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Learn to incorporate videos in your ecommerce marketing
The retail landscape of the 21st century has been slowly dominated by eCommerce. Over the last two decades, retail structures have shifted from physical stores to internet ones - mainly due to the accelerated advent of the World Wide Web and internet technology. In 2020, more than 2 billion goods and services were bought and sold online. Estimates suggest that this number will steadily increase over the next few years. By 2025, eCommerce sales will account for more than 25% of global sales. There has been a steady increase in the number of sites recently because of aggregators like DotPe and Shopify. Their proprietary technology allows even the smallest businesses to compete with multinational corporate giants. The Importance of Product Videos As you can understand, the world of eCommerce is cutthroat and intensely competitive. Preliminary estimates suggest that more than 20 million platforms are currently active on the internet. If you want people to choose your products and services, you must set yourself apart from the competition. Doing so is not easy, but skillfully made product videos can give you a much-needed edge over your competition. Recent market research has definitively proved that visual merchandising plays a big role in a customer’s decision to make an online purchase. So naturally, product videos play a major role in that particular aspect. What is a Product Video? A product video is an attractive video that shines a spotlight on the benefits of your product. The fundamental objective of a product video is to educate and inform viewers about the products you have on sale. Since your business is online, your customers should be able to explore your offerings without having to make a physical visit. The end goal is to humanize the experience. Research has shown that this leads to conversions and sales. Now, take a look at the different kinds of product videos that you can create. Types of Product Videos Here is a brief summary of the various kinds of product videos that you can create - #1 Background Video This is a popular video type where you explore the origins of the products/services that you are offering in your ecommerce business. This allows you to tell a story about the origins of your product and what inspired you to create it. Then, naturally, it lets you explain exactly why your customers need the product and how it will benefit them. #2 Testimonial and Review Video People are naturally wary of eCommerce platforms because they don’t want to get taken in by a scheme. A great way to establish trust and connect with your customers is to publish testimonials from faithful customers who have purchased and loved your products. Then, you can easily piece it together using a free video cutter from short snippets. #3 How-To Product Video If your product is unique, you should showcase its uniqueness by filming a how-to video. It is the best way to demonstrate exactly how the product will help its customers. It can also be used as an educational resource by your customers. This is a must, especially if your product is complex and requires guidance. Product Video Aspects to Keep in Mind While working on the eCommerce product video, you must keep some things in mind. These will help you to create something that has the maximum impact on your intended audience. Use subtitles/closed captions: Did you know that almost 70% of people watch videos without sound? Your video conversion rates will improve dramatically if you include subtitles and closed captions. It is also an inclusive move to include closed captions. A proper view of the product: The star of the product video has to be your product. Ensure that the center of attention is the product and that it is captured from all angles. Work with professionals so that you receive a high-quality video that makes your product look alluring. High-quality editing: You need to ensure that the video editing quality is outstanding. Bad cuts and sloppy editing can decrease a viewer’s interest in the video. You can use an online free video cutter to implement seamless cuts that elevate the overall user experience. Tangible Benefits of Using Video Marketing A well-produced video is a precious asset. It can do wonders for your brand and complement the marketing strategies already in place. Here is a rundown of the tangible benefits you’ll enjoy if you implement video marketing for your eCommerce site. #1 Videos Lead to Sales More than 80% of market research survey respondents revealed that they had chosen to buy a product after they watched a video about it. Watching the product being used allowed them to understand why they needed it. The objective is to provide the customer with a great experience, which will automatically lead to a sale. #2 Videos Help Build Trust This advantage is a no-brainer. Once a customer sees the product in action and explores testimonials from satisfied clients, they will begin to trust your brand. A well-made video can lubricate this process. If they’re happy with what they receive, they’ll soon return with another order. They will also tell their friends and family about you and provide you with some free publicity. #3 Videos Help in SEO Not much is known about the Google search engine algorithm, but it is clear that it loves videos. Therefore, if your brand website features relevant videos, then you are bound to rank higher on the search engine results. In addition, videos contain numerous backlinks, which are invaluable. You should also remember that sharing videos on social media is very easy. Some Final Words This article has been a comprehensive breakdown of all the reasons why you need to invest in a video marketing strategy for your eCommerce store. It will give you an advantage that will allow you to stand out among the intense competition. You will also be able to connect with your target demographic and build a lasting relationship with them.
