Catalyst Update + ChannelAdvisor Same Store Sales (SSS) for February 2012
Note: This is a monthly feature published by ChannelAdvisor highlighting the Same Store Sales (SSS) across our wide range of over 3000 retailers and ~$3b in GMV. Details on the SSS including methodology and schedule can be found in January's post.
Today we are releasing February 2012 data for Marketplaces (eBay/Amazon), Search and Comparison Shopping Engines (CSE) along with supplemental data.
Catalyst 2012 Update...
Before we leap in, I wanted to give a quick reminder to readers to make sure you check out the latest and greatest content coming to our annual ChannelAdvisor Catalyst event which starts April 16 in Las Vegas.
The parts of the agenda we have released include highlights such as:
Amazon is really coming in a big way this year and in addition to my fireside chat with Amazon services leader Sebastian Gunningham they will have a ton of breakout sessions (FBA, PA, CBA, oh my!).
EBay+PayPal will be there updating you on all of their new initiatives as well.
All the big third-party marketplaces will be there also - Walmart, NewEgg, Sears, OneStopPlus, etc and we're really excited to hear from Doug Mack @ OneKingsLane on how they are generating explosive growth.
But wait... there's more.Top rated internet Wall St. analyst, Mark Mahaney, is delivering a keynote on his top ten trends on the Internet.
Our breakout sessions will have these themes:
- Auto parts - we have a conference within the conference for this rapidly growing segment
- Emerging channels including Social/mobile/local - 'nuff said
- Cross-border trade/ global expansion - Every retailer I've talked to in the last 18 months has moved up 'go global' in their priorities. We'll have some great content on this topic
- Fundamentals - Do you want to take your business to the next level? This is your track.
Finally, Author of 'The Thank You Economy" , Gary Vaynerchuk, will also be keynoting. Register soon as we are pretty much at capacity on hotel rooms which means we are well on our way to selling out.
Now back to our regularly scheduled SSS results....
When you increase a 28-day month by a day, that gives you a 3.571% increase in time to sell for the month. Since many of our SSS datapoints are in the single or double digit percentages, a 3.571% swing can really matter. Also, if the day happens to fall on a more active e-commerce day, then the impact is even more pronounced (it was a Wednesday this year). For example if the SSS were 10% when comparing normal Feb's and you then threw a leap year in there it would be (on average) 13.571% - definitely a material difference.
This brings us to our leap year dilemma - should we forget ole' Feb 29 when comparing SSS or should we include it? Well we figured since everyone loves their SSS data so much we would....provide both. That's right folks, for leap years, and leap years only, you get a two for the price of one SSS bonus! Going forward into next year we will compare against the 28 days to keep things normalized.
- Amazon - Amazon came in at a robust 59.9% y/y growth for February.
- eBay - eBay came in at 19.7%, showing very good signs of growth.
- CSE - Comparison Shopping Engines faced continued pressure, coming in at down 7.6%
- Search - Search came in at 23.2%
SSS Chart (28 day edition)
The following chart details the SSS data for February 2011 through February 2012: (click to enlarge)
- Amazon - Amazon came in at 65.8% y/y growth for February.
- eBay - eBay came in at 24.4%.
- CSE - Comparison Shopping Engines faced continued pressure, coming in at down 3.8%
- Search - Search came in at 28.5%
Note that most channels enjoyed a 4-5% lift from the extra day, so it was a disproportionately great day - I strike it up to leap year fever which had people shopping online with wild abandon.
SSS Chart (29 day edition)
The following chart details the SSS data for February 2011 through February 2012: (click to enlarge) including 2/29/12!
No matter how you slice it, the eBay (28 day) 19.7% and (29 day) 24.4% y/y growth rates are very strong data points for that marketplace - the fastest on record since December. With that in mind, we wanted to share some of the detailed metrics we have available to help shed some light on what's going on there: (these are all the 28 day versions)
- eBay auctions - down 19.5% y/y
- eBay fixed-price - up 19.7% y/y
- eBay Motors (parts and accessories) - Up 57.7%
The story we've been telling a while continues - Fixed price is growing well, auctions are doing very poorly and eBay Motors is killing it as a category. For our customers, Auctions are in the sub 20% range from a mix perspective so having less and less impact over time.
Of course, standard disclaimers apply that we have a unique mix (different than overall eBay) of categories and price formats.
Supplemental data for Search
The supplemental paid-search details are available in this table:
CPC has held relatively flat y/y and the two big changes are great growth in paid clicks and a nice bump in AOV. AOV is one of the barometers I always look at to get a real-time read on consumer confidence and this relatively big bump up I believe indicates that consumers are starting to open up their wallets further and feel better about the economy.
Based on the Jan/Feb data, the E-commerce world feels like it is setting up for a very strong Q1 and hopefully that parlays into continued strength throughout the year. I'd love to hear any questions you have or comments on how the year is going for you in comments.
SeekingAlpha disclosure - I am long Amazon and Google. eBay is an investor in ChannelAdvisor where I am CEO.