ASAP

Sales Growth
The bulletproof ecommerce
marketing formula

ASAP Sales Growth

Hello, fellow marketer and e-commerce enthusiast.

Im Valentin Radu, and Ive decided to write this short guide
to help people like you advance faster in the e-commerce
jungle. Im on the same path, having started my first online
business more than 12 years ago now. Since then, Ive built
and sold several other very successful companies. My latest
project is called Marketizator and aims to help marketers and
business owners with their website optimization process.
Handling an e-commerce website can prove to be a daunting task, even for the
most experienced among us. The seemingly endless possibilities for optimization
one has at any given point, may lead to action paralysis, or in the best case, will
generate confusion and uncertainty.
I know this because it has happened to me quite often, especially in the early years
of my online marketing career. After having been in this rut for one too many times,
I decided Id had enough and drafted a roadmap for myself which turned out to be
very efficient in generating more sales straight away. This is why Ive called it the
ASAP Sales Growth Formula.
It goes without saying that I myself still use the ASAP formula up to this day, but I
also use it to help my clients see fast improvements. Today Id like to offer it to you,
hoping youll see its value and put it to good use.
As you may have already guessed, ASAP is just the acronym that encapsulates the 4
main steps of the formula: Analyze, Survey, A/B Test and Personalize. Now then,
let me give you more details about each step.

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1. Analyze
Before jumping into any optimization process for an e-commerce website, you
need to STOP, gather all the data you can, and find out what its telling you.
Knowing and understanding the actual facts that have a bad impact on sales, will
help you determine the most efficient solutions.
There are two kinds of approaches in data analyzing - qualitative and quantitative.
The most popular methods are:
user testing: a method that allows you to see your potential clients reactions
to the websites design and navigation. Its a qualitative method, that requires a
strict observation of the users behavior while completing the tasks required by the
expert
heatmaps: used to track the cursor movement on a webpage. Its a qualitative
method and is used to reveal the most appealing elements that attract the users
attention
web analytics: a quantitative method to analyze data. Analytics Software reveal
data on traffic sources, historical results and the basic key performance indicators.

1.1. How to approach data analysis - marketing models and sales funnels
In this phase, I always have one of the most popular models known by marketers in
mind. Its called AIDA, and this is how I use it when analyzing data:

Awareness

Interest

Desire

Action

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A - Awareness. A stands for attracting the visitors attention and making him
aware of your products value. I know for a fact that new visitors are not ready
to buy during their first visit, and therefore changed my focus to attracting their
attention with different tricks.
I - Interest. Once you know that visitors are aware of your products value, you
have to adjust the offers. Look into Analytics and find out which products, or
categories of products, are generating 80% of sales. Do the same for the traffic
segments.
D - Desire. As you know, customer behavior is ever changing, and therefore you
should always adapt your efforts. Make sure you optimize landing pages for the
high converting segments of traffic, because those already have the desire to buy.
A - Action. As you will see in the chapter 3 of this ebook, once you have noticed
how people act on-site, you should try to make their experience as easy as
possible. Support their decision to buy from you, by acting accordingly.
As you see, it is very important to have some basic marketing principles in mind
when working on a campaign or project. To help you connect the dots in this
phase, here is another trick Ive learned; using one single marketing model or tactic
does not give the best results, instead, combine it with complementary tactics. For
example, when creating a sales funnel, I always use AIDAs principles. Let me show
you how:

Your shop funnel

Visitors

The first thing in building an efficient

funnel, is to focus on designing it
properly as a whole.

Subscribers
Shoppers
Buyers
Repetitive Buyers

Raging Fans

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Step 1: Get visitors to your website

The goal is to attract visitors to the website. Therefore, you have to focus on
making them aware of the available products, not just convincing them to buy, as
Ive mentioned before. The upper part of the funnel requires traffic generation and
acquisition. I am not a big fan of paid traffic, but it is a must in the early stages of an
e-commerce website.
If you only had 1000$ to invest this month, how would you invest it?
Before spending, its smart to take this table into consideration:

Viral traffic
Direct traffic
E-mail traffic
Organic traffic
Affiliate traffic
Paid traffic

Cost
low
low
low
low
medium
low

ROI
very good
best
good
good
good
it depends

Step 2: Get subscribers

The goal is to convince people to subscribe. Its not the moment to invest effort
into convincing them to buy. Let them show an interest in what you have to offer.
The whole idea is to create a relationship with the visitor. By having in mind the
whats in it for me principle, you could persuade him to leave his e-mail address.
Next, find out through A/B testing which email subject, commercial offer and
images are converting the best.Then repeat.

