Conversion marketing is a method used by a company that takes a consumer from the discovery of their product through the sales process. This method can include a wide range of digital marketing ideas, from video content and social media to mobile apps and emerging shopping platforms. Through it, brands can better direct their eCommerce traffic to their preferred platforms and speed consumers through the path to purchase.
Conversion marketing is strictly goal-oriented—brands want hard numbers on how marketing impacts sales. Brands often seek out ways to increase consumer purchases from a specific channel or reduce cart abandonment on their direct pages. In either case, brands that use tactics to enhance visibility at the right time will see the highest ROI from their conversion marketing strategies.
Targeting Channels for Conversion Marketing
The conversion rate gives clear data on the impact of a conversion marketing campaign. Essentially, out of all the individuals who visit a site, the conversion rate accounts for all those who take the brand or retailer’s desired action. In the eCommerce space, the obvious desired response is a purchase. As a result, brands wanting to test conversion need to look at various channels, including:
- Third-party retailers: Sites like Amazon and Alibaba act as hubs where many brands see most of their online sales. Their reach is extensive, but they’re also highly competitive. In some cases, brands will have to compete even with third-party sellers of their own products.
- Direct-to-consumers: Selling directly to consumers through their own website or retail space cuts out the middleman but is also a costlier endeavor as brands must establish their distribution channels. However, direct sales give brands the benefit of little to no competition so that they can highlight their own products.
- Social marketplaces: Social media sites are becoming marketplaces where consumers go to make purchases. Facebook, Instagram, and Snapchat have begun to offer avenues for consumers to purchase a product directly through a social media page.
Brands should adjust their marketing efforts based on the channel. Being flexible allows brands to easily scale marketing resources to target the options with the highest ROI.
Tips for Successful Conversion Marketing
- Use Innovative Options for Third-Party Retailers
Third-party online retailers are a reliable source of sales for brands. However, they’re also highly competitive. Brands must establish best practices for appearing in search results to stand out, and they need to update those practices regularly as retailers roll out new ordering options.
There are two emerging technologies which will impact eCommerce in the years to come; 2D image recognition and voice ordering. Consumers will be able to use images to search for items to purchase. They will also be able to voice order using devices like smart speakers and wearables. In either of these cases, brands need to ensure their products are relevant for specific searches. This is typically established through customer ratings. A consumer searching for whitening toothpaste, as an example, would receive results from the most highly rated participating brands.
Brands need to work with platforms that offer these features and must also optimize their listings for these programs. Reputation management for a specific product will be critical, as consumer reviews often drive visibility on third-party sites like Amazon.
- Leverage Loyalty Programs in Direct-to-Consumer Sales
Direct-to-consumer sales aren’t typically a significant platform for CPG brands, but some have taken to this avenue to compete with emerging challenger brands. Loyalty programs can drive direct-to-consumer sales, as these platforms typically focus on reaching household decision-makers.
Consumers want convenience in their rewards programs. They view rewards at a brand level as less convenient, as they need to participate in multiple programs for one shopping trip. Brands can instead partner with third-party shopping apps that provide a variety of rewards options for consumers. Shopkick, as an example, works with a wide range of brands and retailers to create one seamless, integrated rewards hub. Partnering brands can use the Shopkick app to connect with its active audience of users and direct them to a preferred purchase platform.
- Use Social Marketplaces for Omnichannel Events
Levi’s created a fun event using Snapchat’s store platform, exclusively for shoppers at Walt Disney’s Levi’s store. When consumers scanned a code in the store with their phone, they received access to a special filter which showed off a limited-edition Disney hat. Then, users could purchase the hat directly through the app. This strategy drove sales for Levi’s and tied Disney into the experience, allowing cross-channel marketing. The event-style promotion built on scarcity and exclusivity; both tactics are powerful sales motivators.
Conversion marketing strategies help brands build sales across the board when it comes to online channels.
Conversion marketing strategies help brands build sales across the board when it comes to online channels. Apps that reward consumers for their loyalty drive them directly to a brand’s website while optimizing for innovation helps them stand out on major eCommerce platforms. In the emerging social sales marketplace, omnichannel experiences drive interest in new brand offerings. These strategies move consumers through the purchase funnel faster, reducing cart abandonment and boosting overall online sales.
Image courtesy of William Potter