Improving website conversion for ecommerce

Driving Online Conversion Rates
For Finoak Ltd

Content
• Expectations
• Conversion
• Home Page
• Home Page Design
• Search Navigation
• Shopper Champion
• Cart Abandonment
• Checkout
• Action Plan
• Appendix
2

Expectations
• Focused on conversion rates, although conversion is only
one of several key components of an effective
ecommerce strategy
• Reduced marketing terminology as the audience is from a
variety of disciplines
• Tried to balance the report to provide theory, insights,
learnings, live examples and practical advice
• Variety of recommendations – easy to difficult, now to
future, low cost to high cost
• Always making it relevant to Finoak
• Purple font = insights and quotes
3

What is Conversion
example
If 100 visitors come to an e-commerce site on a given
day, and during that day 6 purchases were made,
your conversion rate would be 6%
(6/100 * 100) = 6%.

© Copyright Firstwave Marketing Ltd

5

What is Conversion Optimisation
definition
Conversion optimisation is the process of
maximizing the percentage of web site
visitors who complete a desired action
(conversion rate)


6

What is Conversion Optimisation
benefits
By optimising or maximising the number of visitors
who take a desired action – e.g. make a purchase
you can increase your sales and thus profits.
When you increase your website traffic and your
conversion rate together, sales can increase
dramatically.


7

Website Strategy

Traffic
Traffic

Conversion
Conversion

Retention
Retention

Drive
Drive

Increase
Increase

Encourage
Encourage


8

Website Strategy
process


9

Average conversion rates

Source: 2012 Ecommerce report from Channel Advisor-IMRG


10

Conversion rates vary by activity


11

1. Add Personal Brand Message
There is a huge amount of competition in your chosen
industry, so it’s imperative to create a strong competitive
advantage.
In the main, this is created through your positioning and
unique product offering but there are opportunities to
create a personal, engaging brand message that will
make visitors feel special, engendering a warmth to the
brand, making consumers feel that they are making a
great choice when purchasing from Finoak.
Some competitors have brand messages but none
feature them prominently on their home page and none
have a handwritten sign-off. Recommend adding a
brand message with a sign-off (The Finoak Team).

13

Brand Message Examples

MOCHA UK has its brand
MOCHA UK has its brand
message half way down its
message half way down its
home page, in a small
home page, in a small
(unreadable) font size
(unreadable) font size

BOUF features its brand message
BOUF features its brand message
below the fold line, so not in view
below the fold line, so not in view
when landing on the homepage
when landing on the homepage

14

Brand Message Examples
AMARONI places its brand
AMARONI places its brand
message in a prominent
message in a prominent
position on the home page –
position on the home page –
it’s a little too large though
it’s a little too large though

KEEP IT KIND display a hand
KEEP IT KIND display a hand
written, friendly sign-off
written, friendly sign-off


15

2. Display Value Proposition (VP)
‘Why should I do business with you online?’ is the question on the
subconscious minds of all site visitors and especially first time
visitors. Therefore the website has to emphasise why they should
buy from you rather than from a competitor.
The VP is a statement / series of bullets that clearly identify the
advantages a customer will receive by purchasing from you
•Best prices
•Fast delivery
•Secure payment
•It’s easy
Recommend to display your VP as one of the first things visitors
see on your home page. It should also be visible in all major entry
points (of the site) and be present on the shopping cart page.
Ensure the VP has stand out, thus capturing the visitors attention.

16

VP Home Page Example

THE WHITE COMPANY present
THE WHITE COMPANY present
their VP horizontally across the
their VP horizontally across the
top of their home page
top of their home page


17

VP Home Page Example
HOME & HARDWARD present
HOME & HARDWARD present
their VP vertically on the right
their VP vertically on the right
hand side of their home page
hand side of their home page


18

VP Cart Page Example

ZAPPOS continue
ZAPPOS continue
reinforce their VP
reinforce their VP
in the Shopping
in the Shopping
Cart Page
Cart Page


19

3. Improve Visual Clarity of Product Offering
When a browser lands on the home page there is only a
maximum of a 3 to 8 second window to grab their attention
and motivate them to hang around a little longer and explore
the site.
When landing, one sees a single large central image. If it’s
displaying a category that doesn’t interest then, exiting the
site is very probable. It’s worth viewing your analytics to check
your bounce rate – less than 50% is excellent, over 70% is poor.
There is currently an six image transition set at 5 seconds. This
should be set on a 3 second transition.
However I would recommend providing split images that
show several of your leading product Categories on a single
and then having these on a transition