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Step 3: Persuade
The goal is to make visitors add items to their shopping carts. Besides the benefit
oriented copywriting, personalization, gamification and appealing images, you
should base decisions on hypotheses and test your ideas. I never run an A/B test
without creating a survey first. I do this because I know that its the customers who
buy products, not me or my clients employees. Ill talk about mastering surveys in
the second chapter of this ebook.

Step 4: Close the deal

The goal: transform shoppers into buyers
A good technique here is using the under-promise, over-deliver principle. Surprise
the websites visitors, and you will win them over.
The average cart abandonment rate is around 65%. But if, whilst adding items to
their baskets, they receive something extra, you could reel them in.

Step 5: Transform customers into fans

Your best customers are VIPs. Half of all revenue comes from the top 15% of customers,
with the top 1% of customers spending 30x as much as the average customers.
RJ Metrics Benchmark 2014

In order to grow the business, you should know that you can rely on a cohort of
people that will love your brand and website. In order to detect the people who
could become fans, I use the NPS (Net Promoter Score) methodology. NPS is one
of the most important KPIs that Fred Reichheld came up with in 2003 and which
has been adopted by companies such as Apple, Google, and Adobe. More on the
NPS topic later.
This would be the soft set of knowledge required in data analysis. Now lets move
on to the practical component of this phase.

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1.2. Tools and Key Performance Indicators

Using a web analytics solution for your website is a mandatory condition in this
process. The most popular choice for this would be Google Analytics, as it offers all
the needed features for free.
Using the analytics data, monitor a series of KPIs which will let you know whether
the business is heading in the right direction or not. Here are the most important
ones in my opinion:
Customer Lifetime Value. CLV reveals the earnings generated from a customer
through his/her entire lifetime. This indicator will tell you how much you could
spend acquiring a new customer and how to adjust your marketing budget.
LTV = (Average profit per year x Number of years) - Acquisition Costs
Here is a scheme which Ive once used to segment the traffic based on the value of
Customer Lifetime Value:
LTV
0
<300
300-500
>500

Last-order
n/a
180
25
50

Medium
On-site/on-load
e-mail
On-site/on-exit
On-site/cart-page

Action
Welcome-message
Reactivate message
Special incentive
Free gift

Marketing ROI is a measure of the profit earned from the investment in a

marketing campaign. The formula for calculating ROI varies depending on ones
business model or goals.
ROI = (Gross profit - Marketing Investment) / Marketing Investment
or
ROI = (Customer Lifetime Value - Marketing Investment) / Marketing Investment

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Average Order Value. AOV is an e-commerce metric that reveals the efficiency
of the up-selling and cross-selling marketing efforts. It can easily be monitored by
using Google Analytics
AOV = Generated Revenue/ Number of Orders

Cart Abandonment Rate. If this rate is high, it is clear that either products and/or
prices are not appealing to the customers, or, other aspects discourage people to
place an order. In the second case, the cart page may not be built well: no security
certificates, delivery time not displayed, unclear return policy, etc.
CAR = 1 - (Number of people who start checkout/ Number of add to cart clicks)*
*in terms of percentages

Bounce Rate. It reveals if visitors brought on site through various actions or

campaigns stay on site and for how much time. Its an indicator that shows the
power of content, products and the site as a whole to engage visitors. Even so, it
is a KPI that can reveal essential information about a website and, as a result, it can
drive change.
BR = Number of visitors viewing one page only/ Number of visits on the page

