What is the conversion rate?
The conversion rate is a KPI from marketing. This indicates how many visitors to a website are interested. In a specific action (such as downloading, registering or buying or selling).
The conversion rate is given as a percentage and the higher this percentage, the better and more successful you are.
Two numbers are needed to measure the conversion rate: the number of previously defined actions (e.g. transactions) and the number of your visitors. The formula for the conversion rate is:
Conversion rate = number of actions (e.g. transactions) / number of visitors * 100
Do you think that people always make their decisions rationally?
Not really true! Rather, they also listen to their instincts and they’re guided by emotions most times.
If you want to increase your sales, you should always keep this knowledge clearly in mind when developing marketing campaigns.
In today’s blog article, you’ll get simple conversion tips for existing and prospective online retailers.
I’ll also try to explain how you can use the right techniques to maximize your conversion rate and thus increase your online sales.
Conversion Tips for online retailers
In the past, the most important goal of an online retailer was to sell as many products as possible.
Not that this goal would ever change, because as an eCommerce businessman, you ultimately live on the proceeds from the items you sold.
However, there has been one trend in recent years: focusing on content since the content is believed to be the king of SEO.
Content with added value is on everyone’s lips and is the focus of many online strategies, says business ally.
Many online shops now have their own blogs in which specific topics are explained in more detail like FourCreeds.
Relevant content is not only informative but also creates real added value for potential customers visiting your online store.
After all, potential customers want to get to the right websites and webpages without much effort or navigation.
Take your customers by the hand and show with informative and unique content
Why you need to reevaluate your store.
Of course, your main goal is to achieve the highest possible conversion rate and thus increase your sales.
Minimize shipping costs
Shipping costs are a tricky topic in e-commerce and absolute conversion killers.
Cleverly include this factor in your marketing strategy to save customers from disappointment.
Customers often find it more attractive to receive free shipping than a 10 euro discount!
Techpally Studies show that many online shoppers abandon the purchase when shipping is associated with additional costs.
So the word free plays the decisive role here. For example, the effect of a single word lets customers switch from a competitor to your online shop.
From the customer’s point of view, free shipping is of course always the best option.
For you as an online retailer, this clearly has the disadvantage of lower margins.
So why not set a certain value limit and also clearly communicate that you are offering free shipping.
The desire to get something for free is so strong that customers tend to keep filling the shopping cart until the said value is reached, says businesspally.
Free shipping therefore not only promotes customer loyalty or increases sales, but also increases the conversion rate and offers you the opportunity to increase your sales.
Online retailers need to find ways to ship cheaper in order to win over potential customers.
Fear of loss is a topic that we have all had to grapple with at some point.
Did you know that this term comes from psychology and that the feeling of missing out or losing something weighs twice as much as the joy of receiving or gaining something?
Make use of this knowledge and use it to your own advantage. In reality, it can look like this: A car dealer will always sell the model with the integrated special equipment faster than the individual options in addition to the standard car.
If the special equipment is already available, potential buyers find it a kind of loss to acquire the car without the features such as air conditioning, seat heating, etc.
This phenomenon can be reflected in time-limited offers in your online shop.
For example, offer temporary sales promotions or signal a product shortage.
As nasty as it may sound, you generate a certain fear of loss in the customer and ensure that potential customers decide more quickly and easily to buy. Conversion and sales increase succeeded!