20

Product Offering Display Example
A good example of
A good example of
featuring numerous
featuring numerous
product categories on a
product categories on a
single image
single image


21

Product Offering Display Idea
A large selection of
A large selection of
products shown,
products shown,
displaying the versatility
displaying the versatility
of the site offering
of the site offering

22

4. Add Gift Section
Gift purchasing one of the top reasons for consumers to shop
online.
Quite often if a visitor doesn’t find anything suitable for
themselves they will still visit the Gift Page / Section, in order to
gain some inspiration and source something a little different
that the intended recipient will appreciate.
Strongly recommend a Gift tab on the home page in a
prominent position, that then leads to a page of gifting ideas.


23

Gift Section Example
PEDLARS provide a
PEDLARS provide a
dominant and engaging
dominant and engaging
gift section
gift section


24

Gift Section Example
JOESPH JOESPH has a
JOESPH JOESPH has a
Gift Set section
Gift Set section


25

5. Add Top Sellers & New Arrivals
These techniques are not exclusively unique to ecommerce,
in fact they’re traditional good practice trading
competences.
‘Top sellers’ arms visitors with knowledge and information of
the site’s best selling items, providing the added confidence
that visitors are purchasing a popular / well liked item.
‘New arrivals’ provides excitement and inquisitiveness to new
visitors and an element of freshness and interest to returning
visitors.
It also provides useful content streams for Social Media.
Recommend a ‘top seller’ and ‘new arrivals’ box on the
home page in a prominent position. There are numerous
naming options for these two sections to decide upon.

26

Top Seller & New Arrival Example


ROSE & GREY name
ROSE & GREY name
their sections New
their sections New
Arrivals and What’s Hot
Arrivals and What’s Hot

HOUSE OF FRASER
HOUSE OF FRASER
name their sections
name their sections
What’s New and Top
What’s New and Top
Picks
Picks

27

6. Keep Above the Fold Line
The fold is a term to mean the portion of your site which can be shown
when first entering the site without scrolling down at all.
Jakob Nielsen, Ph.D. (often called ‘the smartest person on the Web’),
states that Web users still spend 80% of their time reading ‘above

the fold’.
So, although not all your content has to sit ‘above the fold’... your most
important content should. An effective website places key information
and calls to action in easy-to-view areas 'above the fold’.
Nielsen states that most users decide whether or not a web site

provides them value within a mere 10 seconds.
Recommend including core branding elements, VP, primary site
navigation, contact information, range imagery, basket, all ‘above the
fold’(see pages 36 &37).

28

Incorporating Recommendations into
the Home Page
Current Home Page

FOLD LINE
FOLD LINE
30

the Home Page
Current Home Page
CONTACT DETAILS

BASKET

STRAPLINE
PAGE DESCRIPTION
PRODUCTS

RANGE IMAGES

FOLD LINE
FOLD LINE
31

the Home Page
Recommended Home Page (option 1)
CONTACT DETAILS
PAGE DESCRIPTION
PRODUCTS

BASKET
BRAND
BRAND
MESSAGE
MESSAGE
DEAL OF
THE WEEK

RANGE IMAGES
VP

FOLD LINE
FOLD LINE
32

the Home Page
Recommended Home Page (option 2)
CONTACT DETAILS
BASKET
PAGE DESCRIPTION
PRODUCTS

BRAND
MESSAGE
+ VP

RANGE
IMAGES

NEW
ARRIVALS

DEAL OF
THE WEEK

BEST
SELLERS

FOLD LINE
FOLD LINE
33

7. Improve Browse / Sorting Capabilities
Having user friendly browse/sorting capabilities is particularly
important for ecommerce sites as potential buyers want to
locate their desired items quickly and efficiently.
It’s almost expected by visitors as they are now familiar with
this type of sorting format as something that is employed by
the majority of successful ecommerce sites.
Recommend enabling the visitor the ability to drill down into
different browse sub-categories and then sort items by price
(high low and low high), top sellers, special offers, by brand,
alphabetically and by top customer review ratings (discussed
later in this document).


