Conversion rates and how to raise them in your online store

Conversion rates and how to raise them in your online store

The “Conversion Rate” or the amount of clients that “convert” are popular terms in today’s e-commerce world. We provide a complete guide in order to interpret this figure correctly in your online store, optimize it, and boost your sales with the tools that PayU makes available to you. What is the Conversion Rate? Conversion rate refers to the amount of visitors on your website that performs a specific action, weather buying, subscribing or logging into your system. Calculated by the total amount of individual visitors on your online store over the total of buyers/subscribers, or, people who performed certain actions defined by you. The outcome percentage could vary according to the business type and products you offer. Although the general conversion rate of website sales provides an idea of how effective your e-commerce is, this figure alone, cannot provide an overall picture of why (or why not) your website is profitable and help in the decision-making process. It is important to understand that the more data you specify the more elements you have to define a strategy that helps you achieve a higher return on investment. We recommend having a general conversion rate related to sales and conversion rates for more specific actions that lead to the purchase itself. For example, having a conversion rate regarding people who registered on your website vs visitors, and conversion rates by categories will help you know which products are most successful. How do I know if my conversion rate is good or bad? Different specialized sources, such as Marketing Sherpa mention figures around 10% while Smart Insights mentions rates under 5%, these...
The effect of promotions in Argentina and 3 reasons why all businesses should make the most of them

The effect of promotions in Argentina and 3 reasons why all businesses should make the most of them

Inflation is one of the most formidable hurdles e-commerce faces in countries like Argentina. While the e-commerce industry makes every effort to grow and catch up with global trends, many online businesses are struggling to increase their turnover and number of customers each year. Fortunately, the magic of promotional deals has helped many Argentine entrepreneurs offer their buyers an alternative, given the unsteady behavior of market prices. Promotions may include discounts on products and/or services, as well as options to pay in extended installments by credit card, without interest, commonly known as interest-free installments. The latter is a strategy that has resulted in many businesses increasing their sales. According to a recent study by consultants Kantar Worldpanel, the second quarter of 2015 recorded a 55% increase in brands or items with some kind of interest-free installment deal, whereas non-promotional items rose by just 31%. Banks have worked to build relationships with the retail sector to boost consumer spending, regardless of inflation levels. In the case of e-commerce, trading gateways are often a connecting partner between the bank and the business, in order to help identify alternatives for growth. With this in mind, we sum up our analysis around three main reasons why you should, if you haven’t already done so, begin offering interest-free installment deals through your online store straightaway: 1. Increases your sales: Since credit cards are the most widely used payment method in Argentina’s e-commerce, offering promotions will boost your sales and give your customers a reason to buy again. 2. Estimula compras grandes: Financing allows your buyers to buy at higher price tags.By offering promotions on which no...
5 tactics to make Black Friday and Cyber Monday the best days in 2015 for your business

5 tactics to make Black Friday and Cyber Monday the best days in 2015 for your business

Do you have any plan for the upcoming Cyber Monday/Black Friday to make it better than last year? Better yet, if you are getting started this year, what are you doing to drive all the traffic to your e-store? If you want a slice from these earnings, offering 10% won´t be enough. Every year, the projections are higher and results are anything but disappointing. The truth is that these events kick off the holiday season. Many even start and end their purchases between Black Friday, Cyber Monday, or any other online offer day of the season. For instance, in Mexico they celebrate the “good weekend” or el Buen Fin, known as the “cheapest weekend of the year” which, this year, raised the volume of transactions by 200% (for real!) and increased merchants’ in more than 100%. Moreover, in Argentina, where Cyber Monday already happened, sales tripled during the two-day event. That’s why we are bringing you these tactics; so you can consider them for a better Black Friday/Cyber Monday. Tactic 1. Make sure your inventory is stocked up This is essential so that your customer service reputation is boosted. Plan beforehand and make sure your stock is ready to meet the demand. Make your predictions based on the results of the previous year, plus the growth you are expecting. Sometimes you just can’t prevent the product from being sold out (which is also good news); if that’s the case, make sure your item availability is updated so that buyers know whether the product is in stock. Tactic 2. Offer the best logistics Offers are a huge influence, but not...
Regional expansion with robust online tools

Regional expansion with robust online tools

When we create an online store, we largely expect to receive all the benefits of a virtual business vs. a physical merchant. Regardless of the product or service we offer, we expect to have simpler processes when managing the business: less developments, and savings in investments, among others. However, one of the biggest advantages of having an online store is being able to think big when it comes to the scope we want for our company. An online store, among other things, allows us to have more coverage. Sumaprop understood this very well, as a leading company in the real estate management business in Argentina, once it found success locally in the country, it decided to cross borders and expand to others. Sumaprop is a 100% online company that offers agents in the sector a chance to manage their properties and contacts in a simple and efficient way. Currently, this business operates in seven countries in Latin America. As Sumaprop, many other companies are seeking the best option to expand their business and reach more clients with their products or services, enjoy a higher degree of brand recognition and obviously increase their sales levels, which is only one of the goals of taking this step. To this end, this Argentine company implemented the integration of PayU’s Web Checkout, allowing them to manage local currency collections in a safe and quick manner. This platform allows operations in different countries, without the need of multiplying logistics; this is one of the best points of support for your expansion strategy, and the reason why you should consider that regardless of the gateway...
Myths and realities about buying and selling online

