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Conversion Rate Optimisation

What is Conversion Rate Optimisation or CRO? Conversion Rate Optimisation is the improvement process for your website and customer contact, in order to more effectively link into the needs of the potential customer. The ultimate goal? Achieving (company) targets.

Conversion Rate Optimisation is not a one-off solution but a long-term vision, a change in mind-set and a different approach to the user. Continual research enables you to improve the quality of your website and this is then reflected in the results.

Conversion Rate Optimisation is therefore a mix of:

  • Advanced analytics information: without correct, accurate data it is impossible to make the right decisions. Data is not biased and provides either a clear or unclear result.
  • Customer service: without thinking in a customer-focussed way and in terms of solutions for the customer, it will be difficult to implement a long-term customer-focussed strategy.
  • Psychology: this is not about what colour someone prefers but how a user can respond and where and how people are positioned in the purchase-decision phase?

Optimisation success

It is important to agree a few issues first, in order to ensure that the optimisation process is successful:

  • There are no absolute truths. We don’t use doctrines. No 'one size fits all'. What works for one site, may not necessarily work for another.

  • No ego! You can only know how a website is doing by looking at it. We have to know things, not guess them. Over the course of time, you will develop a sixth-sense but you should only use this as input for data gathering. You must not gather data to back up your opinion. Your opinion doesn't matter.

  • Frameworks and methodologies are much more important than dogma. Every website is different; visitors are different and the world is constantly changing. Frameworks teach you how to think, not what to think.

The Conversion Rate Optimisation strategy that we set for the online channels can also be applied to other channels in order to improve the offline experience of your company's users and customers. As a result, over the course of the process, we see an improvement in turnover or transactions or one of the company's specific targets.

When you are thinking about targets, it is important to place them within SMART frameworks: SMARTframeworks:

Specific: what will we do and how will we do it?

Measurable: is it traceable and can we measure the differences?

Acceptable:is there support for taking a particular pathway?

Realistic: can we achieve the targets on the basis of past and current conditions?/p>

Time-bound: how much time is spent on a specific target and what is the deadline?

What does the current conversion ratio say about my website?

What does the current conversion ratio say about my website? Am I doing ok compared to other websites in my category? These are questions that everyone has about their website and/or ordering process. And they are logical questions. The answer? It doesn't matter, because

  • conversion rates are relative. If I have 10 visitors to a website and 1 converts, I have a conversion percentage of 10%. If I have 200 visitors to a website and 2 convert, I have a conversion ratio of 2%. Is 10% better or worse than 2% for my company?
  • Conversion ratios are a method for achieving the ultimate goal. Conversion ratios are not stand-alone figures; they are created by various elements and can sometimes conceal deficiencies.
    An example: I have a higher conversion rate but the average value of my orders has dropped by 50%. At the end of the day, I have 40% LESS turnover but a 10% higher conversion percentage. This probably won't help achieve the ultimate targets.
  • Learning from theories and from the customer is more important than every test delivering the right result. A loss-making, new theory provides clarity and direction for the next one. And you will learn about the customer and what is important to them.

Analytical targets that can be optimised:

  • Transactions
    The orders from a web shop or an app. This will often be one of the KPIs as this is an important company target. The more transactions there are, the more growth. But, what is not taken into account, is the average value per order. If you wish to include this calculation, then turnover may be a better target.

  • Turnover
    This is the income from the transactions that the customer has realised. There is no consideration of numbers of transactions, just how much is received at the end of the day.

  • Gross Profit
    After turnover targets come profit targets. We look at turnover - cancelled turnover - costs for marketing - general costs - purchase costs = gross profit. This is the clearest target and constitutes the ultimate profit which will ensure the company can grow.

  • Leads
    These could be different targets for non-monetary objectives. A typical example would be expanding the database, in other words collecting new email addresses.

  • Reading time/ Minutes watched
    Are you a content maker? Then a clear KPI is the reading time for the text or the number of minutes/seconds taken to watch your video.

  • Downloading an app
    Do you have an app in the app store? Then promoting app downloads is a clear target and is also a stimulus for the first step towards monetary in-app purchases.

  • In-app purchases
    In-app purchases within the app itself, e.g. to unlock or buy extra levels/carry out packs.

  • Micro-processes on a page
    What is the most important action that you would like people to carry out on a specific page?

What are the important psychological elements of an analysis?

  • Value proposition
    Why is this product important to me and what value is linked to it?

  • Relevance
    Is the value proposition relevant and is this right for the product? Am I looking at apples while my product is actually pears?

  • Clarity
    Is the explanation clear? Can I see what it's about in 5 seconds and also understand it?

  • Phobia (Anxiety)
    If I didn't use this product, would I miss it? The most frequently used term for this is FOMO: Fear Of Missing Out. If I don't buy or download this product, will I miss valuable information?

  • Distraction
    Where is the focus of the page? What main action must be undertaken?

  • Urgency
    Can I wait or do I have to make a quick decision? This can be demonstrated by means of, for example, a countdown for an event or via an indication that there are only x-numbers available.

The 5 steps of the framework are as follows:

  • Analysis
    What is the current situation with the website? What are the website's aims?

    • Qualitative research: On the basis of comprehensive user-testing and technical analyses, analyse the current status of the website for the user.
    • Quantitative research: Surveys among large groups of (potential) customers. These surveys can take a range of perspectives, according to the specific issue. It is also possible to take various surveys at the same time.

  • Theory
    Where are the bottlenecks or improvement points for the user? What friction is encountered when users try to take action?

  • Testing
    On the basis of the theory, the various positions are tested and analysed.

  • Implementation
    If the theories are correct and the tests show an improvement in the company goals, these are progressed and implemented in relation to the website/processes/apps. etc.

  • Analysis
    The situation is re-examined and improvement points are summarised and researched.

Before you proceed to the last analysis step, you must ensure that the first four have been completed successfully. The higher you go in the pyramid, the more impact it will have on conversions. But, if the lower steps are not working properly, the conversions will potentially reduce dramatically.

When we analyse sites, we start at the bottom of the pyramid. This also means that we don't even start thinking about psychological triggers until the lower levels are working effectively.

  • Functional
    Is it working and is it working in line with original proposals? There should be no technical shortcomings. Quality Control is a must (cross-browser and cross-device tests)

  • Accessible
    Can visitors use the site on all devices? Are there shortcomings or limitations? Are there any issues that prevent people using the site? Alt tags on all images? And so on...

  • Usable
    Is the site user-friendly? And quick enough?

  • Intuitive
    Does the sales process follow the end-user's logical thought pattern? We want to eliminate any irritations within the buying process. Anticipate questions from (potential) customers and provide answers at locations where customers ask the questions (in contrast to an FAQ page that nobody looks at). This is all about improving the site experience for users and optimising any issues that could prevent them from buying.

  • Persuasive
    Do visitors see your product or service as a solution to their problem? Does the website provide an answer to their questions? Is there enough evidence? Is it persuasive? Eliminates doubts? Is there a friction-less checkout?

  • Persuasion
    Making your website appealing usually involves better copy, better images and/or an improved design. The lower down in the pyramid, the quicker you can implement without testing. The higher up in the pyramid, the more useful it becomes to implement testing.

Would you like to know more about Conversion Rate Optimisation?

If you would like to know more about Conversion Rate Optimisation and how this could help your company achieve its goals, then contact us!

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