The latest research from Constructor spotlights the significant impact of the search function on e-commerce revenue. Based on an analysis of 609 million searches from 113 global retail sites (that generate $9.8 billion in revenue), the report underscored that although search users make up only 24 percent of e-commerce traffic, they contribute to 44 percent of total site revenue.
Moreover, these search users are also more likely to add items to their cart and have a higher conversion rate — 2.5 times that of non-search users.
Researchers at the company broke down results based on categories and found that the effectiveness of search varies across retail sectors. For instance, in the health and beauty sector, search users not only comprise 25 percent of traffic, but also drive 55 percent of cart activity and 57 percent of revenue. Apparel, general merchandise, home, and specialty and hobby sectors show similar trends where search users drive a disproportionate share of sales compared to their percentage of total traffic.
“Search behavior and prevalence vary across retail sectors,” the report’s authors said. “For example, general merchandise retailers — whose vast catalogs often contain millions of items — see higher search engagement, as customers navigate the extensive selection. Across all areas of retail, though, searchers consistently drive a disproportionate share of sales.”
The overall results suggest that consumers intentionally searching for a product are further down the purchase path than other shoppers.
Constructor’s chief executive officer, Eli Finkelshteyn, stressed the importance of moving beyond merely relevant search results to delivering “attractive” results that closely match individual shopper preferences and intentions. The CEO said this approach significantly enhances the likelihood of conversion, with data showing double the click-through rates for highly optimized search results and a near 4 percent increase in click-through rates for every one-point increase in attractiveness.
“Returning results that are relevant to the query is just the beginning — the real goal is connecting people to what they actually want to buy,” Finkelshteyn explained. “Let’s say two shoppers go to a site and search for ‘men’s jeans.’ Chances are, though, they’re not looking for the same thing. Yet traditional keyword-based engines don’t distinguish. They match the word ‘jeans’ and deem all types relevant — putting the burden on the shopper to wade through.
“But by prioritizing attractiveness, retailers can show each person the jeans most likely to appeal to them,” Finkelshteyn said. “Maybe one person prefers slim fit, dark-wash, premium brands — so those in their size rise to the top of results. Doing this is a win-win: Shoppers have a better experience and find what they want faster, and retailers are more likely to make a sale.”
The lesson here for e-commerce businesses is that prioritizing an engaging, relevant and a more personalized search experience can substantially increase conversion rates and overall site revenue. The study advocates for an advanced understanding and application of search functionality that aligns with consumer desires and behaviors, moving beyond traditional keyword matching to a more nuanced and effective targeting strategy.
