Ecommerce marketing strategy 101: The definitive guide to growing sales
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Contents Introduction 3 Step 1 - Attract your target market 6 Step 2 - Convert website visitors into leads 15 Step 3 - Generate sales 19 Step 4 - Delight your customers 29 2
If you don’t have a solid ecommerce marketing strategy, your business is dead in the water. Here’s the thing: Today, competition is fierce. So, even if you sell the best products in the world and have piles of cash to spend, you still need an effective strategy to stay ahead of the competition. Now, maybe you’re already using some ecommerce advertising methods like Facebook Ads and social media marketing. However, if these tactics aren’t part of an overarching ecommerce marketing strategy, they’ll likely be ineffective — or worse, money pits. So, what exactly does an effective ecommerce marketing strategy look like? How does it work? And how can you get started? Let’s find out. In this guide, you’ll learn everything you need to create an effective ecommerce marketing strategy step-by-step. But first, let’s refresh the basics.
What exactly is There are 4 key stages businesses must move people through to transform them from strangers ecommerce marketing? to customers, and then from customers to brand promoters: Basically, ecommerce marketing is just the Stage 1: Attract the target audience with process used to increase online sales, build marketing tactics like Facebook advertising. brand awareness, and generate customer loyalty. To do this, businesses must first capture attention Stage 2: Convert website visitors into sales leads and drive traffic to their websites. They can then by capturing their information. either attempt to compel visitors to make a purchase or to offer their personal information Stage 3: Close sales by compelling sales in exchange for ongoing marketing materials. leads to make a purchase. Ecommerce marketing from a business Stage 4: Delight customers to turn them perspective: Let’s explore the foundation of into brand advocates and promoters. ecommerce marketing strategy from a business perspective. The image below illustrates this process: ATTRACT CONVERT CLOSE DELIGHT Strangers Visitors Leads Customers Promoters Blogs, Forms Email Events keywords, Calls-to-Action Signals Social Inbox Social Media Landing Pages Workflows Smart Content 4
Ecommerce marketing from a customer perspective: Now, let’s explore the ecommerce marketing funnel from the customers’ perspective using a time-tested formula A called “AIDA.” Attention The American businessman Elias St. Elmo Lewis developed this formula over a century ago in 1898, but its principles are just as relevant today. I Interest AIDA stands for: Awareness: Your target market must first become D aware of your products or services. Desire Interest: People must then become interested in the benefits of your products or services. A Desire: Interest must transform into desire to Action lay the foundations needed to make a purchase. Action: Peoples’ desire must be strong enough to compel them to make a purchase. 5
Step one Attract your Here’s what we’ll cover: target market Organic marketing methods 1. Social media marketing 2. Content marketing 3. Search Engine Optimisation (SEO) Paid marketing methods 1. Advertising 2. Influencer marketing 3. Referral program 4. Affiliate marketing
First things first: Before When you tailor every aspect of your business to you can make a sale, you a well-defined target market, you go from good to great. Think about it — if someone has a heart have to get the attention problem, do they want to see a general practitioner or a cardiologist? of your target market. In other words, niching down and specialising helps you cut through the noise. Before we explore various ecommerce digital As the management consultant Peter F. Drucker marketing methods, it’s vital that you define a once said: “The aim of marketing is to know target market. and understand the customer so well that the product or service fits him and sells itself.” Here’s the thing: Your brand can’t be all things to all people. So, before you move on, take a moment to clarify who you’re targeting. Then, work out how you To stand out from the competition, it’s very can position your offer to resonate powerfully important that you choose a target market with your target market. and position your products or services as the perfect solution available. Once you intimately understand everything about your target market and your offer’s benefits, it’s time to start marketing. “Choose a target market and position your products or services Broadly speaking, there are 2 types of ecommerce marketing: organic and paid. as the perfect solution available. 7
