Monetate influenced more than a third of all ecommerce dollars spent online (north of $51 billon) during Q4 2014. We analyzed the results and found that the top performers used Monetate to personalize the customer experience. Read Monetate’s EQ4 report to find out how the nation’s top retailers leveraged traffic from Pinterest, reduced bounce rates, targeted promotions, and more.

1. Ecommerce Quarterly
EQ4 2014:
The Gift of Personalization
4
a publication from

2. About the EQ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
The Gift of Personalization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Bounce Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Add-to-Cart Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Cart-Abandonment Rate. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Conversion Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
Benchmarks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
About Monetate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
EQ4 2014

3. About the EQ
As ecommerce companies look for ways to increase customer
engagement and sales in a highly competitive online environment, they’re
faced with challenges centered on massive amounts of data. This big data
conundrum goes beyond the collection and storage of information about
customers and prospects.
Using a combination of historical and real-time data allows ecommerce
marketers to glean meaningful insights that result in more relevant
shopping experiences that drive loyal customers who share their
experiences with others. Ecommerce businesses that tackle big data head-
on focus their attention on different customer segments that continue to
be explored in every release of the Ecommerce Quarterly (EQ):
• Predefined: New versus returning; referring
traffic sources; technographics; geography.
• Custom or Proprietary: Demographics;
proximity to location.
• On-Site Behavior: Shopping cart activity;
brand or category affinity.
• Behaviors Across the Web: Browsing and purchase
patterns demonstrated on third-party websites.
The EQ also includes Takeaways, ideas and best practices used by leading
ecommerce websites, based on insights gained from the more than
seven billion online shopping sessions that contribute to the analysis and
benchmark reports found in every release.
EQ4 2014
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4. The Gift of Personalization
Ah, the holidays.
No other stretch of an ecommerce company’s calendar is as filled with
elevated expectations, the pressure to meet them and the stress of
determining how to do so. If you’re able to beat all three, you might even be
willing to call that five or so weeks between Thanksgiving and New Years
the “most wonderful time of the year.”
Luckily, for many of those in ecommerce, the 2014 Holiday season allowed
for just that.
While retailers battled through declining Thanksgiving-weekend sales
numbers and a disappointing December before posting a 4% year-over-
year growth margin, ecommerce saw no signs of sluggishness. The industry
experienced year-over-year growth of 7.7%, according to the National Retail
Federation.
Though these types of numbers tell a promising story and can help you
benchmark yourself against others in the industry, they don’t tell the
whole story.
Which is why, for this EQ, we analyzed data from more than 175 of our
customers to find out who helped lead online retailers to more than $51
billion in revenue—and how they did it.
The “how” behind those growth numbers can be attributed to one thing:
personalization.
Those companies who differentiated online experiences for their customers
based on attributes such as real-time behavior, historical purchase data,
referring traffic sources and geography were consistently top performers
when it came to key metrics. Inside, we’ll look at how they outperformed the
average in four areas:
• Bounce Rate
• Add-to-Cart Rate
• Cart Abandonment Rate
• Conversion Rate
Monetate customers were responsible for more than one-third of all
ecommerce dollars spent online during Holiday 2014, meaning this EQ offers
a comprehensive look at the what drove this year’s success.
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EQ4 2014

