Say, if there are 100 people visiting your store but only 2 of them buy something, as the owner, would it make your morning coffee a little more bitter? Assuming that you’re driving quality traffic to your store but there are almost no sales, you might want to take a look (again) at your Shopify conversion rate optimization.
Well, it may not be the first time you’re reading about Shopify conversion rate optimization (CRO) but with so many factors at play, it can take time to figure out what is not going well in your Shopify store and where to start.
That's why we've put together this comprehensive guide to help you optimize for a better conversion rate as well as achieve your targeted revenue.
Now, let's dive in and get started!
Conversion rate is a sales & marketing metric that measures the percentage of website visitors who take a desired action, such as:
In other words, the conversion rate indicates the percentage of website visitors who become customers or take any other desired action on your website.
A high conversion rate means that your website is thoughtfully designed and formatted for the customer shopping journey.
According to LittleData, in 2022, the average Shopify conversion rate was 1.4%. The best 20% of Shopify merchants achieved a conversion rate above 3.2%. Only 10% of Shopify stores could attain a conversion rate of more than 4.7%.
If your Shopify conversion rate is lower than 0.4%, you are among the worst 20% of Shopify merchants. So, regardless of niches and industries, the healthy average conversion rate for Shopify stores is from 0.4% to 3.2%.
However, determining a good conversion rate, in general, depends on your store's niche, industry, business goals, traffic sources, traffic quality, audience demographics, and many other factors.
In general, converting a window shopper into a customer involves these key areas:
And all of these come to one single point: boosting customer experience as high as you can.
Conversion rate optimization (CRO) is the process of improving the percentage of website visitors who take a desired action. CRO involves analyzing website data and user behavior to identify areas of improvement and implementing changes that encourage your shoppers to take action (for Shopify merchants, mostly it will be “making a purchase”).
Your CRO should be considered and applied everywhere on your Shopify store- from the homepage, product pages, collection pages, and search pages, to the blog, landing pages, and more.
The goal of CRO is to increase the overall conversion rate of your website and improve the return on investment (ROI) of marketing efforts. CRO strategies can include optimizing website design, improving website usability, testing different headlines and copy, and using data analytics to track user behavior and make data-driven decisions. There are just so many aspects to look into.
By implementing CRO strategies, you can improve your website's effectiveness in converting visitors into customers, increase revenue, and grow your online presence.
Shopify calculates the conversion rate by dividing the total number of completed transactions on your website by the total number of website visitors within a specific time frame.
The formula for calculating the conversion rate in Shopify is:
For example, if your store had 1,000 visitors and 20 of them made a purchase, your conversion rate would be: Conversion Rate = (20 orders) ÷ (1,000 visitors) x 100% = 2%.
Shopify provides analytics reports that show your store conversion rate, as well as other important metrics such as average order value, number of visits per customer, customer lifetime value, etc. By analyzing this data, you can identify areas for CRO improvement and implement strategies to optimize your website's conversion rate.
Shopify conversion rate is the backbone of your business so having a low conversion rate is exactly the same as hitting a dead-end. There can be many reasons why your Shopify store can only gain a low conversion rate.
A clear and user-friendly website interface with easy navigation can make it easier for online shoppers to find the products they are looking for in your store.
Good navigation also encourages them to explore your website further. An intuitive and well-designed store interface can also increase engagement, reduce bounce rates, and improve the shopping experience.
Fast store loading speed is essential for providing a satisfying product browsing experience. Slow page loading can frustrate your shoppers and make them bounce away, which can negatively impact your conversion rate.
It is important to optimize your website for fast loading speed to ensure that visitors can easily navigate your site and find the products they are looking for.
The "mobile-first" experience is not merely a slogan. It's the goal every Shopify merchants need to aim for because nowadays, your shoppers buy on their smartphones.
