CRO Mistakes Every E-Commerce Platform Makes
When learning something new, you are bound to make mistakes. But when it comes to something as important as optimizing your company’s website, mistakes could become extremely costly. CRO mistakes can be something small like ignoring micro-conversions or as large as misinterpreting data. Here are a few things you shouldn’t do when approaching CRO to avoid committing errors and poorly improving conversion rates.
Common Misconceptions Regarding CRO
Misunderstanding CRO is an easy recipe for poor optimization. If your expectations don’t meet reality, you may end up trying to fit a square peg into a circular hole. In order to debunk basic CRO myths, here are few misconceptions you should learn to ignore.
CRO Is Based on Website Traffic
The purpose of CRO is to optimize the rate at which your visitors convert into customers. Even though more traffic will result in more conversions, this doesn’t affect the percentage of visitors who leave your site without committing an action. CRO is about improving the conversion profitability of your existing traffic by increasing the percentage of visitors who spend extended on your site. This is great for businesses to increase revenues without increasing traffic. That said, a great consequence of website optimization is an improved user experience. The more purchases visitors make, the more likely they are to tell their friends or spend more in the future.
The Effects Are Instant
Optimization employs a trial and error methodology. You can only optimize something you have already done. Effective CRO involves gradually modifying a company’s website through a series of experimental changes and then keeping the changes that work. Learning from these tests allows you to identify additions that directly increase conversion rates. And through every stage, modifications that increase visitor motivation, decrease user fears, and reduce site friction will be adopted. While the response to CRO will be relatively quick, its impact won’t be optimized until the necessary changes have been made.
Many businesses avoid hiring third-party data consultants because they believe it is a poor return on investment (ROI). The irony is that strategies like CRO are designed to do the very opposite. More often than not, the goal of CRO is to maximize the average amount of revenue per customer. A higher conversion rate means more of your visitors are positively interacting with your website. A well-executed CRO strategy can actually result in lower customer acquisition costs than before.
Common Optimization Mistakes
The quality of your CRO process has a huge influence on its impact. Easy CRO mistakes like improper data collection can result in inefficient changes that end up costing you more money than you get back. Below are a few of the common mistakes you should avoid committing when it comes to conversion rate optimization.
Believing Correlation is Causation
This is a huge pitfall for organizations that lack experience in data analytics. When you collect data, you have to take the approach of a scientist and scrutinize any conclusion until it can be proven. Correlation is a statistical measure, not the result of an event. The purpose of this measure is to describe the size and direction of a relationship between multiple variables. If two variables have a strong positive correlation, it is because they both trend in the same numerical direction as their values increase or decrease. As they both increase, it’s not because one affected the other. That is causation.
Causation is the buried treasure that you’re always trying to find. The objective of CRO is to determine which site changes actually cause an increase in conversion rates. When combing through data, it can be very easy to mistake a strong correlation for direct causation.
Here’s an example to illustrate. If you were to analyze two datasets – crime rate and ice cream sales – you’ll find that they are positively correlated. When ice cream sales go up, crime goes up. So does ice cream cause crime? No. They are an example of confounding. They both are being driven by a third factor not in the data, weather. When it’s hot, ice cream sales go up, as does crime.
That is why data consultancy can be so valuable. It can streamline the process and result in effective implementation.
Not Accounting for Bots
If you are unaware of internet bots, you will likely not notice them. Mistaking spam bots or ghost referrer spams for visitors can impinge on the results from your Google Analytics or split testing software. These sorts of programs can disrupt your bounce rate and significantly alter your website data. On smaller sites, these types of bots could make up a large proportion of your site traffic, so it is important to be vigilant.
Being unable to distinguish bot data from user data can also leave you with improper conclusions. Wrong conclusions can cause you to implement inefficient website changes that don’t positively affect your conversion rates. When conducting CRO, it is imperative that you use filters to differentiate real users from programmable ones.
Actions that visitors perform on a website can be broken down into micro- and macro-conversions. Macro-conversions are the significant actions that your CRO is targeting for increase. These include purchases, filling out lead forms, or any action that a website is trying to funnel its users towards. And in that funnel, there are a bunch of smaller grooves and pathways called micro-conversions. These are the types of actions are the steps a consumer must click through in order to complete the macro-conversion. In a way, micro-conversions are the steps on a macro-conversion ladder. And you can’t climb to the top without strong, consistently spaced steps.
Ignoring micro-conversions could influence the effectiveness of your CRO. The changes you implement via micro-conversions may directly impact a macro-conversion. For example, boosting click-through rate on one page may decrease the sales on another page or a different product.
Where Do You Go From Here?
As extensive as this article is, it still leaves out a plethora of other mistakes companies make when approaching conversion rate optimization. And knowing what not to do doesn’t make up for not knowing what to do. Learning and adapting these lessons is unreasonable to ask of growing businesses that are already dealing with a mountain of existing obstacles. Fortunately, Enabled Concept is here to help.
With decades of experience, our team of industry experts has mastered the art of conversion rate optimization. Using data-driven analytics with a proven history of success, Enabled Concept can leverage its Enabled CRO services to increase conversions as well as consumer experiences.
If you want to upgrade your CRO strategy with data-driven solutions, contact Enabled Concept today.