Leveraging Personalization AI in Your E-Commerce Marketing Strategy
Personalization in marketing is very important for one good reason: research has proven that it works! One of the biggest differences between e-commerce and brick-and-mortar stores is that you don't get to engage with your clients face to face, and e-commerce removes that personal touch. The most effective strategy to address this challenge is personalization AI—the central link between digital marketing and e-commerce. Personalization AI includes valuable information about your clients, such as their demographic information, sales trends, browsing data, and sales data. Thanks to AI content marketing, you can now personalize your content on a large scale. What's more, you can do it yourself and don't need professional technical skills to get it right. Read on as we explain how this can be done. How to Leverage AI to Personalize Your E-Commerce Marketing Strategy AI information can be used in various ways when it comes to personalization. Here are five key use cases: 1. Recommend Products Effectively Personalized recommendations get generated using an algorithm that tracks browsing history. This is then compared to other customers' pre-sales behavior. For example, if a customer adds a gown to their shopping cart on an online clothing store, the recommendations may suggest pajamas or slippers. This is because the algorithms identify that a gown, slippers, and pajamas are often purchased in one sale. 2. Offer Personalized Content and Sales Incentives A simple example of this is sending customers a birthday card on their birthday with a discount voucher or buy-one-get-one-free offer. You could do this for anniversaries or even special celebratory days like Mother's Day. These incentives could also be seasonal, for instance, free sunscreen with every order in the month before summer. 3. Implement Geo-Location Targeting The old expression "location, location, location" is very relevant to an e-commerce business's marketing strategy. There's no sense in sending a customer a discount voucher for a webinar when that webinar will be presented in a language that is not common to their location. This strategy is called geo-location targeting and helps clients see you as a local company. 4. Send Personalized Emails Sending personalized emails is undoubtedly one of the top email marketing best practices. Personalized emails include general marketing emails—nudge emails for those who abandon their carts before making a purchase or list emails for those who keep items on their wish list for a set amount of time. Personalized communication can also take the form of thank-you emailers with extra product information on an item that has just been purchased or an e-commerce Black Friday email marketing strategy based on the customer's purchase history. The list is endless—you just need to be creative. 5. Implement a Live Chat Box on Your Site Add a picture of the person your client is "chatting" to, and they will feel right at home on your website. Before you argue that paying someone to run the chat box is expensive, think about the pros: your website bounce rate will decrease, your customer loyalty will improve, the average size of your customer order will increase, and your return rates will decrease. Why? Because your customers are getting what they are looking for. Benefits of AI for E-Commerce Marketing Strategies You may be wondering exactly what the advantages of AI are in advertising and marketing. Employing AI in your e-commerce marketing strategy will: Boost sales As previously mentioned, ongoing research has proven that personalization AI boosts sales. In fact, it can be argued that without personalization AI, your store will not keep up with its competitors.Increase return on investment When your sales are boosted, it goes without saying that your return on investments will increase in the same way. Say no more!Bridge the gap between you and your customers Personalization is the link between an online store and its customers. It is a gap that must be bridged, and personalization can do that—albeit not in the same way as a brick-and-mortar store. Different but the same!Build customer loyalty When your clients see that you are offering a personalized service that works, you will build customer loyalty. Build long-lasting relationships with your customers This is very similar to customer loyalty, except that it defines the timeline as long term. Increase customer retention Again, research has proven that you spend less money on maintaining your customers compared to new customer acquisition costs in e-commerce. So if you want to retain clients, personalization AI is your ticket! Beat the Competition With Personalization AI There are many more strategies that you could explore with personalization AI and various other benefits that have not been covered in this blog. Look at what your competitors are doing, and then make sure you are one step ahead. You'll soon be an e-commerce influencer with your marketing strategy—and a successful one at that.
Business Data Analysis
The Best Apps for Shopify Cohort Analysis
Analytics is one of the most valuable tools for anyone starting a Shopify store. The right reports and data insights can provide a behind-the-scenes look into the success of your omnichannel strategies for marketing and sales, or tell you which of your products are achieving the most sales. One of the most important forms of analysis from a marketing and sales perspective is cohort analysis. This is a form of behavioral analytics that takes data from an e-commerce platform and breaks it down into specific segments. Cohort analysis provides you with a comprehensive view of how well your website is performing and which of your customers have the highest lifetime value or engagement levels. Google Analytics for Cohort Analysis One of the easiest ways to conduct a cohort analysis is to connect your Google Analytics account to your Shopify store in the admin center. Simply go into the “Settings” page, then “Apps and Sales” channel, and click on “Online store”. In the “Google Analytics” section, you can paste your code from your Google Analytics account to make the connection. Once connected, you’ll be able to access a range of reports to help improve your Shopify conversion rate, discover your best sources of traffic, and develop opportunities to increase customer loyalty. Google Analytics has its own dedicated “Cohort Analysis” report, available to anyone using the Universal Analytics service. Simply sign into Google Analytics, select “Audience” and then “Cohort Analysis”. The report will show the behaviors of various user groups on your website, offering insights to help you increase organic traffic and increase profit margins. Shopify Apps for Cohort Analysis While Google Analytics is one of the most popular tools for conducting a cohort analysis in Shopify, it’s not the only option. In the Shopify App store, you can find a range of other valuable tools for conducting a customer profitability analysis, or evaluating customer lifetime value. Some of the top-rated options include: 1. Lifetimely Lifetimely is an analytics and reporting app that allows Shopify users to track profits and losses in real-time. This includes a custom dashboard for tracking your preferred KPIs and marketing metrics. Lifetimely has precise cohort analysis tools to help you discover your most profitable segments. The lifetime value model is even powered by AI to help you accurately project the potential lifetime value for each cohort. Plus, benchmarking tools show you how your metrics compare with competing brands. There’s a 14-day trial available for beginners, after which paid pricing starts at $19 per month for the basic package. 