Myths and realities about buying and selling online

It seems hard to believe, but despite the rapid growth of e-commerce, there are still consumers and marketers who prefer to maintain their distance when it comes to buying and selling on the internet. Without trying to be evangelists, we will reflect on these indexes and help dispel some of the most common myths about the “risks” that keep many one-click-away from enjoying the advantages offered by the e-world. Part I: If you have an offline shop and these reasons are holding you back Myth 1: You can only sell online if you have a website Nothing further from the truth. If you are starting with online sales and do not want to commit to maintain a website, we recommend testing solutions such as Payment Button or Payment Request, which allow you to sell your products through email or social networks. Myth 2: Creting an online store costs a lot of money While there is always an investment to be made creating and maintaining a website, this option may be easier and more cost effective than having a brick-and-mortar. Just think about the operational costs you can save: rent, utility payments, taxes, etc. Our allies Prestashop, Neosites, VTEX and Shopify, offer you solutions to start your online store easily and quickly. These companies also have pre-integrated solutions that save you from having to make additional integrations and which allows you to receive your payments as soon as you activate your online store. Myth 3: E-commerce is only for big companies Uh… No. One of the biggest advantages of e-commerce is that it gives entrepreneurs the opportunity to explore and expand their...
5 free tools that improve your presence in social networks

5 free tools that improve your presence in social networks

If we had to guess, we would probably say that if you’re on social media, you’d at least have three accounts: Facebook, Twitter, and LinkedIn. Right? Whether or not you own a website, we know that you spend some of your time on social networks to promote and sell your products / services. So do we ;-). Many times, a dedicated presence in multiple social channels can be an inconvenient burden, which is why we would like to share five free tools that may help you organize, schedule and measure (key!) your social presence. Because, although there is not always a budget available for a community manager, a simple but constant strategy can help you boost your sales. Explore these tools and apply those that best adjust to your content and social strategy. The worst that can happen is that you like them so much, that you’ll start to post more content. Hootsuite This is one of the most popular monitoring tools that allows managing social networks and programming messages with a comprehensive monitoring model that is simple and effective. There is a free version that includes up to three social profiles, basic analytic reports (Twitter / Facebook profiles and a summary of clicks) and basic content programming tools. What we like the most: Hootsuite’s panel from where you monitor your profiles is configured to show you multiple social network spaces simultaneously. This allows you to interact with your followers in a more effective way without you missing what they’re saying on your wall, private messages or mentions. And what’s best… It’s available in Spanish and Portuguese as well!...
Boost your online business with cash payment methods

Boost your online business with cash payment methods

The Latin American market is one of the most attractive in the world, with large growth projections, different opportunities to be exploited and situations that can become a competitive advantage. It is a scenario of accelerated evolution for companies wishing to enter the e-commerce world.   One of these features is the massive use of cash payment methods when making purchases. This type of payment methods currently represents about 28% of online sales in the region, becoming the one preferred by buyers who do not yet have a credit card or do not want to share their personal data over the internet. Thus, cash payments in online sales are essential for those who seek to lead the Latin market through e-commerce strategy.   Why cash payment methods?   Due to the rapid growth of product and service offerings through the Internet, it has been necessary to offer payment options that meet the characteristics of the Latin American population, it is estimated that the level of banking in several Latin American countries does not exceed 35% of the population, in this way, a very limited number of people have the possibility of owning a credit card. It is noteworthy that the cash payment methods democratize the access to electronic commerce, since they give the opportunity to make purchases to a lot of people who are in rural towns and intermediate cities, where the presence of a payment point is much more common than a bank.   Many people who make their first online purchase want to have physical proof of payment because it gives them more confidence in the process....
5 tips for effective financial management of your online store.

5 tips for effective financial management of your online store.

The financial management of your virtual store is crucial for the stability and continued growth of your business. We know that the accounting process is not a simple task, so we will share some good practices from which you can benefit when reviewing the revenues of your online sales. 1. Define each of the processes that affect your finances. Clearly identify what steps you have to perform to make a sale; from paying your suppliers, generating products or services which you are selling, promoting them, receiving purchase orders up to making the shipment; all involve situations where money is spend or received. To learn more about money that you received for your sales through PayU, please consult the movements section of your accounts in the PayU Administrative module, where you will be able to see the money that comes into your PayU account, the commissions and balance reserve assigned to your virtual account. 2. Know your online sales trends. It is important to have an idea of what the monthly or weekly income of your online store is, since this lets you know on a big scale which are the most important behaviors in a period of time. Surely some special events, promotions or launches will affect the regular behavior of sales. PayU’s diagram report gives you the ability to generate a diagram showing months, weeks or days, including the types of transactions that you want to see. For example, if you want to know at what time of year there are more expired transactions, meaning that the buyer had intended to purchase a product but did not complete...
WooCommerce, the shopping cart offered by WordPress

WooCommerce, the shopping cart offered by WordPress

The world of electronic commerce encompasses a wide range of possibilities, from sales using social networks, which do not require technical configurations, to advanced sites that allow companies to make collections and control all the characteristics of their business. For those who are familiar with the World Wide Web and who already have more experience with blogging platforms and CMS (Content Management Systems), the term WordPress can be very familiar, it is one of the world’s most popular platforms to create websites. About 40% of web sites designed with CMS use WordPress; important brands such as Vogue, People and the Renault car manufacturer already integrate this platform into their websites. The major reasons for its success are the developer community and the companies that are dedicated to generating plugins and support, often for free. This is why it is possible to find multiple solutions to any doubt that is generated when using WordPress, facilitating its implementation. WooCommerce for example is a WordPress plugin which is useful both for those who already have a WordPress website as well as for those who want to start selling through a shopping cart from scratch. WooCommerce includes features that facilitate the sales management system: • Easily add or remove products from the inventory. • Adjust descriptions, references, sizes and colors of products. • View sales reports. • Define tax, shipping values or any other additional cost. • Manage payment options that customers can see. Among these payment options is the PayU plugin, with which it is possible to offer payment means in cash, credit cards or bank transfers in 7 Latin American countries....