35

Browse & Sorting Example
MOCHA UK provide
MOCHA UK provide
classic browse and sort
classic browse and sort
function
function


36

8. Include Internal Site Search
If your site visitors can’t find what they are looking for by
browsing or using your navigation menus, then they will usually
try one last thing before giving up and leaving to one of your
competitors. And that is by trying to ‘search’ your site for what
they are looking for, via the internal site search function.
Recommend installing an internal site search box to help
visitors find what they need more quickly.
Visitors’ searches can even be used to inspire new product
offerings. If you see that many visitors are searching your site
for a particular type of product that you don’t yet offer, you
could consider offering this.


37

8. Internal Site Search

HABITAT & JOHN LEWIS both
HABITAT & JOHN LEWIS both
use internal site search on the
use internal site search on the
their home page
their home page


38

Site Search & Sort Best Practice

CRUTCHFIELD use internal site
CRUTCHFIELD use internal site
search, browse and sorting
search, browse and sorting
capabilities (best practice site)
capabilities (best practice site)


39

9. Deal (Offer) of the Week
Everyone likes to ‘grab’ an bargain and by giving your customers
additional value for good quality products can greatly improve
conversion and loyalty to your store without really hurting your
bottom line.
In fact, these short term but regular discounts can help strengthen
customer loyalty and widen your market.
Discounting items will also allow you to dispose of old inventory
and can help push slower selling lines.
Recommend placing a small section on the home page
(maximising its visibility). Also regularly announce these offers
across your Social Media platforms, this will help with content and
should drive even more customers into your site.


41

Deal (Offer) of the Week
CHEMIST DIRECT go extreme
CHEMIST DIRECT go extreme
and have a countdown clock
and have a countdown clock

M&S use strong,
M&S use strong,
clear messaging
clear messaging

CRATE & BARREL communicate a ‘timed’
CRATE & BARREL communicate a ‘timed’
offer to create urgency. They also include a
offer to create urgency. They also include a
call to action message
call to action message

42

10. Discount First Purchase
As a short term / occasional tactic to boost sales it can really
benefit, especially when targeting first time buyers who will be
influenced to purchase because of the offer.
It doesn’t just increase sales but provides a platform to build
client relationships, as once consumers have tested your
products, this can lead to repeat business and also generate
positive word of mouth.
The offer can also increase traffic, so make sure the offer is
communicated across all Social Media platforms (great for SM
content) and marketing / advertising touch points.
Recommend a simple 10% off first order – with no sign-up
required to be eligible (as sign-ups are barriers to participation).

43

Discount Example

MADE have a 10% ‘welcome gift’
MADE have a 10% ‘welcome gift’
(lovely personable language).
(lovely personable language).
However sign up is needed!
However sign up is needed!


44

11. Use Proactive Chat
Many online consumers want help from a live person while they are
shopping online; in fact, 44% of online consumers say that having
questions answered by a live person while in the middle of an online
purchase is one of the most important features a website can offer*.
Proactive chat provides the visitor to opportunity to engage in a live
chat interaction. The invitation can be an image or a small chat
window with a message that says, for example, "Questions? I'm
available for chat!“
This type of customer support will help in reducing
abandonment and driving customer satisfaction.
Recommend the adoption of a manual based
‘proactive chat’, so the visitor initiates the
conversation, rather than the brand / website.


Source: *Forrester Research

45

Proactive Chat Example

Manual proactive chat button,
Manual proactive chat button,
can be found on every page of
can be found on every page of
Honey Tree’s website. An
Honey Tree’s website. An
‘online’ message is also shown.
‘online’ message is also shown.


46

Proactive Chat Example
If the visitor has a question they
If the visitor has a question they
click on the button and a simple
click on the button and a simple
form opens up.
form opens up.

If online – recommend no visitor
If online – recommend no visitor
details taken, if offline then
details taken, if offline then
email address would be
email address would be
required.
required.

47

Consumers Old Decision Journey


Source: Google/Shopper Sciences, Zero Moment of Truth Macro Study, Apr 2011

48

Consumers New Decision Journey
Google’s ZMOT Model


Source: Google/Shopper Sciences, Zero Moment of Truth Macro Study, Apr 2011

49

Reviews influence purchase behaviour
•83% of consumers say that product reviews influence
their online purchasing decisions
•70% of online shoppers actively seek out product
reviews before they buy
•57% of shoppers trust customer reviews as a research
source along with other corroborating information
•41% of shoppers read between four and seven
reviews before they felt comfortable with a purchase

Source: 2010 Social Shopping Study by PowerReviews

50

12. Product Reviews
Use a simple review comment box with a 1to 5
ranking system - this will provide reassurance and
confidence to shoppers.
Encourage consumers to provide a review either
through persuasive email correspondence or
through enticement of discount off next purchase
(once product(s) have safely been received).
Initially reviews may have to be ‘manufactured’ in
order to populate; until ‘real’ reviews appear.


