Last updated on June 29th, 2023
Retail eCommerce is a rapidly growing industry, with a projected 43% growth in the next four years alone. However, the competition is fiercer than ever for eCommerce marketers. In this blog, we will study some practical strategies that the world’s top eCommerce stores and eCommerce marketing services employ to maximize their revenue and stay ahead in the game.
What is Conversion Rate?
The ability to convert visitors into customers is fundamental for the growth potential of any eCommerce store. Consider two stores, Store A and Store B. Store A converts 1% of its visitors into customers, while Store B converts 3%. Store B generates three times as many new customers as Store A with the same traffic, making it more profitable and allowing for faster growth.
Conversion Rate Optimization Techniques
Effective Use of Offers
Offers can be a powerful way to incentivize purchases. Pop-ups are the most effective way to use offers, and eCommerce marketing services often use them to boost sales. They are proven to work, despite their polarizing nature.
Email Sign-up Incentive
The email sign-up incentive plays a significant role in eCommerce marketing. As soon as the page loads, it captures the visitor’s attention and email address. It opens the door for follow-up emails, cart abandonment sequences, and personalized marketing campaigns. If the customer doesn’t proceed with making a purchase, the eCommerce store has the advantage of obtaining their email address, allowing them to initiate follow-up communication.
Countdowns
Countdowns play a valuable role in boosting customer conversion rates for eCommerce stores. Countdowns motivate customers to take immediate action by creating a sense of urgency. eCommerce marketing services leverage the psychological principle of scarcity, making customers feel that they might miss out on a special offer or limited-time deal. The time-sensitive nature of countdowns compels customers to prioritize their purchases and overcome hesitation.
Benefit Bars
Benefit bars are a helpful tool for increasing conversion rates used by various eCommerce marketing services. These bars serve as attention-grabbing elements that highlight a product or service’s key benefits or value propositions. By prominently displaying the advantages, benefit bars quickly communicate the value customers can expect, enticing them to take action. It helps customers understand the benefits without reading lengthy product descriptions, saving them time and effort. By showcasing the value upfront, benefit bars create a positive first impression and build trust, which can lead to increased conversion rates.
Additionally, benefit bars can be personalized and tailored to specific customer segments. It can enhance their effectiveness in driving conversions.
Caution with Offers
One must exercise caution when using discounts and offers as a marketing strategy. eCommerce marketing services will tell you that relying too heavily on deals can create a situation where customers only respond to discounted prices. This results in undermining the perceived value of your products or services.
It is crucial to strike a balance between occasional promotions and maintaining the perceived value of your offerings. It ensures that customers recognize and appreciate the quality and benefits beyond just the discounted price.
Optimizing Average Order Value (AOV)
Increasing the amount customers spend in each transaction can significantly impact revenue. Upsells and cross-sells are effective strategies used by eCommerce marketing services to boost AOV.
Bundling Products
eCommerce marketing services often present products that complement each other or meet a specific customer need. It can create a more enticing and convenient shopping experience. This approach encourages customers to spend more and enhances customer satisfaction by addressing multiple requirements in a single transaction.
It’s essential for businesses and eCommerce marketing services to carefully curate the bundled offerings to ensure they provide genuine value and meet customers’ expectations. Transparent pricing, clear communication of the benefits, and aligning the bundled products with customer preferences are crucial factors for the success of this strategy.
Tieredย Schemes
The tiered scheme incentivizes customers to ascend through its levels by offering exclusive unlocks and increasing discounts. This design taps into customers’ desire for progression and the sense of achievement associated with reaching higher tiers. This strategy used by eCommerce marketing services can foster customer loyalty and increase overall sales. It leverages customers’ natural inclination to seek rewards and advancements.
Enhancing Customer Lifetime Value (CLV)
Selling more frequently to existing customers increases their lifetime value. Investing in long-term loyalty schemes is a valuable strategy to foster a sense of investment and loyalty among customers. By offering rewards, exclusive perks, and personalized experiences, businesses can create a strong emotional connection and build trust with their customer base.