5. Bounce Rate
The Holiday season may rightly be associated with inflated add-to-cart
and conversion rates when compared to the remainder of the year, but
that doesn’t mean online retailers don’t still face the challenge of meeting
a customer’s immediate expectations.
This year during the fourth quarter, for instance, retailers were hardly able
to stem what has become a slow creep in bounce rate.
Year over year, bounce rates have increased from an average of 29.45
percent in Q4 2013 to an average of 30.2 percent in Q4 2014 (with a
five-quarter high coming in Q3 2014 at 30.94 percent). And with initial
impressions being the most important to keeping a customer on your site,
it’s a metric marketers need to know—and know how to improve.
Q4 2014: Bounce Rate Top Performers vs. Industry Average
• Top Performers: 19.94%
• Industry Average: 30.2%
A Closer Look at... Beating Bounce Rate
Of those ecommerce companies who outperformed the industry average,
two stood out for keeping customers on their site.
• A consumer telecommunications brand not only targeted returning
visitors with message-to-site consistency through homepage banners
and other tactics (for both direct and email-driven traffic), it also targeted
new visitors who made it to the site through a specific search ad. The
campaigns, which focused on making sure a visitor’s expressed interest
was reflected on their landing page, had bounce rates as low as 4 percent.
• An apparel and home goods catalog company whose fans and
followers have added many of its products and images to Pinterest
found a way to overcome the normally high bounce rates (upwards
of 60 percent) that come with the traffic being referred by the
social scrapbooking site. Its solution? A banner promoting a one-
time offer of 10 percent off the Pinterest visitor’s purchase. The
campaign dropped bounce rates from Pinterest to 29 percent.
Quarter Bounce Rate
Q4 2013 29.45%
Q1 2014 29.83%
Q2 2014 30.28%
Q3 2014 30.94%
Q4 2014 30.20%
EQ4 2014
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6. Add-to-Cart Rate
Add-to-Cart rates were higher in Q4 2014 than any other quarter in this
EQ’s look-back period.
At 8.35 percent, those rates far outpaced every other quarter, including
Q4 2013, which posted an add-to-cart rate of 7.99 percent. The increase
was a 5 percent lift — a significant increase, considering the more than 2.3
billion sessions analyzed for the EQ.
Q4 2014: Add-to-Cart Rate Top Performers vs. Industry Average
• Top Performers: 20.36%
• Industry Average: 8.35%
If the industry average is that good, you’re probably asking, how much
better could the top 10 percent be?
The answer: A lot.
Those brands that aced the add-to-cart process had an average add-to-
cart rate of 20.36 percent. They made the act of getting a customer to
add an item to their cart look easy by targeting their customers based
on proprietary segments, customer databased information, and devices
being used, along with other data.
Quarter Add-to-Cart Rate
Q4 2013 7.99%
Q1 2014 7.53%
Q2 2014 7.10%
Q3 2014 7.06%
Q4 2014 8.35%
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EQ4 2014

7. A Closer Look at... Acing Add-to-Cart Rate
While top performers were consistent in their approach to targeting
their customers, their tactics were varied. Here are two that truly stuck out:
• A lifestyle apparel brand reengaged “dormant” shoppers
on the final two days leading up to the Christmas shipping
deadline by serving them lightboxes with free shipping codes.
The brand used Monetate’s time-on-site counter to measure
each customer’s length of stay and triggered the lightbox at a
specific time. The result was a 68 percent add-to-cart rate.
• A women’s apparel company used a tiered promotional strategy on
its product detail pages to offer discounts to certain shoppers. Run
across multiple campaigns, the approach allowed the retailer to not
offer the deals to every shopper (something that helped protect its
brand), gain additional data on which promotional rate was most
effective at converting customers, and drive conversions. All three
aspects were big wins, with an average add-to-cart rate of 27 percent.
EQ4 2014
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8. Cart-Abandonment Rate
Even after getting a customer to stick around a site and even after getting
a customer to add something to their cart, marketers still need to crack a
final code: the abandoned cart.
During the holiday season, of course, it’s a little easier than at other points
during the year. But it’s still an uphill battle.
Though abandoned cart rates drop fairly significantly during the holiday
season, the majority of customers still don’t actually complete a purchase.
In fact, in Q4 2014, abandoned cart rates were at their lowest rate (65.98
percent) in the last five quarters. That’s still pretty high. Especially when
compared with the top performers Monetate identified in its data.
Q4 2014: Cart-Abandonment Rate Top Performers vs.
Industry Average
• Top Performers: 43.65%
• Industry Average: 69.98%
Those brands that cracked the cart-abandonment code had an average
cart-abandonment rate of 43.65 percent. What got them there wasn’t just
promos and free shipping reminders, though that certainly helped.
Quarter Cart-Abandonment Rate
Q4 2013 66.01%
Q1 2014 69.80%
Q2 2014 68.90%
Q3 2014 69.23%
Q4 2014 65.98%
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EQ4 2014

