E-commerce companies focus heavily on hitting their desired conversion rates and increasing their quarterly revenues. However, many of these companies track basic information like daily traffic while ignoring crucial analytics such as purchases and conversion rates. In fact, only half of e-commerce businesses bother tracking main conversion points. In order to make better use of analytics and improve your e-commerce conversions, you may need to make certain changes. UXAX covers three analytics-based techniques that can lead to substantial improvements in your conversion rates.
Most companies use analytics data to personalize online promotions for their customers. For example, some companies track the locations of their visitors. Using these users’ location-based preferences, they can create on-site promotions tailored to their needs and interests. Besides location-based analytics, you can also collect data on interests, personal demographics like sex, age and race, behavioral patterns, and more to create personalized promotions for your target visitors.
You can also combine or blend different analytics for maximum effect on your promotions. In Google Analytics, for example, there is a provision for cross-referencing geo-location and measurable data on mobile usage. By combining data on these two aspects, you can do many things at once with your promotions, such as customizing services on the basis of tracked IP addresses and mobile-based data.
Email promotions still remain one of the key tenets in e-commerce marketing campaigns. Email marketing, especially when infused with data-centered personalization, can be extremely effective in increasing conversion rates. To properly personalize your emails, you will need to go beyond the common practice of including a subscriber’s name in the subject line.
Under Google Analytics’ Terms of Service, website owners are allowed to store personal customer information including their names and emails. By monitoring the behavioral patterns of the customers based on this information, you can easily identify when the best times to send out your email blasts are. Additionally, such data from Google Analytics can help you identify your A-list customers. Once you identify them, you can customize your emails that personally cater to their interests and needs.
However, data analytics from Google has its limits. To get down to the customer’s level and personalize your email promotions in an empathetic manner, you may need to invest in additional data analysis software. For example, the MailChimp tool can be used with Google Analytics to track email marketing actions. When you combine MailChimp with Google Analytics, you can track actions such as the opening of your email:
Many e-commerce companies are increasingly investing in this space, using their special data analysis systems to track customer information including their birth dates to send personalized birthday wishes via email. Some companies even go as far as sending birthday discounts and free coupons via emails.
A case study on Restaurant.com exemplifies just how effective personalized email marketing can transform your conversions in a great way. By doing away with generic emails and switching to personalized emails that were based on behavioral data from analytics, Restaurant.com reportedly witnessed a growth in their revenue per email by a whopping 900% in just 12 months.
To create personalized and dynamic pages for your site, you need to gather data on customer purchasing behaviors, browsing trends, and general insights on their likes and dislikes. Google Analytics offers e-commerce product reports and insights, including:
Using such data, you can then create dynamic and data-driven product pages that personalize experiences for your visitors, such as giving recommendations based on their purchasing behaviors.
Amazon is a befitting example of how this strategy can work miracles for your e-commerce website. Typically, Amazon records every single action taken by visitors on its pages, including clicks and page visits. Based on that data, Amazon ensures that the user experience is tailored for each visitor in a dynamic way that takes account of metrics like purchases, browsing behavior, and product searches. Through this personalized shopping experience, Amazon maximizes the chances of achieving their desired visitor conversions. As a result, the company has made $543 in revenue per user. This is the highest number among all online retailers.
After you sign up for a Google Analytics account, you can start practicing the 3 techniques we have covered. You can also experiment with other data analytics tools on the market. Experimenting with different programs allows you to become more comfortable working with data analytics before moving on to more powerful analytical tools. For more tips on growing your conversion rates and making the most out of your data analytics, check out more UXAX insights now.