The holiday season is an extremely hectic time for ecommerce companies which is why it’s essential to get an early start on planning well before the pandemonium starts.
A 2014 study by Statista showed that nearly 20% of annual retail sales can be attributed to the holiday season and as much as 30% of an individual retailer’s total revenue. With consumers consistently spending more money every year, you’ll want to ensure that your company is well-prepared to capitalize on as much of that market share as possible.
From Black Friday until Christmas, ecommerce revenue can increase anywhere from 50% to 100% above normal, with peak earnings usually occurring near the end of November. While Thanksgiving, Black Friday, Cyber Monday and Green Monday (the second Monday in December) are the most profitable dates in North America, there are other notable dates you’ll want to be mindful of as well, like Singles Day or Diwali, if you sell globally.
So with that in mind, here’s how you can maximize on holiday conversions this year.
1. Speed Wins the Race
The first thing you’ll need to be prepared for is a higher volume of traffic on your website. More people visiting your website or product pages can cause server latency, slowing load times. While a few extra seconds might not seem like a big deal, it makes a big difference in ecommerce. If a website takes longer than 3 seconds to load, you could lose up to 40% of your potential buyers.
Use Google Analytics to see what your holiday traffic looked like a year ago and make the necessary adjustments with your IT team to ensure your digital infrastructure is durable enough to withstand the pressure.
2. Go Mobile or Go Home
Chances are, this isn’t the first time you’ve heard about the importance of providing a great mobile experience. But there’s a good reason why it’s being talked about so much. In 2015, mobile commerce was responsible for nearly $13B of holiday ecommerce revenue. Year-over-year, the growth of desktop purchases has been slowing down while mobile has been accelerating. Plus, consumers are using mobile devices to research products and services, and it won’t take long for them to bounce to one of your competitors if their experience isn’t quick and easy.
3. Tell Them a Fireside Story
If you haven’t added content marketing to your bag-of-tricks, the holidays are a great time to do so. Content marketing costs 62% less than traditional ads, and it generates triple the amount of leads.
Though a broad term, content marketing involves videos, images or written-text to reach, engage and provide value to customers. The more of these elements you can leverage, the better — it can give your SEO rankings and social engagement a boost which, in turn, enhances your brand awareness and social proof.
There are a variety of ways you can put a holiday spin on your blog, social channels and email campaigns. Gift guides, last-minute shopping ideas, winter tips, year-in-reviews or even a holiday message from your CEO or founder can spark positive emotions with your audience, compelling more people to choose your brand over the competition.
The more styles and channels you can leverage, the higher your reach will be. If you need additional inspiration, here are 100 content ideas courtesy of Social Media Today.
4. Reward & Profit
Ecommerce is competitive, so you shouldn’t be pulling any punches. If you don’t have a loyalty program, now is a good time to implement one. The chances of selling to a new customer is between 5% — 20% whereas the probability of selling to a previous one is 60% — 70%. Not to mention the fact that 87% of your shoppers want you to have one.
5. Unleash the Emails
Don’t be shy with email marketing this holiday season to keep your products top of mind. Depending on your customers, use your content marketing pieces or let your offers do the talking.
Cart abandonment emails are critical too. Seventy-five percent of the people who abandon their purchases initially had the intent to buy, so a follow-up email might be exactly the nudge they need to finish what they started. If that’s not enough to convince you to ramp up the emails, consider this: a third of your customers will complete their purchase if prompted by an email.
6. Take it Personally
Personalization has been a major ecommerce trend over the past couple years, to the point where consumers are now expecting it.
- A personalized email delivers a transaction rate six times higher than a non-personalized one. They also improve click-through rates by 14% and conversion rates by 10%.
- Websites that deliver a personal experience see, on average, a 19% uplift in sales.
- 73% of consumers would rather do business with brands that use personal information to provide a more relevant shopping experience.
Ecommerce companies need to make every effort to ensure that relevant product recommendations are being made based on the previous buying habits of each individual customer, especially during the holidays!
7. Embrace the Chatter
When the holiday blitz begins, customers are going reach out to you for information in their preferred way. Expect more phone calls, email inquiries, messages on your social channels and chat requests.
Monitoring as many of these channels as possible can make a huge difference. If you can’t allocate the resources to provide a quick response 24/7, clearly state the hours or the response time in which customers can expect to hear back from you. An eConsultancy report revealed that 83% of customers required some kind of support while buying online, so don’t let your inquiries fall on deaf ears.
8. Lock it Up
Last, but certainly not least, there’s the matter of your website’s security. An increase in sales likely won’t be the only thing you encounter over the holidays. In 2015, one out of every 67 digital transactions was fraudulent. Moreover, from Thanksgiving to December 31st, that activity increases by 8% with significantly large spikes taking place on Christmas Eve, Thanksgiving and Black Friday.
To mitigate charge backs resulting from “friendly fraud,” ensure that your company’s contact information is clear and concise, especially on invoices. The easier it is for your customer to contact you, the less likely they’ll be to call their payment provider to have their payment reversed.
Additionally, contacting your customers to confirm larger purchases (or any purchases that may be raising red flags) and consulting with your compliance team to make sure prevention techniques are optimal will keep your naughty list to a minimum.
Don’t Make It a Stressful Time of Year
The holidays should be a joyous time for both ecommerce customers and merchants. With nearly $70 billion in sales in 2015 in the U.S. alone, online sales are only expected to grow as consumers become more comfortable shopping online and digital experiences continue to improve. By planning early and leveraging some of these tactics, you’ll be in a strong position to drive home as many conversions as possible and grow revenue, giving you more reason to celebrate and be merry!
originally posted AUGUST 29, 2016 on paymotion