eCommerce CONVERSION RATE Optimization

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Welcome to the ten minute MBA, I'm yourhost Scott de Clary on the ten minute Mba, I give you strategies, tactics,tips, insight, so you can use to start scale grow or ten X, Your BusinessToday, I'm going to teach you about conversion rate, optimization how toget the most bank for your buck when your customers actually hit yourlanding page. What's going on today, we're talkingabout conversion rate, optimization we're trying to get people to convertso, of course, there's many ways to make money, and before I even dive intothis, I just want to let you know the conversion rat optimization. You canoptimize the conversion rates of a phone call. You can optimize aconversion rates of an outbound campaign. You can optimize a conversionrates of even doing a demo or presentation in front of somebody we'regoing to talk about conversion rates in the context of e commerce. So what canyou do for your actual landing page so that you can convert more customers?What is the key to more sales and more revenue? So if you want to make moremoney from your store, we're going to die sect, what's the best way to makethat happen, so first, you can try and get of course, more traffic to yourstore. That's the obvious logical next best step, presumably the morecustomers and visitors you get the more sales you're going to make. However,sometimes more sales doesn't necessarily mean more profit, becausethere's a much better, more effective way to increase your overall sales andrevenue than just driving more traffic because more traffic, if they're, notconverting. Well, that could get you a little bit more revenue, but it'sreally not optimal. So what you want to do is you want to improve yourconversion rate now. Your conversion rate, by definition, is the percentageof your visitors, your website, visitors and an e commerce context whopurchase from you. For example, if you have a hundred visitors and three ofthem buy from you, your conversion rate is three percent. Pretty simple, youcan almost always improve your conversion right on your website, nomatter how good your website is today, it can definitely get better, and thisis good news because it means you can get more sales and revenue withoutneeding to spend more money to get traffic. Improving your conversion rateis called quote, Unquote, conversion rate, optimization or CRO, and I'm notjust saying this, because I need to to explain an acronym to you. This is thetechnical term so that, if you do more research into this you're going to lookup cro or conversion optimizations, let's say that you're using cro andyou're able to increase your sales from three out of a hundred visitors to sixout of a hundred visitors by doubling your conversion rate. You've doubledyour revenue without increasing your spend at all. And how do you actuallydo this when I'm going to walk through some tips? Of course, this is what thiswhole podcast is about, but in a nut shell, it's all about a B testing. It'sall about testing, two variations of things against each other to see whichproduces more conversions. For example, you may try two different headlines ona page to see which generates more sales per five hundred visitors. That'swhat we're going to be talking about some ways to Ab test, differentcomponents of things on your website to...

...again increase your conversion rate. Soa couple things to remember when you are doing a B testing always test onevariable at a time. Let me let me just double down on that always test onevariable at a time in order to measure the results properly focus on testingone change, because if you test more than one change, you're not going toknow what's actually driving the different results between the two setsright, you're not going to know what the differentiator is and also you wantto insure your tests, reach statistical significance. Statistical significancesimply means that enough events have occurred. So visitors clicks, pageviews sales to insure the results are accurate and not some sort of flute. Sothe first technique that you want to test is price anchoring. So what isprice anchoring? Well, the more someone feels like they're getting a great dealfrom you, the more likely they are to purchase from you. This is a salestechnique. That's used in many types of sales, not just commerce, but it can beused any commerce with price anchoring. You include both a higher price andthen your actual selling price. Next to all your products, it makes it appearthat people are getting a good deal, consider using the suggested retailvalue or MS R P of a product or how much you would charge for a full priceiteration of whatever it is you're selling. So here's an example. So,let's, let's say that you're selling a course for a hundred and ninety ninedollars. It contains five hours in material and your hourly rate is ahundred dollars, so the chorus is really valued at five hundred dollars.So that's five hours of material is coming directly from you. You can usethat figure as your price anchor to sell the course at one hundred andninety nine dollars so they're getting over fifty percent off the five hoursthey would be paying for if they were just going to spend those five hoursdirectly with you. One thing that you should know about price angering thedifference between the price anchor and the actual price needs to be reasonable.It has s to be acceptable if you say you're selling a course for a hundredand ninety nine dollars and your personal consulting rate is twentythousand dollars an hour. Well, it's not really a price anchor. It justsmells like BS. So if you're going to use a price anchor effectively and mostpeople actually don't use them effectively. So if you have boughtsomething online, sometimes you will see ridiculously outlandish priceanchors that actually have more of a negative impact, because, first of allit doesn't achieve the desired result of actually anchoring a price high. Itjust seems ridiculous and superfluous, but secondly, it actually loses trustwith the vendor, so the the consumer, the person who's, actually the customer.They lose trust because they feel that the vendor is not being authentic withthis higher anchored price. So then it creates. It creates a little bit ofmistrust between the customer and the vendor, so people will definitelybecome suspicious if the difference is really too great. So be careful of that.The second thing you should do on any...

