5 Data-Driven Steps to Improve Customer Conversion Rates

February 18, 2015
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Customers are the lifeblood of your business, but winning new ones can be hard in a competitive ecommerce landscape. Earning customer loyalty and driving repeat purchases should be a goal of nearly every decision your company makes. Brands like Amazon have mastered the art of encouraging repeat purchases. In fact, 66% of Amazon’s sales are from existing customers because they optimize for returning visitors.

Customers are the lifeblood of your business, but winning new ones can be hard in a competitive ecommerce landscape. Earning customer loyalty and driving repeat purchases should be a goal of nearly every decision your company makes. Brands like Amazon have mastered the art of encouraging repeat purchases. In fact, 66% of Amazon’s sales are from existing customers because they optimize for returning visitors. As for the rest of the industry, the average number of repeat purchases is only 7%.

Amazon-level analytics and data-driven capabilities should be available to businesses of all sizes. Whether you’re looking to win new customers, build loyalty amongst the customers you already have, or both, below are a few actionable ways to sell more online no matter your company.

Keep Customers Moving Through a Purchase Funnel

Does your purchase funnel data show people are visiting your site, but only a few are buying? Limited-time sales and discounts are a great way to drive conversions. Not only will they create a sense of urgency, but they may also give you a chance to liquidate inventory.

Identify Big Spenders and Keep Them Coming Back

How targeted are your customer communications? You can improve your customer segmentation and personalization based on their purchase behavior. Give your best customers the royal treatment, and engage them in loyalty programs.

Pinpoint Inactive Customers

Do you have customers that haven’t purchased in a while? It is a lot easier to drive revenue from your existing customers than it is to win new ones. Bigcommerce Analytics can help you zero in on customers that haven’t purchased in a while so you can use offers like free shipping or credit toward their next order to win them back.

Win Increased Lookalike Customers

Does Pinterest or Facebook bring you more customers or quality leads? Which ones spend the most? Once you know the answers to these questions it is important to optimize your marketing budget so that you can focus on channels that matter the most. Be sure to lead social campaigns with best selling items or use them as a way to introduce seasonal favorites.

Identify Which Products are Trending in Real Time

Which products are selling the most right now, and how can you use that information to acquire new customers? Your rockstar products are your top performers, and they drive the most conversions which makes them ideal for new customer acquisition campaigns. Feature your best sellers on your homepage, in emails and in paid social ads to help your customers make purchase decisions. Where possible, use social proof to reinforce your existing customers’ connection to the product. Want to learn more? During our 15 minute webinar, we’ll show how you can use Bigcommerce Analytics to improve conversion rates and make the most of every visitor. And don’t forget, all Bigcommerce Analytics reports are in free trial until March 6.