Continued from page 1
New software tools like Offermatica (available at www.Offermatica.com) are focused on providing merchants or direct marketers with these types of optimizations.
Customer Case
For example, one company sold games for children and adults online and generated traffic around search terms largely selected by
brand names of
games they sold. This strategy was effective, but
words were competitive and they wanted more revenue per purchase. Using Offermatica, they providing an automated list of top-selling products on
pages where
target products were displayed,
company increased their AOV by 20% against a control group.
In another case, a company represents travel products that have radically different gross margins. The company should continue to drive traffic from external and internal search to
low-margin properties, but could also begin to purposefully display higher-margin alternatives in
same region and price range to increase
profitability of their acquired customers.
Finally, a consumer products retailer that generated much of their traffic around a limited range of brand-name products tested a gift-with-purchase strategy to try to increase conversion rates on expensive brand-based terms.
None of these marketing approaches are earth-shattering. They reflect well-trodden paths lain down by traditional retailers, catalog retailers, and even
late-night infomercials. They are also very effective.
Any retailer can drive traffic if they pay enough, and anyone can refine
traffic to pay relatively little for relatively low traffic. The search engine future, however, belongs to those who can sell enough to pay enough for a large, growing base of online customers.
Matthew Roche Offermatica www.offermatica.com