...landing page is to use incredibly highquality pictures and images. Remember people are visual. It's important toremember that, with online shopping, your customers can't physically touchor handle the products you're looking at. If they can't touch the productsyou sell, they want to find a way to get as good a sense for what thatproduct actually is like physically, without being able to actually touch it.So it's critical to include excellent images of your products on yourproducts page. This is also why, if you are selling, for example, consumer goodor clothing apparel, you actually get a better response. When you have a model,that's wearing the actual thing versus just a stock image of the shirt,because the the customer can actually start to visualize. What that piece ofclothing would look like on them versus just a shirt on a blank whitebackground, so the more you invest in creating a visual experience for thecustomer, the more likely they can visualize what that product actually islike and then, of course, it will help your conversion, so don't just use ahero shot at the head of your web page, put various images of your productsfrom various perspectives and to double down on that. You may actually want toinclude a video or two so that shoppers can get even more of a feel for yourproduct. So even a simple demonstration of how the product works can go a longway in the minds of a customer or shopper when selecting photos andvideos, ask yourself what you would want to see before purchasing and bythe way, that's just the general best practice. Marketing in sales doesn'thave to be difficult. You just have to think about what would you want to see?What would you have to know so that you would actually make a purchase? And ifyou can answer that, with your own sales or marketing or website design,then that's usually what works the best for your customers. The third thing youshould try to do is create highly detailed product descriptions so, ofcourse, you're using high quality photos in even videos. All your productpages should contain in depth product descriptions. These productdescriptions help customers understand exactly what they're getting again. Youdon't have an in person experience, so you have to over communicate so thatthe customer can build a sense of trust with what it is your selling and makethat purchase without ever seeing it in real life or even communicating orchatting with a sales rap that they would in a traditional brick and mortarexperience. When you do your product descriptions highlight the benefits ofyour product, so help customers understand just how much the productwould help them paint a picture of the good life or how your product willsolve their problems and be very clear on the features of the product. Nothingshould be ambiguous, so this includes the things like size, weight, colornumber of pages. If you're selling a book modules, if you're selling acourse how many parts are included, if your product doesn't include somethingthat people would expect, make sure to...

