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Some thoughts from #ecomChat

Worthwhile thing to do on a Monday

I've been participating in a Twitter chat each Monday held by @ecomchat. I'd encourage you to check it out for sure. The questions have been right on target to what's really happening in ecommerce in 2020. If you're interested in being in the ecommerce space and want to thrive this is an hour a week that you can get some value, and maybe provide some.

Pricing

This week was all about pricing. It was certainly a quieter week than most. Not to toot my own horn but there's a lot that I know about pricing that can be important. One thing however, is more important than all the others. Only test pricing strategies that you can and will act on. Each extra dollar that you make on a transaction has massive downstream effects on a businesses success. Ecommerce sites, generally, do a very poor job at this particular part of the retail business. Rather than get side tracked on all the things that online businesses do poorly, which is plenty, let's talk about the actionable things you can do.

Things you can act on

  • Specific pricing location based on customer journey
  • Bundle pricing from referrer
  • Cart based discounts
  • Logged in customer pricing
  • Browser and device based pricing

Who is doing this now

You can see examples of this on airline sites and learning sites. I'm advocating that a company that sells commodity t-shirts should constantly be moving their pricing around to test if 16.49 converts the same as 16.99 on ios devices. Maybe your business is small and you don't have time to A/B test everything. That's okay. Most things are over tested. Most folks that advocate testing are just parroting what someone else else. Only test what you can act on and what will impact your business. There's a real value to having all your ios customers pay $.50 more for t-shirts if the data shows that they convert at the same rate. And the signal to noise ratio's here are very reasonable.