Metrics for e-Commerce Stores – Conversion Rate and Value ladder

When you own an eCommerce business, it is likely that you are worried about the conversion rate on your site and wants to make the most of it through several platforms. An online business craves for converting its traffic to clients and spend and most of the time improving on it, which is not wrong at all.

But do you know if you are doing it in the right way? Or you may be missing what is probably more important.

By Conversion rate, I meant the percentage of new unique traffic that comes to your site and makes their first purchase. This also counts the visitors that emerges from numerous paid campaigns you invest in.

As a marketer (you wear this hat too :)), you must have come across terms like Backend and Frontend sales. A Frontend is a sale which is the one from the initial offer, i.e. which converts a prospect into customer and Backend sales is one which the customer follows up and buy products after the first buy.

Therefore, if you look at the image above, it emphasizes that you need to have an initial offer which is valuable enough to drive the customer to your store and buy more items.

You should invest time in introspecting few elements of your business and think about what is ideal for your business growth?

I have compiled a few questions that every e-commerce business owner should look at. You can email me ([email protected]) the answers to following questions/post a comment on this post –

  1. What is your industry conversion rate and what you can do to improve the conversion rate?
  2. How to have an unlimited marketing budget; especially if you are a small business owner?
  3. Do you know how to improve your ROI even without improving conversion rate, and do you have a defined value ladder?
  4. Do you have the answer to following variables for your business?
    • a) Demographics
    • b) Offer
    • c)Landing page
    • d) Traffic Source
    • e) Ad copy
  5. Do you measure your marketing spend/do you have a marketing plan?
  6. Have you ever done an Audit of your webstore and what is the digital marketing plan you have for 2018? Remember if you “Fail to plan, you plan to fail”.
  7. The most dangerous thing is to reinvent the wheel. Do you agree?
  8. What is the best eCommerce platform (like NetSuite, Shopify, Magento, Volusion ….) and which platform are you using?
  9. How can you drive traffic to your store?
  10. Have you invested in optimizing your webstore to get maximum results?

 

A little time spent on answering these questions can save you much more in the long run and you will be able to run your online business successfully from day one.

2017-10-03 13:36:02

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