...highlight that as well, the moreinformation your potential customers have, the fewer questions they'll haveand the more likely it is will purchase from you and also you'll, remove anybuyers. Remorse. So, just think about the last time you bought something thatwasn't exactly as described. You are either going to return it immediatelyto Amazon or you're going to file some sort of contest with paypal or you're,going to file a charge back from your credit card. And if you don't do any ofthose things, you can damn well be sure they're. Never by buying from you againso just over communicate what the customer is going to be getting,because it will increase your conversion rates and it will improvethe chances of them doing business with you a second time and remove a lot ofthe customer success and support headaches that you may have. If yousell something and the customer thinks they were getting, something else atthe fourth technique would be to include customer review, so socialproof is huge all the time, it's very easy to do in an e commerce environment.If your product has a high number of positive customer views, if it doesn't,maybe you should think about what you're sellingg or how you're sellingit, but if it does- and it should remember if you were buying somethingyou would look for those reviews. So as the vendor, you should put thosereviews on your e comer store. This is essential. The truth is that peoplehave much more confidence in what others say about your products thanwhat you say about them and if you don't have customer views, you're goingto be at a disadvantage now it's hard when you're just getting started, butfocus on asking for reviews from your customers build that feed back loop sothat when they purchase the product, they're prompted for a review orthey're rewarded with the discount for giving a review, and it doesn't have tobe a positive or negative review it. Just you want to include some sort ofmechanism, it's asking customers for reviews and let your incredible productand your incredible brand and your incredible customer service do the restof the work so that those reviews are positive and the simplest way to do.This is really just ask. So after somebody makes a purchase, you can sendout an automated email that goes out. Maybe a couple days after they've madethat purchase after they've received it, of course not before they received it.But after they've received the product asking for a review and sentive them toleave review, and if the customer is happy- and you ask them- they probablywill leave her view and if not, then you'll have the opportunity to solve aproblem and went back to customers, so just keep asking and then, when youhave those reviews, because you'll start to get those reviews coming inthen showcase those on your converse, and you can also pull reviews fromother platforms as well. If you have great facebook paid reviews or if youhave a brick and more to business- and you have google business reviews oryelp reviews of your a restaurant, you want to throw those up there and showthem find a way to capture those and display them to as many people aspossible. You can even to be quite honest, include those as part of yoursocial media content strategy. Take some reviews, throw them on Instagram,go into canvas, take the review put into a nice little. You Know Squarepicture and throw it up on Instagram, that's a great piece of social content.It acts a social proof and it's promoting your business fifth techniquewould be to make check out as simple as possible. So if customers go through acomplicated checkup process, your conversion rate will fall significantly.So how do you simplify check out think about some of these steps so allowshoppers to check out his guests? Don't...

...make people have to sign up for anaccount before they purchase your items, request the minimum amount ofinformation. So if you're selling digital products, you don't need aperson's physical address, don't ask for it be sure. Every input field isclear. Some input field, such as dates or phone numbers, require specialformatting. Make it crystal clear exactly how the data should be enteredby customers be up front with shipping costs, if possible include them thenumber one thing the customers do not like, and the number one thing thatturns customers off is getting to the check out page and discovering thattheir product that they purchased is twenty five percent or thirty percentor fifty percent higher because of fees and shipping, and then, of course,always make it easy to get to the shopping cart. So customers should beable to view their shopping cars at any point in the shopping process. Justdon't over engineer your website there's a lot of really great simple ecommerce options, and you don't have to build something yourself. You can, ifyou want, but of course, if you are building it yourself, make sure thatit's optimized for the best possible customer experience. The six techniquewould be to provide assurance to your customers. So, for most people,shopping online is an exercise of trust. Unfortunately, every online shopper hashad at least one bad experience. The more assurances you can give theshoppers the more likely it is they'll purchase from you. So what is anassurance? Well make your return policy abundantly clear, so shoppers want toknow that if they have a problem with the product, you'll solve it for them.Second, assure your shoppers that their information is safe with you, so thelast thing anyone wants is to have their private information compromisedand, finally, answer as many commonly ask questions about your product ispossible. So if customers regularly ask the same questions about a particularproduct include those answers to the questions on the product. Page seventhtechnique would be to make it very easy to contact you. So your customers, yourside, visitors, will have questions. Concerns Challenges. If you want toconvert these visitors into paying customers who come back to you againand again and again, make it easy for them to get in touch with you the moreways a customer can get in touch with you, the greater chance of you beingable to turn them into paying customers make your contact information, obvious,clear and easy to understand, put a length to your contact page in yournavigation menu as well as at the bottom of every page. One thing tothink about it doesn't matter how easy it is for customers to contact you ifyou don't resolve their issues in a timely manner. If you take ages torespond inquiries or problems, you won't win new customers and you'll loseyour existing customers. So have some sort of customer support person, or itcould be yourself where you set up a time every single day to answercustomer questions and inquiries. Usually one day is fine. Most customersdon't usually expect same day response from a small business, although it'sgreat, if you can do that, but if it drags on for two days three days thatcustomer is gone, so have a customer success. Customer Support Strategy, atechnique would be to draw attention to items that are on sale and of courseewith all these technics. I just want to...

