how to significantly increase online conversion

Why investing!$1 in CX !is better than !$1 in Traffic

Originally presented @ eTail West 2015

#AwesomeCX Needle.com

1

What we’re talking about

Misallocating

marketing spend

toward traffic?

Improve

understanding

visitors AND visits.

Individualize

experiences for

each visit types.

Great CX during

Discovery is the key

ingredient.

2 3 4

Are you misallocating your marketing spend?

1


>10% spent on

$50.8 Billion spent on U.S. digital media in 2014

Primary (only) objective: Drive Traffic


What happens

when the traffic arrives?


Only 2% buy anything


Not all visitors are created equal.


1-5% Intend to buy

35-40% “Conditional” intent

CONVERSION

> 10%

3-5%

< 1%

TRAFFIC SOURCE

Direct

Bought

Pai

d

Nat

ura

l R

e-t

arg

ete

d

E-m

ail

50-60% Little or no intent to buy 10% sales : 20% traffic

@ 1% conversion rate, Breakeven . . .

AOV = 100x CPA

Average 2.0%

sitewide

Biggest opportunity lies in converting traffic you’ve already paid for


Improving conversion for target segments pays off

1-5% Intend to buy

35-40% “Conditional” intent

50-60% Little or no intent to buy

Invest here for maximum return

10% sales : 0.5ppts CR%

0.5 ppts CR% : 2-3% Engagement

CONVERSION

> 10%

3-5%

< 1%

Average 2.0%

sitewide


53% of companies spend less than 5%

of total budget on conversion rate

optimization.

eConsultancy, 2014

And yet…

Improve understanding of your visitors.

2


What you are doing right now tells me more about what you need than what you did before.

Understanding behavior


Best individualized experience

Visit-based insights

Visitor Ability to act in real-time on them

Individualize experiences for different visitor types.

3


Typical conversion improvement list

þ  Place CTA above the fold & make it bigger.

þ  Add more product details – visuals and videos.

þ  Shorten forms & make flows frictionless.

þ  Provide testimonials & other user-generated content.

þ  A/B Test non-stop


Amazon = selection, availability, price

You (today) = content, reviews, promos, recommendations

Just a bunch of noise, which leads to frustration, long lead times to discover/buy, lower trust, etc.

vs.

Plus, Amazon already has most of the content anyway.


You (tomorrow) = individualization, simplified CX for high, low & medium propensity to buy

Get out of their way; self-service is ultra easy and quick

Automate, content-oriented, with a goal to convert to MPTB

Focus on helping them find what they had a “conditional” intent to buy Specific answers, trusted input, related items, etc.

Great CX during Discovery is the key to conversion.

4


•  Unable to get specific questions answered

•  No access to real-time help

•  Long, tedious ‘self-service’ discovery

•  Non-contextual, impersonal reviews

•  Trusted advice is elusive; in-store visits reduce convenience

•  Targeted searching vs. browse

Current online experience


•  Text more, talk less

•  View more, read less

•  Short-form content

•  Strangers over brands

•  Customers over sales associates

•  People who share interests

•  Everything now

•  Great design

•  Great experiences

How consumers communicate

Who consumers trust What consumers expect

Why is CX important now


eConsultancy & Adobe Digital Trends Report, 2015

CX is the single most exciting opportunity in 2015

Why is CX important now?

3 examples of Awesome CX


eSalon.com


eSalon.com

•  Guided discovery

•  Anticipates questions

•  Visual CX

•  Before/after pictures

•  Ability to consult with previous buyers & stylists in the experience

Awesome Would Be Awesomer


Free People Me


Free People Me

•  Great social brand experience

•  Easy to purchase in the discovery process

•  Real-time interaction with the best community members

Awesome Would Be Awesomer


Case Study | Needle & Nikon

Their CX challenge

•  Customers need answers to detailed, technical questions.

•  Lack control of brand experience across channels

•  Couldn’t access and enable Nikon fans

The Needle solution

•  Rule-based targeting to deliver real-time, human interaction with “conditional” shoppers.

•  Sourced community of Nikon photographers, and enabled via gamified, virtual service platform

Impact to date

NPS: 73 CSAT: 9.1 Conversion Lift vs. Site: 8.9x Incremental Revenue Rate: 84%


Nikon & Needle

TARGETED INVITES

SALES TOOLS

IN CONTEXT CHAT WINDOW

ADVOCATE PICTURE


PERSONAL BIOS PRODUCT TRAY BASKET BUILDING

Nikon & Needle


1

4 key takeaways

Misallocating

marketing spend

toward traffic?

Improve

understanding

visitors AND visits.

Individualize

experiences for

each visit types.

Great CX during

Discovery is the key

ingredient.

2 3 4


When online customers have a great experience

•  >70 NPS

•  9.2 CSAT

They buy, they buy more, & they buy more often

•  6-15x Conversion

•  +10-35% AOV

•  20-35% LTV

•  +5-10% Total Revenue

Lack of trust and confidence

Inability to find relevant information in timely manner

Matching experience to customer’s context and situation

Enabling best people (advocates) to deliver great service

Delivering emotional and connected experiences

We solve big CX challenges… …for great brands… …with measurable impact

Needle in a nutshell


We believe in the superpower of advocates

Learn how Taylormade & Nikon advocates –

who were onsite @ eTail West – put their superpowers to work for the brands they love.

Meet Travis Meet Jay

https://www.needle.com/blog/meet-an-advocate-travis-peterson-provides-winning-cx-for-taylormade/?utm_source=slideshare&utm_medium=deck&utm_content=full_etailwest2015_deck&utm_campaign=scott_etailwest2015

https://www.needle.com/blog/meet-an-advocate-a-snapshot-of-jay-millers-nikon-cx-expertise/?utm_source=slideshare&utm_medium=deck&utm_content=full_etailwest2015_deck&utm_campaign=scott_etailwest2015


Thanks!

www.needle.com

[email protected]

@needleit

#AwesomeCX

https://www.needle.com//?utm_source=slideshare&utm_medium=deck&utm_content=full_etailwest2015_deck&utm_campaign=scott_etailwest2015

https://twitter.com/needleit

https://twitter.com/hashtag/AwesomeCX

https://www.needle.com/demorequest/?utm_source=slideshare&utm_medium=deck&utm_content=full_etailwest2015_deck&utm_campaign=scott_etailwest2015

how to significantly increase online conversion

Business

conditional intent conversion

great cx

engagement conversion

conversion rate optimization

great design great experiences

drive trac

trac youve

understanding visitors