Strategies For Boosting E-Commerce ROI: In today’s competitive world, it’s crucial for brands to implement a right and strong Automation customer journey in place so that the business can increase ROI and profitability with each transaction happening on their E-commerce platform. Increasing the ROI of E-commerce platforms is one of the major KRA of any Chief Marketing Officer and Digital Transformation Head.
E-commerce is the most competitive landscape, and all brands want to ensure that all the marketing efforts are ROI-driven, and they can increase the ROI from each executed campaign.
When a user decides to buy something or use a service, they go through a series of steps before making the final purchase. We have discussed the same in detail in our last post which includes The Discovery stage, The Evaluation Stage, The Selection and Final Purchase stage, Retention and Growth Stages. If there’s friction or a gap, at any stage, the potential customers don’t feel happy and satisfied, they might decide not to choose the product or service the brand offers.
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E-commerce businesses must engage with their potential and loyal customers to provide the best possible customer experience at every touch point so that customers feel special and great and if your customer feels great it means they will stay with the brand for long and refer others to explore the brand product and services.
This is why having an engaging, strategic, and optimized customer journey map is crucial to increasing the ROI of an E-commerce business.
Brands must have the following answers to get ROI from e-commerce:
- Do you know why your customers are leaving?
- Do you know the exact drop-off points?
- Do you know Churn rates?
- Do you know why the average time spent is low?
- Do you know why the repeat order is less?
- Do you know your Brand NPS Score?
Do you really want to increase the ROI of e-commerce platforms? Let’s explore the Online Customer Journey and Use cases of Online e-commerce platform
In this blog, we will discuss all the touchpoints and different stages of an e-commerce customer journey and how brands can identify where their potential customers are dropping off. We will also discover how you can improve the overall experience for your potential and existing customers.
To Increase the ROI in the e-commerce industry, Brands must implement the below use cases in App and Websites. Nowadays, Users are more likely to purchase from Apps instead of Websites and brands must focus on App engagement and App retention.
Strategies For Boosting E-Commerce ROI
Parameters | Use Cases |
---|---|
User Onboarding | |
Install to Registration Rate | New users Register after the first app launch |
Average Time to Register | It takes new users to register after first app launch |
Average App Load (Launch) Time | The average time it takes for your app to launch or load on a user’s device |
Average Cost Per User Registration | The average cost you incur in getting a user to install and register on your app |
Crash Rate | The percentage of app loads that result in a crash |
Segment Recommendations | |
Unregistered Users | Run campaigns for users who have completed multiple in-app searches to register and/or create a profile. |
Nudge users to register through coupon codes/offers, etc sent via in-app or push notifications. | |
Run in-app campaigns for users who have made purchases as Guest Users encouraging them to register and create a profile with a single click. | |
Registered but not Activated Users | Run a personalized “Welcome back” in-app campaign on first app launch after reinstalling. |
Provide further incentive by offering discounts, promos, and referral codes via emails or SMS messages. | |
Create omnichannel campaign journeys with personalised campaigns based on users’ product browsing history and top selling products. | |
Registered and Activated Users | Encourage users to make a repeat purchase via in-app messages or push notifications on days 7, 15, and 25 after their first purchase. |
Nudge users with emails to share feedback/reviews of products purchased. | |
Share the breadth of your catalogue by running campaigns with complimentary product recommendations via push notifications or in-app messages. | |
Engagement | |
Average User Engagement | Engage within the shopping app |
Average Transition Time to Next Stage | For users to transact and move onto the next phase |
Click-Through Rates | Average CTR for Push Notifications |
Average CTR for In App Notifications | |
Average CTR for Emails Notifications | |
Session Frequency | Average App Launches per user in a month |
Transaction Abandonment Rates | The number of users who dropped off after showing a high intent to transact |
Average Session Frequency | The amount of time from when a user launches the app until they close the app |
Segment Recommendations | |
Onboarded but Non-Converted Users | Use in-app notifications to nudge onboarded users and provide recommendations based on the category or products they are most interested in. |
Run personalised push notifications or email campaigns on days 1, 3, 7, 14, and 21 from the day of activation that inform onboarded users of new categories, brands, and offers. | |
