I am yet to meet an online retailer that says:
“yep, I’ve got enough traffic”
The arms race of site visits and traffic numbers has been driven by the SEO and PPC industry who have perpetuated the myth that more traffic will solve every online businesses growth challenges.
While web site traffic is essential, there are many ‘levers’ you can pull to grow sales and revenue.
Conversion Rate
Average Order Value
Items Per Order
Purchase Frequency
Most businesses invest the vast proportion of their marketing budget on getting more traffic. While the other factors are often left to hope and serendipity.
But focusing on other factors can dramatically increase results.
Let’s look at the maths on a sample month.
If you narrowed your focus to two areas: conversion rate and items per cart.
You improve your conversion rate by 0.5% (which isn’t difficult) and you improve the number of items per cart by 0.5. Two of your key metrics have improved by 12.5% and 33.3% respectively.
But look what happens to total sales revenue.
It’s increased by 50% month over month.
Imagine what happens when you scale up your traffic generation now?
You are delivering and extracting much more value from each visitor and customer. It makes it less painful when you look at those SEO and paid marketing budgets.
The point is: don’t get hung up on traffic unless you have looked at other levers of growth.
By compounding growth you can achieve numbers that can transform everything.
