The Return on Investment or ROI of your e-commerce website is the primary element of the digital platform. Mathematically, it refers to the net profit percentage over the total web development investments for your business. One of the major concerns of all e-commerce platforms is enhancing the ROI. You can improve the ROI of e-commerce by identifying the factors to be integrated or eliminated from the web pages to generate more returns from the business.
Not all online stores can make big as Amazon and eBay due to low ROI. There are many ways small and medium businesses can improve their ROI and thrive in the first year of online introduction successfully.
1. Optimization of the marketing funnel
The first way to improve the ROI of an e-commerce site is the optimization of your marketing funnel. There are primarily four stages in the business marketing funnel, namely, awareness, interest, conversion, and decision. The conversion rate of an unoptimized channel varies between 2 to 10%. Most potential customers do not reach the conversion stage because of technical glitches, poor content, low speed, and many more.
As top eCommerce website developers in Bangalore claim that 50% of users switch to alternatives when a web page does not load in two seconds. Businesses must improve the UX of their website by doing an in-depth analysis of what is lacking. Your content must be unique to stand out in the crowd.
2. Improve eCommerce ROI by clearly stating policies
A primary drawback in the reputation of an e-commerce store is failing to inform the customers about the firm policies. It fetches indigent reviews from clients. To avoid any negative feedback from the customers, stick to visible policies. The viewers will be able to make informed decisions by having a clear view of policies at the time of purchase. It automatically eliminates conflicts between your business and the client.
3. To improve the ROI of an E-commerce site, apply multiple marketing strategies
Take care of different marketing strategies, like social media platforms, SEO, and SMO ensuring awareness to a greater audience. More users buy the products that appear on the top of the search engine. Therefore, investing in search engine optimization will fetch you, visitors. Get the content optimized to secure high ranks in the search engine.
The presence of your business on social media like Instagram and Facebook is also helpful. Presently, 3.6 billion people are active on such sites. The number of social media users will reach around 4 billion by 2025. Influencer outreach campaigns can also boost ROI in e-commerce and create brand awareness. More than 50% of the customers depend on influencers’ recommendations to buy a product.
4. Machine learning CRMs via predictive analytics
Management of customer relationships is significant to improving the ROI of an eCommerce site. The data generated every day in small or medium-sized cooperation is relatively enormous. To offer an outstanding UX to the visitors, CRM is mandatory.
If you have not used machine learning, handling so much data can lead to poor decisions. CRMs analyze the previous year’s data, choices, and outcomes to help you make informed decisions. A standard predictive analytics tool is lead scoring, dividing the leads into qualifying and non-qualifying types. It will help you target the right audience for a particular product or service. You can also manage the personalized experience for the clients with ML CRMs.
5. AR and VR investments
The full form of AR and VR is Augmented Reality and Virtual Reality, respectively. Technology is capable of filling excitement about a product or service. Why not use this technology to attract people to your products and services?
Take Lenskart, an e-commerce store of spectacles, for example. It offers a 3D try-on feature through which users can see how they are looking in different frames. Such innovative features related to AR and VR form the essence of the e-commerce ROI model.
6. Development of user-focussed features
Your website must offer user-oriented features depending on B2B or B2C business model. Ensure a smooth user experience via multiple users. For example, you can save a buyer’s time by auto-detecting their location to be used as the delivery address. Offer simple and easy forms where customers can make customizations.
Include all those features that can make placing the final order easy for the customers. Some other examples, include quick connectivity for queries, text messages for tracking the order, an email confirmation of the order, push-up notifications, and many more.
7. Multiple secured payment gateways
One of the eCommerce ROI benchmarks is a secured payment gateway. Google warns the users about all the pages that do not have SSL certification. One warning is sufficient to avoid your online store.
Offer multiple payment options, like cards, mobile banking, and e-wallets, to complete the payment. Inconvenience in payment leads to a loss in clients at the conversion stage.
8. Zero hindrance
Your eCommerce store must offer zero hindrance to the clients. Enable a shopping window that helps customers bond with your website so that they do not switch to competitors.
Improving the ROI of an eCommerce site can lead to significant gains in sales. Enhance the sales to sky-high to observe an improved ROI for your business.