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September 12, 2016

5 Neuromarketing Strategies to Increase eCommerce Conversion

Image courtesy of (arztsamui)/ FreeDigitalPhotos.net

Is your eCommerce business struggling to make sales? Or are you looking to expand your eCommerce growth even more by increasing conversions? If you’re a marketer, you’ve probably come across the term “neuromarketing.” This little marketing hack is exactly what you need to convert leads into actual sales because it influences the psychology and purchase decision of potential customers. Take a look at some of the most effective neuromarketing strategies that will help you increase your eCommerce conversions:

1. Use colors that sway buyers – There’s no denying that colors can affect a person’s purchase decisions. In fact, color makes up 85 percent of the reason why an individual decides to buy a product, according to Hemphill. This makes color psychology a crucial part of neuromarketing because you will be triggering the subconscious desire of buyers to take action. So what colors do you use?
One study found that 34 percent of people relate the color blue with feelings of trust, security and reliability while 43 percent of people find that black communicates high quality, while yellow and orange are popularly associated with cheap and inexpensive. In the same study, 76 percent of people feel that red communicates speed, which translates to urgency.

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It might be a good idea to make use of red CTA buttons that will compel buyers to take action immediately. However, the best choice of color may differ according to the context, type of product you’re selling, etc. So make sure you run tests and see which color works best for you. Indian eCommerce store Koovs makes use of red on its “Sale” page, which clearly makes it seem urgent that shoppers make a purchase immediately.

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2. Make the most of scarcity – As one of Cialdini’s six principles of persuasion, scarcity is a popular method used in the marketing world. This principle works on the idea that the fewer the products, the more customers will be compelled to buy. A 1975 study proved the theory right when two identical glass jars contained cookies. One jar had 10 cookies, while the other had two. The participants showcased a higher level of interest in the second jar despite both of them being exactly the same.
The scarcity technique can be played out in a number of ways such as through stock scarcity or size scarcity. British eCommerce store Wolf & Badger makes use of this technique by displaying the number of items left in stock, as you can see below. Remember to use this tactic only if the scarcity is genuine.
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3. Create urgency to compel action – Often clubbed together with the scarcity principle, the urgency technique is also an excellent way to encourage customers to buy. While scarcity displays limitations in stock or size, urgency gives visitors a fixed deadline to make a purchase and enjoy a certain benefit. The most popular way of using urgency is by offering free shipping if customers make a purchase within a certain timeframe. For Amazon, which already provides free shipping, it offers customers the option to get next day shipping if they order certain products within a given timeframe.

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Another effective way to create urgency is by providing limited period discounts. Amazon again pulls off this tactic with its “Deal of the Day,” where products are displayed at a discount. The page comes complete with countdown timers to show how much time is left before the sale ends.

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It’s important to note that false urgency can backfire, resulting in a loss of trust for your business. You can come up with special discount hours or send a mail to subscribers offering a special, limited time discount on abandoned cart items. There are endless possibilities to use both urgency and scarcity, but make sure you use them wisely and truthfully.

4. Encourage reciprocation using small gifts – Another principle from Cialdini’s principles of persuasion, reciprocity works on the idea that giving something to customers will encourage them to give back. Have you ever had a friend do a favor for you? Does it make you feel indebted to them, making you want to return the favor somehow? You can trigger the same feeling in your potential customers by giving them a small gift. There are a number of ways to pull this off.
For instance, Natural Area Rugs offers a $25 off plus free shipping on your first rug order to all new subscribers.

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As mentioned briefly earlier, you can send a discount code to subscribers who recently abandoned their shopping cart. Sites like Birchbox make use of this tactic to drive conversions through reciprocity.

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If you can’t afford to provide discounts to every new customer, you could even start exit-intent offers. This is where you make use of pop-ups that show up when the visitor seems to display signs of leaving. DODOcase pulls this off perfectly, as you can see below. When visitors see the popup right as they were ready to leave, they might take a step back and say, “Oh wait, maybe I should at least check them out since they’re giving me a good discount.”

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5. Build trust and credibility – People will hesitate to buy from you if they don’t trust your brand or the products you sell. Sometimes, they may even end up not buying anything at all. Showing your credibility can instill trust in the minds of potential customers, making them more likely to make a purchase. In fact, a study by Visual Website Optimizer found that adding a trust badge helped increase the conversion rate of an eCommerce store by 72.05 percent. There are several ways to display your credibility to potential customers.
Amazon makes use of star ratings on the product page, to show potential buyers that people who have bought the product attest for the quality of the item.

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As you scroll down, you can even view the customer reviews to find out exactly what people are saying about the product. The best part about customer reviews is that they don’t only help you build trust but also increases your rankings in search engines.

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Let’s take a look at the product page on eBay, which also gets the proof of credibility exactly right. As you can see below, it has added a “Top Rated Plus” badge right next to the seller. This badge is given to sellers who have the highest buyer ratings, handle returns and refunds efficiently, and ship within one business day with tracking information.

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You can also see it has displayed the number of people who view the product in an hour along with the number of units sold. These are examples of statistical evidence, which helps you support your claims with raw numbers. The examples shown here are only a few ways in which you can display credibility and convince buyers to make a purchase. You can even display social likes next to the CTA button or display some of the top reviews prominently. What works for you may not be the same as what works for your competitors, so make sure you run tests to determine your best option.

Conclusion

So now you have five effective neuromarketing strategies to increase your eCommerce conversion. Remember to customize each tactic and idea based on the products you’re selling and the values and goals of your company. Have you used any of these before? Got any more ideas to add to the list? I’d love to hear your thoughts in the comments below.


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Brandon Leibowitz is the founder of SEO Optimizers, a digital marketing agency in Los Angeles, California. He is also the founder Bosmol.com, a social media news log. He has been involved with search engine optimization and internet marketing since 2007. He is featured on sites such as SocialMediaToday, Examiner, Business2Community and other popular sites. His knowledge and dedication has made him a popular influencer on many social media sites. Get in contact with him today via brandon@seooptimizers.com

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