By continuously nurturing and evolving these loyalty schemes, eCommerce marketing services can cultivate a community of loyal customers who actively engage with the brand and contribute to its long-term success.
Subscription Programs
Offering a subscription service for products or services encourages customers to make regular purchases. eCommerce marketing services try to get customers to subscribe as they become repeat buyers, ensuring consistent revenue for the business.
Tiered Discounts and Loyalty Programs
Implementing tiered discount systems or loyalty programs incentivizes customers to make greater or more frequent purchases to unlock higher discounts or exclusive benefits. This approach encourages customers to increase their order value and frequency to gain advantages.
Exclusive Membership Programs
By offering exclusive membership programs, businesses can provide additional benefits, such as free shipping, early access to sales, or personalized recommendations. These programs made by eCommerce marketing services make customers feel valued and create a sense of belonging, encouraging them to shop more frequently and spend more.
Customer Retention with Free Delivery
Customers who experience free delivery’s convenience and cost-saving benefits are more likely to become repeat customers. eCommerce marketing services consistently use free delivery to foster customer loyalty and encourage them to choose your business over competitors for future purchases.
User Journey: Searchers and Browsers
Searchers
These are customers who know exactly what they want. To cater to them effectively:
- Provide clearly labeled categories: Make it easy for searchers to find what they’re looking for by clearly labeling and organizing categories on your website or platform.
- Smaller number of categories: Avoid overwhelming searchers with many categories. Keep the number of categories manageable and focus on simplifying the browsing process.
- Improved signposting: Ensure that categories are well signposted, meaning they are clearly visible and easily accessible, guiding searchers directly to their desired products.
Browsers
These customers are open to exploring and discovering new products. To assist them in making a purchase:
- Product selection with a questionnaire: Help browsers find products that align with their preferences by offering a questionnaire that asks relevant questions about their needs, preferences, or style. It can narrow down the options and provide personalized recommendations.
- Upsell with other products: Once a browser has selected a product, eCommerce marketing services take advantage of upselling opportunities by suggesting related or complementary products. It can encourage them to explore additional options and increase their purchase value.
- Buying guides: Providing detailed and comprehensive buying guides about your products can significantly benefit your customers. These guides should contain extensive information, including features, specifications, usage instructions, and other relevant details. By offering valuable insights, you build credibility and establish yourself as an expert in your industry.
Boost Credibility to Boost Conversion Rates
Product Reviews
eCommerce marketing services use customer reviews to influence buying decisions. Encourage customers to leave reviews by implementing email automation that prompts them to share their feedback after a purchase. Positive reviews serve as social proof, showcasing previous customers’ satisfaction and positive experiences.
Ordinary Personalities to Talk About Your Brand
Collaborating with ordinary individuals who align with your brand values and target audience can be a powerful marketing strategy. These personalities can share their genuine experiences with your products or brand, providing authentic testimonials that resonate with potential customers.
Product Videos with People
Creating product videos featuring real people can be highly effective in showcasing the benefits and functionality of your products. You engage potential customers on a deeper level by visually demonstrating how your products are used and highlighting their value in real-life situations.
Conclusion
Businesses must implement effective strategies to maximize revenue to thrive in the competitive eCommerce landscape. High-sales eCommerce stores focus on increasing conversion rates by leveraging offers, optimizing AOV, enhancing CLV, and building credibility to stay ahead of the curve and drive their growth. Incorporating these strategies can help your eCommerce business achieve remarkable success in the ever-evolving world of online retail.
Regarding eCommerce marketing services, don’t hesitate to reach out to Vserve. Our team of experts will provide the assistance you need to optimize your eCommerce campaigns and achieve impactful results.
The blog is inspired by the video, ‘How HIGH SALES eCommerce Stores Use Marketing’ by ‘Exposure Ninja.’