2. Customer Intelligence The Customer Intelligence app by RetentionX ensures Shopify users can collect valuable information about their customers and segment them based on their value or behaviors. The all-in-one platform offers deep insights into the key customer segments responsible for driving business profits, and tips for how to identify your ideal market. The tool can help pinpoint customers at risk of churn, so you can reconnect with them. It can also show your most valuable products, so you can upgrade your sales strategies. Customer Intelligence integrates with a range of other apps, so you can link it to your loyalty program for Shopify and your Facebook Ads. What’s more, you can use this app for up to 250 active users without paying anything. The advanced package for more than 250 customers starts at $10 per month. 3. BeProfit BeProfit is an all-in-one analytics application for Shopify that specializes in offering real-time profit calculations with an intuitive and customizable dashboard. You can automate reports, or access insights on-demand into order metrics, shipping, inventory, and marketing costs. The service makes it easy to analyze the profitability of different customer groups and track customer lifetime value for your most crucial segments. You can also create custom reports based on your most important metrics, and export them in a range of different formats. BeProfit offers a 7-day trial to beginners, followed by premium packages starting at $25 per month. The basic plan includes a comprehensive profit and expense dashboard, unlimited ad integrations, order and product metrics, and daily data updates. Leveraging Shopify Cohort Analysis Cohort analysis allows e-commerce store owners to understand their target audience, and which customers deliver the most value for their business. Not only can you more accurately distribute your marketing budget with these insights, but you can also improve your chances of retention by finding out exactly what each customer needs from your brand to enjoy a fantastic experience.
3 Best Wix Inventory Management Apps
Inventory management tools are crucial for modern businesses as they help to minimize the stress associated with keeping on top of changing levels of supply and demand. There are countless Shopify apps and Wix tools designed specifically for inventory management. An inventory app gives you an instant overview of how many products you have left in each category and will help you understand which products are the most popular among your customers and which you might need to purchase more often. If your Wix profit calculators indicate you’re missing out on sales, an inventory app could help. 3 Best Wix Apps for Managing Your Inventory Whether you’re dropshipping on Wix or managing your own warehouse, having clear insight into your inventory levels at all times is crucial. Running out of stock because you’ve failed to monitor your inventory disrupts your entire order fulfillment process and could result in lost sales and customers. The following Wix apps are designed to help you keep on top of your inventory. 1. Low Inventory Alert The Low Inventory Alert app sends you instant notifications the moment inventory levels reach a specific point. You can set your own notification parameters and even get full reports on which of your products are selling the fastest. Low Inventory Alert is therefore highly customizable and allows you to filter through inventory based on a specific product, a collection, or products sold under a specific brand name. What’s more, the app only costs $3.99 per month for unlimited use. 2. SKU IQ Inventory Sync Ideal for companies who run both online and offline stores, SKU IQ Inventory Sync helps you to keep track of orders and inventories across multiple environments. You can scan SKU IQ information into the system, and access omnichannel strategies of your point-of-sale (POS) and e-commerce sales in real-time. This ensures you never run out of stock online or offline. The platform easily integrates with a host of POS systems like Clover, Lightspeed, and Square. You'll receive a free set-up consultation with an expert when you add the service to your site. Prices start at $35 per month for up to 400 orders per month. 3. Multi-Store Inventory Sync Created by the Presto-Changeo company, Multi-Store Inventory Sync helps companies monitor their inventory across multiple stores at once. You can sync your entire inventory in one place and keep track of all product sales. If running out of stock is one of your top reasons for cart abandonment, this could be a great tool for you. The app is extremely easy to use. Simply upload your products’ SKUs, and any time a product is purchased, your inventory level will update across all stores. The app comes with a 7-day free trial and costs $6.99 per month for unlimited access to as many stores as you like. Let's Explore Wix Inventory Management Some More Wix does have some built-in inventory management options for beginners. However, the features can be a little limited, which is why some people turn to apps and add-ons for extra help. What Inventory Management Methods Does Wix Have to Offer? Wix Stores allow users to manage their inventory in two ways: Firstly, you can simply track your inventory by entering the number of items you have in stock for each product, and Wix will automatically update your records whenever you make a sale. Secondly, Wix allows you to manually assign products as “in stock” or “out of stock” when your inventory levels change. How Do You Keep Track of Your Inventory on Wix? To control your inventory management of each item, you’ll need to go to the “Store Products” tab on your Wix dashboard. Scroll down to the relevant product or add a new item. Scroll to the “Inventory and Shipping” section, then click on “Track Inventory”. The pop-up tab will allow you to enter the stock amount of the product and its shipping weight for postage. It’s also possible to enter SKUs by using the Wix Owner app to scan barcodes for your items. You can turn off inventory tracking by clicking the “Track Inventory” toggle again. From the status drop-down, you can then change the status of the item to either “In stock” or “Out of Stock”. How Do You Manage Pricing and Inventory on Wix? This is a relatively straightforward process, because you can also set a specific price for your item in the “Store Products” tab. Conclusion While Wix does offer some basic built-in inventory management tools, most companies find it easier to use dedicated apps and software to help them track their inventory across multiple stores and platforms. With the right app, you can improve your chances of sales, boost customer satisfaction, and increase average order value, which will contribute to an increased profit margin.
