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CASE STUDIES

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Case Study

Addressing Price Sensitivity: One Way That Resulted in a 41% Conversion Lift

Client: legacyfoodstorage.com

What's your name?

  • Goal:
    • Address price sensitivity by getting shoppers to see the value in and the additional savings provided by Legacy Food Storage’s emergency food.
  • Solution:
    • Showing a prompt just below the product price that, on click, provides statistics that help make the case for Legacy Food Storage’s emergency food.
  • Outcome:
    • 41.08% lift in conversion rate.

Backstory

We’re all price sensitive, just to varying degrees. Because of this, we marketers face a challenge anytime a shopper lands on our site: how can we persuade shoppers that our products or services are worth the price?

If the shopper that’s looking at the product page right now is especially price sensitive, to the point that our normal pitch may not be enough to convert them, then we need to get their attention through other means and make the case for our product from another angle.

One way to do this is to explain how our product or service ultimately saves the shopper money and/or effort in ways they perhaps didn’t consider.

Our Hypothesis

Marketers often rely on their discounts, coupon codes, and sales to convince price-averse shoppers. But if everyone is relying on these, then most shoppers are already expecting them and are desensitized to them.

Knowing this, we had another thought: what if told the shopper about the “invisible discount” — the less obvious ways in which Legacy Food Storage’s emergency food could provide significant savings?

Test Concept

In our concept, we strategically placed a link just below the product price that would pique the shopper’s interest.

After clicking the link, we showed the shopper a popup that contained some eye-opening statistics and a different pitch than what was being made elsewhere on the product page.

We made a quick video to explain what we did:

Outcome

We ran the A/B test for about 60 days. At the end of those 60 days, our concept increased the conversion rate on the product page by 41.08%

Why Our Concept Won

Shoppers are price sensitive. For some shoppers on your site, your price may not reach the threshold necessary for them to be hesitant. However, plenty of other shoppers will be hesitant to pull the trigger. Our concept targets that second group by intentionally placing a link just below the product price (just in case the shopper is in sticker shock), then telling them: “Hey, we know the price may look high, but you’re actually going to be saving hundreds of dollars in the long run because of X and Y reasons.”

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