The Real Reason You Aren’t Hitting Your Ecommerce Goals
Sometimes in ecommerce it feels like you’ve hit a wall. No matter what you try, or how you try it, online revenue will not go up. You simply cannot move the needle.
When you get to this point, it’s hard for any company to see the forest through the trees.
But fear not! All hope is not lost.
Unless you have an incredibly high market share, are in a fully saturated market, or have 100% conversion rate, there is room to grow.
So what can you do to improve your ecommerce performance?
Explore the Typical Culprits First
There are three main areas that most problems in ecommerce arise: product, customer, and communication. But we prefer to call these opportunity areas rather than problem areas.
If your ecommerce store is underperforming, you may have a problem with your product. This does not necessarily mean that the product itself is not good (although it might). It could mean that your product is not being used the way it was intended or it is not serving the need you expected it to serve. Take a good look at your product and more importantly, how it’s being used. Get additional customer feedback, and make sure your product is serving its intended purpose well.
Another reason that your ecommerce store may be underperforming is a customer mismatch. Perhaps you have identified the wrong target customer. Or perhaps there are additional new potential segments that would value from your product and help improve your ecommerce metrics.
This goes back to your product and how it’s used. See how customers are actually using your product and why they say that they need it. Then shift your target market to customers with this specific need, or explore who else might have this same need and approach these new market segments.
It’s possible that you are spot on with your product and your target customers. You simply may be bad at communicating it. Or you may not be pursuing the proper channels. Make sure that your brand reputation is solid and that you are communicating your value proposition well through your site and advertising design and messaging. If you are providing a bad experience (either through your ads or through your ecommerce funnel), it won’t matter how good your product is. Make sure that your marketing and communication are up to snuff.
Conversion Rate Optimization
So then what?
If none of these are problems, and you’re still having issues with your ecommerce performance, are you out of luck? Absolutely not!
This is a good sign. Now it’s time to turn to conversion rate optimization.
Check out our series on CRO and how it can improve your business.
Invest in Innovation
If you feel stagnant, you need to get help. Typically, businesses are either growing or they are shrinking. There is no standing still. If you feel stagnant, more likely than not, you are already losing ground.
How do you avoid this problem?
Invest in innovation from the beginning.
Disrupt your process. Disrupt your business. Look for incremental and radical innovation.
If you just begin to invest in innovation or R&D once you feel you are behind, it is already too late. You should always be investing a percentage of your budget into innovation in order to ensure the long term growth and success of your business.
Seek Outside Help
Outside input is key. The first thing you need to do is identify problems and opportunities within your ecommerce sales funnel. It sounds simple, but often you are too deep in the process yourself to be able to step back and see the big picture. This is where a fresh set of eyes comes in handy. Outside eyes can often see problems and potential growth opportunities that you cannot.
This is the classic reason that companies hire consultants: to help them see what they can’t see.
It’s important to admit when you need help. And this isn’t just life advice. It applies to your ecommerce business too.
Metacake specializes in helping companies break through this apparent ecommerce ceiling and continue to grow. We not only identify the problem areas and opportunities, but provide actionable insights to help your company reach their ecommerce goals.