6 Steps to Build a Successful Hybrid Ecommerce Marketing Campaign
Successful ecommerce businesses need a blend of short-term and long-term marketing to achieve sustainable growth. These two types of marketing previously operated in parallel to each other. But in the past year, three factors have affected the old marketing belief: An increasing realisation within the ecommerce industry of the importance of brandThe rising costs of paid advertisingThe convergence of performance and brand created by mobile The result is a new approach that gives the best of both worlds: hybrid marketing. What is a hybrid marketing campaign? Hybrid marketing is when short-term and long-term marketing techniques are deployed together in a single campaign. This combines their benefits while also offsetting their deficiencies. Painting with broad strokes for a moment, we could say that short-term marketing — such as paid advertising — is: Demand-drivenFastHighly targetedMeasurable with hard data But it’s also: ExpensiveTransactional — all about the saleShort-lived Long-term marketing — like brand-building — is: Self-sustainingMeaningful and purpose-drivenMore potentRelatively inexpensive But it’s also: SlowTime-consumingHarder to quantify Why not take the best bits of both to create marketing campaigns that are highly targeted and data-driven but deliver branded messages? Here are six steps to create a successful hybrid ecommerce marketing campaign for your business. 1. Optimise your performance marketing Let’s start by getting the method of delivery into shape. Budget currently wasted on speculative or under-cooked ad campaigns could be better spent elsewhere as part of a hybrid marketing campaign. Tighten up your performance marketing by: Carrying out A/B tests on landing pages, copy, colours, and calls to actionEnsuring your keywords are closely matched to your ad, and your ad is closely matched to its landing pageChecking for low-performing keywords and adding them to your negative keywords list so you know not to use these againUsing less than 20 keywords per ad groupScouring Google Analytics to see the best days, times, locations, and devices for conversions, then targeting thoseIncorporating user-generated content within your paid mediaTesting various bidding strategies to see which delivers the best resultsPaying for your ads using a Juni card to get ROAS-boosting cashback 2. Invest in building your brand Put any budget you’ve gained to good use by optimising your performance marketing. Channel it into long-term marketing strategies, like building your brand. You need to create a connection with customers that goes beyond a simple transaction. Develop relationships that will endure, even if your paid media campaigns have stopped. Invest time, effort, and budget in making your customers feel part of something bigger. Build your brand by establishing: Your brand values and brand storyWhat makes your brand different from your competitorsPotential brand advocates and what will motivate them to support you How you will create a community around your brand based on a common purposeThe habits that will keep customers thinking about your brand every dayWhat success looks like and how you will measure it 3. Apply performance marketing techniques to your brand Your paid media is fine-tuned, and you have a clear idea about your approach to branding. Now bring them together to create a hybrid marketing campaign. That's what clothing brand tentree did. They tested whether mobile optimised brand ads with strong creative visuals could build brand awareness and increase sales. The result was a 1.39x increase in purchases, a 30% increase in brand awareness, and a 47% increase in standard ad recall. To bring this approach to your ads: Instil your campaign with your brand values and tone of voice Everything about this campaign needs to be authentically you. Whether it’s written copy or a video voiceover, the ad needs to sound like your brand. “Run the day. Don’t let it run you.” Sounds familiar doesn’t it? Many would recognize it’s Nike speaking with zero context. This Hubspot article gives more examples and pointers on developing your brand voice. Establish a clear visual identity in your campaign In a Facebook experiment on building brand in performance campaigns, 57% of brands created brand awareness uplifts not just for themselves, but for their competitors too. This was because their campaigns lacked distinctive and recognisable visual identities. Tie your values to something tangible and visible to help consumers to differentiate your brand from others. Facebook recommends leading with strong visual branding within the first three seconds. Target a broader audience than usual With a hybrid campaign, it’s not all about the immediate sale. That means you can afford to lower your cost per click by targeting a broader audience than you might normally consider for PPC campaigns. Commerce-led brand agency Northern suggests that this approach can further increase brand reach (and deliver more precise measurement) by targeting only those who have not previously been exposed to the brand. Guide your customers to take action Ensure your target audience takes the action you want them to take after viewing your hybrid campaign by incorporating a direct response element. This could be signing up for, downloading, or buying something — whatever makes the most sense in the context of your campaign. Nik Sharma, direct-to-consumer ecommerce expert and founder of landing page builder Hoox, recommends varying your approach by order value. He suggests orders under $150 can be converted directly from a hybrid marketing campaign, whereas a sign-up or download is more suitable for higher ticket items. 