Social navigation drives 49% increase in sales at PETCO.com

September 6, 2007

About this case study

PETCO launched Ratings & Reviews with Bazaarvoice in 2005 with the goal of creating an open dialog with their loyal consumer base to increase sales. Statistical data affirms their decision was in line with consumer purchasing behaviors; Jupiter Research found that 77% of online shoppers use reviews and ratings when making their purchasing decisions. PETCO’s initial results from the implementation of Ratings & Reviews on PETCO.com were extremely positive, and led them to explore additional uses for customer generated content beyond the product page.

A partnership with Endeca allowed PETCO to integrate their ratings and reviews within various areas of site search and Guided Navigation®, including creation of a "Top Rated" products navigational category, and the ability to filter search results by "Rating."

Results

We measured the results from shoppers utilizing Endeca’s Guided Navigation capabilities with "Sort by Rating" and "Top Rated Category."

• The Top Rated Products category had a 49% higher conversion rate compared to the same products within their respective site categories.
• Within the Top Rated Products category, customers spend 63% more compared to all browsers who progressed beyond the homepage.
• "Sort by Rating" has driven 41% higher sales per unique visit and is now the #1 default sorting technique on PETCO.com.
• Overall, PETCO products with ratings and reviews have lower return rates (other case studies have shown that PETCO products with Ratings & Reviews have a 20% lower return rate than those without).

Conclusion

Providing search and Guided Navigation options built on authentic word of mouth helps shoppers make informed purchasing decisions. As online shoppers research products more diligently and rely on fellow shoppers more and more, it makes sense to help shoppers find products their peers rate most favorably.

Future plans for social navigation on PETCO.com

Additional integrations are planned to launch innovative ways to leverage customer review content on PETCO.com including:

• Search reviews for words or phrases of interest
• Navigate products using customer rating attributes
• Navigate products rated highly by "people like me"

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