Use organic 1. Connect with your target market on social media marketing methods Perhaps the fastest way to generate sales organically is to build genuine relationships with people on social media. The term ‘organic marketing’ refers to any type of marketing activity that’s ‘free.’ In other words, Here’s a great example from the fitness clothing you don’t have to pay money to do it. brand Gymshark (below). The brand is very active on social media and has grown a highly So, if you have a limited budget and are down engaged following with relatable posts that to hustle, you can use the following ecommerce resonate with its target market. marketing tactics to attract your target market: • Social media marketing • Content marketing • Search engine optimisation That said, it’s worth noting that organic marketing methods take time – lots of time. Plus, to compete effectively, you may need to hire experts to help or pay for courses so you can learn the ropes. Let’s take a closer look at these 3 powerful organic ecommerce marketing methods. Image credit - Gymshark: Social Media Marketing Example 8
You can also engage your target market in Facebook groups, LinkedIn posts, and more — consider where your target audience spends the most time online. 2. Engage your target market with valuable content Content marketing is the process of creating and promoting online media that’s designed to attract and nurture a target market. There’s virtually no limit to the different types of content you can create, too — for example, you could produce: • Blog posts • Case studies Remember, the aim of content marketing is to • Ebooks • Online courses give before you can get — to provide genuine value in some way, whether it’s to inform or to • White papers • Presentations entertain. • Research • Webinars • Videos • Q&As This ebook you’re reading right now and the articles we share on our blog are both • Infographics examples of content marketing! • Podcast episodes • Emails Now, you’re probably wondering, “How can I get people to check out my content?” To start, you can share it on social media, but you can also engage in search engine optimization… Image credit - Neat content marketing 9
3. Drive traffic by ranking web pages search engines like Bing and Baidu — the no.1 in search engine results search engine in China. Another popular type of organic ecommerce Here’s the thing: SEO is a slow-burn ecommerce marketing is search engine optimisation — promotion strategy. So, you’ll need to produce or ‘SEO.’ This is the process of creating and plenty of search engine optimised web pages optimising web pages and content to appear and content to improve your rankings. higher in the search engine results pages (SERPs). Still, SEO is the gift that keeps on giving. Once you’re up and running, high-ranking content can continue to pull in traffic for years, with minimal updates. “Not many people realise that YouTube is the second-largest For example, when I searched “best sunglasses search engine” for men” on Google, Sunglass Hut ranks on the first page (above). SEO isn’t limited to Google, either — not many people realise that YouTube is the second-largest search engine. You can also drive traffic from Image credit - Sunglass Hut: SEO Ecomm Marketing 10
Use paid marketing methods If you’re looking to hit the ground running, there’s no faster way to generate leads and sales than to buy them. And unlike organic ecommerce marketing methods, paid marketing methods don’t require you to spend months building a social media following or improving your SEO rankings. These marketing channels are also pretty straightforward: put money into the system, optimise the system, get money out of the system. That said, paid advertising channels will stop producing sales the moment you stop investing money into them. And although organic marketing methods take time to build, they have momentum and will usually continue to bring in sales even if you dial the investment back. Let’s explore 4 of the most popular paid ecommerce marketing tactics available. 11
1. Start advertising on a major online platform The simplest way to get started with paid marketing tactics is to run ecommerce advertising campaigns on a major online platform, such as: • Facebook Ads (which includes Instagram Ads) • Google Ads (which includes YouTube ads, Google Shopping ads, and Google Search ads) • Twitter Ads • LinkedIn Ads • Pinterest Ads Facebook Ads and Google Ads are undoubtedly the 2 most significant and comprehensive ecommerce advertising platforms in the West. Both platforms provide highly sophisticated targeting and optimization controls that allow you to home in on your target market with unbelievable accuracy. Alright, aside from ecommerce advertising channels, how else can you pay to acquire leads and sales? Image credits - Facebook Ads and Google Ads 12
2. Partner with influencers Influencers are people with relatively large social media followings — they literally have influence over a significant number of people. Influencer marketing is the process of partnering with influencers to promote your products or services to their existing audience. For example, Patricia Bright is a popular YouTube influencer in the beauty and fashion industry with more than 2.89 million YouTube subscribers. Bright regularly partners with makeup and fashion brands to promote their products to her audience — the image left shows a promotion she created for Estee Lauder. If you’re just starting out, you don’t need to pay massive sums of money to superstars either. Research shows that social media engagement is higher with fewer followers. For this reason, “Facebook Ads and Google Ads are micro-influencers — those with around 5,000 to undoubtedly the 2 most significant 100,000 followers — can be incredibly effective at driving sales. and comprehensive ecommerce advertising platforms.” Image credit - Patricia Bright: Influencer Ecommerce Marketing 13