9. Those brands that excelled at getting customers to make their purchase,
instead of just dream about it, used a mix of on-page refinements, user-
experience improvements and device-specific checkout pages. Here are some
of our favorites:
• After refining its checkout page with estimated delivery dates and
free shipping messaging, and implementing one-page checkout
for repeat customers, a men’s clothing company also saved deals
by promoting an expedited shipping discount to customers who
didn’t live near one of its brick-and-mortar stores and who were
outside the standard Christmas delivery deadline. The combined
efforts gave the brand a 48.84 percent cart abandonment rate.
• Having previously learned that its tablet customers behaved
differently on checkout than desktop customers, a sporting
goods retailer targeted those customers using tablets to finalize
their purchases and served them a less distracting checkout
page. Among those items the retailer eliminated were the
footer, online chat, and social media links. The checkout page
changes led to a 23.3 percent cart abandonment rate.
A Closer Look at... Cracking the Code
on Cart-Abandonment Rate
EQ4 2014
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10. Conversion Rate
The end game here, of course, is the conversion.
And for the ecommerce world, the end game was strong in Q4 2014.
Conversion rates were 2.84 percent—again, the highest in the last five
quarters analyzed. But, again, the top performers for the metric far
outpaced the average.
Conversion Rate Top Performers vs. Industry Average
• Top Performers: 6.44%
• Industry Average: 2.84%
While some of the top performers for conversion rates are, predictably,
the same as those who cracked the code on cart-abandonment, many are
not. And much like the brands are different, the tactics are different, too.
Quarter Conversion Rate
Q4 2013 2.72%
Q1 2014 2.27%
Q2 2014 2.21%
Q3 2014 2.17%
Q4 2014 2.84%
A Closer Look at...
Optimizing Conversion Rates
• A luxury clothing brand opted to boost conversion rates
during the fourth quarter by turning to friendly faces.
Using email, the brand drove existing customers to its site
with a “VIP” message and promotion, then carried over
that message to the site. And it didn’t just do that on the
landing page. It used a promotional banner to remind the
visitor of the VIP promotion on every page the person
visited. The result? A 6.67 percent conversion rate.
• One of the country’s largest direct-to-consumer
stationery sites used a roughly two-month long
campaign to capitalize on the impending new year and
the fandom of some of the NFL’s most frenzied cities.
In its effort to sell more NFL-related calendars and
merchandise, the site targeted customers in specific
media markets who had searched for a NFL-related term
and served them products related to their hometown
team. The campaign was a complete win, with an
average conversion rate of 13.1 percent. (The highest
converting market, if you’re wondering, was Denver.)
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EQ4 2014

11. Benchmark Reports
Website Visits by Device Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Traditional 72.19% 71.29% 68.73% 66.67% 64.58%
Tablet 15.12% 15.52% 14.29% 14.94% 15.79%
Smartphone 12.40% 12.81% 16.58% 17.90% 18.91%
Traditional 71.83% 71.56% 69.75% 67.74% 65.22%
Tablet 15.16% 15.34% 13.99% 14.74% 15.75%
Smartphone 12.69% 12.69% 15.80% 16.99% 18.20%
Traditional 58.12% 52.03% 47.19% 45.30% 47.44%
Tablet 24.48% 25.55% 24.93% 25.42% 30.57%
Smartphone 17.18% 22.14% 27.58% 28.92% 24.95%
USGLOBALGB
EQ4 2014
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12. GLOBAL
Website Visits by Platform Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Android 6.51% 7.15% 8.51% 9.52% 10.41%
Chrome OS 0.24% 0.30% 0.32% 0.38% 0.49%
Linux 0.80% 0.94% 0.90% 1.16% 1.36%
Macintosh 13.44% 13.58% 12.73% 12.96% 12.39%
Windows 57.86% 56.61% 54.90% 52.41% 50.66%
Windows Phone 0.17% 0.19% 0.22% 0.24% 0.24%
iOS 20.67% 20.85% 22.04% 23.02% 24.01%
GLOBAL
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EQ4 2014

