6 Ways Conversion Rate Optimization Can Help Medium-Sized Retailers, Part I
Your website generates a lot of data – and that’s data you can leverage to garner more business for both your brick and mortar and ecommerce stores. This practice, called conversion rate optimization, can turn passive website users into active shoppers and advocates for your brand.
Conversion Rate Optimization, or CRO, is a process of using user data and analytics to improve how users interact with your website. CRO improves your chosen Key Performance Indicators (KPIs), such as new customer acquisition, newsletter sign-ups and more. In essence, it works to increase the number of active website users by converting passive browsers into those who move down the sales funnel.
CRO involves determining what users want when they come to your site and providing it for them. It’s a dynamic practice that can vary widely based on business type and the KPI you want to target. It can be something as simple as making a more compelling CTA (call-to-action) on your website or as complicated as a complete website overhaul to remove complicated steps that prevent conversion.
Why CRO Matters
A high conversion rate for your website means more business and also a better return on investment for your site in general. Statistically, it is also more cost-effective to convert current leads than it is to garner new visitors. Keep in mind, too, that CRO helps prevent attention fatigue by getting website visitors the information they need quickly, so they can take actions that ultimately lead to more purchases.
The right approach to CRO can help get the right customers to your website and improve your business outcomes. No one size fits all solution exists, and retailers have unique considerations for their CRO.
How CRO Can Benefit Medium-Sized Retailers
The right CRO strategy can have numerous benefits for the medium-sized retail business or ecommerce store. Here are a few to consider.
1. Understand Your Target Customer
Whether you sell online, in-store, or both, understanding what makes your customers tick is essential. If you know who they are and what they want, you will be better able to stock inventory that is relevant to them and market it well. CRO can help by providing data that your website naturally produces and leveraging it for improved targeting. It starts with conversion research and a basic understanding of how website visitors interact with your products. This helps you identify any bottlenecks in your sales funnel and improve your sales.
2. Garner More Customers Conversion
rate optimization can help convert current customers, but it also works to reduce the current cost per acquisition – a metric that all retailers must watch carefully. CRO improves the online shopping experience for e-retailers and increases visibility for brick and mortar retailers. When you provide a better online experience, you will naturally gain more customers from the people who are already visiting the site. 3. Increase Ecommerce Sales Conversion rate optimization can be a boon for medium-size ecommerce retailers. A slight bump in your CRO can mean an exponential increase in profit. Unlike advertising, CRO provides immediate benefits that tangibly improve sales.
4. It Draws on Your Current Efforts
One of the best things about CRO is that it works with what you already have. It helps assess your current website traffic and identifies places where you could improve to convert current visitors to your website. This is a more effective way of using resources, as your medium-sized retail store does not have the same budget as a large enterprise. CRO may require an upfront investment, but, once you make improvements, you will see the impact it creates on your bottom line. Unlike SEO, CRO does not work to drive more traffic to your site, it leverages your website data to turn visitors you already have into customers. Both are important, but CRO works with what you already have.
5. Stay Ahead of the Competition
Retailers who actively engage in CRO efforts will maintain a competitive edge. When websites more efficiently get customers the information they need, especially with digital natives, those websites will be the ones customers turn to again. Conducting business faster and more efficiently than the competition means you stay ahead of them.
6. Improve Your Perception
CRO helps legitimize your website and improves your digital reputation. When your digital storefront looks legitimate, shoppers are less likely to worry about security breaches and more likely to feel confident in their purchases.
Conversion rate optimization can help retailers establish trust, efficiently convert current website visitors, and improve the company’s bottom line. Medium-sized retailers should improve their CRO to experience better business outcomes and stay ahead of the competition. To learn more about conversion rate optimization and how it can help your business, contact us.