...reiterate that you are AB testing howto do each one of these effectively. So your a B testing the placement ofcertain widgets, your a B testing, the check out experience. You are a Btesting, the contact form and what type of information and ask for your ABtesting how to actually capture customer data, and maybe less customerdata- allows somebody to check out easier. Maybe more customer data allowsyou more information so that you can contact them at a later date or retarget them with various marketing tools. So all of these tips- these areall things that you ab test to continually optimize and improve, andall of these things combined lead to conversion rate. Optimization, okay, sotecniche eight is to draw attention to items that are on sale, so price is ahuge factor when it comes to shavers making purchases. If you have certainitems on sale, draw a lot of attention to those items. I can't even tell youhow many times I see items that are on sale that are hiding on second pagesthird pages. Nobody knows they're on sale. If you are putting things on sale,highlight the sales on your home page and across your various product pages.You can also send out email campaigns. You can post things as social like letit be known. If you're putting these things on sale, it shouldn't be asurprise to customers. You have to get that information in front of them.There are various words you can use on your actual page, free marked down onsale percent off limited time. Things that drive curiosity and Fomo oneadvantage offering items on sale is that you can cross cell and upsalldifferent products. So if you put an item on sale, it can be considered aloss leader or even if it's not a loss leader. It's just something that isattracting customers to your sore and then you can up, sell or cross cell, oryou can capture their information and you can re market them for otherproducts in the future. Basically, cross selling is just promoting relatedproducts, while up selling is promoting more expensive versions of the sameproducts. Numerous ways to do this play around with it a little bit butactually play around with it and test it out. Nine technique would be tooffer numerous payment alternatives. Remember we spoke about making it aseasy as possible for customers. Your potential customers want to be able touse their payment method of choice. If you don't offer someone's refer paymentmethod, there's a good chance, they won't purchase from you at a minimum.You should accept all major credit cards, so, of course, that's visamaster car discover m X. Also, I would suggest apple pay. PAYPAL, Google PayVen Mo. If you don't have all of the payment methods your customers aregoing to find somewhere else to buy the product. Ultimately, this is aboutproviding convenience for your customers. If you want to have a highconversion right on your site, it's important to offer your customers theconvenience they are desiring their requesting. They are needing in a twothousand and twenty one e commerce world remember this is not early daisycommerce, you have significant competition, convenience is key and thelast technique would be to create an abandoned cart, email sequence. So ifyou're something explain what this is and it's an important thing that ifyou're not doing you have to be doing it so to optimize conversions, ofcourse, there's several things you can do the first time a customer hits yourweb page or your website. But, of...

