Design

July 3, 2024

Beyond paid ads: The underrated pillars of e-commerce success

In the glittering world of e-commerce, paid ads often seem to steal the limelight. They are visible, measurable and provide quick results. But long-term success in e-commerce depends on more than just the ability to display effective ads. There are other, less glamorous but equally important areas that are critical to the growth and sustainability of an online business: customer loyalty, increasing average order value (AOV), and improving conversion rate optimization (CRO). In this article, we highlight these key aspects, which are often overshadowed by paid advertising campaigns.

The importance of customer loyalty

Customer loyalty is the backbone of every successful company. Our experience shows that the costs of acquiring a new customer can be five times higher than the costs of retaining an existing customer. Happy customers don't just buy repeatedly, they're also more likely to recommend your products to others. Effective customer engagement strategies, such as personalized emails, loyalty programs, and great customer service, help build a lasting relationship with your customers.

Increase in average order value (AOV)

Increasing AOV is another crucial component of scaling your e-commerce business. Through strategies such as cross-selling and upselling, you can maximize the value of every customer visit to your website. The key here is to offer relevant products that complement the original purchase. A higher AOV means more turnover without additional acquisition costs, which directly leads to improved profitability.

Conversion rate optimization (CRO) improvement

While a lot of traffic on a website is good, it only becomes valuable when it's converted into sales. Optimizing the conversion rate is critical to turning visitors into paying customers. This includes improving the user experience, testing various elements of the website such as call-to-actions (CTAs), images, product descriptions, the checkout process, and more. Through continuous testing and adjustments, you can ensure that your site is optimized for the maximum number of conversions.

Support from our team

We understand the importance of these core areas and offer our customers daily support to be successful even in these less obvious aspects of e-commerce. Our goal is not only to help you run effective advertising campaigns, but also to promote comprehensive, sustainable growth for your online business.

conclusion

Paid ads are undoubtedly important, but they're just one piece of the puzzle. The real art of e-commerce management lies in finding a balance between all aspects of the business — from acquiring customers to retaining customers to maximizing customer value and optimizing conversion rates. By focusing on these fundamental but often overlooked areas, you are setting the course for long-term success and stability of your online business.

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