How We Doubled Revenue, Increased Conversion Rate by 167% and tripled transactions in three weeks. Why Ecommerce Goals and Google Analytics and Google Tag Manager are crucial to any Ecommerce Store.
Data, metrics, and insights are the foundation to a good performing Internet Marketing Campaign or E-commerce website. Analysis, optimizations, and conversion rate changes need to be determined and gathered prior to making data driven decisions.
If you are thinking “How critical is it to have Google Analytics Ecommerce Goals or an Analytic software in general, the answer is: 100% necessary. Your Ecommerce Platform allows you to sell your product, but the analytics data allows you to Grow Your Product while finding ways to scale.
Whether your website needs more sales, more leads, more conversions and more people going Through the checkout process, it is essential to keep track of every single click in order to improve the customer’s experience and increase your bottom line.
The client in this case study has had an Ecommerce Store/ Brick and Mortar store in the west coast for over two years. Online, the campaigns had not been running smoothly so he had contacted an advertising agency to run paid campaigns. After paying an agency fee and wasting money without any good ROI, Perconvly decided to help his Ecommerce Store construct a growth/online marketing strategy (start date: second week of June)
Before we get started, see this case study’s key takeaways
- The importance of focusing on Returning Visitors
- Multi-channel approaches help out for better performance
- Measured Data = More Budget per great results delivered.
- Ecommerce Conversion Rate Increased by 167% in 3 weeks
- Doubled Revenue in three weeks.
- We Tripled Transactions in less than three weeks
The picture above shows 19,445 sessions with 80,919 page views and average duration side close to 3 minutes. Bounce rate of 57% and an average of session of 4.16. Potential customers landing on the site have identified with the product and want to see that this Ecommerce Store has to offer.
Perconvly, took on this account the last two weeks of June in order to help out with their Google Ads efforts, as well as providing SEO strategies to keep on increasing organic traffic. Previously, to Perconvly starting on this project, this Ecommerce Store/Website had not seeing profit from their organic nor paid search search channels in more than 3 months.
The graph, shows a decrease in sessions in the second week of July due to the website going through a major redesign which resulted in over 30% of product pages having incorrect URLs and 404 errors. The same issue occurred for three days in mid july as 50% of all product pages did not work. Therefore, causing paid efforts and organic results performance to drop for about 72 hours. (Note: Perconvly did not handle the website redesign)
To compensate for this mistake that affected revenue efforts, brand campaigns and working pages without errors had to be boosted to maintain the crisis. A coupon code was implemented in order to maintain good user experience. Many of these visitors would have changed their thoughts about the brand if they landed on a page that did not work. However, we will dive into the importance of these returning visitors in a little!
Importance of Setting Ecommerce Conversions and Google Tag Manager.
Ecommerce Conversions and Google Tag Manager were installed the first week of July per the client’s understanding of opportunities being missed. This is key an essential in order to track product performance, product average value, and value per transaction.
Previously, this Ecommerce Store had been managing their data with their eyes closed without not even knowing their best selling items nor how much they were producing per month online. Most importantly, they had no idea what was their Return on Investment from Paid Channels.
Per the graph above, the client was doing fairly poor with their online performance, and getting about one online transaction per day. Actual products sold on this website are pretty great which are easily consumed. Therefore, increasing the chances of bringing in an incredibly high Customer Life Value per user. We have estimated that customers have the ability to purchase 4 to 6 times per year on this Ecommerce Website.
ROI was actually negative from Google Ads and Product Listing Ads. With a very low investment of $750 per month plus an agency fee, it was easy to see why the client was fed up as his campaigns were missing low hanging fruit opportunities from sitelink extensions, call out extensions, incorrect landing pages and no remarketing campaigns (ability to show different advertising messages to the customers that have already visit your website) established.
Ecommerce conversion rate was at 0.14%, far below the industry average of 1% the first 10 days of the month. After finishing the month and correcting efforts, Ecommerce conversion rate increased to 1.59%, a 167% conversion rate increase.
Ecommerce Conversions were able to provide us the ability to start tracking crucial metrics to improve the website’s performance. It was crucial to start setting benchmarks to evaluate versus the upcoming months.