Conversion Rate. CR is the amount of transactions over the total number of

visits on the website. The average e-commerce conversion rate is around 2%, but
it varies a lot depending on the niche. Even an increase of 0.5% can translate into
millions of dollars in long-term profit for high traffic e-commerce websites.
CR = (Number of transactions/ Number of visits) x 100

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If youre interested to find out more about the right metrics to measure your
websites performance, we have created a list with 12 vital e-commerce key
performance indicators.
Download the 12 Vital Ecommerce KPIs Guide for free.
Next, look visitors behavior on your website and try to spot the pages with the
highest rate of traffic drop off. Any improvements on these pages will have a big
impact on the overall website stats. An easy way to discover the biggest holes in
your traffic net, is to log into your Analytics account and click Users Flow under
Demographics, then choose the Landing Page view from the drop down menu,
and youll be prompted with a view similar to this one:

Pay special attention to the most important landing pages of nearly any
e-commerce website: homepage, category pages, product pages and the
cart page. These are likely to be the spots where even small improvements could
generate big changes to the overall conversion rate.

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1.3. Analyzing conversion rate - what is Analytics hiding from you

If you look at the conversion rate as a whole, youll miss the key for unlocking the
sales growth. Create your key segments and see the conversion rate values for each
one: new, returning, organic, paid, from specific cities, VIPs, etc. Youll notice that
a 2% conversion rate is hiding segments with an average of 1% , while others reveal
conversion rate values of 6%.
The secret here is to analyze conversion rate by considering the following key
analytics reports:
Conversion rate by traffic sources
Conversion rate by technology
I encourage you to look into the industrys stats regarding the e-commerce market.
By doing this, you will get information about the customers behavior, such as the
devices they are using to shop online. Here is something that may be of interest to
any e-commerce marketer:

Source: Statista

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Buyers personas: Identify the behavior of your best customers, VIPs, the ones
that spend 5 more per order than average
Website load times: Check this free resource (it includes an infographic) to find
out how the top 15 online retailers score at load time and how you can fix page
speed issues.
Once youve taken a careful look at the data, the websites main issues will start to
pop up one by one. But before you go and start making changes, theres one more
step Id highly advise you to take, which is often ignored by marketers: ask the
visitors for their opinion on your website, so you know what they like or dislike
about it. Which brings me to the second step of the ASAP formula.

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2. Surveys
In chapter 1 weve discussed how to analyze the outcomes of customer actions
on a website, using data gathered by software. Now, lets talk about predicting
behavior.
Marketers have always tried to make predictions about the consumers behavior
by creating models. But its not only marketers who focus on this issue, also
psychologists, sociologists and behavioral economics experts.
Unlike the people whose job it is to understand how man acts, marketers dont
have the time to study behavior in depth. What they can do, though, is combining
technology with knowledge.
Knowledge can be acquired by considering the latest studies in psychology or
subscribing to a channel such as TED talks. By doing this, your area of knowledge
expands and youll notice that, suddenly, you have more alternatives to choose
from when looking for solutions at work.
Technology, on the other hand, helps you to apply the knowledge youve aquired
about behavior. It provides you with the tools to achieve your marketing goals. This
brings me to my favorite tool for analyzing behavior: surveys.

2.1. Suveys vs. Heatmaps and Click Maps

Heatmaps and click maps are useful to analyze behavior on site. They can reveal
which elements, such as images, texts or videos, appeal most to the websites
visitors. What they cannot tell you is the reasons behind the choices.
Reason stands for action. You can find out things directly from your customers,
such as:
the reason for abandoning the shopping cart;
the purchase intention;

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ASAP Sales Growth

You may wonder how, exactly, to use surveys on your e-commerce site. You might
be afraid of interrupting the customers journey, right? Ive heard this many times
from my clients. This is what I tell them: Use surveys the smart way. Like any other
innovative approach in marketing, it requires a good understanding of the sales
funnel, segmentation and targeting.
Dont take me wrong: observation is a great method to study behavior, but I find
surveys more useful especially when integrated with your strategy

