Are you struggling with low conversion rates? Many brands experience this problem along the way of building their ecommerce business. However, if you can’t find a solution, your brand could be in trouble. Thankfully, there are plenty of things that you can do to increase your conversion rates. In particular, you will find that by analyzing what customer data you do have, you can make practical adjustments to your store that will help you. Your customers are what make your brand successful, and keeping this reasoning in mind, it makes sense to look at what they are doing on your site.
So, what is a good conversion rate to shoot for these days anyways? That’s a great question, but one that isn’t easy to answer. Conversions can be measured in a large variety of ways, and for that reason it isn’t as simple as providing one number that should be your goal. In fact, you can look at conversion rates across different devices (desktop vs. mobile), stemming from different locations (did a customer find you via Google, Facebook, etc.), measuring different things (did they make a purchase, sign up for a newsletter, etc.) and more. However, looking at strictly sales, the average conversion rate is around 1.5%.
If you are not hitting that mark, don’t panic just yet. Here are some strategies you can try. Keep in mind that these aren’t general recommendations for increasing conversions, but instead are tips that will have you looking at data specific to your brand. Tailoring your ecommerce business to your actual customers is one of the best ways to actually make an impact and increase conversions.
Where Do They Leave?
Say you are experiencing a lot of traffic to your site, but not a lot of conversions. Strange, right? Maybe not. What you need to do is figure out at what point your customers are leaving, and see what you can do to change that behavior. Take a look at your analytics and see what your exit rates are for each page of your website. If there is one that is much higher than others, this is likely a problem area for you.
If it is your checkout page for example, you might need to reconfigure your sales process. Are you asking for too much unnecessary information? Is your site not secure and customers don’t feel safe inputting their credit card information? Perhaps you don’t provide the information they want, such as shipping costs or your return policy. Or, maybe it is the actual policies you do have in place that are turning people away.
You might get lucky and be able to easily pinpoint your problem. However, it is usually not that clear-cut. The first step is to identify problem areas, but then you must dig deeper to find out specifically what the problems are, and how to fix them.
One way you can collect this information is via your customer service. Specifically, live chat. We’ve already discussed why live chat is so great, but this can benefit you just as much as your customers. If a customer is ready to leave your site because they can’t find what they need, you have the ability to “step in” and help them. After your conversation you either get the conversion, or you learn something valuable about your brand.
Live chat is better in many regards than other forms of customer service because it happens instantly, which is appealing to your customers. Look at your exit pages and consider placing a live chat icon there as a direct signal. Start collecting info from your customers and make changes accordingly.
What Are Your Segments?
Do you market your products to everyone? Unfortunately, it’s wishful thinking that your products can be marketed to everyone. Audience segmentation is a great way to improve conversion rates. Certain products are simply more appealing to certain groups of people. There is plenty of demographics research out there, but also take a look at your data to see who your buyers are, and how you can segment them. You may also look at other areas of your website, such as your blog, and create a segment there as well.
Once you have built these segments, you should market to them individually. This may be in the form of retargeted ads, email newsletters, push notifications, or something else. So many brands miss out on these marketing opportunities simply by ignoring their customer data.
In the above example, mattress brand Casper sent an email to a customer who had purchased from them before. With that knowledge, they sent a personalized email that contained a product suggestion that the customer would likely be interested in given their purchasing history.
2017 is all about personalization. Read any marketing industry update for the new year and you will likely find this on the list. Combining your marketing efforts with customer data is sure to pay off, and by the end of the year your conversion rates will reflect that.
Are They Abandoning Their Carts?
Finally, don’t let your brand suffer because of abandoned carts! This is an all too common occurrence with ecommerce brands. In fact, the average cart abandonment rate is right around 70%. That’s an incredibly high number, but you shouldn’t look at it as a dead end. Instead, be sure to retarget those individuals to get them to complete their sale. You know that these customers are interested in your brand and in making a purchase, but there is something causing them to hesitate. Sometimes all it takes is a final push. Consider offering them a small incentive to make their purchase, such as a discount code or a free gift with purchase.
Additionally, like in the above example, creating a sense of urgency is a great way to get your customers to complete the sale. If you know you have a limited quantity of products, or are running a sale that is about to come to an end, let your customers know so they know they have to act now. If you can recover any percentage of the abandoned carts you’re experiencing, you’re better off than you were before. As you continue to build intelligent segments, fix any trouble areas on your website, and retarget interested customers, you will see your conversion rate build. It takes time and patience, but you will see improvement.