Valentine’s Day Ecommerce Strategies: How Alternative Payments affect your ROI
Key Insights for a Successful Strategy
Love can certainly be crazy sometimes, but it can also be crazy lucrative. According to the National Retail Federation, on the Valentine’s Day 2016, it is expected that US businesses alone will accumulate an astonishing figure of $19.7 billion in revenue. One more interesting conclusion is the fact that 27.9% of those purchases will be performed online, through ecommerce shopping platforms. On a global scale, Valentine’s Day is one of the most expensive holidays, and this trend is on a constant increase.
As an ecommerce site owner, you will definitely want to try and seize every opportunity for sales. Since shopping patterns on this particular holiday are consistent and scalable, designing a profitable Valentine’s Day ecommerce strategy should come easy to the most of us. Especially if you are selling flowers and candy, which remain the most popular products of this holiday for decades. Some of the key elements that you should bear in mind when designing your strategy and your Valentine’s Day campaign are the following:
a. Target male audience. In average, men spend nearly double of what their significant others do. This is why your strategy and your marketing campaign should target the biggest spenders, which in this case are men in love.
b. Target last minute shoppers. Those men in love are also well known for being late all the time. This is why you need to define and focus your investment, and the smart decision would be to increase your ad and marketing expenditures in the last days prior to the holiday, and on that very day.
c. Product positioning is the key driver of sales. Don’t hesitate to invest in this opportunity to send out a very strong brand image by having a branded discount marketing promotion designed especially for this occasion. Through cute and enchanting content, every product will find its buyer on this day, and it will do wonders for your brand reputation in the future.
Once you’ve leveraged your PPC and marketing campaigns, the vital question that you will return to is your conversion rate optimization. As an ecommerce merchant, gaining converting traffic is your primary concern, and on holidays like this one, when your traffic will be on a significant increase, you will want to tweak your landing pages and your purchase process in order to win over your every possible sale.
How Alternative Payments can increase your ROI
Since we’ve defined your model audience, and outlined the focal points and influencers behind the strategy that you should employ, relating to the needs of your visitors becomes a moderately easy task. However, understanding the extent of the user experience and how it relates to your bottom line is the feature that will define and/or significantly affect the ROI of this venture.
Assuming that your product placement is serving its cause, and that you are marketing a tempting, turnkey offer to your visitors, always bear in mind that time and resourcefulness are the two crucial factors in this matter. A total of 67% of shopping carts get abandoned right before the final step in a sales funnel, on the checkout page. This happens due to few reasons.
Some of your visitors use your shopping cart as a tool of evaluation and for research purposes. This is why it is important to allow your prospects to navigate back to your store, instead of forcing them to exit your website. This will have a positive effect on your bounce rate and your conversion rate as well.
Shipment is always an issue, and this is why it is important to include a great variety of shipping options. Including a free shipment option is certainly affecting conversions, but what is more important is to have transparent fees for every feature presented to your visitors before they reach your checkout page.
The third, and the most common reason why people leave their shopping carts right before they make a purchase is, of course, the choice and variety of payment methods.
Alternative Payment Methods
Be advised that by the end of the year 2017, more than 59% of online purchases will be performed through an AP method. Emerging markets, the entire Europe, Asia, South America – those are all online markets highly dependable on alternative payment systems. If you are marketing a product within any of the aforementioned regions, all chances are that you are probably already employing some form of an AP. If you are, however, neglecting these systems, then you might be losing as much as 30% of your current revenue.
Many as 65% of European customers never use credit cards when shopping online, which is rather daunting since Europe is the world’s second largest market after Asia-Pacific. Fortunately for both European businesses and buyers, SEPA is available in every European country and it features straightforward technical integration to facilitate financial transactions for online purchases. At the same time, it allows e-merchants to increase conversions and optimize* customer checkout experience with the help of drag-and-drop tools and API.
*When optimizing your checkout page, don’t forget that speed is an important factor. Present your payment method in the most transparent way, preferably with an image, and keep your forms short and ask for the bare essentials. Never ask for an information that you are not required to ask for.
Obtaining a thorough understanding of the region that you are targeting is imperative. Dealing with the fact that the world of ecommerce is developing at a tremendously fast paste, and the great majority of countries are embracing this form of shopping rapidly, reaching consumers through standard methods of payment is a limiting approach that keeps businesses from achieving substantial profit. While even credit cards are becoming redundant, AP methods will continue to dominate the developing world of ecommerce.
On top of that, the alternative payment system offers fraud prevention features to keep tabs on every transaction and sale, and it also allows e-marketers to analyze shopping patterns and payment data in order to create lucrative marketing strategies tailored to market needs and purchase behavior, which will help you tremendously when you are designing strategies for your holiday campaigns.