New insights and ‘Advanced Targeting’ tool allows predictive targeting of lucrative market, as eBay reveals shift in shopping mind-set
London: eBay Advertising has revealed that potential home buyers can be identified by a marked shift in their purchasing habits several months before they purchase their new home.
The findings, which cross reference insights from eBay’s 19 million monthly users with Land Registry data, coincide with the launch of its Home Mover ‘Advanced Targeting’ product. They show that consumer spend in three key categories increases dramatically from three months before a property purchase.
Purchases in eBay’s Home, Furniture and DIY category rise by over five-fold (a huge 552%) during this period, while sales in the Sound & Vision and Garden & Patio categories spike by 109% and 449%, respectively.
eBay has also revealed the products that act as ‘first buying signals’ to identify home buyers early on in their new home purchase journeys. These are not always bought for the new property; for example, a spike in sales of kitchen appliances points to people kitting out existing homes to increase their chances of selling.
Three months before the average home purchase, sales of cookers, ovens and hobs on eBay.co.uk rose by over a quarter (27%), compared with the month before, and sales of fridges and freezers increased by a third (33%) over the same period. During this time frame, sales of indoor furniture also spiked by 28%, while storage solutions shot up by 25% as home purchasers prepared well in advance for their move.
Rob Bassett, Head of UK and Multinational Advertising, eBay, commented: “A home purchase is a key life stage and often triggers a change in philosophy, inspiring shoppers to buy new brands. It’s a significant milestone and is a golden opportunity for marketers – but historically it has been very difficult to pinpoint this segment and target them with the most relevant advertising at the right time.”
“Our observed insights into how people shop across categories and the huge scope of inventory we deliver mean we’re in a unique position to build a holistic view of a shopper. Consequently, we can identify whether they are likely to be purchasing a home, months before they change their address. We launched our Home Movers ‘Advanced Targeting’ product to allow brands to tap into this opportunity and engage with shoppers in the most relevant way.”
Insights from eBay Advertising also show that, while home buyers temporarily redirect spending away from non-essential items such as clothing and holiday, there is a “bounce” effect in the months following a home purchase, offering brands a chance to build new affinities with shoppers around an important touch point.
For example, two months after a home purchase, purchases by women in eBay’s Women’s Clothes, Shoes and Accessories category rose by 38%, while their spending in the Kids’ Clothes, Shoes and Accessories spiked by 52%. And four months after a home purchase, spending in the Holiday and Travel Category rose by 142%.
The home move long tail
It’s not just in the run up to a property purchase that brands have a huge opportunity to tap into high levels of spending in home-related categories. eBay Advertising’s findings demonstrate that a home move has a long-lasting effect on purchase decisions.
Women, for instance, are a powerful force in the home improvement market in the period around a home purchase. In the month before completion, their spending on electrical items increases three-fold (by 355%), while their purchases of plumbing and roofing items both jump by more than 250%.
This is followed by a significant second spike, as shoppers who have moved into their new home set their sights on more extensive improvement work. Five months after a home buy, women’s purchases of bricks and stones rose by 67% compared with the previous month, and their purchases of cabinets and cupboards increase by 86%.
Bassett continues: “If ad-blockers have taught us anything, it’s that today’s shopper is quick to opt out of an experience that feel irrelevant or poorly targeted. It’s no longer enough to blanket target huge swathes of consumers online in the hope you’ll reach a home mover, or indeed any other relevant audience: we’re in the age of precision targeting, and eBay wants to be front and centre of the movement towards hyper-relevance.
Established in 1995, today eBay is one of the largest marketplaces in the world with 158 million active buyers and 800 million listings worldwide. Our mission is to be the world’s favourite destination for discovering great value and unique selection. The eBay mobile app has been downloaded over 291 million times. Through eBay.co.uk, shoppers can access the products of over 200,000 small businesses from across the UK, and shop the items of independent sellers and big name brands. Through eBay UK’s partnership with Argos, shoppers are able to Click and Collect at around 800 UK and Northern Ireland Argos stores, with over three million parcels sent using the service since 2013.