07 Feb Increase your website conversion rates by 10% in 2018 – in just 3 hours
Every marketer has heard “the right message to the right customer” for years, maybe even decades. By now, we are all sick of this phrase.
We all want to do “1-to-1” marketing, but many of us (including myself) are ashamed to admit that we don’t actually do that. Often, 1-to-1 marketing is a matter of “do as I say and not as I do” because we (or our clients) don’t know how to go about that concept or even where to start.
After all, how many brands have done a Customer Segmentation study? How many brands truly understand their ‘customer sweet-spot’, who their most loyal (and most profitable), audience are? Very few.
The good news is that, using Google Analytics free or Google Analytics 360, you can absolutely uncover awesome Audience Insights, which will provide a wonderful starting point for a new approach to marketing. It won’t be the holy grail of “1-to-1”, but will certainly perform better than the “spray and pray” approach to Audiences + Creative that most Brands still do today.
One of (the many) benefits of having a succinct audience strategy, is higher conversion rates.
A Message from Captain Obvious: Higher Conversion Rates are Better
We all want higher online conversion rates, that’s why it is always a key performance metrics for digital marketers. Strong conversion to purchase have huge implications for how marketing programs are run. When a brands’ conversion rates to purchase grow, the ROI from a marketing program will increase. How does that math work?
Assume that a CPC is $1, and the conversion rate is 1%. The CPA will be (obviously!) $100.
But if your conversion rate is 2%, that same $1 cpc will yield a $50 CPA.
The same marketing investment will work harder, or will generate more volume of sales, at a lower marketing cost per sale – assuming a higher conversion rate.
Identify Audiences and Improve Conversion Rates by 10%
In 2018, you have been given or set new (very ambitious) goals. You are may be considering asking for more budget, or looking at ways to squeeze more revenue from your current budget. (You should certainly ask for more budget; having more ammunition at your disposal is never a bad thing.)
But you consider augmenting that approach, and get into the weeds relevant to your Audiences. Go through the following process (which will probably take less than 3 hours):
- Direct your team to find your best customers in Google Analytics or Google Analytics 360
- Identify 3 clusters of Audiences that together are responsible for at least 30% of your revenue (Use the reports found in the Acquisition/Audiences part of Google Analytics 360)
- Consider your positioning for your Brand and your Products to those Audiences now. Is your media buying structured with these Audiences in mind? Are you using Audiences to define your marketing strategy? Is your creative targeted to each such Audience? Are you taking the click to a customizable page that speaks to each such Audience uniquely?
- Then, discuss the above insights with your marketing team across all silos: your paid search/social/display/email teams.
- Finally, identify couple use cases, where you can validate/test the value from showing the right Creative to the right Audience. After all, you will need to prove to your organization that having an Audience-based approach in your marketing is going to yield a higher ROI. Can you test different ad copy/targeting in AdWords? Can you identify Audiences in DoubleClick, and show customizable ads that are relevant to each Audience – vs general/broad messaging?
Yes, increasing your conversion rate by 10% in 3 hrs may seem ridiculous – it can’t be that simple! However, in actual live client data, we saw that 40% of revenue came from people that convert at 2x the site average. If this client were generating 100% of their revenue from ‘best’ Audiences, all the sudden their conversion rate would be twice as high, which would become the new normal.
In summary, you don’t need to achieve the perfect conversion rate by trying to do “1-to-1” marketing. Do better in 2018, by peeling the audience onion just 1 layer in, start on that journey. Define logical clusters of audiences – that’s already a great start – and forgive yourself for not doing 1-to-1 marketing just yet.
The above audience-centric approach works, we have seen it work in 2017 with a number of clients whose Brands are now growing faster, and whose marketing has become more efficient. Don’t overthink this process, roll up your sleeves, dig into your Audience data, and activate it with dynamic messaging and dynamic bidding.
Beat your competition by being smarter with your Audience data.