Jun 1, 2018
One main goal for every eCommerce seller should be to increase your buyer’s average order value. Everyone knows there are three basic ways to make more money from your business. You have to get more customers, get those customers to buy, and then get them to buy even more. On this episode of Marketing For eCommerce, we’re going to focus on getting those customers to spend more and increase their average order value by following 3 main strategies. These insights will change the way you sell online forever, so don’t miss this episode!
The average order value is how much money your company makes per sale. This figure is far more important than the upfront value of the products. When you are able to determine how much profit each sale brings in, you then can determine how much money you can spend on getting the customer to make the purchase.
The real eCommerce winners are the ones who can spend the MOST on acquiring new customers, not the least. THAT’S how you suffocate your competition. Increasing your average order value is one of the best ways to grow any business. You don’t want to miss these insights, so be sure to listen!
It is critically important for eCommerce sellers to send first-time customers directly to a click funnel during their first purchase. Funnels out convert any storefront 3-1, and they allow you to introduce products to a customer that are highly targeted to their needs and preferences.
A funnel after a first purchase prevents a customer from being overwhelmed with too many product options and abandoning the sale. Your goal in using click funnels to increase average order value is to give the customer every opportunity to say, “Yes, I want to buy!” Using click funnels is an art and a science, and I walk you through the process on this episode of Marketing For eCommerce. Listen now!
Also known as order bumps, pre-purchase upsells are the digital version of the popular, low price items found near cash registers in grocery stores. They’re popular items that must be congruent to the main purchase. With well-designed order bumps, the take rate can be as high as 50%! That’s why eCommerce sellers need to be utilizing this strategy.
Order bumps must be easily clickable, with phrasing such as, “Yes, add to order!” When selecting which items to include in an order bump, keep in mind which products are the most profitable on their own. When added to an already substantial cart, your average order value skyrockets.
After going through a click funnel and being exposed to pre-purchase upsells, the last strategy is to utilize post-purchase upsells. Also known as one-time offers (OTOs), these are offered after the customer enters their payment information and are presented as limited time special offers. You can also consider having a second post-purchase OTO - offered a discounted, last chance rate - if they say “no” the first time.
When using these OTOs you have to be careful not to overwhelm your customer. Stick to 2 post-purchase upsell options and you’ll see your average order value increase. To hear the full story behind these successful strategies be sure to listen to this episode of Marketing For eCommerce.
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