With the boom in online shopping, Shopify has translated into an e-Commerce giant with over one billion businesses relying on the platform. Also, Shopify accounts for $319 billion of global economic activity. Therefore, the competition in the sector is stiff, and you need to devise strategies to stand out from the crowd by increasing cart value in your Shopify store.
Here we've discussed cart value and tips for increasing it.
The value added to the cart refers to the cart value. Whenever a consumer adds more products to their cart, the cart value increases. You can determine the value left in your shopping cart after users visit your store.
Improved cart value leads to increased total revenue and customer loyalty. Also, it boosts the value of each customer that visits your online store. Let's look at how you can reduce your marketing spend per revenue dollar and still boost your cart value.
While marketing is a lifeline for an online store's, boosting your eCommerce total revenue doesn't necessarily mean you have to launch a costly marketing campaign. You can cut your marketing spend but concentrate on preventing online shopping cart abandonment, which portrays a rate of 69.8%, according to the Baymard Research Institute.
Cart abandonment is when an online shopper adds products to their cart only to leave your store without completing the purchase. This will harm your brand and reduce your sales. However, you can double or triple your revenue if you don't just work on shopping cart abandonment but increase cart value at a reasonable marketing budget.
Keep in mind that increasing cart value doesn't mainly involve luring new customers. It's about capitalizing on enhancing the loyalty of the existing customers by ensuring they make valuable purchases. This strategy will still yield favorable results without spending so much on marketing.
To ensure you effectively spend on your campaign, spend only five percent of your total revenue on the campaign if your target is to maintain existing customers. Here are ways you can increase cart value without increasing your marketing budget.
You can encourage current customers to add more products to their cart if you introduce or increase the free shipping threshold. According to psychological studies, consumers' love for free shipping is obvious. They'd rather pay more for an order provided there are no shipping fees. In fact, most place a few orders with the paid shipment. Therefore, free shipment will compel your current customers to add more products to their carts.
Discounts are a game-changer, and most customers won't mind spending more to get the discount. You just need to specify the minimum spending limit to redeem the offer. For instance, you can implement a temporary program that requires your customers to spend over $70 and get a $15 reduction on their total purchases.
The goal is to lure customers into increasing their orders so you get an improved cart value. Other than that, you can offer a gift card for spending the specified amount or give a discount to customers who will buy in bulk. Besides, cutting the cost of each product for bulk orders will entice customers.
Having a loyalty program in your Shopify store can increase cart value considerably. That's because 64% of customers claim that loyalty and reward programs influence their retailer choice and spending. Loyalty programs allow consumers to receive rewards for their purchases or save money.
Therefore, having a loyalty/reward program will help you keep valuable customers and get a higher return on investment without acquiring more new customers. This kind of program rewards loyal customers. Remember that an effective loyalty program will earn you several happy repeat customers. Make sure you create different spending ranks to inspire more spending in order to get luring perks linked with tier membership. For instance, they can earn points for the money spent on your Shopify store.
Establishing a loyalty program that offers rewards or points at specific thresholds, such as when a customer spends $80 or more for one order, compels shoppers to add more items into their cart.
Simply put, a loyalty program boosts repurchase rates with a rewards and points program, enhances customer engagement, and helps your brand stand out from the crowd. Furthermore, your loyalty program will help you improve the Average Order Value-you'll have consumers stretch to redeem the valuable reward.
Consider grouping your products that complement each other, or you can sell goods in bundles at a slightly reduced price. This compels shoppers who intended to buy few items to purchase the whole set. This will improve your AOV (Average Order Value). Besides, you can offer shoppers small discounts for bulk buying. Once they realize that they'll save a few dollars with the plan, they'll include more products in their shopping cart.
Customer shopping experience is key as it increases AOV, especially if the consumer discovers that your products resonate with their specific needs. To achieve this, invest time in reviewing each customer's order history. You can then use the information to develop a marketing campaign with products and content that relates to your target audience. Keep in mind that specific and targeted marketing will improve customer spending per single purchase.
Just like the free shipping techniques, using gifts yields significant results. On your site, add eye-catching CTA (Call to Action) tabs, encouraging shoppers to 'purchase' and get a gift. Coupon codes and gift cards encourage shoppers to buy so as to redeem the offer. And it would be even better if the offer had an expiry date.
This is very important because it determines whether shoppers will come to your Shopify store during their next shopping trip. Your return policy should be flexible enough so that it can erase customer's doubt about buying from your store. The 2019 UPS survey discovered that 73 percent of shoppers' return experience influences their purchase from a store a second or third time. Therefore, it's critical that you include your return policy on website banners and social media platforms so that your shoppers can easily access it.
Boosting cart value for your Shopify store is necessary because you can boost your sales revenue without necessarily getting new customers. You implement strategies to encourage your existing customers to spend more through creating a loyalty /reward program, offering free shipping, rewards, and discounts on bulk buying and more.
If you want to double or triple repeat sales and keep your valuable customers for years, Glow App will impress you. You can use it to create an effective loyalty program to turn your onetime shoppers into loyal customers.
Click here to try out the free plan!
This is an important question that every brand should consider, then build a strategy. While traditional marketing approaches suggest getting the atte...