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Trick to Increase Credibility and Reduce Price Sensitivity (for 2019)

Preston Swarthout Blog Leave a Comment

Most sites are beginning to realize that reducing the amount of content on any given page can go a long way (when done correctly). However, sometimes adding an extra element can help conversion rates. But we need to be careful with what we choose to add and, perhaps more importantly, when and where. Something businesses are always concerned about is …

Getting More Recurring Plan Signups

Rishi Rawat Blog 3 Comments

Our objective is to get people to buy the monthly auto-ship plan (and not the one-time option). Here is the control (what’s online now): Everything is laid in front of the user. This can cause analysis paralysis (too many options). Also, the shopper is likely to pick the one-time option because they don’t want to get into a monthly membership. …

Apples to Oranges

Rishi Rawat Blog Leave a Comment

The best way to prevent your shoppers from comparison shopping is to make it impossible for them to comparison shop. To do this we use a tactic called, Price. Definition: Price is a technique where we (marketers) shift shopper focus away from the physical price of the item. This can be done 312 different ways. One way is to focus …

Can Price Sensitivity Be Influenced? Yes

Rishi Rawat Blog Leave a Comment

Written form of the video above: As marketers, we tend to want to put the consumer into price buckets. I’ve had conversations where the marketer would say: our target audience are retired people, or our target audience are people who make over $130k. This implies an affluent shopper who is price insensitive is price insensitive for ALL purchases. And someone …

Asymmetric Dominance Effect

Rishi Rawat Blog Leave a Comment

Is a tactic where an option that is inferior is added to the comparison set. The lesser alternative makes the option that is dominated look more appealing. Experiment 1: Students are presented with 2 annual subscription plans: Option 1: $59 for online access. Option 2: $125 for print and online access. In this experiment, 68% chose print option, while only …

Shopper Discounts Explained

Rishi Rawat Blog 2 Comments

Retailers give discounts to shoppers to nudge them to buy. On the face of it, one would assume discounts are the best way to improve conversation rates. But, it’s being done so much shoppers have become desensitized by discounts. When buyers see that an item has been discounted $50 they disregard the discount amount and just look at the final …

Generating the First Sale

Rishi Rawat Blog Leave a Comment

Here are details for paper system (product on the right): 1: It’s more expensive over the long run ($4.99/month versus one-time fee of $14.99) 2: More steps involved in using paper system. 3: The flow of coffee is slower with paper system so I have to wait longer for 1 cup of coffee. 4: Earth-unfriendly. My mother-in-law raves about Eco-Fill® Deluxe …

The Sway of Free

Rishi Rawat Blog 3 Comments

This is the cart page on saffronrouge.com— The shopper is about to purchase a $21 item.  As a store owner you know there is a 40%+ probability this potential buyer will abandon.  When I clicked CHECKOUT this is what I saw on next screen– This is a genius conversion tactic for two reasons– 1: The shopper is being distracted by …

Magic of a Loss Leader

Rishi Rawat Blog 4 Comments

Definition: A loss leader is a product sold at a low price (at cost or below cost) to stimulate other, profitable sales. If etailers analyze their sales data they’ll see a familiar pattern- a small percentage of visitors buy, and those that buy once often buy again. Before discussing loss leader strategy let’s understand what is happening online.  According to …