13. Conversion Rates by Device Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Traditional 3.03% 2.54% 2.54% 2.56% 3.41%
Tablet 2.59% 2.13% 2.28% 2.20% 2.86%
Smartphone 1.06% 0.98% 0.77% 0.70% 0.92%
Traditional 3.34% 2.77% 2.80% 2.82% 3.78%
Tablet 2.79% 2.28% 2.50% 2.40% 3.11%
Smartphone 1.14% 1.05% 0.86% 0.77% 1.00%
Traditional 2.73% 2.57% 2.49% 2.40% 2.88%
Tablet 2.62% 2.42% 2.33% 2.21% 2.74%
Smartphone 0.92% 0.98% 0.74% 0.75% 1.06%
USGLOBALGBGLOBAL
Conversion Rates Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Global 2.72% 2.27% 2.21% 2.17% 2.84%
US 2.97% 2.47% 2.45% 2.40% 3.15%
GB 2.39% 2.18% 1.97% 1.87% 2.39%
EQ4 2014
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14. Conversion Rates by Platform Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Android 1.10% 1.03% 0.87% 0.90% 1.21%
Chrome OS 2.39% 1.99% 1.62% 2.03% 2.54%
Linux 0.78% 0.62% 0.57% 0.47% 0.52%
Macintosh 3.21% 2.70% 2.92% 2.86% 3.95%
Windows 2.14% 1.43% 1.38% 1.33% 2.43%
Windows Phone 0.73% 0.76% 0.59% 0.55% 0.66%
iOS 2.17% 1.82% 1.71% 1.59% 2.07%
GLOBAL
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EQ4 2014

15. Add to Cart Rates by Device Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Traditional 8.35% 7.83% 7.54% 7.69% 9.26%
Tablet 8.43% 7.89% 8.06% 7.90% 9.05%
Smartphone 5.41% 5.47% 4.45% 4.01% 4.72%
Traditional 8.86% 8.32% 8.02% 8.19% 9.93%
Tablet 8.84% 8.36% 8.58% 8.33% 9.59%
Smartphone 5.63% 5.80% 4.79% 4.15% 4.89%
Traditional 6.51% 6.05% 6.13% 6.02% 6.74%
Tablet 6.69% 6.04% 6.25% 6.31% 7.01%
Smartphone 3.01% 2.86% 2.50% 2.92% 3.56%
OVERALL
Add to Cart Rates Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Global 7.17% 8.82% 8.48% 8.13% 7.86%
US 8.44% 8.00% 7.58% 7.51% 8.93%
GB 5.95% 5.34% 5.16% 5.20% 6.02%
USGLOBALGB
EQ4 2014
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16. Add to Cart Rates by Platform Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Android 5.14% 5.17% 4.41% 4.31% 5.30%
Chrome OS 8.03% 7.86% 7.22% 7.75% 8.58%
Linux 6.97% 6.20% 4.96% 3.06% 2.37%
Macintosh 9.29% 8.87% 9.12% 9.19% 11.37%
Windows 5.78% 4.31% 4.02% 3.91% 5.89%
Windows Phone 3.63% 3.83% 3.11% 3.20% 3.87%
iOS 7.73% 7.39% 6.81% 6.42% 7.32%
GLOBAL
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EQ4 2014

17. Average Page Views Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Global 8.29 8.14 8.21 8.38 9.44
US 8.21 8.06 8.23 8.48 9.54
GB 8.46 9.10 9.15 8.64 9.42
Average Page Views by Device Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Traditional 8.88 8.66 8.88 9.11 10.12
Tablet 8.46 8.52 9.02 9.33 10.04
Smartphone 4.60 4.81 4.71 4.87 6.71
Traditional 8.82 8.59 8.91 9.20 10.29
Tablet 8.32 8.30 8.84 9.28 10.04
Smartphone 4.66 4.80 4.69 4.90 6.49
Traditional 9.28 9.77 10.07 9.50 9.68
Tablet 9.56 10.82 11.19 10.45 11.02
Smartphone 4.11 5.54 5.72 5.67 7.17
USGLOBALGB
EQ4 2014
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18. Average Page Views by Platform Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Android 5.79 6.04 5.80 6.20 7.89
Chrome OS 8.90 9.18 9.34 9.82 7.89
Linux 4.65 4.33 4.83 5.37 4.17
Macintosh 9.04 9.00 9.55 9.75 11.21
Windows 6.32 4.90 4.88 4.77 6.60
Windows Phone 5.40 5.51 5.30 5.36 6.66
iOS 7.03 7.13 7.07 7.20 8.38
GLOBAL
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EQ4 2014

