Weekly News Digest on Digital Marketing – 06/19/20
The Digital Marketing Landscape This Week
Signs of relative normalcy have spread across much of the country. However, in many states, increases in business activity are juxtaposed with spikes in COVID-19. In some cases, this has resulted in unexpected closures and may dampen consumer enthusiasm. Through the business ebbs and flows, Adlucent continues to help its partners foresee and adapt to the changes affecting ecommerce and digital marketing. To remain up-to-date as we publish the latest news, sign up for our email newsletter.
At the onset of the pandemic, Amazon, a major driver of CPC prices in search engines, stopped bidding in the Google ad space. The lack of Amazon competition in Google ads allowed many brands to save money on advertisements, possibly offsetting some of the economic losses incurred early on. Now, Amazon has resumed bidding on Google Ads, which may necessitate a reduction in ad spend from some other companies still trying to bounce back.
Google leaders and industry experts share recent business data and insights in this weekly video series. Here, Google provides content on the latest trends and products as well as marketing strategies. The videos range in topics including pandemic response, marketing, and measurement.
Consumers (over 50%) want to receive text messages from their favorite brands. Compared to email with only an 18% open rate, about 90% or more text messages are opened – and quickly. Although some of the larger brands like Kmart market via text in various ways, like promotions, and shopping cart abandonment reminders, etc. it’s still an underutilized marketing method. Less than 30% of companies utilize text messages versus 97% that use email. Most importantly, texting is a relatively low-cost marketing channel with high ROI. Its high engagement rates make it an effective marketing tool, which can complement email marketing and traditional paid media.
Retail Dive categorized and summarized the sales information for certain categories, using data provided by the U.S. Department of Commerce. The most recent report in May showed that the retail sales went up dramatically 28.2% from April, but were still down year over year in many categories. Retail Dive also noted a general uncertainty about whether sales were driven from pent up demand or stimulus checks and therefore, whether demand would fall again.
In competition with Amazon, Walmart expanded its e-marketplace through a partnership with Shopify. The integration with Shopify’s platform will exponentially increase Walmart’s product offerings and add complementary third-party sellers. Furthermore, the collaboration eliminates competition between Walmart and Shopify and attaches credence to rumors of an acquisition.
This year, many companies and agencies are recognizing Juneteenth, some for the first time, commemorating the emancipation of slaves in the U.S. in 1865, two-and-a-half years after the Emancipation Proclamation, when the news was finally shared in Texas. While acknowledging the day is a good first step, companies must go beyond just a show of recognition and translate gestures into meaningful, ongoing action to support Black employees and commit to furthering the cause of racial justice.
The above overview highlights this week’s key news amid the changing digital marketing landscape. Visit the Adlucent website for ongoing information and updates.