Per the first 10 days of the month, the website had generated $1,188 dollars in revenue, averaging $118 dollars per day. At the end of the month, the website brought in $7,353.76 dollars averaging over $245 dollars per day.
With this information, the website will be able to compare transactions, ecommerce conversion rate, revenue, average order value and the unique purchases for the next couple of months. The website can even set these new metrics as benchmarks while always comparing at the end of the month or quarter to see actual vs.growth.
Adwords Attribution Modeling + Revenue Per Channel
Per the graph above a Last Adwords Click Attribution Model, with a low investment of $278 (Budget Perconvly Managed) vs. $750 (June budget handled by another agency) the client was able to get a Return on Investments of more than 450% . Day parting campaigns, retargeting, creating new ads, structuring campaigns, split testing ads, and running best practices techniques contributed to a tremendous result of more than $1,300 revenue vs. no revenue the previous months.
Revenue could have been much higher with higher ticket selling products. However, the majority of the times on this page range from $6 dollars to $13 dollars. Even though the average price per cart is around $66 dollars, it means customers land on a product page, and finalize the checkout process with multiple items added to cart.
Position Based Attribution Model
The Position Based attribution model is used to demonstrate the power and importance of a well developed SEO strategy. Perconvly performed an SEO Audit, developed a keyword and content strategy to the Website in order to establish positioning and teach the client next steps to take the organic efforts to a new level.
Previously to July, the website had not generated more than $3,500 per month online per calculations that the owner had accounted for
After structuring a On-Page strategy, determining best off-line selling products and targeting keyword/topic search volume, the E-commerce Store was able to reap the benefits by seeing a boost to their overall revenue.
During the Month of July, the store brought in $1,451.32 dollars through Search Engine Optimization, which accounted for almost 18% of their monthly revenue. Next steps will be to continue implementing the off-page strategy and follow all the road-map + content calendar plan to keep on growing.
Returning Visitors and How to Increase Conversion Rate
The following graph shows the orange line to emphasize the importance of tracking returning visitors. It is crucial to know the percentage, average time spent on site and behavior of these users to present them with better opportunities vs. the ones that are just arriving for the first time.
The Orange Line demonstrates returning users behavior versus all users behavior. Checkout the following statistics below:
- 1.59% vs. 3.21% Conversion Rate = 67% higher chance to convert.
- 74 out of the 110 Transactions from Returning Visitors = 68% of transactions
- $5151 out of $7353 of revenue for the month of July = 70.5% of all revenue
- $3 higher-order average value = 4.33%
- Accounts for 147 out of 213 purchases = 69%
Returning Users have the ability to identify with the brand, have already earned a certain trust on what Website offers. They also have a higher chance of spreading the content on social media platforms that end to delivery more exposure. Returning Visitors should enter a different multi-channel approach per the channel utilized to land on a website
Returning visitors should fall into Remarketing campaigns, in which we were able to give them a different promotion, present them with more enticing opportunities to facilitate the checkout process access. Remarketing is a fantastic way of gaining even more customers and lowering the Cost per Acquisition as Cost Per Clicks tend to be much lower.
Metrics, Data and Optimizations are the key towards growth. Analyzing numbers does wonders to any online business that wants to perform better with their Online Growth Strategy. Having just one channel running might be a great idea, but running a multi-channel approach is wonderful for boosting conversions, increase revenue, building trust, increasing confidence and giving users another opportunity to better find the brand’s online presence.
Running an online business without daily website monitoring could be the end of your business. Utilize these leanings to make certain improvements to decrease bounce rate, increase average time spent on site by delivering specific messages that align all the way from the advertisement to the specific landing page.
Make Data Driven decisions per the results obtained. Keep in mind that there will be losses every now and then. However, do not get discouraged because some data analysis should present proper solutions to keep on moving forward.
Now, that your ecommerce store has an analytics software installed, a data layer component to measure every single action taken, I ask, are you satisfied with your Return on Investment? Do you need a boost and a bump to focus on growth and hit your yearly revenue goals?
Contact us, to help you come up with strategies that deliver results, make data driven decisions and most importantly, increase your conversion rate to help your Ecommerce Website deliver in order to satisfy both your wallet and your customers.