E-commerce, although it may seem more accessible than traditional marketplaces, is more complicated than it sounds. It comes with lots of responsibility for the sellers. It is a heaven for customers but hell for sellers. Because lots of customers come to visit the shops, but fewer people buy products.
Sellers need to put continuous efforts into their e-commerce store to attract more sellers and boost their conversion rate. The conversion rate tells how much profit their store earns them.
One of the best ways of boating this conversion rate is to utilize email funneling. What is the email funnel and conversion rate? How can you boost it? That’s what we’ll find out here.
What is the Marketing Funnel and eCommerce Conversion Rate?
An e-commerce marketing funnel is the process of marketing that your store’s potential customer goes through to finally turn into a customer.
An E-commerce marketing funnel can be divided into the following steps.
Awareness is the top/ first step of the funnel when a potential customer visits your store and becomes aware of your brand. Consideration is the middle part of the funnel where a customer begins to consider some product for purchasing. They start to show interest in your products.
Next is the decision stage, where the customer starts evaluating their choice. In this stage, they will break down every offering of the products to make a decision. You can showcase all the features of each product to help them in making their decision.
After making their decision, they will purchase the product, and that is the next step. Some marketers combine the decision-making and purchasing steps and name it the consideration step.
After this step, the funnel is over. But you can add another step called retention, where you try to keep your old customers loyal so that they will buy from you again.
Conversion Rate/ Conversion
The conversion rate tells how much of your visitors/ potential customers are turning into your customers.
As an e-commerce owner, you must know that the amount of visitors on your webpage is triple or more than the number of your actual buyers. The ratio between them can be referred to as conversion rate. The higher his rate is, the more profit your business will earn.
The process of turning a visitor into a customer can be referred to as conversion.
Why is Conversion Important for Any eCommerce Business?
Why is conversion necessary for any e-commerce business? The answer is simple — revenue and profit. For this reason, conversion is vital for both e-commerce and traditional businesses.
When a visitor in your store buys from you, you generate revenue, giving you profit.
There are some cases where a business has reduced its product prices to break even to make visitors purchase them. Breakeven means no profit. Then what is the meaning of that conversion? The answer to that is retention.
If the customer likes that product, they will come and purchase it from you again, and this time, you can charge the actual price. This follow-up sale will likely continue, and your business will earn profit.
This profit will allow you to expand the business more, which is why conversions are essential for e-commerce marketing.
Strategies for E-commerce Funnel for Increasing Conversions
By now, you have already understood that the E-commerce marketing funnel is directly related to conversion. Conversion is a part of the marketing funnel.
So, you need to improve your marketing funnel strategically for boosting conversion. S here is a handful of marketing funnel improving tricks to help you with your business.
Use Marketing Automation
As you have seen, the first step of the marketing funnel in eCommerce is awareness. In this stage, you work to make people aware of the existence of your brand.
So, the more significant number of people you can reach to make them aware of your brand, the greater the number of visitors you will get—the greater the number of visitors, the greater the chance of a high conversion.
The best way of doing that is to use marketing automation like white label email service software. Marketing automation will use various techniques to generate leads and gather email addresses, including your current visitors.
If you can effectively implement marketing automation in your e-commerce site, you can reach thousands and more customers with just one click.
This will boost your marketing reach, awareness and the conversion rate will increase.
Use Social Media
Another best way of improving your brand reach is to utilize social media sites. This is another excellent place to reach more people. You can share Instagram posts, generate beautiful tweet screenshots and use it on different platforms, and many more tactics to increase engagement.
To do that, open up a social media outlet of your business and implement any automation feature you can in there. You can include automation like chatbots etc.
You will also need to promote content and offerings from that social media outlet and boost those posts to reach more people. This way, you will attract people from both emails and social media.
“Everything you do on social media should be measured and analyzed so you can understand the performance of your efforts and improve in the future. Each social channel provides social media metrics to help quantify your performance.“
The value proposition is part of the awareness and consideration part of the marketing funnel. Value proposition means to tell your customers/ visitors how your product can help them.
You can use reviews for it or use self-made banners with the product to promote its value. Get creative with it. But be sure to be clear about what the products are really for and present it so that your visitors can understand everything about it in a blink.
If your visitors can understand the value proposition of your brand and the product you are selling, they will move on from the top part of the funnel, awareness, and move to the next part that is a consideration.
Enhance your website UX
Another suggestion for boating your conversions is to enhance the UX of your e-commerce site. UX means user experience.
If your website interface can connect with the mindset of your visitors, then they will be encouraged to check out your web page frequently, and the sales will go up.
You may not know what your visitors are thinking, but you can use your imagination to improve the look of the webpage or Shopify custom product pages.
For example, include different angle photography with background context for all products. Include a product description for every product you sell. State the value proposition of each product understandably.
Also, categorize every product on your website. Bringing these small changes can significantly improve the user experience. It will serve you in boosting conversion and retain customers for the experience they had shopping from your site.
Many visitors will come to your website and sign up in the newsletter for one thing. Future discounts and offerings. This brings us back to the question of profit. Should you occasionally reduce the price to break even for generating more sales but less profit (or no profit at all)?
Actually, yes, you should. You should provide discounts, but that does not mean you should price the product on a break-even. You can give the discounts by like 10% or something near that amount.
This will reduce your profit, but occasionally. Because if the customers like the product and need it again, they are likely to come back to you for it. Then you can charge them the actual price, and they will still buy it. That is because you have managed to earn their trust. So, they will trust you and buy from you again. These follow-up sales will increase your profit. This trust will also retain old customers. More customers are included to encourage them and is equal to more profit you will earn.
So, provide discounts occasionally.
One of the best ways of connecting with your customers and telling them about your e-commerce brand is to promote content about your business.
You should prepare content about your products and services. You can use your customer reviews and build content around them. The focus of those contents will be to make readers aware of your brand, product and build trust among them so that they are encouraged to visit your e-commerce site.
So be sure to insert hyperlinks to your e-commerce site. Or links to the product you are writing your content on. You will also have to ensure that the webpage loads at a decent speed on any platform. Otherwise, the readers will lose interest and go away.
So, these were the strategic steps that you need to follow and implement in your e-commerce marketing funnel to boost conversions.
E-commerce is a very competitive marketplace. It is a heaven for buyers but hell for sellers because there are so many competitors.
So, you must approach the market strategically. Your goal is to increase your conversions. The best way of achieving that is to refinish the way your email marketing funnel works. S follow our steps, and you will be able to boost your conversions.