4. Measure your hybrid marketing KPIs When taking a hybrid approach to ecommerce marketing, you also need to take a hybrid approach to measuring it. That means combining the hard data generated by short-term marketing and soft data available for long-term marketing to see how your campaign is performing. To measure soft data, your KPIs might be: Brand awarenessBrand affinityNet promoter score (NPS)Share of voice (SOV) Hard data KPIs include: Click-through rate (CTR)Customer acquisition costs (CAC)Lifetime value of customers (LVC)Share of the market (SOM) Bring all of your KPIs into a single spreadsheet to determine the performance of your hybrid marketing campaign. You’ll find a downloadable template in this hybrid marketing white paper. 5. Keep testing The insights you gain from measuring your KPIs will help you to return to a process of A/B testing. How would adjusting your creative, copy, keywords, targeting, or landing page give your campaign even more impact next time? Optimise to get better results over time. 6. Add more value This is the stage to capitalise on your efforts by reinforcing your brand to potential customers. Asked what attracts them to buy from certain brands over others (beyond price and quality), 66% of consumers said they preferred brands with a great culture — those that do what they say they will do and deliver on their promises. Show that the brand values showcased in your campaign are genuine. Develop the initial connection you made with your audience by creating follow-up campaigns that are true to those values. Achieve this by: Using retargeting ads to cost-effectively reach people who engaged with your hybrid campaignPopping up with useful content or desirable products that are closely aligned with your brand valuesReaching the right person with the right product at the right time Start your first hybrid marketing campaign today Explore whether a hybrid campaign would deliver better results for your ecommerce business. Get started immediately on combining performance and brand by: Putting an end to wasted PPC spend by making your ads more effective and more efficientConsidering the story and values that will set your brand apartThinking about what a successful hybrid marketing campaign would achieve and how you will measure this To make your hybrid marketing spend stretch even further, get 2% cashback on eligible ad spend for your first 30 days, and up to 1% thereafter when you get Juni.
A Marketer’s Guide to CPM Across Social Media
Cost per thousand (CPM) has evolved to be called cost per mille ("mille" is the Latin word for "thousands"). Marketers use this term to denote the price of 1,000 advert impressions on a single web page. When a website publisher charges $5 CPM, it means the advertiser must pay $5 for every 1,000 advert impressions. It's important to stay abreast of the average CPM for all your major platforms because it determines the cost-effectiveness of your advertising campaigns. You can compare the effectiveness of the platforms you're using and the effectiveness of old versus new campaigns. How to Calculate CPM To measure CPM, you need to divide the total cost of the campaign by the number of impressions. You then multiply that amount by 1,000 to get the CPM rate. Here is the formula: CPM rate = total campaign cost / number of impressions x 1,000 Let's look at an example: Your ad campaign costs $200. Your total number of impressions is 3,000. Your calculation would look like this: CPM rate = $200 / 3,000 impressions x 1,000 = 0.066666666 x 1,000 = 66.666666 ~ 67 = $67 Average CPM for Facebook, Google Ads, Instagram, and TikTok The average costs for these different platforms are ranked below from the cheapest to most expensive: Google Ads Advertising on Google's Display Network ranges between $0.50 and $4 CPM, with an average of $3.12. This is very inexpensive when viewed within the CPM lens. If your aim is to build awareness of your products, Google Ads is a cost-effective option and provides a conversion tracking function to help you determine the success of your campaign. But if you're looking for more targeted campaigns, Google Ads may not be your best solution. Instagram The average CPM for Instagram ranged between $2.50 and $3.50 for better-performing campaigns in 2021. The cost of Instagram advertising is determined by supply and demand because Instagram ads are sold in an auction environment. In general, Instagram performs better for campaigns focused on impressions and reach, and it appeals more to the younger generations. TikTok The average CPM for TikTok Ads is currently sitting at the $10 mark. TikTok is the new kid on the block—and is showing up the rest quite well, considering its higher cost. Just remember to do your research and follow the guide to TikTok advertising. You can also consider adding your WooCommerce website to TikTok. Tip: It's important to make sure your target market uses TikTok and Instagram before spending money to advertise on these platforms. They appeal more to the Millennials and Generation Xs. Facebook The average CPM on Facebook across all industries is $14.40. This has increased from $11.54 in 2021. Facebook clearly takes the lead with CPM, because of all the social media platforms, Facebook appeals to the widest age range—which probably contributes to its high cost. You can consider using tools such as Facebook's campaign budget optimization to assist with high advertising costs, but ultimately, Facebook advertising like an e-commerce pro promises to get the widest reach. How Marketers Leverage CPM CPM is best suited to digital marketing campaigns that want to build awareness of a brand, product, or service. It's not suited to smaller, niche businesses that are trying to catch the attention of a small subset of the population. It also doesn't measure up if you need quantifiable results to back up your marketing dollar spend. If you want to create a strong foundation for a CPM strategy, you must know and fully understand: Your definition of a leadYour overall business goals (and how CPM will measure them)Your new strategy's goals The most important thing to remember when it comes to CPM campaigns is that they must be run in tandem with other forms of marketing, such as using AI in advertising. They won't be as effective if they run in isolation. Who Should Consider CPM Campaigns? CPM campaigns are perfect for any business that's looking to improve its credibility by building brand awareness. If you own an e-commerce store, you first need to establish yourself within your target market before your audience will start to take you more seriously. This means that your customers need to be familiar with your brand already when you start your first CPM campaign. A Final Thought... CPM campaigns are inexpensive and can be highly effective if you use clever, well-written copy and striking high-resolution pictures. Also, watch your frequency: if you post too often, you could irritate the target market you're trying to reach. Your strategy must be planned carefully and skillfully for optimum results.
