How Luxo Living Achieved a 200% Sales Increase and Sold Almost $5 Million in Product (Plus The Five Ecommerce Marketing Tips for Driving More Traffic to Your Online Store)
Struggling to get people to visit your store? With these tips, you’ll attract customers and make more sales.
Luxo Living were only just breaking even with their advertising each week before they came to Growth Marketing.
Their online platform still made sales thanks to their ad campaigns. But due to their cost per acquisition, storage, and shipping costs they just barely turned a profit. At the time, they achieved an average return on ad spend of 6x.
If that rate stayed the same for a few more months, they’d start running out of cash reserves. They needed to work with a team that would help them to grow their business, increase sales, and boost profitability.
That’s exactly what they achieved with us.
We started by refining their existing campaigns, reconfiguring their dynamic ads, and creating advanced retargeting audiences.
In just one week, we’d pushed their returns to over 30x!
After deploying their top of funnel campaigns, we maintained a 17x return on ad spend. We also helped them to increase their sales volume by 200% in the space of 8 months and boosted their average order value by 390%.
Almost $5 million of products sold.
Best of all, we achieved this while also reducing ad spend by 10%.
This has seen an overall increase in their revenue by 39% and an increase in sales by 40%
In 2020, after numerous changes to the Luxo Living’s website backend and the deployment of new campaigns, their average return on ad spend in 2020 stands at 25.7x.
That’s an amazing result.
But what about you?
Are you struggling to attract traffic to your store? If so, you need these ecommerce marketing tips to take yourself to the next level.
Ecommerce Marketing Tip #1 – Start a Referral Program
A stunning 81% of people say that they will at least look into a product that a friend or family member recommends.
People trust the opinions of those that they know ahead of the brands that they do business with. If one of your customers tells other people that they love your product, you have a better chance of landing more customers.
The challenge is that many of your customers won’t do this unprompted.
That’s where a referral program comes into play.
The idea is a simple one. Encourage your current customers to refer new people to your online store. In return, you’ll offer them an incentive, such as a discount or some credit to spend in the store.
It’s a win-win situation. Your existing customer gets another reason to shop with you and you get more people coming to your store.
Ecommerce Marketing Tip #2 – Test Your Calls to Action
Only 2% of the people who visit your website will buy something on their first visit. The rest are probably there to do some research or maybe find out more about you. That other 98% is at risk of leaving your site never to return.
You need to engage them.
The best way to do this is to encourage them to sign up for an email newsletter. That way, you can keep communicating with them when they leave, which raises the chances of them coming back.
How do you point these visitors in the direction of your email sign-up form?
That’s where your calls to action (CTAs) come in. A well-placed CTA button shows your visitors what you want them to do next.
But it’s not as simple as adding a button to your site and leaving it at that.
All sorts of factors affect the likelihood of somebody clicking that button, including:
- Positioning of the button
- The text in the button
That’s why it’s so important to test your CTAs constantly. Try out new variations of the CTA and measure the results against your current CTA. You may find that a little tweak leads to more people clicking.
Ecommerce Marketing Tip #3 – Sell an Experience (Rather Than a Product)
Doug Stephens of Retail Profit says:
“Assume that no one really needs what you sell, because they probably don’t. In a little over 25 years, we’ve gone from an economy based on scarcity of goods and services to one that offers unimaginable abundance.”
And he’s absolutely right!
There are probably tons of companies that sell products that are at least similar to yours. Some may even sell the exact same thing. That’s why you need to focus on the experience that you offer, rather than the product that you sell.
Today’s ecommerce customers want to buy from brands that can offer them something new. Figure out how you can position your product in a way that’s completely different from your main competitors.
Ecommerce Marketing Tip #4 – Market to Your List
Your email list is one of the most valuable digital marketing tools that you have. And yet, so many ecommerce business owners don’t use their lists to full effect.
Make sure that you’re sending out regular emails to the people who’ve opted in to your list. These people have already engaged with you. They’ve told you that they want to hear from you. Keep them informed about new products and offers to keep them coming back to your website.
As for building the list, the key is to make it as simple as possible. Opting in should be as easy as sending a name and an email address. If you’re asking for more details than that in your forms, many people will choose to not fill them out.
Ecommerce Marketing Tip #5 – Leverage Video Content
Not everybody engages with the text-based posts that you add to your blog or social media. Many of your potential customers are more visual people who prefer videos and imagery.
Give them what they want!
Check your website’s analytics to find out which of your posts perform best. Pull them out and turn them into videos. This way, you’re leveraging your existing content to create something in a different medium, which broadens your appeal.
Don’t worry too much about having perfect production quality in your videos either. As long as you use them to offer something of value, you will attract traffic.
There’s So Much More to Learn
These five tips will help you to get started with marketing your ecommerce website. You could consider them the foundation for your strategy.
But there’s so much more to learn about driving traffic to your website. And you may find that you don’t have the time needed to create a comprehensive plan. That’s the position that Brett found himself several months ago.
He came to Growth Marketing for his solution.
Maybe you should too!
Get in touch with us today to schedule a FREE strategy session with our team.