online in exchange for a small commission for each sale or sign-up they generate. For example, the YouTuber Tabby Violet created a video reviewing women’s fashion brand Lily Silk. Although Lily Silk didn’t commission her to create the video, Violet uses the video to promote an affiliate link. Whenever a viewer clicks the link and makes a purchase, Violet will receive a small cut of the sale. 3. Create a referral program You can also ‘pay’ to acquire new customers with discounts designed to incentivise customers to refer people in their network to your product or service. Here we can see Helm Boots offering customers a $50 voucher if they get a friend to make a purchase. Plus, the brand makes it easy to convince friends to buy something by offering them a $50 discount too. Referral programs have the potential to drive profound exponential growth if most customers refer just 2 friends. 4. Create an affiliate marketing program Similarly, you can also drive sales by creating an affiliate program. Affiliates are third-party marketers who promote products and services Image credit - Ecommerce Marketing Ideas: Helm Boots Referral Program (above) Lily Silk Affiliate Marketing Example: Tabby Violet (right)
Step two Convert Once you’ve started driving traffic to your website with ecommerce marketing methods, how can you website visitors turn visitors into customers? Here’s what we’ll cover in into leads this section: 1. Retargeting 2. Lead magnet 3. Push notifications 4. Craft compelling calls to action 15
Very few people will Here’s how it works: Whenever someone visits your website, you can automatically ‘tag’ them make a purchase the with something called a ‘tracking pixel’ that’s linked to your advertising account. This pixel first time they visit enables the advertising platform to follow the person as they browse the internet and then your website. serve them ads whenever possible. Because of this, it’s vital that you capture visitors’ information so you can continue to market to them. How? Here are 4 ways. 1. Start retargeting Paid ecommerce advertising platforms like 2. 1. Facebook Ads and Google Ads enable you to User visits They decide run retargeting campaigns. What is retargeting? your site to leave If you’ve ever felt like a brand is following you around the internet showing you ads everywhere you go, you’ve experienced retargeting first-hand. “Whenever someone visits your website, you can automatically 3. They see your ‘tag’ them with something called ads elsewhere a ‘tracking pixel’.” 16
2. Use a lead magnet to capture email addresses Email is an incredibly effective marketing channel. According to the Direct Marketing Association, on average, email marketing generates a whopping 4,100% return on investment (ROI. But before you can start sending emails to your target market, you must first capture their contact information. How? Use a ‘lead magnet.’ A lead magnet is an offer that incentivises website visitors to sign up to your mailing list. For example, United By Blue offers website visitors 15% off their first order if they sign up to the brand’s mailing list. Although a discount is probably the most compelling offer, you could also provide exclusive content in exchange for visitors’ email addresses. For example, you could promote: • In-depth ebooks packed full of practical tips • Industry reports exploring current trends • Quizzes that require an email address to find out the results • Email courses that drip-feed valuable information Ecommerce Digital Marketing: United By Blue Email Capture 17
3. Use push notifications Push notifications are little messages that pop up on mobile devices and web browsers. Here’s an example of a web push notification from Death Wish Coffee. Push notifications are another great way to keep your brand top-of- mind and prompt website visitors to return and make a purchase. They also work particularly well when used to promote flash sales. That said, many people find push notifications irritating, so be careful not to overuse them. 4. Craft compelling calls to action When converting website visitors into sales leads, it’s vital to use compelling calls to action. A call to action — or ‘CTA’ — is a marketing tactic used to call people to take a specific action, such as signing up for your mailing list or making a purchase. In writing, calls to action usually take the form of micro-text, such as “Buy Now” or “Sign Up and Get 10% Off Your First Purchase.” In the example from KKW Beauty, makeup products on the homepage are promoted with the CTAs “Add to Bag” and “Choose Shade.” Image credit - Death Wish Coffee: Web Push Notification Example (above), Ecommerce Marketing: KKW Beauty CTA Example (right) 18
