Optimize Your Conversion Rate
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1 Optimize Your Conversion Rate Best practices Tetyana Franke, Business Unit Manager
2 Conversion rate is the ratio of visitors who convert casual content views or website visits into desired actions.
3 On-Site Optimization
4 Keep the navigation very simple on your page The more options or confusing your page is, the worse your conversion rate will be. That s why you see many sales pages with almost no navigation at all. Get the point as quickly as possible Give proof for anything you say Your visitors don t believe you. Give them facts, samples, videos, and demos. Show checks, charts, endorsements, etc. If you can t back it up, they don t believe it.
5 Check your page load speed On long sales copy sites, you may want to break up your tables with one table up top with a page or so of your text, and the rest in a second table. The top table will load up first. Have a potential customer go through the site for you. Is there any parts you ve missed? How can you better explain it? Is there anything they don t understand? Have a second opinion from another content writer. It s very easy to miss something on your own sites. That s why you should always have another content writer take a look.
6 Product Proposition Offer basic and deluxe options to your offers While this may or may not increase your conversion, it will increase your income per visitor. Some will choose the basic. The ones who choose the deluxe boost your profits. Use bullets whenever possible to describe your offer benefits. Very few people read online sales letters. They skim them so use bullets, sub-heads, graphics, etc. to keep pulling them back in. Restate the offer and guarantee on the order forms. Shopping cart abandonment is always an issue. Do your best to curb this by making the offer again on the order form.
7 Product Proposition Offer cross- and upselling, outstanding guarantees On average, 20% of cross-sell offers convert and a properly designed upsell will convert at 50% on average. Many companies offer full money-back guarantees. You can offer double your money back guarantees, keep all the bonuses guarantees, etc. Offer a guarantee that s unusual! Use audio and video to demonstrate use of your product This has to be tested, but well done video demos of the product will often improve response. Test headlines, intro paragraphs, graphics, pricing, etc.
8 Product Proposition Price and Rate Models Services Dynamic prices: The price depends on supply and demand side. This pricing model can be used for additional services like support services. Dynamic means that the prices vary during a period depending on supply capacity and demand on the consumer side. Prices can also be used to allocate service classes to different uses and recover costs of providing services. Support service classes: A-customer, AA-customer and AAA-customer
9 Product Proposition Price discrimination Price discrimination is aimed at different types of customers. An example is to offer students and educational institutions a discount. By selling goods to people and using point-to-point technology, it is possible to arrange multiple and even personalized prices. Personalization is an important concept in Electronic Markets Theoretically, it assumes the customer s willingness to pay and extract the full value of his or her consumer surplus. Personalization technologies significantly increase the ability of sellers to employ first degree price discrimination Methods include segmentation by geographical (IP address) or demographical criteria (age, users of a certain hardware).
10 Product Proposition Versioning Versioning is an opportunity to create a new product line with very low costs. It is a part of vertical price discrimination Goal is to create qualitatively different versions of software. Various empirical investigations recommend to offer 3 instead of 2 versions, as the average customer will most likely opt for the middle version.
11 Product Proposition Our experience on pricing The pricing structure of multimedia software and utilities shows clearly that the representative price is USD (for multimedia, standard solution) and USD (for utilities). Different price groups can arise from the fact that there are different versions available (pro, standard, suite). Multimedia software and utilities software is difficult to classify because there are several versions and special price strategies. A lot of software companies prefer subscription billing to fit their customers needs. Apart from this they offer suite-versions to combine products of product families.
12 Shop Optimization Make the checkout process simple with as few clicks as possible The more pages you add in between the sales page and checkout, the more dangerous your sales process becomes. Collect opt-in leads and follow-up At least get their address. Get their physical address and phone number for even higher response. Keep the navigation very simple on your page. Offer different payment options or even a try before you buy offer (30 days) Display safe shopping logos If your product is high ticket enough to pay for live support, run a live support button on the website and have your operators actively contact the visitors. Add more testimonials. The closer those testimonials are to your target audience, the better they are. Your visitors want to see testimonial from people just like them.
13 Shop Optimization Marketing: be different! be relevant! be credible! 5% to 10%+ lift
14 Off-Site Optimization Overview - Optimizing Your Conversion Rate Search is the most effective acquisition tactic, but is most effective overall! Source: Forrester 2009/2010
15 Off-Site Optimization Overview - Optimizing Your Conversion Rate is the most successful tactic overall! Source: Forrester 2009/2010
16 Off-Site Optimization Overview - Optimizing Your Conversion Rate Source: Forrester 2009/2010
17 Off-Site Optimization Overview - Optimizing Your Conversion Rate Segmentation tops the list! Source: Forrester 2009/2010
18 Optimizing Your Conversion Rate Recommendation Things to consider Consider alternative offering and marketing methods (for upgrades, subscriptions) to raise customer retention Use volume licensing to reach new customers in appropriate market segments Flexibilize offers to target new markets Offer various support service classes to address differing customer needs Use discounts and promotions to build reseller and affiliate channels for your products
19 Optimizing Your Conversion Rate Recommendation Seasonal pricing drives revenue in high-demand periods Know your software s worth in your channels to increase your conversion rate effectively Raise AOV and your bottom line Optimize your business by combining your strategies
20 Thank you! Your questions?
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