Mobile-friendly interface with a screen-wide search bar to encourage visitors to search on Fenton & Fenton
An effective onsite search function allows your shoppers to quickly find the products they are looking for, even if they don't know the exact wanted product in mind. The best Shopify search experience makes customers feel understood and taken care of.
Only present high-quality product images in your store. Also, you need well-crafted product descriptions with effective CTAs that talk directly to customers’ needs. Do not use copied or AI-generated content for your product information, which hurts your customer’s experience.
Social proofing, such as customer reviews and ratings, can help build trust and credibility with your shoppers. A trusted customer review section, for example, can increase customers’ confidence in your products and encourage them to make a purchase.
The checkout process should be simple, streamlined, and user-friendly to reduce cart abandonment rates.
Offering a variety of payment options can also help accommodate the payment preferences of different customers. You should always offer secure and trustworthy payment methods that are widely recognized and accepted like Shopify Payments, Paypal, Stripe, etc.
High product prices will leave customers hesitating and cause longer product consideration, hence, lowering the possibility of a purchase. Going for a high AOV (average order value) is better than setting a high price range for your products.
Always go for time-sensitive or limited product drops to encourage customers to buy immediately.
48% of customers leave their cart unpaid due to additional costs like shipping, taxes, and fees. Providing clear and upfront shipping costs and delivery times can help reduce cart abandonment rates and increase conversion rates.
Since there are many aspects and areas to dig down into in your CRO strategy, we recommend the following 3 strategies you can take action upon right away to improve your Shopify conversion rate. These 3 strategies hit right the most crucial element of a highly-converting website: customer experience and personalization.
Most of the time, your visitors leave your store because they don’t find what they need. Therefore, bringing an intuitive search experience for your shoppers is crucial.
The Shopify default search alone is not enough. AI-powered search is an optimal weapon for leveraging your potential customers’ product discovery journey.
What’s in an AI-powered search tool that can do magic to your Shopify conversion rate?
For example, if a shopper searches for "white tee," the search results can also display "white t-shirt” or “white shirt”.
For example, if a user searches for "house," the search engine can also return results for "household" and "housing."
This can help users find what they are looking for even if they don't know the exact word in mind.
This type of search functionality tailors very closely to your shopper’s search intent and helps raise the chance of making a purchase.
AI-powered search allows you to make your online visitors happy right from step one: product discovery.
Happy searchers = Happy customers.
How to use AI-powered search on your Shopify store? You may wonder.
The easiest way is to use an AI-powered Search tool for your store. With Boost AI Search & Discovery, all the hard parts of technology and algorithms, are cooked and done, ready to be served full-course on your table. You have everything in an AI search tool to level up your Shopify search and boost up your sales.
🔥 Read more on Boost AI Search & Discovery here:
Sneak Peek: What To Expect In The Epic Release Of Boost AI Search & Discovery
If you don't show your customers that you know them well, they won't stay. Personalizing their shopping experience helps Shopify merchants build stronger relationships with customers, and increase sales and revenue.
How to nail customer personalization on your Shopify store? Here are some ideas to start:
When your Shopify store is finished with its look - including UX and UI, page designs, and all - you might need to make some tweaks to improve your customers' experience to excite and delight them into making a purchase.
There are many tried-and-tested ways to add value to your products and incentivize customers to make a purchase:
Nine West incorporates the discounted price right in the instant search results dropdown.
Esportsgear promotes Free Shipping on their site
Lacoste encourages buy by bundles with Complete the look section
The art of Shopify conversion rate optimization is all about understanding what’s in their mind, what they look for, and fulfilling their needs. With this CRO walkthrough, from the basics to the most effective strategies to go for, we hope you have a direction in mind to kickstart your own CRO path.
There are no right formulas for Shopify CRO because each store is different in its niche, size, customer segment, and everything else.
Let us know if you have any questions, and don’t forget to come back for our next (and more detailed) lessons learned about Shopify conversion rate optimization.
Talk to you soon!
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