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How To Monetize Your Digital Ecommerce Solutions

How To Monetize Your Digital Ecommerce Solutions

Are you running your ecommerce business with success? Anyone can set up an online store. But it takes more than a domain and product to succeed in today’s competitive commerce landscape. First, you need to fulfill your operational needs. This includes multiple software and solutions like CRM, business intelligence, accounting software, analytics, and more. In addition, these solutions need to be integrated into your ecommerce site to increase efficiency and provide a seamless customer experience.

Does your current platform have these capabilities? If not, you’re likely stuck using multiple systems on different platforms to accomplish tasks. The truth is that most of these things can be automated and streamlined with a single system.

 

BLOG3-13[33]The Proven Formula To Increase Ecommerce Revenue

We’ve covered the essentials of third-party integrations, but they mean nothing if you don’t have the formula to increase revenue. Our article Choosing The Right Ecommerce Platform discussed the integrations used to create an exceptional shopping experience and streamline back office operations. Here, we’ll discuss how to translate these integrations into revenue.

This simple equation for increasing revenue helps put all the moving parts into a plan of action. Let’s monetize your solutions and create room for growth and scalability. Below, we discuss how and why this formula works.

kensium revenue equation - revenue = traffic x average order value x conversion rate x frequency

Let’s see how this equation helps create a winning strategy to increase revenue and help you grow your business.

Increase Traffic

Increased traffic helps your site rank higher in search engine results, but more importantly, it leads to increased engagement. So, if you see an increase in traffic but your conversion rates are decreasing, it’s time to evaluate where the traffic is coming from and why they aren’t converting.

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Free Ways To Increase Ecommerce Traffic

Optimizing your website is a great way to increase traffic without spending money on paid ads or business listings on things like Google Ads.

Calls To Action

Strategically place buttons within your content to encourage visitors to engage with your site. For example, buttons offer additional information like reading more, contact forms, downloadable assets, and discounts.

On-Page SEO

SEO is one of the most talked-about and misunderstood ways to increase traffic and help you rank higher in search engine results. The most effective on-page SEO element is your Meta Description. This is the text that describes what a web page is about. In 150 characters or less, describe what information the page provides.

Guest Blogs From Influencers

Find an industry influencer to publish a blog post on your website or turn an interview with them into a blog post to drive traffic through both organic search and the influencer promoting the content to their audience. You can also ask the influencer to mention your business in a review or round-up post. Make sure you collaborate with the influencer so the exchange is mutually beneficial.

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Paid Ways To Increase Traffic

Pay Per Click (PPC) is a great way to increase traffic. First, determine your budget for paid ads, then find the right channel to pursue. The marketing channels you select should be based on your industry. For example, if you sell professional services, Facebook is likely not the right channel. Instead, advertising on LinkedIn is more cost-effective.

Google Ads

Google Ads puts your page (usually a landing page) at the top of search results for specific keywords. Google bots look at all accounts bidding on the keywords and displays and rank the paid results according to the quality and relevance of the ad. This exposure is a great way to generate traffic to your website.

Social Media Advertising

Many social media sites offer paid advertising, so your site shows up first for relevant searches and feeds. In addition, social media advertising lets you specify the type of audience you want your ad to appear to and create multiple ads for different audiences.

Retargeting Ads

These paid ads appear on websites or on social media feeds. These ads are shown to people who have visited your site at least once and are more likely to return.

Increased Average Order Value

Average Order Value (AOV) plays a huge role in long-term business growth and success. Many factors influence AOV. Some of the most important ones are the value of your products, pricing, and how your pricing compares to competitors.

Free Shipping At A Purchase Threshold

You’ve probably seen websites offer free shipping for spending over a certain amount. This passive income stream increases AOV and engages customers to purchase additional items and return for other purchases to take advantage of free shipping.

Product Discounts

Discounts may seem counterintuitive to increasing revenue, but just like free shipping, they create a purchase amount threshold. Offer a percentage or dollar amount discount after your customer spends above the threshold. For example, $10 off when they spend $75.

Display Cross-Sell And Up-Sell Items

Cross-selling shows an item a customer may like different from the product they’re viewing. For example, if you’re selling a pair of jeans, display recommended accessories like belts and tops to pair with them.

An up-sell encourages customers to buy more expensive items or additions to increase average order value. For example, if you sell electronics, offer a warranty to protect the customer from spending additional money to repair or replace the item.

Optimized Conversion Rate For Ecommerce

Increasing conversions is the ultimate goal of any ecommerce website. If you’re getting a lot of traffic but not converting visitors into paying customers, the traffic isn’t providing value to your bottom line.

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Ways To Increase Conversions

Increasing conversions is the lifeblood of your business. Converting website visitors into customers relies on relevant content, an easy-to-use website, and offering the best value at the best price.

User Experience

Design your site for your customers, and create a rich experience with images, relevant content, interactive components, and clear calls to action. Unfortunately, website visitors leave websites that are hard to navigate and don’t provide the information they need to make a purchase.

Content

Relevant content is the number one way to increase conversions. People don’t just look for products. Investing in creating relevant content increases opportunities to highlight ways to use your product and how the customer feels after purchasing and builds credibility by establishing your brand as the industry leader.

Pricing vs. Perceived Value

Position your products in a way that makes them unique. For example, because customers generally compare the value of a product after using it, they pay more if the perceived value is presented before the price. So show your customers the actual value they get after using your product.

Flexible Payment Options

Offering alternative payments increases sales by letting customers pay the way that works best for them. PayPal is the current leader in online payments, but many more options exist. Look into accepting payments through mobile apps like Zelle, Venmo, and CashApp, to name a few. As we move into the future of ecommerce, taking crypto payments, installments, and lease-to-own are becoming more popular.

Frequency

Frequency gets customers to return and buy additional products, subscribe for recurring purchases of the same product (think personal items or pet food), and just generally rebuy products.

Ways To Increase Frequency

Customer Experience

Providing an exceptional customer experience is a great way to get customers to repeatedly return. Creating this customer experience combines elements from above and adds support, post-purchase thank-you emails, and more.

SMS Marketing

We live in a digital world, and texting is the go-to form of communication for many buyers. Creating personalized and engaging experiences through SMS Marketing increases the chance of people going to your website to purchase. SMS can be used to offer exclusive deals, promote products, and notify customers of sales or discounts. SMS can also update fulfillment and shipping once an order is submitted.

Simple Checkout

Create a checkout process that is easy to follow. Some people like creating an account for purchases. Others want to just checkout and go. For those that create an account, there are tools to provide a one-click checkout using the payment method of their choice. The easier it is to purchase an item, the less likely a customer will abandon their cart.

Put Your Ecommerce Plan Into Action

Monetizing your ecommerce solutions is a complicated task to take on by yourself. You may already be utilizing some of the tools we’ve shared, but if you do not see the results you want, it may be time to find a partner to do the leg work! This way, you can stay focused on growing your business.

Kensium has a team of consultants, solutions experts, developers, and marketers, to help you navigate and conquer your ecommerce goals. Let us help you find the right solution for your business and the integrations. Start converting visitors into returning customers TODAY!

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