E-commerce opportunities aren’t limited to traditional sales tactics. An online store allows you to experiment and use a variety of tools to interact with the customer. These methods will help you increase your average bill, whether you’re selling physical goods or services.
To understand how to correctly build and market your online business, and so maximize your chances of success, look at what e-commerce experts like Ads and Funnels are doing.
Meet the Company’s Founders
Michael Kelly and Brittany Bush know how to turn discouraging situations to their advantage. Having to experience different forms of abuse, they fell seven times and stood up eight; and the eighth time for good.
When Michael met Brittany in 2019, both being social media advertisers at the time, they knew they were destined to create something special. They collaborated to establish Ads and Funnels, a digital marketing agency focusing on scaling e-commerce brands using cutting-edge advertising techniques.
Michael and Brittany have turned themselves into consummate professionals in online advertising who know how to bring the best qualities of products before our eyes. Here is what they have to advise e-commerce companies looking to maximize profits through strategic advertising.
Love Your Audience
No brand will be successful without a meaningful mission of mirroring the unique values of the consumer. Without it, it is like a “naked king”: uncomplicated, uninteresting, and devoid of any attractiveness to the target audience. Therefore, at the onset of brand promotion, the mission, and values of a brand should be communicated as clearly as possible with the understanding that they should not change in the foreseeable future.
“That’s why we always want to create different segments of our messaging to speak to our audience at each level of the customer journey they are in. What works for a product-aware customer isn’t going to attract an unaware customer”, says Michael.
Grow the Average Order Value
Average Order Value (AOV) is a metric that measures both your sales success and customer value. Grow AOV to help you redefine how your items are promoted collectively, better understand customer behavior, and gain pricing strategy insights. Another big advantage is that, unlike growing traffic, boosting AOV does not cost a penny.
“One quick and simple way to turbo-charge your average order value is by adding a special offer on the order bump to tempt your customer into spending more (if you don’t already have one) or adding upsell or down-sell. This hands customers the opportunity to upgrade their order which in turn leads to a higher AOV”, says Brittany.
Boost Customer Lifetime Value
It should go without saying that a company must invest in improving the product. Yet if it is not also working on ways to make existing customers hooked on the products and brand, the cost of acquisition can substantially outweigh the amount it can gain from a single customer.
“Increasing the LTV of a customer is how you measure success in this area”, says Michael.
He adds that there is a three-fold approach to increasing your LT: a) Turn your customers into frequent repeat buyers b) Increase the average order value of each purchase c) Skyrocket your retention rate of your customers.
If you want to use discount deals to encourage customers to spend more, here are some ways to do it.
“One method to dramatically increase your AOV is by making the customer feel like they are getting a deal through adding a bulk discount offer such as “1 bottle for $49.99, 2 bottles for $79.98” to your checkout page. It doesn’t matter if you sell supplements, face lotions, or any other products. This method works. Just make sure you don’t mention these different quantities on the sales page or it could leave your customer confused and leave you with an abandoned cart”, says Michael.
Another way is loyalty programs. If customers make purchases from your store more than once, offer them a discount to sign up for the newsletter. This may prompt them to make another purchase in the future. After all, two separate orders generate more revenue than one.
Maintain Positive Attitude
No amount of expertise or skill shall yield results without the right mindset. Positive thinking brings many benefits: it reduces stress, improves physical health, and improves the ability to cope with difficult situations.
“Failing doesn’t have to be a “bad thing”, says Brittany. “My entire life is a testament that you can learn/grow more from failing than succeeding. It taught me a lot but it also taught me perseverance, humility, it showed me my strength, and that I can overcome whatever life throws at me. If I didn’t learn to love failing, I would not have reached for more or had the success I do today”.