51

Product Review Examples
OCADO informs consumers if there have been
OCADO informs consumers if there have been
reviews and the ranking score
reviews and the ranking score
Click on ‘review’ and the full comment is
Click on ‘review’ and the full comment is
reavealed.
reavealed.


52

13. Encourage Cross Sell
Cross selling is where a complementary product is displayed to
a customer when they view another similar product.
It’s a very effective way of encouraging complementary
products to be sold together. It will improve the number of
items in a single order and therefore increase the average
purchase value.
It's also recommended to use as a technique for selling higher
margin items, by showing high margin products with lower
margin ‘loss leader’.
Desk work would be required to make a comprehensive list of
the paired / complementary products.


53

13. Cross Sell Examples
AMAZON are leaders in this activity
AMAZON are leaders in this activity


54

Average Cart Abandonment

50%

CONVERSION RATE (VISIT TO ADD TO BASKET): 8%
CONVERSION RATE (VISIT TO SALE): 4%


There is a typical 50%
abandonment from
basket through
checkout to sale,
even with the efforts
of checkout
optimisation

Source: 2012 Ecommerce report from Channel Advisor-IMRG

56

Why Customers Abandon Checkout
Top 3 reasons are nondesign / usability issues

Top 3 reasons are design
/ usability issues

44% Shipping/handling too high
44% Shipping/handling too high

14% Didn’t want to register
14% Didn’t want to register

41% Not ready to purchase
41% Not ready to purchase

12% Felt site was asking for TMI
12% Felt site was asking for TMI

27% Wanted to compare prices
27% Wanted to compare prices

11% Checkout too long/confusing
11% Checkout too long/confusing


Source: Forrester Research Inc.

57

“Shipping and handling costs too high”
• “For whatever reason, a free shipping offer that saves
a customer $6.99 is more appealing to many than a
discount that cuts the purchase price by $10.”
David Bell, Wharton School of Business

• Cart abandonment spikes when cart total is low and
when shipping charges are close to the cart total


58

14. Offer Free Delivery

Provide free delivery on orders over a certain price point.
Currently the average basket spend is £28 (Aug data), so
potential to offer fee delivery on £39.
This will motivate purchase and up-weight their spend.
£39 chosen as it’s a c33% increase on the average cart
spend, and ‘9’s are psychologically more impactful.


59

Free Delivery Example
Macy’s offer free ‘everyday’
Macy’s offer free ‘everyday’
shipping offer at $99. This
shipping offer at $99. This
threshold (may be more
threshold (may be more
persuasive than $100)
persuasive than $100)


60

Free Delivery Example
A ‘carrot’ shows the dollar
A ‘carrot’ shows the dollar
amount remaining before
amount remaining before
free shipping.
free shipping.
Placing it proximal to the
Placing it proximal to the
cart total may make it more
cart total may make it more
noticeable
noticeable


61

15. Rebalance Costing Ratio
Ensure deliver cost is never higher than 25% of the total
value of the total purchase.
For example; the bambo business card holder 37% of cost is
delivery (£4.49+£2.69) verses 16% for a bamboo laptop
stand (£25.99+£4.89).
Therefore consider altering the pricing to £5.49+£1.69.
Obviously this is just one example, you will need to work
through your product item to locate the other occurrences.


62

“Not ready to purchase”
• “24% of web buyers confess using the shopping
cart as a wish list to save products for future
consideration”.
• “61.2% of items are left behind in shopping carts
without being purchase”.
• “Retargeted customers are 70% more likely to
convert and will spend over £50% more than the
average visitor”.


Source: Experian marketing / SEOM & Forrester Research

63

16. Activate Remarketing

Remarketing allows you to display relevant and
targeted messaging to prospects who have previously
visited your site, while they browse other websites.
This strategy allows you to direct prospects back to
your site and move them further down the purchasing
funnel by providing additional details about your
product or offering.
Recommend a 10% discount with promocode.