...course one of the most useful tools isto sell to them after they've left your webpage. So if you're not trying to getcustomers to come back to their abandon cars, you're leaving a huge amount ofmoney on the table, an abandoned cart is when somebody says at the cart. Imean there is an intent to buy a product, and then they forget about itto do something else that maybe they decide that that product wasn't forthem. At this moment in time, but there was that intent, and you want toreignite that fire in your customer. So instead of trying to find new customers,you can work to convert these customers they're already familiar with you,they're already familiar with your products, and one of the best ways youcan do this to recover abandoned cards is to send out a sequence of emails tothe customer, and it's usually just a simple reminder of what they left inthe cart they can. Emails can include a discount at they return and completethe purchase. They can include support if they have any questions orchallenges, or they can even be more of a time sensitive offer such as theproduct in your cart or your cart will expire. If you don't make the purchasein the next twelve hours or something like that, so you can send out theseemails over a series of days. It's likely that when the customer seesthese emails, not a hundred percent of them will be motivated to finish thatpurchase, but a percentage of them will, of course, you're trying to create asense of urgency for customers. So while they still care about yourproduct, you're hitting them they're hitting their inbox and they're beingreminded of your product, then they're going to hopefully come back andconvert and there will usually be a presented. The eleven technique is tocreate a general sense of urgency, not just with abandoned card customers, butwith customers that hit your website so and customers feel a sense of urgency.They are always more likely to purchase from you. People always have a distinctfear of missing out or Fomo to. How do you create urgency in your store? Youcan highlight limited stock. If you have a limited number of particularproduct bring that to the customers attention you can do limited timeoffers so creating a discount that expires at a predetermined time isanother way to increase your overall conversion rate. You can have a limitedselling window, so if you limit, when a person can purchase a product, itforces them to decide whether or not they really want to buy it from you. So,for example, this particular drop- or this particular item is only on salefor one day. Only yes, supreme is very good at doing limited. Merch dropswhere they have a certain amount of product and once that product is gone,they'll never make that product ever again. So it creates an incredibleamount of FOMO. Then you can also offer bonuses, so you give people thatpurchase right away, something additional. It's important to note thatthe urgency create has to be real. So if you tell people that an offer isonly available for a limit of time, keep your word. Don't re offer it nextweek. If people see you still giving the same offer after the expirationdate, they're never going to trust you ever again and then next technique. That recommend would beto make it extremely easy to find your products. Well, I mean what do I meanby this, so make it really easy to find your products on your website,especially if you have a large number of them. Your customers always want toget to where they're going quickly and with minimum fuss. So a couple thingsto think about clearly separate product...

...by category put the categories in yourwebsite navigation, so that people can get to where they want to be within afew clicks of a mouse implement search within your e commerce site. So peoplerely heavily on search to find the products they want. So you can also usethis to look at the products that people search for the most and then putthose on your home page so that their front and center when people hit Your ecommerce site, you can also implement search with a variety of widgets ifyou're using a word press and woo commerce or shop ify, they all havesearch function built in and allow people to filter products by variouscharacteristics and tags. So, for example, if you sell clothes, allowpeople to filter by size by color other relevant attributes just make it aseasy as possible for people to find the things they want to find. One easy wayto tell if things are easy to find on your site is to ask real people. AskYour friends your family to navigate, through your sight, have them recordtheir experiences in real time using a screen recorder like loom or even quicktime, and you will know if the average person who's hitting your sight for thefirst time would have problems finding exactly what they want to purchase. Andthen I would say the last thing that I want to mention in regards to ecommerce is to optimize the shopping experience promotie, and this issomething that's very important, because a lot of people build greatwebsites, but they don't think about the mobile shopping experience wheremost of your customers actually find your website there's a big differencebetween ensuring your site works on a mobile device and optimizing theshopping experience when the shopping experience is optimized, it's easy andeven pleasant to shop. Your store on a mobile device so evaluate the shoppingexperience with some of these questions is the taxes easy to read and shoppersquickly see all the details about a product or are they forced to scrollthrough tons of text? Are the images clear and easily accessible and in theright spot are the call to action buttons so place and Cart? By now,obvious our reviews and writings easy to find or are they buried at thebottom of the page? Are the check out fields kept to a minimum? No one lovestyping a lot of stuff on a phone. If you want a great example of what ahighly optimized shopping experience looks like honestly just go visitAmazon, they have spent literally millions of dollars, creating the idealexperience for shopper on mobile and otherwise, but try and learn for people.Who've done it before. Of course, we're not all Amazon, but we can include someof the things I just mentioned, and some of the formatting items and usetheir experience and user interface items that e commerce giants implementto help improve our decameter anyways. I hope that provides some value. Givesyou a little bit of insight as to things to think about when you arebuilding out an e commerce environment for any product? Remember any businessquestions you have. Don't worry. I got you. This has been another ten minute.NBA have a great night I'll, see you tomorrow.

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