Do you know the conversion rate for your online store? You probably understand how many sales you make; that’s a pretty straightforward metric. Understanding the conversion rate however, involves dividing the number of sales by the number of visitors or sessions. A simple example is if you have 10 sales and 100 visitors, your conversion rate is 10%.
There are a few ways you can increase the number of users converting to sales in your e-commerce store.
Generate More Sales Online
In order to generate more online sales, it would seem logical that if you increased the number of visitors to your site you would increase conversions. Keeping your 10% conversion rate, you would make twice as many sales (conversions) with twice as many visitors. The downside, however, is that this often requires running expensive ads; when the ads are done showing, the number of visitors drops back to previous levels. And there’s no guarantee the same percentage of users will convert.
How to Improve Conversion Rates
If you could bump your conversion rate up to 20%, with the same number of visitors, you would spend less to double your sales. In order to do that, you can employ a variety of marketing tactics.
User experience is very important - the fastest way to turn customers away and lose sales is to make your e-commerce store difficult to use and navigate. Strip the clutter, make it easy to find your products, and make it simple to check out. Give them the information they need, some high-quality images, and a button to add it to their cart.
As your eCommerce site grows and converts more visitors, testing different methods against each other (referred to as A/B testing) will help you understand what is working and what is not.
Using Personalized Discounts Leads to More Profit
Incentives are a great way to move people from browsing to buying. An incentive usually comes in the form of a discount.
Offering a site-wide discount where every visitor gets to use it, often isn’t very effective, especially in the long-term. Sitewide discounts simply train users to wait to buy until everything is on sale. Instead, using the Leaflet app, you can use the behavior data from your shoppers and offer personalized discounts to increase your profit.
See More Growth in Your eCommerce Store
Using the Shopify pricing app from Leaflet, you don’t need a lot of store traffic and you don’t need millions in sales. Even with minimal data, the app will analyze the visitors to your eCommerce site and then, through sophisticated algorithms and AI, Leaflet offers personalized discounts to incentivize the sale.
Increasing conversions and profits in your e-commerce store aren’t always easy, but with Leaflet you’ll get an edge on your competitors.