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Conversion Rates; Ad Spending; Tipsy Shopping

The numbers you need to know today

UGC Boosts Buys: Yotpo, a user-generated content (UGC) marketing platform, analyzed how UGC affects conversion rates by product category. The average overall conversion rate for the six categories studied was 2.16%. Adding UGC, like photos uploaded by customers, grew conversions to 5.65%. The biggest lift was experienced by food, beverage and tobacco brands, from a baseline rate of 3.04% to 9.19% with UGC, while the smallest bump was felt by electronics. Without UGC, the conversion rate in that category was 2.62%, vs. 4.73% with. 

Google Dominates Search Ad Spend: According to a Q1 2018 report from Adthena, 76.4% of US retail search ad spending is on Google Shopping ads, aka Product Listing Ads (PLAs), accounting for 85.3% of all clicks. Google Shopping ad outlays are also nearly equal across channels. Spending on mobile PLAs accounts for 38.5% of overall retail search budgets, while 37.8% is spent on desktop PLAs. A vast majority of clicks (76.4%) are coming from nonbranded search terms. 

Shopping Under the Influence: Almost half (46%) of US consumers who drink alcohol on a regular basis admit to making a purchase while drunk, according to comparison site finder. This accounts for $30.43 billion in spending, or $447.57 per person—way up from the $206 reported last year. Not surprisingly, food is the most common purchase (60.8%) followed by apparel or shoes (25.1%). Millennials beat other generations for likeliness to engage in this behavior, but Gen X spends the most.