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The company says the results were “unprecedented,” but it’s not the first time a service provider has found a way to make its online sales more appealing than its bricks-and-mortar sales.

Advertising is arguably the most effective way for a business to appeal to customers online, according to NPD, but it often isn’t the most convenient or useful.

Some customers don’t understand ads. Others use ad blockers, and others don’t know how to opt out.

The only way to reduce the overall sales volume online is for online sales and marketing companies to find ways to keep the conversion rates from falling even further.

“We are seeing a lot of activity in the online space that’s trying to find new and better ways to engage with customers,” said Daniel Kreit, chief technology officer for NPD’s Digital Entertainment Business Group. “This is a big deal for the whole industry because if you take the bottom out of the business, you are going to be the only game in town. You have to keep the customer engaged to stay in business.” A lot of that is because there are now so many ways to advertise online. Companies can now track the number of visits to their websites, analyze what audiences are watching the most videos, watch most ads and more. There is still a need for marketers to figure out how to convince customers to actually click on ads. “You have to have compelling marketing and this technology gives marketers the ability to do that,” Kreit said. “We still have to get the creative right, but I think this will really push the industry forward.” One of the biggest advantages the company sees to the new ad product is its ability to see how people are interacting with the products they are trying to buy. “We know what is most popular, what is the best way to drive traffic to a landing page, what is the most effective way to drive traffic to a landing page, and these metrics that you can access from our system are going to help you make decisions on what to do next,” Kreit said.


The company also sees it as the perfect opportunity to make mobile advertising more accessible to customers.