Kim T. Gordon: Marketing
Improve Your Online Holiday Sales
Selling products online? Smart marketers will follow these six tips to increase online sales and profits this holiday season.
By Kim T. Gordon
| October 17, 2005
URL:
http://www.entrepreneur.com/marketing/marketingcolumnistkimtgordon/article80466.html
It's no secret that online sales are expected to break all
records this holiday season. Will your company reap the rewards?
Take time today to give your website a tuneup using these six smart
marketing tips:
1. Improve customer satisfaction. Customer satisfaction,
more than price, drives online purchase decisions, according to a
new study of 11,000 online consumers by research company ForeSee.
The study evaluated such factors as price, merchandise selection
and overall site experience (the look and feel, navigation,
function, performance and site capabilities). While price was shown
to have a positive affect on satisfaction, loyalty and buying
behavior, it was rarely the key determinant of customer
satisfaction. Above all, price never ranked as the deciding factor
in whether a purchase was made. The sites that scored best in the
study--and had 36 percent higher conversion rates--scored well when
all the customer satisfaction elements were considered. So
rather than slash your holiday prices, you'll most likely
increase sales and profits if you take the time now to improve
customer satisfaction instead.
2. Design for women shoppers. Since women influence more
than three-quarters of all U.S. household expenditures, it's
not surprising they're assuming the dominant position as
internet shoppers. According to The State of Retailing
Online, an annual study conducted by Forrester Research, you
can expect to see steep growth in online sales in several retail
categories this year--including cosmetics, fragrances,
over-the-counter medications, jewelry and luxury goods, flowers,
cards and gifts--thanks to the growing acceptance of online
shopping by women. Even in online areas that have typically been
male-dominated, such as electronics and home improvement products,
a large percentage of the purchase decisions are now being made by
women.
To increase holiday sales from women shoppers, it's
important to create a shopping experience that mimics what
they've grown accustomed to finding offline. Clothing e-tailers
should group entire outfits together, for example. Other e-tailers
should take care to include full product descriptions and helpful,
in-depth information, from size charts to maps.
3. Make shopping easy. Want to know a major reason
shoppers abandon one site in favor of another? They simply
can't find the products and information they're looking
for. To help shoppers find exactly what they want quickly and
easily, add an online search facility to your website. Also,
consider providing online customer service in real-time, at least
during regular business hours. With real-time customer service,
shoppers with questions can get immediate answers and continue
through the purchase process--rather than leave to shop
elsewhere.
If you're a brick-and-mortar retailer with an online
presence, it's essential to ensure smooth crossover for
multichannel shoppers. Your customers should enjoy the same
positive experience whether they buy online or simply research
products online and then choose to buy in your brick-and-mortar
store.
4. Reduce cart abandonment. Shipping charges are among
the biggest barriers to online sales, and a wide array of e-tailers
will be offering free shipping this holiday season. You can jump on
the bandwagon with free shipping or, at the very least, change the
way you post your shipping charges on your site. Consumers often
complain that shipping charges aren't calculated until final
checkout. This leads to high rates of cart abandonment. You can
eliminate this sales barrier by making information on your shipping
and any other fees accessible from the main page of your site.
Do you offer multiple payment options? Studies have shown that
sites with as many as four or more payment options experience
higher conversions. As you prepare for the upcoming holiday sales
season, look for ways to reduce cart abandonment and increase
conversions by adding additional payment methods.
5. Reach out to current customers. This is an excellent
time to reach out to your in-house database with e-mail offers.
Roll out a new customer rewards program (see "Rewarding Loyal Customers" for just how to
do that), or step up your existing program and communicate with
your customer and prospect base as often as once per week starting
now through the holidays. Provided you e-mail to a qualified opt-in
list and include relevant offers, this will be a great way to get
existing customers to think about you as a key source for holiday
purchases and bring lapsed customers back into the fold.
6. Attract new customers. Without a marketing campaign to
drive traffic, your site might just as well be invisible. This
holiday season, get in the game by investing in paid search and
online display advertising. A paid search marketing campaign
guarantees your site will show up near the top of search results,
instead of many pages down. Since the majority of searchers rarely
get past the first page, using paid search can ensure your best
prospects see your ad. Try local search, which is hot and getting
hotter--and can cost significantly less than national
advertising.
Buying ads on sites that are frequented by your target audience
also yields strong results. For maximum click-through, the key is
to choose sites that put your message in the proper context. These
are sites--or specific pages on large sites--that your target
audience looks to for information on the type of product or service
you market. For example, a garden center that sells plants, tools
and pottery could run a display ad on the Home and Garden page of
the website of their local newspaper. And here's a final tip:
Larger ads and ones that are surrounded by editorial content have
been shown to perform better than small banners or ads that are
segregated from editorial.
By fine-tuning your site and your marketing program
today, you'll achieve your online goals and maximize
sales this holiday season.
Kim T. Gordon is the "Marketing" coach at Entrepreneur.com and a multifaceted marketing
expert, speaker, author and media spokesperson. Over the past 26
years, she's helped millions of small-business owners increase
their success through her company, National
Marketing Federation Inc.
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