By revamping new customer promotions for the first orders, a client of IMP increased their revenue by 400%. Here is the detail of how we did it.
1. Background
In e-commerce, offering promotions for the first order helps convert leads into customers effectively. However, the discount alone was insufficient. Customers need more motivation to actually complete the purchase.
In Marketing, a well-constructed promotion always has a limited time, creating urgency in sales to maximize conversion. Businesses must set the right trigger, making potential customers purchase as soon as possible.
2. Implementation
The first step that IMP executes is optimizing the ads to gain more traffic to the website. When the lead accesses the online store for the first time, a pop-up is shown up to offer a promotion for their first order. Aside from providing the code, IMP also sets some conditions to encourage impulse buying:
- The code is only applied for a limited order value
- The code expires in 7 days
After subscribing, the user gets their promotion code through an email. If they don’t use the code within six days, another email will be sent to remind them and suggest relevant products.
3. Results
After 20 days of revamping, the online store achieved significant outcomes:
- The subscription rate increased by 135%
- Email click rate reached 21%, increased by 190%
- Order rate from email increased by 720%
- Revenue from email reached $14,000, increased by 470%
Conclusion
Limited-time promotion works! And ecommerce businesses should leverage this tactic to increase their revenue and expand their customers base.
Contact IMP for more advice on other practical e-commerce tactics.
