There is no doubt your brand should be at the centre of everything you do in terms of marketing, but it’s very easy to forget in everyday life. It is also easy to forget that your brand is a constantly growing and moving, thus reflecting the evolving nature of your business and its goals.
To be successful in web marketing one should follow a strategy, plan every step and analyze the results. The objectives of any web-marketing plan are:
- increase online sales;
- increase website traffic;
- increase brand visibility.
The key element of a successful marketing strategy is to ensure that the activity is evaluated against the correct KPIs for ecommerce. Every business aims at high profits, but every company will take its own path to reach them. The metric should be consistent with the roadmap chosen by the brand.
The most important KPIs for your ecommerce
The accurate selection of measurements and data analysis are necessary to make improvements and corrective measures for future action, for example in relation to the strategy, the marketing plan and the business plan.
- Ecommerce Conversion Rate = indicates the percentage of visits resulting from an ecommerce transaction. It indicates the ability of ecommerce to turn visitors into actual buyers.
- Customer Lifetime Value = the estimated amount of total purchases that a customer will make at your ecommerce in the continuous relationship with your brand
- ROI = revenue from marketing divided by expenses, including the cost of sales (COGS, Cost of Goods Sold). The ROI index assess the profitability and sustainability of investments.
- Returns on AD Spend (ROAS) = revenue generated by your marketing efforts divided by your marketing costs
- The ROAS is a marketing metric that measures the efficacy of a digital advertising campaign, helping online businesses evaluate which methods are working and how they can improve future advertising efforts.
Although similar to the standard ecommerce ROI metrics, ROAS provides specific measurements for a single marketing channel such as Google AdWords, Google Shopping ads, Facebook or Instagram ads, etc.
- If the ROAS is equal to 1, you reach budget
- If the ROAS is negative, you are getting negative results from your advertising activities.
- If it is greater than 1, you have a successful campaign, that can be further optimized with a Conversion Rate Optimization and User Experience.
From the point of views of the investment in the advertising, the goal is to spend less per click. And on the contrary, from the point of view of a strategy aimed at improving Conversion Rate Optimization, the objective is to sell more.
3 easy ecommerce strategies
How can you meet both needs to limit the costs and increase conversions? Here are some strategic suggestions to help your brand:
- implement up-sell and cross-sell techniques to increase the average order value;
- reduce cart abandonment;
- turn ad clicks into customers thanks to a fluent user experience.