Acquisition high, conversion low
The world of e-commerce has been growing exponentially since the dawn of the internet. In 2019, e-commerce in Europe is forecasted to be worth €621 billion, an increase of 13.6% compared to 2018. Retailers without e-commerce websites are few and far between, as a report from the E-commerce Foundation predicts the average UK online shopper will spend €3,620 in 2019. Missing out on a percentage of this shopper spending could be detrimental to B2C brands. With the demise of long-standing retailers in recent years, it’s never been more imperative for brands to up their e-commerce game.
A lot of attention in recent years has been given to the acquisition of traffic into websites. In 2017, 96% of marketing budget was spent on getting traffic, with only 4% being invested into converting traffic into sales. Brands will spend millions on PPC, Google Ad campaigns and SEO, but when a visitor lands on a website, how can we convert them into a spender?
Conversion Rate Optimisation (CRO) the process of creating positive user experiences for website visitors in order to inspire them to take a desired action. CRO includes elements such as optimising landing page designs, testing different versions of content and improving visual experiences for better content experiences and user experience (UX). CRO is not about finding quick-fix solutions to a website or a landing page. It is an integrated process that includes several steps like data analysis, building hypotheses and testing through customer research. Having the flexibility to continually improve and optimise the customer’s digital experience has helped brands such as Amazon, Booking.com and Expedia disrupt in their respective marketplaces.
Harnessing the voice of the customer
The voice of the customer is vital for ensuring a website caters for customers needs. The better the experience, the easier it will be for customers to convert. However, a study by CXL in 2017 found little use is being made of internal cross-functional knowledge (e.g. customer feedback from service teams) and customer insights expertise to fuel the CRO process.
With emerging technologies like artificial intelligence, machine learning and natural language processing, the role of a customer service team in an organisation is no longer just about replying to enquiries and handling complaints. They are handling a wealth of information which can be harnessed to improve the customer experience.
For companies that have a large online presence, the collaboration between Customer Service and CRO is an exciting opportunity to improve customer experience and add value to both customer and business.
CRO and Customer Service
At PRWD, we have been delivering CRO consultancy to clients since 2013 using PRWD’s Conversion Optimisation Model. Our Maturity Model has been used by companies around the world to evaluate their current approach to conversion optimisation and establish how aligned or not is their culture and strategy to customer-centricity. The Conversion Optimisation Maturity Audit identifies which areas of a business they should focus on to drive online growth.
In 2018 PRWD’s CRO Maturity Model came to the attention of Dutch Customer Care and CX consultant Wout Cox, who has conducted in-depth research into how Customer Care can contribute to CRO. New research in the field of CRO is always insightful, which is why (with Wout’s permission!) we are excited to showcase his research on the PRWD blog.
Released in three parts, Wout’s research will look into:
- The organisational factors that influence the CRO process
- The role of customer service in the CRO process
- Practical solutions for companies to enhance collaboration between customer service and CRO teams