In the ecommerce industry, the average conversion rate for purchases is between 2% and 3%. That means that at least 97% of your visitors are going to bail on you.
Similarly, a recent study by Google, which examined global marketing organizations, revealed that the #1 priority for marketers is to better understand their customers.
Complex consumer behavior and tight conversion margins create a huge challenge for digital marketers, as we’re sure you’re well aware. Conversion rate optimization strategies need to be as nimble and insightful as consumer behavior is capricious. Read our Beginner’s Guide to Conversion Rate Optimization.
A smart digital marketer will constantly keep an eye on transactional data, noting any changes and observing the numbers from a different angle.
Unfortunately, digital marketers don’t always have the time, resources or reflexes to spot shifts in their consumers’ behavior.
Awash in a sea of data, or absorbed in their daily routine, it can be easy to miss an emerging pattern in buyer behavior – at least, if you don’t have the tools to help you see things from a new perspective.
Don’t believe me? I guess you’ve never taken the Monkey Business Illusion test. Watch the video below and focus entirely on counting how many times the players in white pass the ball between each other. Now, go back and watch the video normally – did you notice anything different?
This test is famous for demonstrating how powerful selective attention is, and crucially, how unaware we are about what we’re unaware of!
The same can be said when focusing on your ecommerce data. If you’re too focused on one area and you don’t step back to get the full picture or change your perspective, you’re likely to miss out on some big opportunities.
That’s why we’re introducing Instant Analytics.
Our latest gadget we’re adding to our marketing toolbox (along with our Sample Size Calculator), Instant Analytics is an easy-to-read dashboard for ecommerce professionals’ most important customer data: transactional insights.
Simply sign in with Google Analytics and watch as Instant Analytics reshapes your data to focus on key metrics like average basket size and number of transactions, as well as key moments like peaks and dips in conversions and traffic.
In the time it takes you to go down for a coffee, you can gain a fresh perspective on the numbers you stare at all day long – and probably a few new ideas along with it.
4 tips for ecommerce sites to increase transactions
Of course, changing your perspective is only half the battle. Once you’ve noticed a new buying pattern or an unexpected dip in traffic, for example, you, of course, need to act on these insights. We’ve collected below 4 ‘quick wins’, based on actual client case studies, to inspire you to go from insight to action.
1. Create a sense of urgency during low engagement times
There’s no worse feeling than the feeling of missing out! Users are more likely to buy a product if it’s time sensitive. Think about when you’re shopping around for a concert ticket to see your favorite band, and there’s a banner saying, “Hurry, there are only a few tickets left.” With limited stock, you know you’re going to take action! Urgency marketing techniques are very efficient and nudge the consumer to act.
FNAC, the French media company, did a great job of encouraging customers to order ‘now before they miss out’ by showing the time left before a certain concert ticket was sold out. The result? Transactions increased by 8%.
There’s more than one way to create urgency, BrandAlley, a UK ecommerce retailer, also did a great job. By adding one simple sentence on the product page to indicate that there are only a few sizes left for a specific size, they saw a 4% lift in transactions.
2. UX optimization to drive revenue
What UX tests have you already tried to increase clicks on recommendation sliders? Global ecommerce player Melvin Hamilton launched an A/B test on their product recommendations row to optimize conversions. The action was to pull up the row of recommended products and making it more visible, as well as move the navigation thread upwards, to help browsers situate themselves. The result? Transactions increased by +24% – followed by an impressive +34% increase in revenue.
3. Social proof to boost transactions
Even if your products look amazing, how are your users going to know it’s a great deal if there’s no social proof with users telling their experience with this product? Social proof is a powerful strategy that encourages buyers to look to at the experience of others before they make a purchase. Put the reviews really close to the pricing and the increase the chances of conversion, but also help users navigate to the more expensive products, with higher reviews, and drive maximum basket value.
4. Get the most out of your cross-selling campaigns
Cross-selling campaigns during transaction peak hours is an effective strategy to boost further shopping activity and sales. The best way to do it seems to be pulling the related product bar, (with reviews!), really close to the pricing – as Gin Kiosk did in the example below. By making the related products bar more visible they saw a 30% increase in transactions and a 27% lift in revenue (at the price of only a few minutes of design tweaks).
Let’s face it, even a seasoned digital marketer can get lost, missing the forest for the trees when juggling between different platforms and large amounts of data. Sometimes all you need is the right tool to help you see things from a new perspective.
Instant Analytics was created to help marketers visualize transactional data in a new way, empowering your digital team to create more powerful campaigns.
Arm yourself against conversion failures and uncover every opportunity for growth. Get your free insights for ecommerce here: