the extraordinary preponderance of YouTube and Instagram accounts dedicated to every new look and how to achieve it, 2016 saw spending on makeup grow twice as fast as spending on clothing.

Category champions sephora.com and ulta.com drove brand awareness by expanding their offline reach in defiance of the trend in department store closures.*

12

ulta.comThe most popular brand pages on ulta.com are NYX Cosmetics,

Tarte and Urban Decay

4xUlta.com receives four times

more traffic from the keyword “makeup brushes”

than sephora.com.


Top Ten Beauty Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 sephora.com 90.3M 33.9% 6.2%

2 ulta.com 69.0M 25.9% 3.0%

3 bathandbodyworks.com 34.1M 12.8%

4 sallybeauty.com 14.9M 5.6%

5 colourpop.com 14.4M 5.4%

6 fragrancenet.com 11.4M 4.3%

7 maccosmetics.com 9.5M 3.6%

8 youniqueproducts.com 7.8M 2.9%

9 lushusa.com 7.4M 2.8%

10 elfcosmetics.com 7.3M 2.7%


*https://www.bloomberg.com/gadfly/articles/2017-03-24/makeup-mavens-meet-selfie-snappers-in-shopfront-surge


https://www.bloomberg.com/gadfly/articles/2017-03-24/makeup-mavens-meet-selfie-snappers-in-shopfront-surge


Beauty


Traffic Sources, Desktop, May 2016 - April 2017 On-site Search

At bathandbodyworks.com and sephora.com the most popular on-site search terms focus on brands, rather than specific products:

sephora.com:

1. Tarte2. NARS3. Kat Von D4. Fresh5. Urban Decay

bathandbodyworks.com

1. Tutti Dolci2. At The Beach3. Stress Relief4. coconut

5. bath bombs

Top 5 Searches

Bathandbodyworks.com

traffic increased by 31%

in June, due to its

semi-annual sale.

Sporting Goods

There’s something exciting about an industry being able to curate its own traffic peaks outside the usual seasonal extremes of the November/December holiday season. Both nike.com and adidas.com generated out-of-season bumps for different reasons.

Kanye West’s line of Yeezy sneakers continues to deliver the the kind of branded product launch for Adidas usually reserved for smartphones or video consoles. For nike.com, their sponsorship of the US Olympic track and field team and the dominance of Nike-sponsored athletes in the medals table at the Rio Games, delivered a huge traffic boost in August 2016.*

14

46.5%of traffic to dickssportinggoods.com came from organic search compared

with 27.5% to nike.com

Yeezy sneakersTraffic to adidas.com increased by 106% when a new Yeezy sneaker

was launched over an average day in 2016


Top Ten Sporting Goods Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 nike.com 87.1M 28.0% 2.7%

2 dickssportinggoods.com 54.2M 17.4% 3.0%

3 adidas.com 39.5M 12.7% 2.6%

4 finishline.com 31.1M 10.0%

5 academy.com 30.2M 9.7%

6 underarmour.com 19.1M 6.1%

7 eastbay.com 16.8M 5.4%

8 fanatics.com 11.6M 3.7%

9 lululemon.com 11.1M 3.6%

10 champssports.com 10.4M 3.3%


*http://www.highsnobiety.com/2017/04/27/adidas-yeezy-guide


http://www.highsnobiety.com/2017/04/27/adidas-yeezy-guide


Sporting Goods


Traffic Sources, Desktop, May 2016 - April 2017 On-site Search

The only non-shoe in the top five on-site search terms at nike.com was windbreaker.

nike.com

1. Jordan 1

2. Windbreaker3. Slides

4. Pegasus

5. Sock Dart

Top 5 Searches

44 Nike-sponsored

athletes won Gold at

the Rio Olympics in

August 2016

Food & Beverage

Food & Beverage is the most geographically diverse of all the retail categories with most of the brands in the top ten using their online presence to support their brick-and mortar outlets wherever they are distributed across the 50 states.

The exceptions to this in the top ten are blueapron.com and hellofresh.com, meal delivery subscription services that bypasses stores to deliver the perfect amount of each ingredient for each recipe. Already the most visited Food & Beverage site in a handful of New England states, Blue Apron filed for IPO in June 2017.*


Top Ten Food & Beverage Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 kroger.com 68.9M 31.9% 2.8%

2 safeway.com 28.2M 13.0% 1.9%

3 publix.com 23.6M 10.9%

4 aldi.us 20.1M 9.3%

5 blueapron.com 19.4M 9.0%

6 wholefoodsmarket.com 15.2M 7.0%

7 heb.com 13.8M 6.4%

8 hellofresh.com 10.5M 4.8%

9 shoprite.com 9.1M 4.2%

10 fredmeyer.com 7.5M 3.5%


55.4%of traffic to safeway.com is

direct, indicating huge brand awareness with consumers..

*https://www.similarweb.com/blog/blue-aprons-ipo-meal-delivery-insights

28.2%of traffic to kroger.com comes

from referral sites such as softcoin.com which manage

Kroger's digital coupons.


https://www.similarweb.com/blog/blue-aprons-ipo-meal-delivery-insights


Top Food & Beverage Sites by State

Food & Beverage

App Data



Kroger 1.1%

Safeway 0.6%

Publix 0.3%

publix.com

fredmeyer.com

safeway.com

shoprite.com

kroger.com



0:11:58

0:20:08

0:13:09

aldi.us

wholefoodsmarket.com

blueapron.com

heb.com

Perhaps surprisingly the

top Food & Beverage sites

each exhibit some real

seasonality as shopping

baskets expand in

December and shrink

immediately after.

Outdoor & Hunting

There was a big shake-up in the Outdoor category last year as the announcement was made in October 2016 that Cabela’s Inc. had agreed to be bought by Bass Pro Shops in a $5.5 billion deal. By February 2017 the deal had not been closed and generating a degree of uncertainty for both brands.

In Q1 2017 rei.com generated more site visits than cabelas.com for the first time in a year.

18

4%of all desktop visits to cabelas.com

in the last 12 months came an online search that included the word "gun"

5.9%of all search terms leading

to llbean.com in Nov-Dec 2016 were related to their boots


Top Ten Outdoor & Hunting Sites



Jan - Apr 2017

Conversion Rate*

April 2017

1 rei.com 49.9M 19.2% 4.2%

2 cabelas.com 47.0M 18.1% 1.7%

3 midwayusa.com 29.9M 11.5% 3.5%

4 llbean.com 25.6M 9.9%

5 cheaperthandirt.com 19.8M 7.6%

6 sportsmansguide.com 19.4M 7.5%

7 basspro.com 19.3M 7.4%

8 backcountry.com 18.2M 7.0%

9 sierratradingpost.com 16.2M 6.2%

10 gandermountain.com 14.5M 5.6%


Source: www.cnbc.com/2017/02/18/bass-pro-shops-acquisition-of-cabelas-now-looking-shaky.html



Top Outdoor & Hunting Sites by State

Outdoor & Hunting

cabelas.com

rei.com

llbean.com

midwayusa.com



Cabelas.com enjoys the

biggest holiday season

lift, as Nov-Dec average

visits are 65% higher

than those of the rest

of the year.

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