If you have an online store and you've been advertising it throughout social media and using email marketing, we assume that you're already well-acquainted with what conversion rate means. If you're not though, it basically means the number of impressions that are turning into clicks and purchases.
It's a stat you have to keep in mind to scale back or push through on your marketing efforts. Now you may be wondering what your competitors' conversion rate looks like and that and more relating to ecommerce will be what we'll talk about in this article.
You’ll need to set up different scenarios so you can measure it. For example, if you have an email subscription form, you should put a pixel in the background of the form that tracks when someone subscribes versus when they open their inbox.
Then you can calculate a percentage from those two times to get your subscription conversion rate.
Now that you know yours, it's time to know what percentage would be considered a good conversion rate. Now there's no objective number that's cut out.
If you're satisfied with how many clicks and purchases your shop is getting, we'd be wrong to tell you otherwise. But there was a study conducted, which you can access through this link, that found out the average conversion rate throughout all shops in the same niche and the top 25%.
If you're using email to advertise your products, the average conversion rate is 5%, while the top 25% are getting double that amount at 10%.
Google Ads users expect around 1.5% on average, 3% for the top 25%. Sellers that market through Facebook get a little lower than 1% on average while the top 25% boast a still meager 2%. Keep reading if you want to find out how you can push these numbers up.
There are so many different ways to promote products through e-commerce, including various websites such as Amazon, Alibaba, Tesco, Walmart, and others. These provide numerous methods of selling products that can be effective when used in conjunction with one another.
However, all too often the phrase “use these tools” is spoken, but there’s no mention of how to use them properly, or where to start.
This becomes even more apparent when people try to sell you an extension they created that may help you with conversions! (I will admit, I am partially responsible for this mistake since I relied upon their tool.)
So first, figure out what type of product you have, who your target market is, and then find which channels would be best for reaching those targets.
Then move down each channel and think about who you want to reach, the type of content you want to create, and how. This will help reveal your conversion goals and funnel types.
Your products are available at incredible prices, you have great deals and promotions going on all the time, people know about your store and what you offer, so there’s always going to be a chance to sell something. The only way to improve your conversion rate is to promote your e-store aggressively using social media, ads, affiliate programs, and other sales channels.
If you invest time in developing your e-shop through customization, quality control, and pricing that matches your target market, then others will recognize it and want to take advantage of your efforts. From an advertising perspective, you can find opportunities everywhere, including those traditional methods such as advertisements, flyers, posters, newspapers, etc.
That doesn’t mean you should overdo it or that you need to force your product into someone’s face. You want people to notice your store because they think it offers good things at decent prices. One more thing, don’t forget to keep your price list consistent throughout your shop.
While it may seem unrelated to your sales message, creating an appeal of colors is very important when it comes to ecommerce conversion rates.
Color has been known to influence human perception since the earliest days of art history.
Certain colors appear to go together, while others do not.
Colors that are next to each other on the spectrum (not counting shades of the same color) such as red and green, or blue and orange, tend to work better together than colors that are far away from one another on the spectrum.
These pairings also make sense biologically. Red is typically perceived as hotter than yellow, which is more neutral in temperature.
Our brains respond to color spectrally, too, so there’s also science behind different colors’ effectiveness.
Studies have shown that people who buy products with a specific color use that color more frequently, which can dramatically decrease how often you see it on the shelf. This increases purchase probability.
Specifically, research conducted by Stanford University found that our perception of color influences both our decision-making process and what we focus on.
There’s a similar phenomenon at play when it comes to shopping online. When browsing a computer screen filled with products, all white-, black-or gray-colorful things start to look good.
By contrast, brown stuff is easiest to find. It’s harder to ignore.
That’s why companies that sell liquor invest in cool branding and logos versus those that sell books. The latter have been recognized to sell bigger items, but they generate less revenue.
When it comes to grabbing someone’s attention, none can compare with a big font. In fact, some studies show that large, bold typography is one of the most effective ways to draw people in.
According to another study conducted by Type A Group, subjects responded better to headlines in a site’s text when the headline was all caps (all-caps) than when the headline's first letter only was cap.
The logic here is pretty simple. Use bold typography to stand out, catch the attention of your audience and increase conversion rates.
Customers want to be able to visualize products, so add low-resolution images of each product (with a caption explaining what the image depicts). This will help customers understand what they’re buying before they purchase it.
When viewing cart pages, if you have graphics, put them up. If not, definitely still include video or an audio clip that explains how things function. People love to hear technology explained in layman’s terms.
If you give people a reason to trust you, then they will buy from you. Photos are very persuasive; someone has to like your brand of photos for them to start trusting you.
Put testimonials around the website at every opportunity. Let customers know they can count on you for quality goods and service.
Keep updating the page with new endorsements until buyers feel comfortable making a sale.
Visitors to your e-store should be able not only to find what they’re looking for, but also shouldn’t get lost in an ocean of choices. If you have too many options, people are less likely to choose your product.
You want them to buy into the idea that you’ve created a space where they can shop for something seamlessly. You don’t want them to feel like they have to make a purchase to access what they found.
Visitors need to know how to identify their choice item and price it. How do they enter the pricing information? Do you offer discounts or bonuses when they decide to look at your store?
Let’s say you have ten items all priced the same. But one is more expensive than two others. Which would you rather see – the cheaper ones or the more expensive ones? People will spend more money if they think there’s a good reason.
They won’t just hand over their cash without a reason. That isn’t fair to your business! So it’s important to really understand why people might buy your product instead of someone else’s.