a 2-minute read
The term eCommerce conversion rate optimization is bandied around a lot, but do you truly know what it means? Do you know how to start putting it into action? If not, then you will know soon enough. Let’s jump into a quickfire explanation of conversion optimization.
What is conversion rate optimization?
The basic answer to this question is that it is the process of increasing the number of visitors to a website or other touchpoints that actually make a purchase. Taking this step of hitting ‘buy’ is also known as making a conversion and it’s when a lead turns into a customer.
Simple enough to explain, but it can look very different in practice depending on what you’re optimizing, what industry you’re in, what your target market is like, and what kind of product you’re selling.
What is the purpose of conversion rate optimization?
Conversion rate optimization is not about giving your website a slick new look and hoping sales will go up – although a good design will help. The real purpose is to understand every element in your customer’s buying journey.
Every step and interaction that leads and customers have with your company – every page, every ad, every email – should be working together to drive your customer closer to .making a purchase. But it doesn’t end there.
Even after the purchase, their customer journey continues. You can continue to make conversions from the same customer by converting them again into a repeat customer, a referring customer, and an evangelist for your company, product, and brand.
Your website, landing page, product page, checkout page, and so on are all just steps in your customers’ overarching buying journey. It’s optimizing each one of these steps that will get you big conversions and make you real money.
That’s where the real purpose of conversion rate optimization is: in testing and fine-tuning your customer-facing touchpoints to have bigger effects further down the line.
How can we put conversion rate optimization into action?
In order to truly optimize conversions in your business, you need to understand how all of the moving pieces in your business are working together. It’s only when you understand how all of your marketing and sales elements are working together that you can identify the success and failure points within your business.
Once you have these obstacles identified, you can begin to test, improve, and optimize not just for performance, but also for revenue, sales, and the life-time value of your customer.
Any optimization needs to start from reliable data and clear areas for improvement. Start with one and work from there, so you don’t spread yourself too thin. As you build on optimization for different areas of your website and company, you will see the effects of building up more and more.
If you need help identifying those areas for improvement or aren’t sure how to go about gathering that vital data, we are always ready to be of assistance.