2.2. Including surveys in your strategy

The basic rule of creating surveys is not to look for validation and confirmation of
things you already know. Dont try to influence the answers in order to get results
that put you in a better light. A straightforward opinion on your website could
help you see what goes wrong. Sometimes, a straight answer can feel like a cold
shower, but it tells you the real problems your customers have experienced.
i. Surveys and sales funnel
The few tricks Ive learned over the last years concern the usage of the survey
answers to lead visitors from one funnel stage to the next. For example, I know that
someone who made at least one purchase on a site, is more willing to take part in a
survey than just any visitor; because he is already involved in the process of buying.
Moreover, he is interested in improving a future experience with your products
and services. A visitor needs a little bit more motivation to complete your survey.
Instead, you want to create the desire to buy.
This takes us to the sales funnel stages. As Ive mentioned in chapter 1, you cannot
apply the same thing to all of your website visitors, because theyve had different
experiences with your site. Does that make sense?

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ASAP Sales Growth

ii. Surveys and landing pages

I hope Ive succeeded by now, in making you realize just how many opportunities
you have to develop your online businesses. Here comes another thing you could
do with the survey answers.
Imagine this scenario: youve collected enough answers to identify the buyers
personas; youve come to know that your best customers are high spenders.
Acquiring a new customer is almost 7 times more expensive than keeping a
current one. This is the conclusion of several industry studies on retention
rate.
Predicting Customer Lifetime Value helps you focus on the people who are most
likely to become fans and recommend the website to others. Therefore, start
treating your website visitors based on the way they interact with your website.
Create landing pages for each buyer persona - there should be somewhere
between 2 to 5 personas. Investing in building and optimizing 5 Landing Pages has
a better ROI than paying for traffic.

2.3. Behavior and satisfaction metrics

The online survey is a great tool to monitor the soft aspects of your site, regarding
intentions, behavior, satisfaction, choice, reason.
As Ive mentioned earlier, you have to adapt the questions to the different types of
visitor. Lets stick to our example of visitors who come to your website for the first
time and regular customers.

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ASAP Sales Growth

Suveys help you to determine:

Visitor Satisfaction Index -VSI - aimed at visitors. This indicator will help
improve your visitors experience and create a more user-friendly navigation for
them. Some scalable measurements of the VSI concern loading speed, ease of
navigation, variety of products, delivery options, return policy, etc.
Net Promoter Score - NPS can help you determine 3 categories of people:
Passives, Detractors and Promoters. The Promoters are the ones who are most
likely to become raging fans. You can find out more about how NPS can help your
business, by visiting this resource.

2.4. Creating hypotheses with the survey answers

The survey answers are always a goldmine for ones business. Once you know
where theres place for improvement on your site, you can test the change you
want to make, instead of guessing its impact on conversion rate and revenue.
Once you have analyzed data from the survey answers, you can create
hypotheses. Any hypothesis that you create has to be very clear: I believe that
changing problem into/with solution will determine this positive effect.
For example: If I add a video on the landing page dedicated to the undecided
shoppers for 14 days, on 50% of the x segment, then conversion rate will increase
by 0,8 %.
Write your hypothesis down, stick it on the wall, and proceed to the next step of the
ASAP formula: A/B Testing. This step will validate or reject you hypothesis. The A/B
testing methodology is strict, so be sure you do it right!

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ASAP Sales Growth

3. A/B Testing

Like any other revolutionary discovery in online marketing, A/B testing has become
something that companies with an online presence have to try in order to remain
competitive. Nowadays, the A/B testing technique is the handiest option for
marketers who are working with conversion rate optimization.
A/B Testing is the most efficient method to define the best version of any landing
page. Here are just a few examples of elements that can be tested:
Colours: When it comes to colour, there is no magic recipe for the conversion
rate. There is not one unique colour that can invariably draw more conversions
when used on any website. Test and see which one works best for you.
Copywriting: The messages you send to your audience represent who you are.
You should write simple, clear and benefit-oriented messages in order to persuade.
Images: The smallest detail can make the difference between buying something
from a website or abandoning it. Regardless the size, make sure you use highquality images.
Call-to-action buttons: Change colours, copywriting and the positioning of the
CTA buttons, and test the variations.
Although A/B testing is the key to unlocking converting barriers, you should
know that it will only give conclusive results if you respect the methodology.
So here is a list of traps to avoid when A/B testing:
Testing more than one variable
The alternative to A/B testing is Multivariate testing. It implies changing a
combination of elements on a page. But be warned: modifying too many variables
at once in a single test wont tell you which of the variables has a positive impact
on KPIs. So that you run the risk of seeing a drop in conversions after youve
implemented the winning version.

