Paid search: Big variations by merchandise category

Retailers pay every time a consumer clicks on their ads on search engines, which means they must be confident a fair number of these shoppers will make a purchase. Selling items at a comfortable profit margin also makes paid search spending more attractive. The Top 1000 retailers that typically spend the least on paid search are those selling toys and hobby products, items that usually are low-cost and offer modest profit margins. Those that sell the most sell cosmetics, typically a higher-margin product, and flowers and gifts, a category in which consumers frequently are highly motivated to buy immediately.

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