Step three Generate How can you streamline your ecommerce sales strategy to convert as many leads into sales customers as possible? Here’s what we’ll cover: 1. Nurturing leads 2. Emphasise your offer’s benefits 3. Optimise your product pages 4. Use social proof 5. Streamline your checkout process 6. Up-sell and cross-sell 7. Decrease and recover abandoned carts 19
So, how can you increase desire and handle objections? To boil it down, there are 2 foundational strategies: • Increase desire: Fundamentally, desire is what compels people to make a purchase. If you increase leads’ desire, you’ll convert more of them into customers. • Handle objections: Objections are what stop people from acting on their desires. By removing or mitigating objections, desire can absolutely must continue to nurture their interest work unimpeded and lead more people to and desire with marketing messaging. You can do purchase. this with retargeting ads, email marketing, web push notifications, or social media marketing. 1. Let’s start with nurturing leads. There’s a marketing rule-of-thumb known as the For example, the photography marketplace “7 touches.” This rule-of-thumb states that people Moment sends emails to mailing list subscribers need to have a positive experience with a brand that contain genuinely helpful information roughly 7 times before they’ll make a purchase. intended to lead subscribers to make a purchase. In the example above, Moment offers At this point, your sales leads have already had a tips on how to choose the right camera lens. handful of positive brand experiences, but you Image credit - Moment Nurture Email 20
2. Emphasise your offer’s benefits Whenever you create marketing materials, it can be tempting to highlight your product or service’s features. For example, when selling a suitcase, you might write, “premium rubber handle” or “4 wheels.” But as the saying goes, “features tell, benefits sell.” So, instead of just showcasing your product or service’s features, make sure to also translate them into the benefits they provide. comfort and makes manoeuvring the suitcase easier.” Or, “4 multi-directional wheels allow To continue with our suitcase example, you could effortless manoeuvrability over every type of write, “the premium rubber grip provides lasting surface.” For a classic marketing example, check out how Apple promoted the first iPod. In a time when many people still didn’t understand what a gigabyte (GB was, Apple chose not to emphasize the iPod’s key feature: “Storage for 1GB of MP3s.” Instead, the tech brand translated that feature into its core benefit with a catchy slogan: “1,000 songs in your pocket.” This ecommerce marketing tactic is essential to increasing desire. Image credit - Benefit-Driven Copy: Apple (above) 21
3. Use social proof This next ecommerce marketing tactic increases desire and handles objections simultaneously — it’s called ‘social proof.’ Here’s how it works: People can be heavily influenced by the opinions and actions of others they respect. So, you can increase your sales by showcasing such positive opinions and endorsements of your brand. Social proof comes in many forms, such as reviews, star ratings, and displaying the logos of influential associations. For example, the hair extension brand Luxy Hair has a section on its homepage dedicated to showcasing celebrities that use the brand’s products. People that follow and like these “Social proof comes in many celebrities are more likely to purchase from forms, such as reviews, star the brand. ratings, and displaying the logos Bottom line, make sure to collect and display of influential associations.” social proof in your marketing materials. Image credit - Luxy Hair Social Proof 22
4. Optimise product pages the product’s specifications, warranty, extra Think of product pages as the last leg of a running information, and more social proof in the form race: it doesn’t matter how well you’ve run up until of reviews. this point if you can’t cross the finish line. The products are also featured in stunning lifestyle For this reason, every aspect of your product images at the bottom of the page. Plus, there’s pages should to be optimized to compel leads to a live chat option for shoppers to request more click “Add to Cart.” information or help. The upshot? Every aspect of this product page has been optimized to close Let’s explore a great product page from travel more sales — make sure to do the same for your gear company Minaal: To start, there are a products. whopping 14 detailed and professional product images. These images showcase the appearance and features of the product and are essential to increasing desire. The most important information is highlighted to the right of the product images, including the product title, price, colour options, and social proof in the form of a 5-star rating. Underneath this vital information is a straightforward CTA: “Add to Cart.” There’s a detailed description that highlights the product’s key benefits in bold for those who want to learn more about the product. 4 drop-down sections underneath the images reveal information about Image credit - Optimised Minaal product page 23