19. Average Order Value by Traffic Source Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Email $134.25 $181.69 $177.12 $204.22 $172.99
Null (direct navigation) $146.72 $143.56 $148.72 $142.87 $123.84
Search $135.48 $137.29 $138.65 $137.50 $114.84
Social $115.49 $114.71 $117.11 $118.04 $100.97
Unknown $112.08 $87.07 $94.62 $124.83 $156.44
Average Order Value by Device Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Traditional $143.44 $144.10 $149.31 $146.37 $126.26
Tablet $140.21 $131.55 $133.48 $125.79 $94.80
Smartphone $137.57 $149.74 $140.38 $138.18 $112.37
Traditional $142.45 $142.26 $149.43 $145.14 $127.28
Tablet $120.96 $112.36 $113.94 $99.95 $80.69
Smartphone $139.73 $126.38 $131.47 $120.00 $113.10
Traditional $167.93 $242.53 $210.41 $257.64 $155.03
Tablet $515.49 $658.46 $524.70 $658.08 $345.92
Smartphone $142.73 $194.15 $164.16 $201.03 $118.06
USGLOBALSOURCEGB
EQ4 2014
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20. Average Order Value by Platform Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Android $124.22 $122.96 $117.15 $108.99 $85.91
Chrome OS $126.25 $121.48 $121.95 $121.19 $102.15
Linux $131.63 $128.39 $149.01 $142.03 $94.03
Macintosh $157.97 $152.22 $159.65 $155.31 $136.99
Windows $94.35 $90.95 $95.30 $118.16 $79.90
Windows Phone $137.14 $138.75 $125.63 $140.89 $93.24
iOS $142.04 $139.07 $139.05 $133.96 $113.23
GLOBAL
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EQ4 2014

21. Average Order Value by US State Q4 2014
Armed Forces - America $120.09
Armed Forces - Europe $162.38
Alaska $148.09
Alabama $111.44
Armed Forces - Pacific $155.00
Arkansas $116.03
Arizona $116.25
California $128.46
Colorado $123.70
Connecticut $122.36
District of Columbia $135.70
Delaware $132.62
Florida $123.04
Georgia $121.16
Hawaii $132.68
Iowa $115.85
Idaho $119.26
Illinois $121.49
Indiana $110.00
Kansas $114.60
Kentucky $112.44
Louisiana $118.68
Massachusetts $125.37
Maryland $119.11
Maine $107.81
Michigan $117.87
Minnesota $128.04
Average Order Value by US State Q4 2014
Missouri $112.86
Mississippi $110.88
Montana $117.75
North Carolina $113.75
North Dakota $135.71
Nebraska $117.01
New Hampshire $122.71
New Jersey $127.76
New Mexico $120.08
Nevada $125.21
New York $135.64
Ohio $114.34
Oklahoma $121.40
Oregon $126.37
Pennsylvania $107.57
Rhode Island $116.58
South Carolina $111.98
South Dakota $117.51
Tennessee $112.05
Texas $131.37
Utah $126.42
Virginia $116.87
Vermont $111.68
Washington $125.85
Wisconsin $119.31
West Virginia $106.76
Wyoming $120.77
EQ4 2014
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22. Browser Market Share Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014
Chrome 29.51% 28.54% 27.49% 25.37% 22.89%
Firefox 24.98% 25.84% 26.94% 28.64% 31.19%
IE 12.53% 11.61% 11.50% 10.99% 10.98%
Safari 31.02% 32.18% 32.52% 33.13% 32.90%
GLOBALUSUK
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EQ4 2014

23. About Monetate
Monetate is the global leader in multichannel personalization for the
world’s best brands. The Monetate platform is built for speed. It features
an easy-to-use interface that allows marketers to create, test, and deploy
customized real-time experiences across web, email, and mobile.
With Monetate, marketing is transformed from a world of discrete one-
size-fits-all campaigns to one of always-on, personalized experiences that
optimize the lifetime value of each customer.
Founded in 2008, Monetate influences billions of dollars in annual revenue
for world-class brands like Macy’s, QVC, Office Depot, Patagonia, Sur la
Table, and The North Face. During Cyber Week 2014, Monetate influenced
a third of all US e-commerce sales. Monetate is the industry leader, with
more clients in the IR 500 than any other company.
EQ4 2014
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24. For all media inquiries, questions, and feedback regarding the information
in this report, or to obtain copies of previous releases of the EQ, contact:
Matt Helmke
Sr. Director of Branding & Buzz
(215) 987-4441
mhelmke@monetate.com
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EQ4 2014

25. Expert Personalization Resources
Valuable case studies, eBooks, white papers, webinars & infographics
monetate.com/resources
Request a Demo
Call 877-MONETATE (US) | +44 207 099 2101 (EMEA) | 484-323-6313 (everywhere else)
demo.monetate.com
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