Being a catalyst for accelerated growth, digital marketing strategies have found a place amongst the expanding empire of online shopping.
According to technology company Miraki’s study, the 2021 Enterprise Marketplace Index, the online marketplace place grew globally by more than 80 per cent in the last quarter of 2020. This is a direct result of a shift in consumer behaviour following the COVID-19 pandemic. Fashion marketplaces including FarFetch and Mytheresa were included in this growth, with both companies profiting from the eRetail boom.
“2020 was a landmark year despite the unimaginable challenges,” says José Neves, Farfetch chairman and chief executive.
It has been 12 years since Farfetch officially launched and 2 years since its IPO. Earlier this year the eCommerce retailer achieved profitability for the first time, thanks to its digital focus and taking advantage of changed consumer behaviours. Investment in digital marketing strategies saw revenue rise to $1.7 billion, which is 64 per cent increase from the previous year.
“Covid-19 has created a huge boost for Farfetch. Online luxury demand has boomed as consumers were keen to avoid contagion, physical stores were closed, and peers were in lockdown…” wrote Bernstein analyst Luca Solca.
Going into 2021, Farfetch’s digital strategy is focused on new customer acquisition. This includes increased personalisation, changes to its loyalty program, and a partnership with celebrity stylist Karla Welch. Responding to trends and customer needs has enabled Farfetch to grow its business throughout the pandemic. Digital marketing has played a key role in launching the eCommerce brand into sustained longevity, to continue building a loyal customer base that will continue purchasing online for years to come.?
Another online fashion powerhouse that is growing through digital marketing strategies is Mytheresa. Since going public in January the eCommerce leader’s valuation skyrocketed to $3 billion on its first day of trading. Chief executive officer, Michael Kliger, said in an interview with Vogue that he expects growth to continue rising ‘20 to 25 per cent a year’
“Our profitability is a big part of the feedback from investors and why they want to invest,” says Kliger.?
MyTheresa found that 65 per cent of their net sales last year came from shoppers who had purchased from the website previously. This highlights the importance of loyalty programs and CTA techniques that digital marketing can execute for a business. Understanding the value of copy and how intentional content marketing influences buyer behaviour will lead to success.. eCommerce is based on a platform that in its nature is contingent to respond to trends. If you have an opportunity to edit and change to make your business more ‘attractive’ as Kliger says, you are heading towards sustained profitability!
Closer to home, a leader in eCommerce and online beauty retail is Mecca. Growth Manifesto quotes that Mecca describes themselves as “a high touch, high service beauty boutique supported by a curation of the world’s most luxe brands”.
It is through Mecca’s dedication to customer satisfaction and loyalty that the brand has acquired a 10 per cent market share in an extremely competitive industry. Their customer-centric focus is at the basis of their website design and layout.?
Mecca’s website is user-friendly, engaging, branded, and displays clear CTAs. As all successful eCommerce brands operate, their webpage is constantly updated to suit trends and reflect promotions. However, this is done all whilst maintaining a clear flow and navigation for consumers to follow. Mecca’s navigation bar is one of many outstanding inclusions in its web design. Sleek but full of information, once you hover over the selections is extremely helpful to direct shoppers to find what they are looking for.?
Furthermore, each product on the website has a unique copy that is SEO-friendly and informative. Mecca has invested in writers who understand their customers and therefore fulfill the requirements of effective content marketing. The writing is supported by high-quality images that showcase the product.
eCommerce businesses and online fashion retail brands are all capable of accelerating their growth through effective digital marketing strategies. In studying the leaders of this industry and recognising the trend of valuing customer loyalty above all else, we can see that SEO, content marketing, and web design are all regulated with this factor in mind.
Take control and grow your business today!