Ecommerce conversion optimization for modern retailers

Ecommerce Conversion Optimization

How to improve conversion rate
in an hour. No more.

CR for Conversion Rate

This abbreviation is a sacred cow for every marketer. They run design sprints, set up endless meetings, visiting meetups and browsing tons of online content to find the answer on a simple question: “How to improve conversion rate?”

Imagine what it would be like to stay ahead of the game. Retailers are looking for new ways of conversion rate optimization to increase margins of their e-commerce business, and we are providing you with this quick how-to guide you can use right away.

12 Essential Ways to Boost CR

As a snowflake, methods to improve ecommerce conversion optimization are unique for every retailer. Some need to provide customer with a phone number on the main page, other’s website need a general redesign, third one will thrive with additional delivery options.

Long story short, here are the most efficient ways to boost CR:

UX improvements

Buttons, product photos, white space, detailed description, additional products, search—the list of website improvements can be endless. Don’t forget to A/B test every element you change to define the best option that’ll blow your customer away.

Traffic personalization

The traffic sources are endless area for creativity. Consider the medium when showing your customer a greeting message to catch their eyes and keep them on the spot.

Psychological tricks

We’ve all been there. That’s obvious and still efficient. Psychological pricing? Yep. Exit-intent popups? Indeed! People still pay attention (even subconsciously) to such activities, and guess what? They’re buying staff from those who uses psycho tricks like these.

Credibility proofs

Build trust with testimonials, video reviews, unpack photos etc. Do everything to provide your customers with social prove: this particular product was bought by dozens other people and they’re happy to use it daily. 92% of people are reported to give credit to peer recommendations.

Security proofs

Commonly accepted payments, such as PayPal; SSL-certificate for website; GeoTrust, Norton, McAfee and other kinds of security certification seal... People want to know they are safe and sound prior to disclosing their credit card details or making a decision about cooperation.

“Free” staff

It’s a t type of psychological trick mentioned before, yet more powerful. “Free” sign persuades to buy. According to the 2017 Pulse of the Online Shopper survey, nearly ⅔ of shoppers admit that free shipping is an important factor affecting their final decision. Yet, shipping is not the only “free” option you can give customers.

Promotions and markdowns

Promotions and markdowns attract attention. The only thing to consider is to keep businesses profitable with all these activities. Don’t let promos cannibalize your profit.

Customer support

If you can do it 24/7—do it. If not, don’t. Just be honest with customers and give them an option to reach you through their favorable channel, not through the one you prefer.

Delivery options

Every retailer is competing with a must-not-be-named rival who provides the same day delivery. Consider adding something special to your delivery options to beat the competition. It could be a free gift, or late-night/early-morning delivery options, you know your audience. Use this knowledge!

User’s flow simplifying

How many mouse-clicks does a customer make to find the required product? How many fields need to be fulfilled to purchase a thing? Can you reduce this numbers?

Omni- and multichannel options

We won’t focus on this: we are living in the omni- and multichannel world now.
Adapt to the new reality or die.
Period.

Recurring visitor strategy

On first sight it has not much to do with CR improvement but it’s crucial for business to recur customers instead of constantly invest in acquisition. One can use e-mail, messengers, sms or any other channel to build automated upsell strategy.

A Single Conversion Killer to Avoid

But wait – there’s more.

No matter how many efforts you spend on CR optimization, if you fail on this single point, your cart will be abandoned.

The Price.

Whenever customers are looking for products, the most common reason for them to continue their research instead of immediate buying is price. A study shows that 8 out of 10 customers compare retail prices before making a purchase. It makes sense that conversion rate is highly affected by e-commerce pricing as one of the most important factors of conversion rate optimization for retail.

Therefore, the list of CR improvements retailer could provide will look like this:

UX improvements
Traffic personalization
Psychological tricks
Credibility proofs
Security proofs
“Free” staff
Promotions and markdowns
Customer support
Delivery options
User’s flow simplifying
Omni- and multichannel options
Recurring visitor strategy
Optimal Price

How to Set
Optimal Prices

The algorithm is simple:

Don’t try to monitor the whole assortment of your website. Only KVI-products are matter. Especially if you are in the beginning of your competitor monitoring journey.
Those who you think of first are not definitely your real competitors.
Is it a market leader or local opponent? Which products are most affected by their prices? To define your key competitors you need to create Price Index diagramm and add your sales. Then you’ll see how your rivals prices affect your profits.
After you’ve defined your key rivals it’s time to build your pricing strategy. Define your reaction on they prices, promotions and markdowns.
Pricing is not a one-time task. It’s a job-to-be-done daily, or weekly if your industry is not highly saturated.

Yep, it's simple.

Conclusion

Ecommerce conversion rate optimization aside with optimal prices can give you an advantage among your rivals and help you to build sustainable relations with your customers.

Last but not least.

Just to give you a hint on how you can automate your competitive pricing, take a look at Price Intelligence Platform we built. It’s a simple to use yet powerful solution that reduces hours of manual work and provides retailer with pricing insights to win the market. Did we mentioned that you can also reprice your products with less than three mouse-clicks? Yes, you can.

Optimize your conversion and stay competitive with us. Request a pilot to test how Competera can improve your conversion rate by setting optimal price

Pricing Path to Success

01

Data

  • Crawling [competitive-based dynamic pricing]
  • Integration [product- cost- sales-based dynamic pricing]
02

Processing

Input profiling and configuration

03

Analytics

  • Reports visualization
  • Insight crafting (anomalies, deviations, regularities, opportunities)
04

Goals & Strategy

  • Products segmentation
  • Segments labeling (KVIs, Traffic Drivers, Market Share Protection etc.)
  • Challenges and inputs defining
  • Labeled segments strategy formulation
  • Pricing Programs setup align with strategy
05

Automation

  • Decision making and changes implementation process design
  • Automation technology adoption
  • Measuring decisions efficiency
06

Performance Optimization

Revenue-jump and predicted performance management through:

  • Model Crafting
  • Model Training
  • Model Testing
  • Model Tuning