5. Up-sell and cross-sell Up-selling is the process of enticing shoppers to upgrade their purchases. Cross-selling is the process of promoting complementary offers alongside a customer’s main purchase. The image below illustrates the difference: Up-sell “Think of product pages as the last leg of a running race: it doesn’t matter how well you’ve run up until + this point if you can’t cross the finish line.” Cross-sell Image credit - Ecommerce Marketing: Apple Up-sell Example 24
In another example from Apple, customers are treated to a range of up-selling offers when purchasing a computer or phone. “Both up-selling and cross-selling are potent ways to increase sales, so be sure to use these ecommerce marketing tactics.” Image credit - Ecommerce Marketing: Apple Cross-selling 25
6. Decrease and recover abandoned carts Reasons for abandonments during checkout When users click “Add to Cart,” your work is far 4,329 responses - US adults 2021 - baynard.com/research from over. According to the Baymard Institute, a massive 69.8% of online shopping carts are Extra costs too high 49% (shipping, tax, fees) abandoned. The site wanted me to create an account 24% So, how can you reduce your cart abandonment rate? Well, people typically abandon carts Delivery was too slow 19% because of getting charged extra costs, being forced to create an account, or because of Too long/complicated 18% feeling like the delivery options are too slow. checkout process The image below reveals more reasons: Didn’t trust the site with my credit card 17% information Couldn’t see/ calculate total order 17% cost up-front Website had errors/ 12% crashed Returns policy wasn’t 11% satisfactory Not enough payment methods 7% Credit card declined 4% Ecommerce Marketing: Reasons for Cart Abandonment 26
If you remove or mitigate these common reasons for cart abandonment, you can increase your sales substantially. What’s more, when people abandon their cart, you can set up an automated email sequence to follow up and prompt them to complete their purchase. Here’s an abandoned cart follow-up email from Ugmonk. Image credit - Ugmonk Abandoned Cart Email 27
Step four Delight your Now it’s time to turn a one-time customer into a lifetime customer and brand promoter. How? customers Here are two ways: 1. Provide exceptional customer service 2. Reward loyal customers 28
Congrats, you’ve made a sale! 1. Provide exceptional customer service To win repeat business, every aspect of a customer’s purchase experience must go well — even when it doesn’t. For example, should something go wrong with a customer’s order, it’s vital that you provide swift, helpful, and generous customer service. Even if you lose money fixing issues with a customer’s order, consider it an investment in future sales. For example, the outdoors brand Patagonia is well known for its superior customer service: Image credit - Patagonia: Customer Service 29
2. Reward loyal customers Another great way to keep customers happy and engaged is to offer a rewards program of some kind. For example, eJuices offers a points-based rewards program. It allows customers to earn points for completing activities and then claim those points back as discounts on future purchases. Image credit - Ecommerce Promotion: eJuices 30
Increase your sales marketing to build relationships and prime leads to purchase. with an ecommerce Generate sales by increasing desire and handling marketing strategy objections with tactics like benefit-driven messaging, social proof, scarcity, urgency, up- sells, and cross-sells. Implementing an effective ecommerce Delight customers to transform them into marketing strategy is essential to sustainable lifelong customers and brand promoters by business success. Remember, it’s important to providing exceptional customer service and lead people down the ecommerce marketing engaging loyalty programs. funnel — from stranger to customer and then to promoter and brand advocate. You can do this in Finally, implement your ecommerce marketing 5 key steps: strategy one step at a time. And use the information provided by analytics tools like Attract your target market with various Google Analytics to refine your process. ecommerce marketing methods, such as social media marketing, digital advertising, and influencer marketing. Convert website visitors into sales leads by capturing their information. To do this, you can use an advertising pixel, gather email addresses, or request permission to serve push notifications. Nurture leads. You can use retargeting ads, email marketing, push notifications, and social media 31
Now, go grow your business’s sales! 32
About Neat As entrepreneurs our businesses are always in Hong Kong 10/F, China Hong Kong motion: starting from an idea, to making a first Tower, 8 Hennessy Road, sale, to expanding globally. We need a payment Wan Chai, Hong Kong experience that evolves with us – an experience London that’s still stable and secure, but adaptive too. Second Home, 68-80 Hanbury Street, London E1 5JL Neat was built for the new economy – where borders are disappearing and it’s easier than Instagram: @neatapp Twitter: @neat_app ever to start a global business. Neat believes in making international business a reality for entrepreneurs around the world. Find out more at neatcommerce.com
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