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There is no rush. Instead of ruining a test by including too many variables at once,
test each variable independently. If youre still not convinced, check number 2 again
and remember that its not about your desire to see your website changed, but
about the customers demands of your website.
Expecting huge outcomes from small changes
Including A/B testing in your strategy should be the main focus. No matter how big
your desire to start running tests on the website, take the time to develop strong
hypotheses. By doing this, you will see that A/B testing is not just about changing
texts and images, but about much more complex actions that will generate greater
results. Previously, weve talked about building landing pages for each buyer
persona. Once youve published your final version of the landing page, you can
start testing the impact of small changes on your sites KPIs, such as Call to Action,
buttons, videos, testimonials. Testing each variable independently will show you
which elements convince people to buy.
Stopping the test too early
If the A/B testing software shows you a statistical significance rate of 95%, it doesnt
mean you have to stop the test right away. Even if you see a confidence rate of
95%, it doesnt mean the variation will continue to have a positive impact on the
websites KPIs. Therefore, one shouldnt stop the test unless it has reached the right
amount of traffic. In order to help you with this sensitive aspect, I recommend
trying this calculator. It helps one to predict how many visitors are needed in order
to get accurate results from your tests.
Testing the impact on the irrelevant KPIs
Measuring the impact from the change in page views and click-through rates just
doesnt make sense. The A/B test is meant to show you the impact from a change
in metrics that matter, such as conversion rate and revenue. Focusing on the wrong
KPIs will only trick you into thinking that youre on the right track because you see
people clicking on a button.

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Running several tests at the same time

If you think that you will have greater results by running a lot of tests at the same
period of time, you might be wrong. A/B testing is just like any other thing in life.
You take action and then learn how to improve. If you run multiple tests, youll
make the same mistakes, ruining all the tests. You will end up with nothing. You
will have no idea why you dont see an increase in conversion rates and you will
probably think that A/B testing isnt for you.

The final step is to implement the winning variation on your website in order to
see the direct impact of your change. But as time goes by, new trends will emerge,
consumer behavior will change, and you will have to adapt. So you should never
stop testing hypotheses! It will certainly help you to keep up with your customers.
As you test more and more of your hypotheses, you will notice that specific
segments of visitors will react in different ways to the same A/B test. This means
that people have different preferences depending on characteristics such as age,
location, language, adherence to brand, time of day, weather conditions, etc. The
times of one single website version for all users are slowly ending and a new much
more flexible style will take its place: the personalized website.
Nowadays, in the huge and competitive e-commerce market, web personalization
is passing the nice to have benchmark, and is becoming a necessity for survival.
This is why I singled out personalization. Its the one feature that will make or break
your website in the future. Catch the personalization wave early on, and make the
most out of it.

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Case study: AB tests increased conversion rate by 27.14%

Client: Ecco Shoes
In the Analysis stage, we discovered some uncommunicated features:
The brand is from a country that has a history of delivering high quality products
Its one of the world leaders who use an injection technology for making shoes
They have a very short delivery time
Hypothesis
Showing these 3 good reasons to choose Ecco Shoes to new visitors, will
encourage them to finalize the sale.
Solution
We created an A/B test that compared the control page to a new version which
communicated the 3 reasons to choose the online shop as displayed below:

Result
The conversion rate increased by 27.14%, the revenue by
23,54% and revenue/visitor by 21.29%.

