Crealytics Insights


Break down silos in ecommerce to drive performance

Strategies for Increasing your Average Order Value

In the eCommerce industry, you’re always looking for ways to increase sales, retain customers, and improve the conversion rates of your product pages. Sadly, eCommerce companies often focus too much on driving new traffic and generating new buyers. In fact, they could increase their revenue more quickly by catering to existing customers.

If you run a mid or large-sized eCommerce store, increasing your Average Order Value (AOV) by just a few cents per order can have a profound impact on your bottom line. By working to optimize your AOV, you can generate reliable growth without having to increase marketing budgets or make radical changes to your marketing or sales strategies. It also plays a large role in determining Customer Lifetime Value. 

Before we dive into the strategies that you can use to increase the value of your average order, let’s start with its definition:

One of the big factors Average Order Value is the average amount of money spent per transaction on your website. The formula is simple:

Total Revenue / Number of Orders = Average Order Value

To increase the average value of each order, you’ll have to convince customers to add more items to their cart before checking out. There are a few strategies that you can use to reliably increase your average order size:

Recommend Similar Products

Customers can get tunnel-vision. They may come to your website so intent on buying the product they have in mind that they don’t take the time to shop around and see what else they might be interested in. Naturally, this leads to smaller order sizes.

To help resolve this issue, try displaying some recommended items on your product and checkout pages. Recommend products that would be complementary to a customer’s original purchase, or products you have reason to believe would interest them based on their previous buys.

As usual, Amazon serves as a great example of this tactic. Its product pages display a list of recommended items based on other customers’ shopping histories:

Enticing your customers with a handful of recommended items can be a great way to increase AOV organically, while increasing customer satisfaction.

Make Adding Accessories to Carts Simple

In the same vein as the previous strategy, displaying accessories on your product pages can help increase the value of your average order. Try hand-picking products you think will complement their current purchase – it will help convince your users to spend more.

For instance, if you are selling an item that requires batteries (but doesn’t come with them), prompting your users to purchase some with the product can reliably increase the AOV on that product. If you were selling a camera, you might display camera lenses, batteries, or a photography guidebook. These are items that the customer is likely to want! Giving them an option to buy them with the main product can save them headaches down the road.

Install Free Shipping Thresholds

Sometimes, incentivizing customers to spend a few extra dollars can convince them to spend more. One of the most straightforward ways to incentive larger purchases is to install free shipping thresholds. For instance, many companies offer free shipping on orders above $50, $75, or $100.

Recent research from the University of Florida backs this up. It found that the AOV of a store with a $75 minimum threshold for free shipping saw order Average Order Values of $64.68, compared to $46.04 for stores that offered free shipping to all customers.

Create Bundle Deals

To boost your Average Order Value, you need to either raise your prices or convince customers to buy more items. Why not try bundling products together at a lower price than they would pay if they bought them individually?

You can offer these products as a bundle on their own product page. Alternatively, you could give customers the option of bundling items that they choose for a specified discount amount. Let’s say you run an eCommerce cosmetics store. You could allow your customers to create their own makeup bundle, including items from multiple different categories to create a custom makeup kit.

Here is a great example of giving customers multiple options for bundling similar products together:

Customers who bundle can save a large amount compared to what they would pay for each item separately.

Add Live Chat To Your Website

There are few things more beneficial to your AOV than answering your customer’s questions quickly and easily. Installing live chat services on your eCommerce site can facilitate this…and nudge them toward making larger purchases. It also gives your agents the ability to make personalized recommendations and upsell products in real-time.

AOV…a No-Brainer for Revenue Growth

Working to increase your Average Order Value is often easier and more reliable than trying to bring in new customers. Using strategies like offering recommended products, bundling products, and adding free shipping minimum thresholds are great ways to organically increase the average value of the sales that you already make in your eCommerce store.


Why eCommerce Businesses Should Consider Pinterest Advertising

Social media users love Pinterest. In late 2016, the company announced it had more than 150 million active users. The network consists primarily of a picture board that has become a home for fashion, recipes, do-it-yourself projects and interesting products that convey well through images.