Business Data Analysis
Perfecting Your Sales Funnel With Micro & Macro Goals on GA 4
If you have worked with older versions of Google Analytics—such as Universal Analytics—you will know all about the Google Analytics micro and macro goals. In short, this is what Google Analytics called conversions before GA 4 arrived. So if we exchange "goals" for "conversions," you'll have GA4's micro conversions and macro conversions. All important interactions that you are leading your customers to complete are called conversions. Therefore, micro conversions are those interactions that lead your clients to finalize a macro conversion. A macro conversion is an ultimate conversion, such as the sale of a product. Let's look at an example: you have an online shoe store. A micro conversion is when your customer subscribes to your email newsletters. The email newsletters contain special discounts and deals that lead your client to a macro conversion—the sale of a pair of your shoes. How to Set Up Micro & Macro Conversions on GA4 There are three ways that you can set up micro and macro conversions on GA4. First, we will take a look at the three options, and then break each option down into step-by-step guides. Additionally, consider taking a look at our guide to increasing Shopify conversions with Instagram. Option 1: Create a New Conversion Event Using Events Already Collected in GA4 Log into GA 4Choose the propertyNavigate to the left-hand side menuClick on "Conversions"Click on "New Conversion Event"Type in the name of the eventSave, and you're done! Option 2: Set up a New Conversion Event Using a Custom Event Go to "All Events" on your propertyClick on "Create Event" Enter the name of the eventConfigure the parameters in the "Matching Conditions" sectionNavigate to "Conversions"Click on "New Conversion Event"Enter the name that you chose for the event—just remember that it needs to be the same as the name of the event that you createdSave, and you're done! Option 3: Using Google Tag Manager Click on "Tag"You'll find it in the left-hand side menuClick "New" > "Tag type" > "Google Analytics: GA4 event"In the tag, you must specify the name of the event, add your parameters and then create a trigger to assign to your tagSave the tagThe GA4 container will start to populate with the new custom eventJust remember to tell GA4 to mark this event as a conversion Examples of Micro & Macro Goals Driving Funnel Conversions Let's go look at an online store that sells kid computers as an example: Macro Conversions (Goals) This might be the sale of a kiddies' computer. Micro Conversions (Goals) Following a sales funnel order: Interaction with your landing page (clicking on sections)Viewing a video that explains how the computer can benefit childrenSigning up for your marketing emailerReading reviews from customersAdding a computer to a wish listAdding a computer to the cart Selecting the Best Micro & Macro Conversions for Your Business Choosing the right macro conversions will depend largely on what industry you are in and your platform for selling—dropshipping in 2022 is vastly different from running an in-store bakery. However, micro conversions are generally common in all industries. Let's look at three examples of macro conversions per industry: E-commerce The finalization of a sale using, for example, Google Ads conversion trackingSocial media platforms The opening of an accountBrick and mortar stores Signing up for a newsletter So, Which Should You Choose? There is no one-size-fits-all solution for selecting the best micro and macro conversions. It's important to remember that they need to work together to give you insights into building a successful sales funnel. In other words, your micro goals should follow your customer journey to reach the main goal of macro conversions. This will tell you what is catching your customer's attention and what is leading to an interaction, and that's where you need to focus your attention. It also means that your micro goals will change organically over time, while your macro conversions are not likely to change. Just remember to check out the best Shopify sales funnel apps for optimum results. To set your conversion goals, you need to plot the full customer journey. Once you have a typical journey of your website, you will need to decide which touchpoints or milestones may lead to macro conversions. Remember, this is not set in stone. As you analyze your metrics and data, you will set new micro conversions because they are developed over time. Concluding Thoughts It's never a walk in the park to optimize the data and analytics of an e-commerce store. The key takeaway is that you will learn over time, and it will become easier as you learn more. There is also so much information on the internet; you just need to google your questions and take the time to read up on the answers. The point is that not having micro and macro conversions is like walking with blinkers on—you will eventually be left behind. Challenge yourself, learn, grow, and give your competitors a run for their money! And always remember that goals are just one method of boosting conversions—read How to Increase Your Shopify Conversion Rate and How to Use Facebook Conversions API for Your Shopify Store.
