Tips to Save Money on the First Ecommerce Strategy for Your Organization
There is a good reason that even the small scale businesses have begun to launch their e-commerce websites more often. A cookie maker, for instance, can only earn through the sales of his retail store, a source of limited earnings. However, as soon as he makes his presence at the online market, the entire picture may dramatically change. In a couple of days, he may get bulk order requests from a third world country. That’s the power of e-commerce.
Even if the big picture seems so soothing and encouraging, it very hard to regulate the expenses and start making a profit. It requires a sharp digital marketing strategy with targeted ad campaigns which takes a lot of brainstorming and expertise and is not cheap.
People who have stepped in the e-commerce industry know-how expensive e-commerce marketing can become. Marketing costs can easily surpass website building expenses. And by taking into account the limited budget, you would need to figure out a few things primarily and optimize the budget for each segment separately.
With the help of a few tricks, it’s possible to save a large sum of money without compromising with your budget for promotions. Even two different sellers with the same budget may experience a massive gap in overall profits just because of their slightly different marketing strategies. E-commerce marketing, along with almost all other aspects of life, is one of the sectors where smart work easily beats off aimless (or mundane) hard work.
More expense doesn’t necessarily confirm more profit. You can run your e-commerce ad campaigns and still save by high leaps. Let’s see how:
1. Focusing on Desktop Bidding
Over 2 billion people use mobile internet services in today’s times. That inclined most website owners, including the e-commerce ones, to develop a mobile-friendly version of their websites.
Some digital marketers, contemplated by the rapidly increasing numbers of mobile internet users, strives to set a massive budget for mobile promotions. And that’s certainly not a wise move. Even though a plethora of people mobile and internet to check offers, only a few of them prefer to make payments through mobile. T desktop is still the most preferred way for online shopping.
Thus, it is always good to allow a large percentage of your expense on desktop promotions. A 70-30 or 80-20 ratio is reasonable for desktop-mobile expenditure.
2. Retargeting: Display and Dynamic
According to several studies conducted over the first few years on internet users, only a tiny percentage of them make a purchase. Taken that into account, 97 out of 100 of your visitors are not purchasing anything. And, that reflects a considerable loss in sales.
Before you dive into the deep ponder that the visitors might do not like your products, there are many reasons visitors drop off your web page. Maybe the person was on mobile, didn’t or couldn’t make a purchase. On the other hand, he/she might be in the extreme hurry to go on a date. On he/she might face an electricity cut just before proceeding to “add to the cart”.
That’s when retargeting comes into the action. In retargeting, a backend pixel follows the user who opted out the web page without converting for 30 days. Moreover, the recently viewed products will be shown on the user’s browser in the form of advertisements. This usually increases the probability of user buying the product.
3. Divide the Campaign into Segments
Most of the e-commerce marketplaces usually offer several products or services or both. Thus, if your whole focus is on promoting just a handful of your products, then you are probably losing a significant sum of sales.
On the other hand, if you have divided your budget equally for all your products, then, you are still on the wrong track.
The money you have should be spent smartly to expand your approach with increased sales. How is that possible, though? It is, however, requires an in-depth and individual analysis of the popularity and sales of each and every one of your products. If one product is increasingly getting popular, it should be emphasized more during budget allocation. But, be sure to allot another segment of your budget to the products with comparatively low popularity or sales.
4. Offer Discounts, Coupon Codes, and Freebies
If something is attractive, it will sell. Some of the stuff that appeals the most to the online shoppers are compelling offers, discounts, combos, coupons, and freebies.
Think of a scenario where you have two sites selling the same $50 product. One offers nothing, and the other one is suggesting a toothbrush worth $2. Which one will you choose? Precisely the same concept applies to every visitor of your site
Why waiting to earn a reasonable sum of profit of a single product, why not offer a cheap (cost-effective yet useful) freebie on two products and make almost double with extreme ease. Discounting on a combo of multiple frequently bought together products is also great since it saves user’s time and money.
With good planning, analysis, and research, you can curb expenditure on the sectors of e-commerce marketing that are otherwise unnecessary. “A penny saved is a penny earned.” Any money you save can further be used for marketing, vacations, or to give a treat to your hardworking staff.