Leveraging analytics to improve conversion and increase revenue: Getting more from what you have

As 2024 unfolds, business leaders are continuing to face major macroeconomic headwinds. These challenges are driven by three key factors, all of which are interconnected:

• Inflation is driving a decrease in consumer spending: A report by Forrester stated that over one third of U.S. adults cut down on non-essential spending by not purchasing products or looking for better priced alternatives.

• Interest rates are making companies cautious about large investments: With an increase in interest rates, companies are less willing to make large capital investments and will be focused on improving operational efficiencies and optimization opportunities.

• Post-pandemic growth is normalizing: The retail space has experienced tremendous growth over the last few years, largely driven by the pandemic—reaching 14% year-over-year growth at its peak. We are already seeing that growth normalizing back to pre-pandemic rates, and it is expected to stay steady at around 4%.

Given the current economic challenges organizations are facing globally, many are looking for ways to cut costs, increase productivity, and find strategies to get more out of the technology and resources they have.

Credera is partnering with several clients to help them optimize their current technology investments, media spending, and overall budgets by leveraging analytics and usability studies to identify and test opportunities and take optimized solutions to production. Our approach is quick and easy to put in place, can easily be integrated with existing development processes and teams, and is proven to help our clients drive revenue with the traffic they already have on their digital properties.

How it works

Our approach begins with a short discovery phase (5-10 days) to identify areas of opportunity. We then conduct a series of optimization sprints, enabling a continuous test-and-learn optimization process consisting of four iterative stages:

1. Data analysis: We continuously assess the customer journey funnel to understand areas of opportunity, then we leverage our expertise, proprietary usability assessment, and qualitative data (such as session recordings) to identify and prioritize a backlog of opportunities.

2. Test definition and prioritization: We specifically define each opportunity and conduct a deeper-dive analysis to identify their revenue-generating potential and level of effort. We then prioritize the opportunities and determine how to test a new strategy or approach around the high-priority areas.

3. Test execution: We formalize how the test should be executed from a technical standpoint and implement them accordingly.

4. Test outcome and implementation: As the test is running, we analyze the data to forecast and update the duration of the test and ensure it achieves significance before implementing the winning version.

How this approach impacted a leading athletic retailer

A leading athletic retailer wanted to improve operational cost efficiencies while advancing analytics and creating a better customer experience. The retailer engaged Credera to design and implement a fully responsive website and create an analytics solution that would improve the overall ecommerce customer experience for their approximately 12.5 million monthly visitors.

Prior to design and implementation of the new responsive experience, Credera’s conversion optimization team conducted a fallout analysis of the retailer’s checkout funnel. Through this analysis, Credera was able to better understand customer pathways and habits on their site. Credera validated the effectiveness of the new designs with user testing and A/B testing.

This process allowed Credera to identify and mitigate drop-offs during the checkout process by updating the site designs to include new, intuitive elements throughout checkout. This ensured the new responsive experience would help drive conversion rates and allow the retailer to better understand customer behavior before making site-wide changes.

This initiative resulted in an increase of mobile and desktop conversion rates by 20% and more than $9 million in additional revenue during the holiday season.

The bottom line

By leveraging this approach, we helped many of our clients develop data-driven and customer-centric strategies to optimize the customer experience and capture more revenue in the process.

To learn more about this process and how Credera can help, reach out and start a conversation.

• ECommerce
• Marketing Technology Optimization
• Marketing Technology
• Modern Marketing Transformation
• Marketing Strategy
• Martech
• Digital Marketing