Amazon FBA Profit Calculator Is Inaccurate—How Sellers Can Avoid Costly Mistakes
While the Amazon FBA profit calculator is a handy tool, it shouldn't be taken as gospel. What do we mean by that? The information you get from the Amazon FBA profit calculator is not wrong—but it is only a guideline for your revenue analysis. So, why use the calculator at all then? Because it still gives you a good idea of your revenue. But, you need to understand the inaccuracies so that you don't get caught, like many others, with small errors that end up costing you a small fortune. It also needs to be used in conjunction with other profit calculation methods. The bottom line: to promote your Amazon products at a fair price, you need an accurate calculation of the FBA costs to maximize your e-commerce profit margin. Understanding the Difference Between FBA and FBM It's essential first to understand what FBA means and how it differs from FBM. Where FBA stands for Fulfilled by Amazon, FBM stands for Fulfilled by Merchant. What's the difference between FBA and FBM? With FBA, the merchant pays Amazon to store and ship its inventory. With FBM, the merchant stores and ships the inventory in-house—that is, this function is not outsourced to Amazon. Why the Amazon FBA Profit Calculator Isn't Always Accurate The Amazon FBA calculator—otherwise known as the Amazon profitability calculator—isn't always 100% accurate. This is because many sellers have different products and unique requirements. It would be almost impossible to create an accurate calculator that would work perfectly for such a vast market of sellers. Amazon confirms this in its disclaimer: This Fulfillment by Amazon Revenue Calculator should be used as a guide in evaluating FBA only. Amazon does not warrant the accuracy of the information or calculations in this Revenue Calculator. Independent analysis of the output of this Revenue Calculator should be conducted to verify the results. Avoiding 5 Expensive Amazon FBA Mistakes These are five of the most common mistakes that sellers make and how they can be avoided: 1. Taking Your Eyes off Your Books and Accounting Never lose track of your books. For your Amazon FBA business to work, you need to very carefully calculate your profits on your own, using the FBA calculator as a guide. The one disadvantage of Amazon is that you have many competitors. Your calculations need to be so sharp that you offer the best value for money. 2. Not Understanding the Full Scope of Fees Charged There are Amazon selling fees and FBA fees. Both sets of fees depend on different variances. For example, if you buy too much stock and it stays in Amazon storage for longer than expected, fees could increase. You need to know and understand the full details of the fees charged. 3. Not Realizing That There Are Gaps in the Calculations The calculator takes the basic costs into consideration. It doesn't take expenses like taxes, advertising and Amazon product promotion, and overheads into account. You would need to include these and other hidden costs when tracking your expenses for a more accurate picture of your profits. 4. Not Including Returns in Your Calculations Inevitably, there will be defective products and packaging. There will also always be customers that are not happy with your products. Sending products back will cost you, and this also needs to be accounted for. 5. Not Providing Amazon With Accurate Descriptions of Your Products If you input inaccurate dimensions of your products, you could be calculating the total costs of storage and delivery incorrectly. Let's look at an example. You sell a product for years, and it gets updated. Expectedly, the new packaging is slightly bigger than the previous packaging. You calculate costs according to the old specs, and Amazon calculates costs according to their measurements while in storage. Other Ways to Calculate Your Profit Fortunately, you don't need to rely 100% on the Amazon version, as there are other calculators to use. Five FBA calculators you could consider if you would like to research other options include: Seller App AMZScoutJungle Scout Viral LaunchHelium 10 Finding the Best Solution There are various other ways to calculate your profit—each different way will work better for some e-commerce stores than others. You should take some time to try the different versions out simultaneously, and you will soon see which calculator is the most accurate for your business and your products. There is no manual to give you all the right answers; otherwise, everyone would be highly successful Amazon merchants. The trick is to learn and keep learning, research and keep researching, and never stop growing. Good luck!