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4. Personalization
Internet is a place where something can be announced as the next big thing, only
to pass unnoticed in a few months or so. Many technologies have been declared
as a must have for any marketer and soon after faded away without anyone even
noticing. Will this be the case with web personalization as a marketing technique?
My answer; certainly not. Amazon, the leading e-commerce company, has been
making money with content personalization for years.
Back in 2012, only 37% of companies surveyed by Econsultancy were able to target
personalized content in real time.
Econsultancy, Quarterly Digital Intelligence Briefings

Customizing a website in order to respond to every customers need is a tough job

and technically very costly. So instead, you could use an elegant solution:
creating personalized pieces of content. These can take the form of pop-ups,
banners or header bars.
Depending on your communication and the objectives of your campaigns, these
superimposed content parts will carry specific and targeted messages.
For example, you can create pop-ups that address visitors who want to leave
the website or create a banner that states the most important and persuasive
advantages for each segment of visitors.

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When you make segments for web personalization, consider the following
segmentation criteria:
Location: The country, city or region where the visitor comes from represents
a great source of personalization. On the landing page, you can deliver local
messages such as Free delivery to Germany or 3 day shipping to the UK.
Weather: Display pop-ups with product recommendation according to the
weather. If its snowing, showcase those ice skates that never seem to sell.
Purchase history: Depending on what actions a customer has made on your
website, you can trigger special discount pop-ups or show him a product related to
his previous order.
Cookie: A very basic, yet clever form of personalization is registering data
through cookies about what a visitor viewed in the previous session, and using it at
the next visit on site.
Previous answers to surveys
Other web personalization segmentation possibilities: traffic source, keywords,
pages seen on current sessions, new vs. returning customers, time on website and
so many others. Ill let you complete this list yourself, since it all depends on you
and how you manage your efforts.
The most important thing when using a tool in order to personalize customers
experience on site, is having a strategy and implementing it properly. Without
knowing the purpose of applying different marketing or conversion optimization
tactics, all efforts will be in vain.

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Case study: adding a size filter within a pop-up increased conversion rate
by 57.87%
Client: Tinar.ro
Opportunity
By analyzing the data from the visitors history, we found a valuable
underperforming segment: engaged users who had not used the price filter
before. Visitors that use filters are generally more likely to convert. If the engaged
visitors dont use the filters, we can remind them to do so, in order to help them
make a decision based on their personal needs or preferences.
The target segment included visitors who:
- had seen pages that contained certain keywords in the URL and were related to
the message on the banner;
- had looked at over 2 pages;
- hadnt used the filter pages yet;
- hadnt seen other pop-ups yet;
Hypothesis
Showing the users, who hadnt used the size filter, an exit intent pop-up that
communicated the available sizes would help them close the sale. The aim of this
personalization experiment was to increase sales for specific product categories
such as dresses and sandals.

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Activation
When a visitor had the intention to leave a product or a category, a pop-up with
a size filter would automatically be triggered. Clicking on any red rectangle would
lead to pages with products that only had the selected size. Additionaly the sizes
were ordered according to popularity.

Result
By adding the search filter for size in a pop-up, conversion rate increased by
57.87%.
The Revenue increased by 42.68% and the revenue/visitor by 28%.

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Conclusion
I hope that Ive managed to convince you of the importance of having a marketing
strategy before jumping into any corrective measures for your e-commerce
website. Keep the ASAP formula in mind and follow the 4 steps in the exact order
presented: Analysis, Surveys, A/B Testing and Personalization.
Start analyzing both quantitive and qualitative data, ask your audience for their
opinion through segmented surveys, formulate hypotheses and validate them
through A/B Testing, and finally, personalize your customers experience on your
website.

Analyze

Survey

A/B
Testing

Personalization

Dont miss the last page. I have something for you.

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ASAP Sales Growth

I really appreciate that youve read this guide till the end, and I hope that it
motivates you to start boosting sales ASAP.
As a reward, Im giving you a National Guru account, to test Marketizator 2 months
for free. This offer is exclusively available to people who have read this ebook.
Congrats! You can now start using the ASAP formula to increase sales for your
e-commerce business.

Register for a free 2 months trial

Dont forget to use this code at registration:

asapgrowth

If you have any questions about any of the 4 steps, Ill be happy to answer them
for you at valentin@marketizator.com. For questions regarding our conversion rate
optimization tool, our support guys are always ready to assist you.

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www.marketizator.com