Global Commerce Review

Today’s shoppers are active on all browsing environments, they don’t stay in walled gardens, and they’re buying more on-the-go.

Key Findings.

Apps account for for retailers who invest in both mobile web and shopping apps.

Combining cross-device data lets you understand the entire shopper journey.

are preceded by a click on a mobile device.

Combining intent data lets you see more shopping dollars per shopper.

Shoppers matched on another device spend an per order.

Optimizing your app lets you connect with more of today's mobile-first shoppers.

Source: Criteo, United States, Q4 2017. Base: retail (see Methodology).

34.8% 35.5%

0%

10%

20%

30%

40%

50%

60%

Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017

Smartphone Tablet Desktop

Mobile web usage reaches maturity, and smartphone keeps growing.

Sales by Device, Q4 2016 and Q4 2017, Apps Excluded

M O B I L E G R O W T H

Q4 YoYQ4 ’16

Q4 ’17

Smartphone + TabletSmartphone + Tablet

13.2%

-1.1%

-26.5%

Source: Criteo, United States, Q4 2017. Base: retail (see Methodology).

Sporting Goods and Fashion / Luxury are the two retail subcategorieswith the highest share of mobile sales.

Share of Mobile Sales, Q4 2017, Apps Excluded

M O B I L E G R O W T H

20%

23%

28%

35%

38%

40%

44%

HIGH TECH

HOME

MASS MERCHANT

FLOWERS AND GIFTS

HEALTH / BEAUTY

FASHION / LUXURY

SPORTING GOODS

Source: Criteo, United States, Q4 2017. Base: retail, apps excluded.

Apps account

for 66% of

mobile sales.

Source: Criteo, United States, Q4 2017. Base: retailers with an app and a mobile website.

Mobile is the majority for retailers with a shopping app.

A P P O P P O R T U N I T Y

31%

46%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Q4 2016

Q4 2017

YoY Increase of the

Share of In-App

Transactions, Globally

North AmericaNorth America

Worldwide

YoY Increase

48%

Share of eCommerce Transactions by Environment

23%

44%

33%

Mobile Web

App

Desktop

In-App Share of Mobile eCommerce Transactions

34%

66%

Mobile Web

App

Source: Criteo, North America, Q4 2017.Base: left: retailers with a mobile website / right: retailers with an app and a mobile website

Source: Criteo, Worldwide, Q4 2017. Base: retail, apps included.

In most world regions, mobile now accounts for more than 50% of online transactions, and in-app sales dominate.

A P P O P P O R T U N I T Y

1

2

All retailers combined, apps excluded

Retailers who generate transactions on all environments

Mobile Web

App

Desktop

Middle East & Africa

Latin America

North America

Europe

1 2

1 2

1 2

1 2

APAC

1 2

Source: Criteo, Q4 2017. Base: left: all retailers, excluding apps / right: retailers with an app and a mobile website.

In North America, retailers with a shopping app now generate 67% of their sales on mobile devices.

A P P O P P O R T U N I T Y

North America

Mobile WebApp Desktop

36%

65%

Share of Transactions

Excluding Apps

All retailers

23%

44%

33%

Share of Online

Transactions by Device

Committed retailers

Source: Criteo, North America, Q4 2017. Base: left: all retailers, excluding apps / right: retailers with an app and a mobile website. .

In North America, the conversion rate on shopping apps is more than 3 times higher than on mobile web.

Shopping apps generate higher conversion rates.

x3

A P P O P P O R T U N I T Y

Source: Criteo, North America, Q4 2017. Base: retailers with an app and a mobile website. Conversion rate = buyers / product page viewers.

6%Mobile Web

21%App

Conversion Rate

Night

(0-5)

Early Morning (6-8)

Morning

(9-12)

Afternoon

(13-17)

Early Evening (18-20)

Evening

(21-23) Mon. Tues. Wed. Thurs. Fri. Sat. Sun.

US Sales by Device Type and Hour of the Day US Sales by Device Type and Day of the Week

Desktop usage dominates working hours, while mobile wins nights and weekends.

S H O P P I N G M O M E N T S

TabletSmartphone Desktop

100

120

140

100

120

140

Source: Criteo, United States, Q4 2017. Base: index, 100 = daily average. Retailers, excluding apps.

Combining cross-device data lets you

understand the winding shopper journey.

C O M B I N I N G D A T A

26% of all desktop transactions in the US are preceded by a click on a mobile device.

26% click on a mobile device.

click on another desktop.

of post-click desktop transactions come from another device.

41%

15%

Source: Criteo, United States, Q4 2017. Base: all retailers.

Retailers with low mobile sales get more cross-

device transactions.

C O M B I N I N G D A T A

Share of cross-device transactions* by prevalence of mobile sales

30%

34% Low share of mobile sales (lower quartile)

Advertiser takeaway: Combining cross-device data helps make up for a below-average share of sales on mobile

+13%

Strong share of mobile sales (upper quartile)

Source: Criteo, Worldwide, Q4 2017. Base: retail, post-click transactions, all devices combined, *Share of transactions preceded by at least one click on a different device than the one used for purchasing.

134

113

111

111

108

103

101

Average order values are significantly higher for matched shoppers: +17% on average.

Combining intent lets you see more shopping dollars per shopper.

C O M B I N I N G D A T A

Fashion / Luxury

Health / Beauty

Computing / High Tech

Mass Merchant

Culture / Media / Tickets

Sporting Goods

Flowers & Gifts

Source: Criteo, United States, Q4 2017. Base: all retailers, Average order value for matched shoppers by retail category, for every $100 spent by unmatched shoppers.

Offline sales boost shopper knowledge - and online results.

O M N I C H A N N E L M A T T E R S

Omnichannel retailers that can combine their offline and online data can apply over four times as much sales data to optimize their marketing efforts.

$29

$29S A L E

Source: Criteo, United States, Q4 2017. Base: retailers combining online and offline sales data.

Omnichannel customers generate the highest lifetime value.

O M N I C H A N N E L M A T T E R S

7%

44%

49%

Omnichannel customers Online only customers Offline only customers

Omnichannel customers generate 27% of all sales, despite representing only 7% of all customers.

27%

24%

49%

Omnichannel customers Online only customers Offline only customers

Share of Customers Share of Sales

Source: Criteo, Worldwide, November 2017. Base: retailers combining online and offline sales data.

For the latest on how shoppers are browsing and buying

around the globe, check out our interactive world map.

Methodology

Individual browsing and purchasing data from over 5,000 retailers, in more than 80 countries.

Q4 2017

About Criteo

To learn more about how the Criteo Commerce Marketing Ecosystem drives sales and profits for

thousands of brands, retailers, and publishers worldwide, visit criteo.com/about