Improving Conversion Rates with Data-Driven Strategies

– The company stopped using ROAS as a measurement and instead focused on the subscription to conversion rate as the main metric.
– The goal was to understand why people converted and to identify the combination of factors that were more likely to lead to conversion.
– By using high intent data and focusing on the customer journey, the company aimed to optimize conversion rates and improve the quality of traffic.Focus on collecting intent data and understanding the quality of your audience to make data-driven decisions and improve conversion rates.We stopped using ROAS as a measurement internally almost a year ago, right around the same time that we made the move to just focus on one metric: subscription to conversion rate. The logic behind this was that if people were subscribing for an offer and we couldn’t convert those high-intent people at a rate greater than 30%, then ROAS didn’t matter. To understand why people converted, we needed to look at data provided to us during the signup that we could tie back to revenue, orders, and overall conversion. If we couldn’t convert people, we had to know if there was a certain combination that was more or less likely to convert, in order to assign a “traffic quality score” to the subscriber and subsequently the channel or ad they came from. It’s never been about ROAS or ads. The only thing that matters is answering, “Is this ad driving the right type of visitor that is likely to purchase?” After that, it’s your website experience that leads to conversion. It may seem basic, but as you read this, whether an agency or a brand, I can 100% guarantee you that you’re not collecting intent data to understand the quality of your audience, nor do you have the context necessary to make decisions based on it. If you ever wanted to know why we started Formtoro, it’s that current strategies are incredibly inefficient and track the wrong things entirely. We look at the data collected during signup via our multi-step signups to understand which answer combinations had the highest conversion rates, then we took those baselines and looked to see if those combinations held across all our channels, campaigns, and ads. If they do, it’s a win, spend money until the cows come home. If they don’t, we make the changes necessary to change our approach that is statistically more likely to convert based on ad or channel. This is what makes us different as consultants, as strategists, as a technology company. What this has allowed us to do is use high-intent data to build journeys around the customer and not worry about ads or ad spend. This has allowed us to then take the data and weave in narratives that tell a story based on which answers lead to conversion directly into our landing and product pages. The result is no wasted efforts. This is conversion rate optimization from start to finish. There’s never a scenario where you’ll convert everyone. But this approach gives you the best chance of improving the quality of your traffic and their experience so that you can statistically expect an overall increase in conversion rate by focusing on people and things you can control.This makes you more profitable with far less work and effort. Work smarter, not harder. #ecommerce #datafirst #marketing

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top