It’s a well known fact that if you are not measuring specific metrics, you will never grow and expand. Metrics show you what is working for your store and what is not. This valuable information will help you adjust your strategies and earn more money as a result.
While there are many metrics to measure, I suggest starting with these top three. They form the basis of a solid foundation for Ecommerce success.
Traffic is essential. Without people coming to your website, your store will be like a hotel set up in a ghost town.
Here are some stats to track:
Where is your traffic coming from?
What are the referring sites?
What keywords are bringing you traffic? What search engines?
How has your traffic decreased or increased from month to month?
By knowing where your traffic is coming from, you can add more energy to what is working and eliminate what is failing.
You may find a majority of your customers are coming from a particular keyword of which you were not aware. Ramp up your marketing strategies around this keyword and observe others that are close behind as well. Also, if a portion of your traffic comes from users on mobile devices, you may want to consider making your website mobile-friendly which is important in today’s technologically savvy world.
You can acquire all the traffic in the world, but if you are not converting it, you will never make any money. Even a small percentage increase in conversions can make a huge difference in your bottom line, especially if you sell at high volumes.
Determine your conversion rate by assessing your traffic in relation to the number of sales. Next, examine your website to see where specific changes can increase conversions. Below are the most common mistakes:
- Cluttered pages with too many areas of focus
- No clear calls to action or buttons do not stand out enough
- Failure to connect with the customer – content and graphics are not attractive enough to capture attention. They do not speak to the pain points of the customer.
- Lack of security icons
- Unprofessional site design
- Confusing checkout process – too many steps; call to action buttons are lost in background; no clear directions for customers.
- Little to no contact information
- No attention to customers who abandon the cart
- Disregarding bounce rates
These issues and many more can reduce your conversions. Test your conversions by changing one element at a time. If you notice an increase as a result of the action, you know you are on the right track.
3. Recurring customers
It’s much easier to sell to existing customers than it is to new ones, so tracking these metrics are important. Examine what percentage of customers are returning and after how long.
To increase return customer sales, consider sending out an email with a discount or acquire feedback as to why they are not returning. Use this data to improve your processes. You can also send new customers a discount on repeat purchases with their first order.
Knowing what is working and what is not must be a primary focus of all Ecommerce stores. Examining metrics will give you valuable insight into what your customers desire. When you meet these desires you will grow in success and increase your profits substantially.