In early 2017, Pinterest announced it was launching a new advertising platform, Search Ads on Pinterest. The platform had offered ads in other formats for a while. However, this rollout opened up a significant increase in impressions for advertisers: making it a more reliable marketing channel for eCommerce brands.

This visual-first advertising system shows your ads whenever someone uses Pinterest’s search function. They appear directly alongside the relevant search results.

And it offers a full suite of features. Expect keyword targeting, shopping campaigns, powerful targeting options, and an in-depth reporting suite for monitoring your efforts. Since the platform’s launch, Pinterest continues to refine and update, adding new features each month.

Pinterests’ ideas board boasts a unique opportunity for eCommerce brands. Because of its visual nature—and the fact it’s often used for sharing items and interesting ideas—product ads tend to dovetail with commonly shared content. Novel products make it relatively easy to capture attention and generate interest without being intrusive.

Work for an eCommerce brand? Pinterest advertising might well be worth a shot:

Most Users Log In to See Products

The platform was built on the back of sharing cool pictures, products, and do-it-yourself style projects. Many users actively log in to see pictures of fun and interesting products. Some of the platform’s largest accounts celebrate the latest fashion, recipes, furniture, and products from other categories.

Regarding fit, few other platforms fit eCommerce brands as well as Pinterest does. Product ads can generate real interest…and don’t seem out of place to users. In short, the ads look and feel natural, all while reaching a receptive audience.

As seen in the above image, Pinterest holds a healthy amount of influence over social media users. Not only does content shared on the platform lend itself well to product sharing, but users actively seek out products. For eCommerce brands, a blend of organic and paid advertising may be the sweet spot.

Pinterest Provides Detailed Analytics

Pinterest offers a detailed analytics dashboard. And all advertisers have access to it. First debuted in 2014, the dashboard includes all the basic metrics one might expect — impressions, clicks, repins, and likes. It also includes more advanced analytics, like trend and user information to help you craft relevant ads.

Pinterest Lends Itself Well to Specific Demographics

All types of brands should consider Pinterest. That said, the platform has proved a particular hit with certain demographics and customer profiles. For instance, 81 percent of all Pinterest users are women, whereas men only account for about 7 percent of the total image pins on the platform. For brands that sell primarily to women, or at least products skewed toward women, Pinterest offers an excellent advertising platform.

Certain product categories see a lot of interest on Instagram. If you sell products within these categories, you may find that Pinterest offers an excellent source of new customers:

  • Home Decor
  • Recipes and Kitchenware
  • Women’s Fashion
  • Health and Fitness
  • Travel
  • Technology
  • Hair and Beauty
  • DIY

Using its advanced targeting features, you can ensure your ads only display on relevant pages and searches within your product category. This not only improves exposure to the right kind of customers: it also keeps your ads from seeming intrusive to other users.

A Goldmine for Women’s Products

Pinterest offers lots of potential for eCommerce brands of all types, especially for women’s brands and products. Because of its visual nature, product ads are a natural fit on the platform. Pinterest has made sure to design an unintrusive ads program relevant to its users’ interests.

 


3 Best Practices for Dynamic Remarketing Ads

With Audience Targeting dominating the foreseeable future of Search Engine Ads, familiarizing yourself with Retargeting Options may be useful. Dynamic Remarketing Ads can massively improve your performance by allowing you to help build leads and sales by bringing previous visitors back, who may have left at different stages of the transaction. Before we get to some of the best practices for utilizing Dynamic Remarketing Ads, let’s take a step back, and recap what they are.

What are Dynamic Remarketing Ads?

Since the release of Dynamic Remarketing Ads back in 2013, marketers are able to re-engage with former site visitors with highly customized ads displaying the same and/or similar products they previously looked at. The aim, of course, is to convert them into customers.

So, while prospects are still in the early stages of their purchase, you get to continue engaging with them with tailored messages.