First-Time Converted Users | Use in-app notifications or emails to suggest relevant products based on the user’s previous order. For example, if the user ordered a mobile phone, send a message recommending a phone case or other accessories. |
Use in-app notifications to encourage them to spend more in order to qualify for the loyalty or rewards program. | |
Repeat Converted Users | Run personalised push notifications or email campaigns to inform repeat users of new categories or product lines. |
Run in-app notifications or email campaigns on days 7, 10, and 15 after the user’s last in-app conversion requesting app ratings and reviews. | |
Run personalized push notifications or email campaigns on days 3, 5, 10, 17, and 30 after the user’s last conversion event informing them of their rewards balance update. | |
Retention | |
For New Users (Week 1) | Defined by transaction completed at least once during that time period |
Stickiness | Average Stickiness (DAU/MAU) |
Churn Rate | Churn within 2 weeks of launching the app |
Average Revenue Per User | Total revenue generated during a specific timeframe / total number of active users during a specific timeframe |
Customer Lifetime Value | The value a customer contributes to your business over their entire lifetime |
Segment Recommendations | |
Engaged but not Loyal Users | Send product recommendations via push notification or email campaigns on days 1, 3, 5, and 7 since the user’s last app launch. |
Run personalised push notification or email campaigns showcasing new products and deals on days 3, 5, 10, 17, and 30 since the user’s last app launch. | |
Incentivize users to open the app with time-sensitive offers sent over push notification or SMS. | |
Engaged and Loyal Users | Run push notification or email campaigns with product recommendations based on items in the wishlist or their last purchased product. |
Use in-app notifications to ask for app ratings and/or reviews after users have purchased at least 5 times. | |
Use personalized push notification, SMS, or email campaigns to send discounts or promotional offers. | |
Emphasize and communicate the benefits of the loyalty program with targeted campaigns to onboard users into the program. | |
Disengaged Users | Send reactivation campaigns on push notifications, emails, SMS, containing discounts and deals to incentivize repurchase. |
Help and seek feedback on their experience of using products they purchased. | |
Run drip email campaigns on days 14, 21, 28, and 42 after the last purchase with the latest offers, discounts, and product recommendations. | |
Reinstalls | |
Churn Rate (New Users) | of New Users Churn in 4 weeks |
Uninstall Rate | Within 30 days of first app launch |
Reinstall Rate | Within 30 days of app uninstall |
Cost of User Acquisition | New users Register after the first launch |
Segment Recommendations | |
Converted but Disengaging Users | Run personalized push notification or drip email campaigns on days 14, 21, 28, and 42 as you see user activity drop off offering discounts or access to exclusive products to encourage repeat purchase. |
Run a “We miss you” push notification or SMS campaign to encourage such users to relaunch your app. | |
Churned Users | Run a personalized email campaign on days 1, 5, 10, and 17 post uninstall asking for user feedback to understand why they uninstalled. |
Send a “We miss you” or “Here’s what you’re missing” email campaign on days 7, 14, 28, and 42 post uninstall highlighting the latest offers, recommended products, and exclusive discounts. | |
Run a “We are just a click away” email sign-off campaign as part of your Sunset Policy between days 43-50 of app uninstall. | |
Re-acquired User | Run a personalized “Welcome back” in-app campaign on first app launch after reinstalling. |
Offer exclusive discount to users |
Check the 10 Best strategies to increase the ROI of the E-commerce industry through Customer Journey Marketing
1- Offer the best customer experience on Both the Web and App
2- Track customer behavior and run real-time campaigns.
3- Create Quality Content
4- Implement Customer Journeys as per the User flow and Business requirements.
5- Tailored Product Recommendations
6- Optimise the Website Performance
7- Organic research and impactful SEO strategies
8- Optimise Conversion Rates across all social media platforms.
9- Strong Feedback Mechanism
10- Unique strategy for Loyal Customers
At EnR, we help brands engage with their potential and loyal users as easily as they can communicate with their friends. We have dedicated subject matter and Industry experts and work on KPI driven approach which includes engagement and retention goals.
Do you want to discuss the E-commerce use cases in detail along with our subject matter? Let’s connect or Visit www.enrcloud.com You can write us about how to increase ROI in the Ecommerce industry at hello@enrcloud.com.
We are happy to assist you.
Also Read- 24 Reasons Why Email Marketing Is Important in 2024
Amit Bhateja is the co-founder of enrcloud and helping brands and Unicorns from the last 15+ years and overachieve their Engagement and Retention goals. He is passionate about solving customer problems with modern technology, new age solutions, and consultancy approach. Besides Building ENR, He enjoys reading books, spending time with his family and Teammates, traveling, meeting new people, learning new things, and love to close the business deals.