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How to increase online sales on Magento
What is your current Marketing Focus?
This article seeks to reveal some amazing facts related to the loyalty of customers in relation to the market and small businesses.
Generally, it is believed that focusing on acquiring new clients should be the focus of advertising. But the question is, does this truly lead to a more profitable business? This article analyses the figures in the background.
Customers who have visited at least 10 times are referred to as loyal customers and statistics reveals that they form about 20% of the entire Clientele base. This shows that 80% of your revenue is driven by 20% of your customers which actually are your loyal customers while 72% are just visitors to your business premises. Loyal customers can also account for up to 74% of total visits. For different outfits, here is the contribution of loyal customers to total number of visits:
• Retail – 60%
• Desserts – 65%
• Fine Dining – 70%
• Night Life- 70%
• Casual Life – 70%
• Coffee & Tea – 85%
Studies revealed that loyal customers spent 10 times more in spending over their lifetime. New clients are cautious when it comes to spending making the probability of a sale about 0.2. For daily deal customers, only about 30% will spend more than the discounted price of the deal while less that 20% of daily deal customers will pay the full price of the commodity. For promotions sent to new customers, the average percentage of sale is less than 1%.
Loyal customers are more likely to spread awareness about your brand, they are of more long term value to your business as they spend more time generating revenue for your business. They are interested in hearing from you with respect to promotions, coupons and updates from your business. As a result of this awareness, there is a high probability selling more to clients, an increased 60-70%. So it can be seen that the implementation of a modern digital loyalty program is an efficient way to grow and generate more revenue for your business.
Benefits of Loyalty Program
Here are some reasons why a loyalty program is the best way to grow your business.
1. With respect to your VIPs, it helps you keep track of them hence you can improve your service to them and reward them for continuous patronage.
2. A well-structured loyalty program increases visit of customers by 12-44%. This ultimately transforms to an increase of up to 44% in revenue.
3. Loyalty programs can turn casual or new clients to loyal ones. All you need is the right program targeted to a specific group of customers, transforming them to becoming repeat customers.
In summary, make sure your focus is on loyal customers, by this, you will not leave extra revenue on the table.
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The Following User Says Thank You to michealnguyen For This Useful Post:
Promotion is always the perfect way to boost up sales. Magento platform supports many marketing solutions - Gift Card exention, that helps you satisfy your customer's giving-gift routine by advanced cards.
1. About 300 FREE templates for eye-catching card
2. Leaving meaningful message to loved people
3. Schedule to send Gift Cards online or offline
Those are 3 of the unique features you will have on your store with Gift Card extension.
Besides, we are willing to support you how to start-up the promotion campaign perfectly as possibly.
Visit https://magegiant.com/magento-gift-card/ (https://magegiant.com/magento-gift-card/) to get more!
We are living in the age of technology with smart devices help people better satisfy their needs. So Mobile marketing is an inevitable trend, a part indispensable in the media industry in today's mobile era.
And CUSTOMERS ARE MOVING TO MOBILE - What are you thinking about this trend ?
And now, let's create a MAGENTO mobile app to change your businees!
Go Magento shopping Apps to convert sales way better!
Only Magento shopping apps can improve your company's business via mobile!
Great infographics!!! Fivestars have made a good job!
Customers' loyalty is extremely important, so you can check out this Magento extension https://amasty.com/magento-loyalty-program.html
It will help you build a loyal community around your brand.
BTW, we've recently introduced a loyalty program for our new and existing customers - https://amasty.com/rewards.html
Not sure about the online advertising, but the old-school offline campaigns work great even nowadays. I have a small local business, and I advertise it offline only. I just made some analysis of my advertising channels with the help of Ringostat system, and now my campaigns are very effective
Choose one main goal to focus on, such as improving your conversion rate or increasing traffic. Have you tried your site from a smartphone lately? If you have time to sip your latte while waiting for it to load, it’s too slow. Have your web team look at the platform they are using and see how they can improve the speed. Faster is Better.
I think loyal customer would be beneficial for increase online sale. But focus on your goal to improve conversion rate or increase traffic to increase online sales. then depends upto you.
Last edited by RichardWashington; 08-03-2016 at 04:38 AM.
Transactional Email Promotion is becoming more popular now days with its great feature and innovative idea. It offers Self campaigning, new products marketing and promotion, telling upcoming event and offers and much more. The basic idea behind this technique is to keep the customers updated without annoying them. Transactional Email Promotions uses only transaction emails to send information. This can be considered as a healthy communication channel between customers and your company.
- 100% success rate of information delivery.
- Annoying free communication with your customer.
- Custom targeted content that fits your business needs.
- Cost effective solution with existing emails utilization.
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