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The Key to Good Product Feed Management

So, you have this fantastic e-Commerce website to sell your products on, but you are also want to sell your products to buyers through the PLAs (Product Listing Ads). How do you get started?

Lucky for you, the technology that manages the products on your website, can usually be repurposed to drive buyers to your site through PLAs… and it all starts with a product data feed.

Getting a Data Feed & Managing it

Many e-Commerce platforms have ways to create an export feed of your product data. Some of the most popular platforms can even send product feeds directly to the marketing channel where you want to advertise your products. This isn’t always recommended because your products need additional valuable data that is not automatically included in the feed. Including this additional data will benefit the marketing of your products.

As far as managing your feed is concerned, make sure to send your product feeds regularly, otherwise, you may be paying for traffic for products that are out of stock, or you may miss out on advertising the newest products listed on your site.

This is where feed optimization comes into play.

Importance of Feed Optimization

There is much to be said about feed optimization & channel specific feed optimization, but for sake of time we’ll let you in on a few of the key optimizations ideas to enhance your feed.

Firstly, having unique keyword-rich titles are essential to matching your target audience search queries to your products. Check that your product titles have nouns that accurately and completely represent each product. For example, when navigating on an apparel website to a shirt page, the page data would not necessarily include ‘shirt’ in the title because you navigated to the shirt page through the breadcrumbs. So, including “shirt” in the product feed title will help increase the relevancy of the product to search queries.

Secondly, we’ve seen numerous feeds with either incorrect or missing data. This makes categorization complex and arduous. So, merchant’s will use a more generic categorization instead of the more granular category. The more granular/accurate the categorization, the better.

Lastly, if advertising on Google or Bing, review how you are managing the bid optimization of your campaigns. You can logically group and segment your products in the feed, and then bid based on these groupings. For example, if you group your products in your feed by ‘product_type’, then you can apply different bid amounts to each product type, giving you more control over how much you want to spend on bids, This should positively affect performance. Through the product feed, you can also create custom labels. Custom labels can be used to further segment data to improve performance. Examples of custom labels – by seasonality, margins, pricing buckets, performance groupings, and more.

Common Feed issues

Through the years, we have seen a wide variety of feed related issues. Some are based on data availability, while others may be based on ability to pull the data from the sources  i.e. from the website, business intelligence systems, or merchandising systems.

Here are some examples of issues we run across:

Feed Formatting

Each marketing channel has specific formatting requirements. If the feed doesn’t include all the channel’s requirements, then some of the products may not be displayed.

HTML characters

You may have seen weird characters such as ‘®’ or HTML characters on web pages. These can lead to confusion and just plain look bad.

Missing & Incomplete Data/ Multiple Data Sources

This is one of the most common problems, that we can spend hours talking about. Top reasons for missing & incorrect data: human error;  multiple data systems not talking to one another about a product; unavailable fields in any of the sources. This reinforces that sometimes, it is necessary to compile your product feed from multiple sources.

Missing Nouns

This is another common issue. As discussed above, the product title sometimes misses a noun because of the website structure. It is extremely important in the feed to have robust, keyword-rich titles.

About Feedonomics

Feedonomics is a software solution that can correct the above common issues and enhance a merchant’s data feeds with speed and at scale. Whether you have a handful of products or millions of SKU’s, we can help you. We have a team of analysts ready to manage and optimize your feeds and significantly enhance your online marketing efforts.

Feedonomics is committed to simplifying eCommerce with expedited and optimized feed management and delivery. Born in the cloud, tested and tweaked in the trenches, Feedonomics solves the technical, usability, and pricing problems of existing alternatives. It supports all major search engines, shopping platforms, and marketplaces in the industry. Feedonomics services a variety of verticals such as eCommerce, hospitality, travel, and job boards.

Learn more about Feedonomics


Go Beyond Standard RLSA lists

Remarketing Lists for Search Ads have always had an important role in the optimization process ever since their release in 2012. Every PPC manager worth his salt, has spent many an hour playing around with list definitions and using them as a bid modifiers.

