6 Ways to Boost Your E-Commerce Conversion Rates Now
We live in a world of instant gratification where consumers want to get their product or information quickly from websites and then move onto other tasks. As an E-Commerce Marketer, this may reflect as a steady traffic flow to your site, but are those visitors converting into customers? When we discuss a visitor converting, we are talking about email signups, contacts and purchases.. In today’s article we will be sharing 6 powerful tips to increase your e-commerce conversion rates.
1. Determine your Customer Acquisition Cost.
As an E-Commerce Marketer, we are looking for ways to have effective advertising that will drive traffic to your sites, but understanding where to put your advertising dollars is just as important. As a rule of thumb it is always good to figure out your Customer Acquisition Cost (CAC). Your CAC is essentially the cost of trying to convince a potential customer to pull the trigger on your product or service. In some industries, this sales cycle is only seconds or minutes long – for others, the process from introduction to conversion can take years.
When you are figuring out your CAC, consider your total cost for marketing over the duration of your efforts. Add in any money spent toward salaries or commissions. Divide your total by the number of customers you’ve acquired during the same period.
For example: SusiesCoffeeStore.com spent $800 on marketing in May. Their marketing team put about $200 worth of labor into their marketing development and execution. During that time period, they gained 100 new customers. Their Customer Acquisition Cost would be $100 per customer.
Calculating CAC for May
$800 Ad Spend + $200 Marketing Employee Cost = $1,000 Total Marketing Costs
$1,000 Marketing Costs / 100 New Customers = $100 CAC
Why do you need to know your Customer Acquisition Cost? Consider the lifetime value of your customer. In Susie’s case, her historical data shows that her average customer spends $220 over their lifetime. She also knows that old customers generate additional income and value over time through referrals and reviews. With stiff competition in the online coffee product business, it’s important that she know whether her efforts result in long-term profitability. Should these numbers not align, she should take a strong look at where she’s investing her marketing dollars – and whether they’re being used appropriately.
2. Review your messaging with fresh eyes.
When you work on your business day in and day out, industry jargon and confusing language tend to leach into your marketing speak. For this reason, it’s critical to periodically review your marketing messaging. Conduct a focus group, formal survey or informal poll with people outside of your business. Ask them to review your core messaging and website content and to explain back to you what it is that you do and your primary value proposition.
Questions to ask your reviewers:
- What do we do?
- What’s in it for you (our potential customer or client)?
- Does our messaging answer all of your questions? If not, what do you still not know?
- Does our message/website invoke trust?
- Knowing what you know, who do you feel our audience is?
- Who do you think our top competitors would be?
3. Create customer tunnelvision with these User Experience (UX) tweaks.
Consider your prospect’s experience as a user of your website. In order to give them a positive impression of your brand, tour website should be clean and easy to navigate site, and that clearly shows what you are selling or services you are offering. A few best practices highlighted in CIO’s recent article on e-commerce UX best practices include:
- Improving website load time. 40% of buyers will abandon a site that takes more than 3 seconds to load.
- Structure your content so that it’s readable. Readers tend to enjoy bulleted and numbered lists, short sections and large subheads. (Hence the structure of this article.)
- Make it easy to find your offer or product. Grab their attention within the first three seconds and clear the way for your sale.
- Provide online chat support or virtual assistance.
- Remove unnecessary clutter from your pages that might confuse or draw the person’s attention elsewhere.
When designing a sales page or e-commerce website, you want to create tunnel vision for your prospect. Focus on what’s important and lead them to conversion.
4. Remove All Obstacles and Obstructions That May Derail a Sale
It’s of utmost importance that you get out of your own way on your website. Avoid interstitial pop ups that are hard to close. Shorten the checkout process so that the entire process from research to checkout can be completed easily. Additionally, you want to clearly address any possible objections your visitors might have shopping from you. By having your return policies and or shipping policies clearly visible, you are helping to eliminate any possible objections they may have from purchasing from your site. Also, make sure your pricing is easy to understand and clearly visible, so your visitors do not feel deceived or duped by your pricing or shipping costs. Too often customers abandon their shopping carts before ever making a purchase. One of those reasons is because the product or service wound up costing more than originally advertised, so keep your pricing and shipping easy to understand. Most consumers will tell you having your pricing clearly stated on your website is a big influential factor in their purchase decision.
5. Build a Trustworthy Brand Your Visitors Can Be Confident In
Offering a site that is trustworthy and where customers feel confident in sharing their personal information is a key to your success. With online identity theft on the rise, it is good to associate your store or brand with credible and trustworthy sites. Some examples are to get validated by groups such as the Better Business Bureau, TRUSTe, or VeriSign to boost your visitor’s confidence in your website. Finally, in today’s society where everyone uses social media to influence their buying decisions, it is a good idea to share your reviews and testimonials for your visitors. A site that offers honest, reviews and testimonials can see improved sales and bigger sense of confidence and trust for your visitors.
6. Let ReachDynamics Help You Reach Out To Those Lost Visitors/Leads
At ReachDynamics we help you convert those visitors into paying customers using both email remarketing and direct mail retargeting. Our email remarketing and direct mail retargeting tools we help you turn lost sales into solid leads. When a visitor decides to leave your site without converting into a customer, our tools allows you to follow up for a second chance to reach them. With over 300,000,000 cookies, we will help you capture AND convert your warmest prospects through follow-up emails and direct mail communications.