Double Your Conversion Rates With One Simple Tool
First of all, this post has nothing to do with how to lure more visitors to your site – no doubt we can help you with that as well, but today we are going to talk about how you can take the number of visitors that you actually do convert – and double it.
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Jim VestergaardCSO // VP of Partner Channel
+45 22 919 684
Many company websites see large amounts of visitors every single day, but still they fail to convert them from just being visitors to customers or leads. This is a problem regardless of whether you are a solution provider or if you run a web shop.
Let’s take a step back and compare the digital user experience to a real one. Let’s say that we are the proprietor of an old fashioned physical women’s clothing store in the real world, and let’s say we have 100 people visiting this store over the course of a day.
As a store owner, our subconscious Business Intelligence intuition starts assessing every single person as they enter our store. We will seek them out and ask them the questions in order to try and start a dialogue with them - do they look interested or confused when entering our store? Are they former customers or complete strangers? How can we be of assistance? Our goal is the help them find exactly what they are looking for, and to give them the best possible service by personally showing them the items that they are most likely to buy.
Basically, what we are trying to do is to be meaningful. If our visitors don’t have a meaningful experience inside our store, if the experience is not relevant to them and their needs, then they will walk right back out onto the street again without buying anything.
The conversion rate for a physical store that understands the importance of great service and a meaningful shopping experience might reach a number of around 20-30%, if not higher. These are not rare figures; they are actually pretty normal. Even rates of about 40-50% conversion rates are not uncommon.
Compare that to a digital web shop. The same women are buying what might as well be the same clothing products. But what many web shops fail to understand is storytelling; they can be very product oriented. If you tried to visualize a digital web shop in real life, most web shops would probably resemble dull and drab discount shops or giant outlets that feature a largely random stock of wares and a counter and nothing else. Web shops usually don’t make a point of exhibiting their products and brands the way a real shop would, and they don't present customers with a pleasant and personalized shopping experience.
Intelligence that converts
If we have 100 online visitors on our website, and everyone is anonymous, how do we generate the same kind of Business Intelligence that we can in real life? Many web shops will give the answer: “Well, we use Google Analytics”. Which is a great tool. It collects a solid portion of data from our visitors, it shows us some potential sales funnels, and it shows us our conversion rates. In our experience as a content and data provider, Google Analytics tells us that out of these 100 visitors, generally 98,5% will leave your web shop again without purchasing anything.
In the real world, we have conversion rates of around 20-50% in a store, but in the digital world, we have an exit rate of 98,5%.
This is because we have almost no intelligence on 98,5% of our visitors. We have Google Analytics and our sales funnels, but we have no concrete knowledge about our exiting visitors. We might have a lot of different data, but it is often too hard to turn it into anything usable. Many companies log into Analytics a couple of times every month to see if their curves go up or down, but to actually go in-depth with the digits and rates requires a lot of time and effort, and there is no easy way to directly apply this data to improve your marketing strategy. Google Analytics is an external system, and the numbers are too abstract.
With Aesir, we integrate our data platform so it becomes one with your website. We call this Aesir Context Marketing. Aesir analyses the behaviours of our 100 visitors and measures their engagement levels. Now, our users spend time looking at this kind of dress top, then they click the tresses category, then they filter products based on colour, and finally they decide what they want to buy, and will add our products to the cart. Aesir generates Business Intelligence by assessing the different visitors' engagement data based on their behaviour. Our system estimates which visitors make the most promising movements, and identifies the users that are most likely to buy a product.
Instead of having 1,5% visitors that we know everything about, and 98,5% visitors that we know nothing about, Aesir makes it possible to split the 98,5% into more than one group. Maybe 20% of our visitors were actually really close to buying a product. Maybe 35% were less close to actually buying, but still spent a lot of time searching for a specific product. Maybe 20% were even less engaged, but still made some key moves on our site that can give us an idea of why they visited it in the first place. And finally, only the remaining 23,5% were completely cold leads that exited our web shop almost as soon as they entered.
Get the most out of your visitors
Many web shops are far too focused on attracting new visitors. More visitors are fine, but if you can only convert 1,5% and essentially ignore 98,5% of your potential because you have no insight into their behaviour, and you do not communicate with them meaningfully, then you can spend endless amounts of money on marketing campaigns to attract more customers, but that won’t increase your conversion rates.
It comes down to spending your time and effort to target the users that already visit your webshop. To take advantage of the potential that is already there. But it also requires you to make the user experience on your website more meaningful for your visitors, and if you do not succeed in that, then you still won’t be able to convert them.
If you isolate the 20% of visitors who are “very close to buying”, and focus on how to make their user experience on your site more meaningful, you can potentially increase the conversion rate of your shop to 21,5% instead of only 1,5%. By actually spending your time and effort on analysing the information Aesir has collected on the 20% that are ready to buy, it will become possible to also increase your revenue by 20%.
Aesir tracks user behaviour and quantifies it using easily understandable metrics. This means your Business Intelligence is not just based on theories and assumptions that you make due to previous experience, but hard data. This allows you to observe your users' practical tendencies and react accordingly, turning their engagement into a set of rules so you can differentiate your communication based on each individual user.
If users visit a furniture shop looking for a sofa, and they pick a sofa made from light oak and add it to their cart, then with Aesir, we know what their material preference is going to be and how dominant it is to their decision making. This allows us to make intelligent suggestions based on that product – just the fact that we are able to show products based on preference instead of a random selection makes it possible to triple or quadruple our revenue by targeting these users.
Realize your ambition
This is the potential that Aesir unlocks. Make your content more meaningful for the users that you already have to increase the likelihood of them being converted when visiting. The crux of Aesir’s philosophy is to help our clients achieve this potential, facilitating growth for both of us.
With Aesir, you will be able to discover your unrealized potential, and you will have the necessary tools to start fulfilling that potential and drastically increase your revenue. Who can say no to that?
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