Does more traffic matter?
We all know that the ultimate goal for any online business is conversion rate. Promotion programs, Advertisement, marketing strategy all are created to enhance conversion rate. In order to optimize conversion rate, we think about 2 ways.
One is to get more traffic. Imaging if 4 of 200 visitors become customers, then 600 visitors will get you 12 customers, and so on. However, that theory will only happen when you are confident that you have ability to get Quality traffic. In the case you get a huge number of traffic but your bound rate is nearly 100% or your visitors just wander around but do not make any purchase, you are in a big trouble. Now to get more traffic make no sense.
Now is when you consider the second method. That is increase the number of customers out of a same amount of visitor. There is a measure called funnel measure which show you steps that your visitors move through to become your customers.
Let’s take an example. For an ecommerce business, you’ll have a checkout that people have to complete in order to purchase from you. And you’ll have steps like these:
1. Visit product page
2. Add product to cart
3. Enter checkout
4. Fill out shipping information
5. Fill out payment information
6. Confirm payment
A fact here that is needed to be understand is you lose some people at each step. Thus it is necessary to start worry about it in the first place.
There are 3 steps in this one. It can be seen from the diagram that the conversion rate is 5.4%. But we also have a 90.4% conversion rate between signup and creating a survey. So out of the people who sign up, most of them (9 out of 10) create a survey. Awesome. Even though my signup conversion rate of 5.1% is decent, that’s where the bottleneck is. If I want to acquire more users for this business, I need to get more people to sign up.
When you are aware of where people drop off in the large battles, it is necessary to know which part of your business is the most improvement. Now you see how important it is of a tracking funnels.
5 pieces of advice in order to enhance traffic with funnels.
1. Fewer steps.
As you can see, we lose some of our visitors at each steps. Thus, it makes sense to eliminate any unnecessary clicks. Look at Amazon case, it used to have a complicated and annoying checkout process to follow. Now, it changed their checkout process. Customers can save your time for checkout with in 2 steps.
But it is not the best way, We offer you One Page Checkout extension which allows your cutomers to complete their purchase in one Magento checkout page. That will save your business a plenty of customers.
2. A Benchmark, which you should start with
Based on your industry, business model, target market, and the alignment of the stars, you’ll find a huge difference in metrics from one site to the next.
You might have a buddy that gets 89% conversions at every step of his funnel. But you manage only 13%.
There’s absolutely nothing wrong with that. In fact, I would expect it.
It’s really not that important where you start. The critical task is to keep improving. So approach your funnel as a benchmark. Your job is to improve it, regardless of what you start out with. The third step of your funnel has a 74% conversion rate? Fantastic, make it 80%. And the last step has a mere 3%? Get it to 6%.
3. Look for Bottlenecks
I already alluded to the best way to prioritize your funnel improvements.
When you’re looking at your entire funnel and trying to decide which step gets your attention first, start with the bottlenecks. In most funnels, there are one or two steps that aren’t really steps. They’re brick walls. People are going through your funnel happy as clams until… SLAM. Then they all bail at once.
Your mission? Find your bottlenecks and patch them asap. Run A/B tests on them, talk to people who don’t make it, and talk to people who do. Use every trick you’ve got to figure out WHY people bail all at once. Once you’ve found a few reasons, start testing fixes to see what really makes a difference.
4. A/B testing.
A/B testing allow you to know which ways is going to attract more customers for you by send out 2 samples of a page in website.
A/B tests typically track only the next step. So if you’re trying to get more people to create a free trial account, the test won’t track which group of customers upgrades more frequently to a paid plan.
Well, that’s no good. What REALLY matters to our business is the end result of our funnels. We want the funnel that gives us great customers even if one of the steps has a slightly lower conversion rate.
As soon as you start testing improvements in your funnel, test your changes on the ENTIRE funnel instead of just the next step. This way, you won’t slow your customer growth by accident.
People bounce around in funnels. They’ll go forward a few steps over 3 weeks, back a couple of steps in week 4, then speed up and complete the whole thing in a single day. It’s messy.
5. Track people.
If you use only web analytics, all this data get blended together. Trying to see how many people actually made it through a certain step gets much more difficult.
So how do we get around this? Use customer analytics, you can track people. Then you’ll know how many people moved through each step, even if they’re bouncing around beforehand. You won’t have to worry about the difference between your traffic reports and what people are actually doing.
These technique requires time and efforts to deliver any result, except the first method. It is very easy, simple to install a One page checkout extension, and immediately see how it can convert traffic to sales. Read more about our Magento One Page checkout (free lifetime update and support)