5 simple strategies to increase e-commerce revenue
The massive shift toward online shopping in the last 2 years has made e-commerce a critical part of most businesses, no matter what size. But just having a functioning online store doesn't guarantee a meaningful increase in e-commerce revenue.
There are many factors that contribute to increasing e-commerce revenue. A good place to start is the customer experience. Without it, your chances of boosting revenue are worse than returning well-worn sneakers for a full refund.
Here are 5 strategies that can help you improve the online experience for your business—and ultimately increase e-commerce revenue.
1. Know your customers
This sounds like a really basic concept. But when you think about the $37 billion in advertising that's wasted each year on ads that fail to engage customers, you get a sense of how vital this knowledge can be. Here are some basics to focus on:
Identify your target audience. Learn as much as you can about their preferences, their social media habits, and more. You can do this by conducting surveys or holding focus groups with customers. You can also analyze user testing data, asking questions like: What parts of your site are users' eyes most drawn to?
Remember the 80/20 rule. As a general rule, 20% of customers will bring in 80% of your revenue. So, make sure to identify those top 20% and why they buy from you, and then focus marketing efforts on attracting similar customers.
The more you engage these high-value customers, the more likely you'll see revenue gains—and lower customer acquisition costs.
2. Evaluate the tech that supports your business
When was the last time you did an audit of your systems? Take a good look at the tech components that make up your e-commerce business. There may be redundancies or inefficiencies that are costly. Check that each element is optimized for speed and convenience so customers experience as little friction as possible.
You can also use your site analytics to review site activity and spot any possible red flags, like landing pages with high bounce rates, navigation pathways that don't boost conversion, and any other place where customers drop off. The more your site causes friction for buyers, the less chance you have for gaining incremental revenue.
This ratio says it all: 9 in 10 consumers say that when they interact with a brand online, they want a convenient experience.
3. Refine your message
Many shoppers prefer to interact with brands that have a purpose and are transparent about what they stand for. Being upfront about your values is just one of the ways to make a genuine connection with customers on your site.
Take advantage of your About Us page. This is valuable real estate for showing how unique your business is and building trust with your customers. Ditch the boilerplate language and tell a meaningful story about what makes your business great. Shoppers will notice: They said in a HubSpot poll the About Us page is the second most important element for a business website—above live chat and product images.
If your business has a mission statement, make it easy to discover on your site. Also, review your site critically to make sure the mission is reflected in all the components on your website.
4. Review each stage of the customer journey
One easy way to evaluate the customer journey is to enlist employees or friends to shop on your site, and then learn as many details as possible about their experiences. The data and insights you collect will give you starting points for improving the online experience and increasing e-commerce revenue.
Pay attention to the site navigation. Is it easy to know exactly where you are, and what to expect if you add an item to your cart but want to keep browsing?
How consistent is the experience on desktop vs. mobile? If your e-commerce business is not mobile-optimized, you're missing an easy and important step that could help increase e-commerce revenue. Mobile sales make up an impressive 73% of all e-commerce transactions.
5. Make your checkout experience a top priority
Checkout is a major point in the customer journey where shoppers abandon their carts. Make an extra effort to ensure this crucial step is as frictionless as possible. Here are 3 ways you can start:
Enable guest checkout. Did you know 24% of consumers say the need to create an account is why they abandon an online shopping cart? A guest checkout option improves speed for shoppers, and it may actually inspire them to come back and register on your site when they have more time.
Offer several payment options. Shoppers want more choice in how they pay, including credit/debit cards, digital wallets, and buy now, pay later (BNPL) options from providers like Affirm. The benefits of offering BNPL with Affirm include an 85% increase in average cart sizes and a 20% repeat purchase rate—both of which help increase e-commerce revenue.
Get more great tips for optimizing your checkout from Bolt, an expert in delivering efficient e-commerce checkout experiences. This checklist is thorough and useful for e-commerce businesses of all sizes.
Providing a good customer experience is a cornerstone of e-commerce success. Enhancing your on-site experience will likely pay dividends that increase your e-commerce revenue, not to mention your customer retention.
See how buy now, pay later works for merchants, including how it can help increase e-commerce revenue.