Brands are spending more on digital ads, but web traffic and conversions are still declining

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 |  
Feb 2024
 |  
WWD
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What: Despite increased spending on digital advertisements, a Contentsquare 2024 report indicates a decrease in website traffic and conversions, with mobile apps emerging as a more effective platform for engagement and sales.

Why it is important: This trend underscores the challenges brands face in optimising their digital strategies to meet consumer expectations, especially on mobile web platforms. The report highlights the need for improved mobile web optimisation to bridge the gap between consumer behaviour and current practices.

Contentsquare's 2024 benchmark report reveals a concerning trend for digital marketers: while digital ad spending is expected to exceed USD 740 billion, website traffic, consumption, and conversions are on the decline. This discrepancy points to a significant gap in mobile web optimisation, as mobile drives 70 per cent of website traffic but results in shorter browsing times and lower conversion rates compared to desktop. The report emphasises the importance of addressing "micro-visits" and avoidable friction, such as slow page loads and rage clicks, to enhance user experience and conversion rates.

On a positive note, mobile apps show promising engagement and conversion rates, with users spending significantly more time in-app and experiencing a three times higher conversion rate than mobile web traffic. This success highlights the potential of mobile apps as a key platform for digital commerce, urging brands to focus on optimising their mobile strategies.

Jean-Christophe Pitié, chief marketing and partnerships officer at Contentsquare, stresses the importance of making every website visit count, especially in light of rising costs per visit and the critical role of mobile in the digital landscape. Dimitri Arts, vice president of digital commerce for EMEA at Ralph Lauren, shares insights on addressing customer frustrations and the continuous need for optimisation to improve digital performance.


Brands are spending more on digital ads, but web traffic and conversions are still declining