As marketers, those lists make our lives a whole lot easier. Not only are they a powerful opportunity for segmenting, they also provide a rare optimization element whose borders we can define and refine to our heart’s content. We can add, exclude or create combinations of lists focused on specific behaviors and use them for our ads as long as the number of the users in the lists reach 1000 for 30 days (with a few policy limits).

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Benchmark your Google Shopping Remarketing Performance with this simple script

Remarketing Lists for Search Ads (RLSA) and Customer Match have been proven to drive incremental revenues of 18% or more.

At Crealytics, we’ve seen many accounts and we developed a few rule-of-thumb benchmarks that give us an idea of how much potential we can unleash by fine-tuning the Remarketing strategy – be it via RLSA or Customer Match.

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How to check your RLSA configuration

It is crucial for every PPC manager to properly set up audience lists and their bids. Unfortunately, since there are various targeting criteria with infinite possibilities, it’s easy to make mistakes during the audience creation process.

Our tests suggest that used correctly, bid modifiers on audiences can increase revenue by 16% while keeping ROAS stable. So it’s definitely worth taking the time to get your audience lists setup right.

In this blog post, we’ll share some tips and common mistakes to avoid when creating audience lists.

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A printable cheat sheet to essential RLSA and Customer Match audiences

Remarketing Lists for Search Ads (RLSA) and Customer Match have proven to drive incremental revenues of +18% and more, all while keeping ROAS stable.

One important key to making Audience Remarketing for Google Shopping work is to know which essential audience lists you should define and use.

At Crealytics, we’ve analyzed and optimized many Google Shopping accounts. As a result, we’ve developed a checklist that contains the most important RLSA and Customer Match audiences we typically create and optimize.

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Understanding audience targeting tools and when to use them

The world of paid search is shifting. Advertisers are slowly moving away from targeting search queries to targeting audiences.

It’s not about just showing the right ad anymore. You need to show the right ad to the right user.

In order to take full advantage of this shift, you need to know

  1. Where is the user in the conversion funnel?
  2. What audience tool targets the right kind of user?

This article will walk you through the different audience tools available and how you can use them to reach the right customer at the right time.

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How to make most of Audience Remarketing using RLSA and Customer Match on Google Shopping

The customer journey has become more and more complex. People tend to navigate between Google and a retailer’s website multiple times before they convert. According to our analysis, 46% of Shopping ad conversions have three or more clicks through to the retailer’s website from Google Shopping. Which makes it essential that you keep your brand front and center in the customer’s mind each time they search.

The good news is, Performance Marketers can act on this customer journey using Remarketing List for Search Ads (RLSA) and Customer Match. These tools make it possible to bid differently on shoppers who have interacted with your website and are searching for something relevant on Google again.

Crealytics A/B tests on the incrementality of Audience Remarketing have shown that bidding higher on people deeper in the conversion funnel drives incremental revenues of around 18% or more.

Done right, you’re not just making the sales you would have made anyway with a higher price bid, you’re actually increasing the number of sales generated by targeting highly relevant shoppers.

Take Audience Remarketing to the next level

Google Shopping is ideal for running Audience Remarketing at scale. This two-minute video provides you with an overview of how we bottled up the combined experience of our PPC experts at Crealytics into an automated solution that lets you leverage the full potential of Remarketing.

Crealytics customers have been able to benefit from the Audience Remarketing optimization since April 2016. If you have any questions, thoughts, comments or just want to chat about RLSA, feel free to reach out to your Crealytics account manager to discover more.

Not a Crealytics customer yet? To learn more about how our Smart Shopping Automation tool can help you get the most from your campaigns, get in touch with us on hello@crealytics.com and we’ll be more than happy to tell you all about it!

How are your RLSAs doing right now?

To make it easy to evaluate the current state of your Audience Remarketing Google Shopping campaigns, we’ve put together these resources designed to help you check this task off your list.

More on RLSAs

For more on how to make the most of your audience lists, check out these other great resources.