How do you go from $100M to bankrupt? That’s the question Nasty Gal, once a darling in fashion e-commerce, had to deal with. It’s amazing to think that what started as an eBay store could balloon into a retail powerhouse.
But they made a key mistake that’s haunting them now that their founding CEO has stepped away and their business has spiraled.
The rags-to-riches story that captured the hearts of millennials and inspired on-the-fencers to leap into entrepreneurship now serves as a major reality check.
Did you know that 69 percent of online shopping carts are abandoned? A Baymard Institute study found that every 3 customers that complete their transaction, it’s likely that you missed seven more that almost converted.
Imagine having someone make their way to your online store, took the time to peruse your offerings and carefully placed items in the cart. So why didn’t they make it all the way through checkout? They’re riiiiiight there!
I don’t want you to leave money on the table. So how do you take an abandoned cart and transform it into a sale?
As an online retailer, your website should be your best salesman. Period.
If you’re wondering why your awesome product isn’t flying off the virtual shelves, you may want to take a closer look at your web experience. Generally, the longer a site can hold a customer’s attention (scrolls, clicks), the more likely they are to make a purchase.
But if you’re noticing that folks don’t stick around as long as you’d like them to (just take a peek at your analytics) then there’s a problem.
A big problem.
Unlike traditional retail, online stores are open 24/7! That means your store should always be poised to convince and convert.
As ecommerce grows into the preferred shopping method for consumers around the world (thanks Amazon and Alibaba!), it’s more important than ever that you optimize your online store to actually turn that traffic into customers.
But if you’re struggling with sales, you might be making some common mistakes that keep online retailers just like you from maximizing profits.