Is Dropshipping Still Profitable in 2022 or Will You Lose Money?
Dropshipping has emerged as one of the most popular business models for e-commerce store owners in the digital age. With a dropshipping strategy, business leaders list products from manufacturing partners on their websites. Whenever an order is placed, it’s automatically transferred to the dropshipping vendor, who deals with fulfilling the order. Dropshipping allows entrepreneurs to enter the e-commerce landscape without the common expenses and challenges associated with holding and shipping inventory. However, while dropshipping is great for improving the e-commerce order fulfillment process, it has its challenges too. As dropshipping apps and tools become more popular in 2022, it’s worth asking whether this model is still a profitable strategy for your business. Read on to find the answer to this and the challenges faced by potential dropshippers in 2022. The Challenges Faced by Dropshippers in 2022 Disrupted Supply Chains One of the most significant issues this year has been the disruption in supply chains and logistics around the world. A disruption in the dropshipping supply chain could leave customers waiting weeks or months for an order, which damages a brand’s reputation. Rising Customer Expectations Post-pandemic customers are less likely to settle for slow delivery times and unpredictable product quality. This means companies in the dropshipping industry need to work harder to find suppliers who can deliver products fast and provide consistently great items. Rising Competition Another major issue dropshippers have faced in 2022 is the struggle to differentiate themselves from other merchants. With various forms of Shopify, Wix, and Amazon dropshipping for beginners now available, the barrier to entry for this mode of selling is lower than ever. This means competition is rising, making it much harder for companies to find unique products to set themselves apart from the crowd. Additionally, you'll also have to compete with different shipping costs, product qualities, and e-commerce ads. Profitability of Dropshipping in 2022 Though dropshipping professionals have seen a number of challenges during 2022, this doesn’t mean the potential of the market has diminished. According to some studies, the dropshipping market is set to reach a value of over $621 million by 2028, growing at a rate of 20.7% CAGR. Since the pandemic, more customers have begun shopping almost exclusively online. By the end of 2022, e-commerce is set to account for around 20.4% of all global sales. Even as the impact of the pandemic damages the logistics and supply chain landscape, the opportunity for e-commerce sellers is growing astronomically. This means dropshipping professionals have plenty of chances to profit. Can Dropshippers Cope With the Challenges? Indeed, dropshipping companies may even be more suited to withstanding the complications of the problematic logistics environment than most. After all, with the best Shopify dropshipping apps and similar tools, business leaders can quickly and easily find new suppliers if their chosen vendor isn’t able to deliver the products they need. Interest in dropshipping is growing too. The number of people searching the word “dropshipping” has increased exponentially over the last couple of years. Plus, virtually every e-commerce site-building tool now comes with integrations and apps to make dropshipping easier. Despite the challenges, dropshipping companies aren’t just surviving in 2022; they’re thriving. Today, dropshipping and e-commerce sales are accelerating towards a value of $5.49 trillion, and they’re growing at a consistent rate of around 10.98% per year. Evolution of Dropshipping Best Practices Though it’s clear that dropshipping still has significant potential in 2022, companies do need to make sure they’re approaching this landscape carefully. The challenges of the evolving e-commerce environment have led to the adoption of new best practices, such as: Leveraging the right dropshipping tools Companies are investing extra time and effort into ensuring they have the right tools in place for dropshipping. This could include comparing Wix vs Shopify for dropshipping or exploring different apps in each e-commerce ecosystem to ensure you’re getting access to the right suppliers. Putting the customer first As customer expectations continue to rise, companies in the dropshipping environment need to make sure they’re prioritizing “CX”. This means implementing new strategies to deliver products faster and making sure the right policies are in place to respond to queries at scale.Increasing vendor relationships In an unpredictable logistics environment, it’s often a good idea to have multiple relationships with different vendors. Drosphippers are beginning to form connections with a wider selection of suppliers, so they can rest assured they’ll always have access to the inventory they need.Leveraging analytics To differentiate and stay one step ahead of the competition in the dropshipping world, companies need to keep a close eye on business insights. Brands are now using more tools to keep track of their most popular products and boost customer experiences.Brand marketing There are many different ways to market your brand, from advertising on Snapchat and Facebook, to using influencer marketing, and much more. Dropshipping Isn’t Dead Although dropshippers, like all e-commerce business leaders, have experienced some challenges in recent years, there’s still exceptional potential for growth in this environment. Companies capable of leveraging the dropshipping environment correctly can still make a fantastic profit in the years to come.