64

Remarketing Life Cycle


65

Remarketing Example

Retarget people if they’ve not completed
a checkout process with coupon code
offer – i.e. 10% saving

66

17. Re-enforce Value Proposition
Visitors often abandon their baskets / halt their
purchase because they want to compare
prices on other sites.
So ensure that the value proposition is in view
in the shoppers cart. This will provide the
shopper with further reassurances of; value,
quality, security.
Even better the value proposition
could remain present on every page.


67

Include value propositions
Include value propositions
in the cart summary
in the cart summary


68

Finoak’s Good Practice

Shipping & handling
Shipping & handling
costs are provided
costs are provided
at the 2nd price
at the 2nd price
moment
moment

59% expect ‘total cost’
before checkout
OneUpWeb


Don’t need to
Don’t need to
register with the
register with the
site to buy
site to buy

23% of shoppers will abandon
checkout if forced to register
Forrester Research

70

Finoak’s Good Practice
Users often abandon their online purchase at the
checkout area. This can be because they aren’t user
friendly, too long and too much information is requested.

Forms are simple to
Forms are simple to
complete
complete


Minimal
Minimal
information is
information is
required
required

71

18. Inline Validation
Finoak use inline validation in the Secure Payment
Page but using it in the Checkout will help to
increase form completion and satisfaction rating –
which will improve the shopper experience.
•
•

22% increase in success rates
22% decrease in errors made

• 31% increase in satisfaction rating
•
•

42% decrease in completion times
47% decrease in the number of eye fixations (easier to visually
process)
–

Source: Etre / Luke Wroblewski


72

Inline Validation Good Practice
STANDARD FORMAT

If online & in
If online & in
slideshow
slideshow
Click here
Click here

INLINE VALIDATION

If online & in
If online & in
slideshow
slideshow
Click here
Click here

http://www.youtube.com/watch?
http://www.youtube.com/watch?
feature=player_embedded&v=FWDDRG93 v=hlU74LIPauo&feature=player_embedded
puY

73

Finoak’s Website

CHECKOUT PAGE


SECURE PAYMENT PAGE

74

19. Employ Address Verification
By integrating address verification into your checkout
forms, users can enter partial address data and have the
full, validated address automatically pasted in. This also
has the secondary benefit of ensuring you won’t have any
returned products due to an inaccurately entered address.
Current


Address Verification

75

20. Regularly Test Website Speed
Avoid the website running too slow. Regularly test
site speed all the way through your funnel, not just
the home page!


76

Key Take Outs

1.
2.
3.
4.
5.

Love Your Homepage
Succeed with Site Search
Be the Shoppers Champion
Reduce Cart Abandonment
Tighten up the Checkout Process


77

Action / Improvement Plan
#

Activity

1

Improve Clarity of Product Offer

4

Add Gift Section

5

Add Top Sellers & New Arrivals

6

Keep Above the Fold Line

7

Improve Browse & Sorting Capabilities

8

Include Internal Site Search

9

Deal of the Week Feature

10

By When

Display Value Proposition

3

Cost of
Implementation

Add Person Brand Message

2

Ease of
Implementation

Give Discount First Order


79

Action / Improvement Plan
#

Activity

11

Encourage the Cross Sell

14

Free Delivery on Larger Orders

15

Rebalance Costing Ratios

16

Use Remarketing

17

Re-enforce Proposition

18

Use Inline Validation (Checkout Page)

19

Employ Address Verification

20

By When

Consumer Product Reviews

13

Cost of
Implementation

Apply Proactive Chat

12

Ease of
Implementation

Regularly Check Web Speed


80

Appendix : Other bits & pieces
•
•
•

Checkout: add second email address box to confirm
accuracy of information
Secure Payment Form: methods of payment needs increased
prominence
Secure Payment Form: need a ‘clear’ address option if
delivery address differs from the billing address


81

Appendix: Options for segmenting
Options for segmenting conversion rate
Conversion rate gets more useful as you break it down by different types of
visitors with different intent and a different relationship with the retailer.
Different conversion rates and average order values can then be
segmented for different audiences to understand and work to improve the
quality of traffic or strength of propositions, for example:
•First time, repeat visitor or registered customer conversion
•Referring channel conversion, e.g. paid or natural search, social media,
affiliates, display advertising
•Search type, e.g. paid or natural, brand, generic or long-tail
•Product category type – conversion rates are much higher for simple
commodity products for example

82

Andrew Curzon
m: 07545 344 333
e: andrew@firstwavemarketing.co.uk

Improving website conversion for ecommerce

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