If you are a Shopify store owner, you know very well how difficult a task is to perfect your marketing and sales funnel so as to get your customers to make a purchase.
Between analyzing analytics reports and scheming profit margins, running an ecommerce site can feel like a constant game of numbers.
Understanding your numbers is undeniably important, but when it comes to increasing Shopify conversion rate, the fundamental practices always work. But before applying these practices, it is critical to clearly understand what is a conversion rate?
What is Conversion Rate?
The percentage of people visiting your online store, who take the action you want them to take is referred to as your Conversion rate. As it is the biggest indicator of your successful efforts, conversion rate is one of the most significant metrics for you to track.
Note that getting someone to “convert” doesn’t necessarily indicate making a sale.
Infact, most of the conversions happen even before the customer makes a purchase. For instance, an opened email is a conversion. Having a customer click through to a product is a conversion. A new customer subscription is a conversion. A click on a call-to-action button present on the landing page is a conversion. A customer clicking on ‘Add to Cart’ is a conversion. All of these actions means that a customer moved further toward the final conversion, that is completing the purchase.
There’s no denying the fact that your Shopify conversion rate is not only important for immediate sales and revenue, but also to create opportunities for acquiring long term customers. And for the very same purpose, we have crafted this guide for all those marketers and Shopify store owners who wish to take their ecommerce sales to the next level via Shopify conversion rate optimization. But before that, let us first understand how conversion rate is calculated, tracked and more about this important metric.
How is Conversion Rate Calculated?
After you have defined a desired action as conversion, let’s assume a completed purchase as the only conversion for the purpose of this blog, it is quite easy to calculate the conversion rate. You just need to divide the number of completed purchases in a given time span, for example in the last 30 days, by the total number of sessions or visitors during the same time span and then multiplying the result by 100%.
Conversion rate = [total number of purchases made / total sessions or visitors] x 100%
How to Track the Shopify Conversion Rate?
There are many ways to keep a track of your shopify conversions
You can keep a track of daily, weekly or monthly conversion rates on the Shopify reports dashboard. The default report can be used for this purpose. You can also create a custom report to track other relevant metrics to get a complete overview of Shopify conversions.
From Google console, connect your Google Analytics account to your Shopify store. Enable Basic eCommerce Tracking to track revenue and transaction data. You can also enable Enhanced eCommerce Tracking to get insights into customer behavior.
Under the preferences tab of your online store on Shopify dashboard, link your Shopify store with your facebook page via Facebook Pixel Id and start tracking all the conversions resulting from your facebook marketing activities
Google Ad Conversions
To add google as a sales channel, connect your google merchant center account with your Shopify store and start tracking the conversions from google adwords or google shopping ad campaigns.
So, What Is a Good Shopify Conversion Rate?
Each of the ecommerce businesses on Shopify sells a unique product to a unique set of audiences. And so, there are no fixed benchmarks that can be relied on but the average ecommerce conversion rates can serve as a guide to set your performance goals.
Apart from this, your ecommerce store has more than a single Shopify conversion rate. You can have conversion rates for different traffic sources, types of visitors, devices, customers, customer journey paths, and geos.
An improvement to any of these conversion rates will boost your average Shopify conversion rate. Here take a look at the following ecommerce conversion funnel by Smart Insights.
Based on this conversion funnel it is clear that only 43% of total visitors will go to your product pages and less than 15% will add your products to their cart, yet only about 3% will actually complete a purchase. This gives away the key points of interaction you should monitor to optimize your Shopify conversion rate.
It is evident that if your average Shopify conversion rate happens to fall below 1%, then it would be difficult for you to make advertising profitable. At 2-3%, you can say that you have found a solid blend of traffic and shopping experience for your customer.
In order to get above this level, to reach a 5-10% conversion rate throughout the site, you really have to get good at selling to return customers. This includes the customers who have purchased from your store before and the ones who have just visited but not have made a purchase as yet.
No matter whether you currently stand above or below the average conversion rate depicted here, know that there’s always room for improvement. So, carefully analyze, measure, and test so as to improve rates on your channels.
Now, let’s discuss some of the strategies that will help you boost your Shopify conversion rate. If you really work on these strategies, your Shopify conversion rate will surely become your favorite number.
Top 4 Strategies to Boost Your Shopify Conversion Rate
#1 Product Page Optimization
Being an online store owner, you will realize the fact that driving traffic to your website is just not enough and there’s much work which needs to be done in order to increase sales. Put yourself into the shoes of the customer and ask yourself why would you choose to go to a particular website and buy a product.
The customer experience plays a huge role in this. Since you have already grabbed the customer’s attention and brought them to your product page, it’s important to optimize your product pages for information that the user is looking for and will find most useful and compelling to make the buying decision. Providing detailed information about the product and showing variants, sizes, colors etc. help a great deal with product page experience.
Product page optimization is one of the most crucial steps in the customer journey and the conversion funnel. After all this is where the customer decides whether they want to add your product to the cart or not.
#2 Product Reviews
Needless to say why every ecommerce store must have a product reviews section.
Product reviews build credibility and trust in your brand. Think like this – you visit a site and if you compare a product with no reviews to a product with reviews, you would definitely move forward to purchase the one with reviews.
Moreover, having reviews on products all over your site provides a more vibrant community feel, Seeing real reviews from customers fosters a sense of trust and social proof to your customers.
If you are new on Shopify and are worried about not having much reviews, you can install an app or start using a tool like 3automation to automate collecting product reviews without fail.
#3 Clear Call-to-Action (CTA)
Presenting your customers with a clear and relevant call-to-action when they land on your website is very important – unarguably the most important thing on your website.
A well-placed and direct call-to-action draws the attention of customers, compelling them to take the next action that you want them to take, and eventually convert. However, be strategic about the proper placement of your CTA.
A single slider that contains the CTA at the top of the landing page makes it quite clear to customers that they can still scroll down for more content if they wish. If they scroll, however, they are still aware about the intended action for the page.
Understand that a CTA doesn’t always have to be about making a sale. It could be as simple as getting a customer to click on another page. Make it a practice to include some form of a CTA on every page of your site.
For example, action-oriented words or phrases work the best to guide the user about the next action he/she should take. Following are some of the best CTA’s you can use on your product page:
- Shop Now
- Add to Bag
- Place Your Order
- Review this Product
- Get Access
For “About Us” and “Contact Us” pages, you can use CTA in the form of links to relevant pages within your site, such as a specific form for customer queries or product catalog.
#4 Creating Up-sell & Cross-sell Opportunities
In order to motivate your customers to buy more of your products or a similar higher-end product than the one that is being contested, you can use upsell and cross-sell strategies by showing relevant products or combinations during the checkout process just before your customer places an order.
Showing items that are frequently bought together along with relevant images to compliment the products in the cart or offering a discount on a higher priced similar or better product gives your customers an opportunity to reconsider their cart before they place the final order.
Learning how to increase Shopify conversion rate is an invaluable skill for the success of your ecommerce business. Hope this guide will help you to boost your Shopify conversion rate and make your online business a success. If you need any help with analysis, optimisation, apps, or custom features, just feel free to get in touch with us.