As the crisis has helped the two guys to come up with a new service for online stores

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Hello, dear readers of "Megamind"!

This story is about how a sharp decline in sales in January 2015 helped the marketer and developer to create a product that broke even without investing in advertising.

HucksterBot (from the English. "merchant, shopkeeper") is a new way to increase conversion, sales and gross profit of the online store. Special widget offers discounts and successfully sells products only to those segments of users who buy bad – mobile users, people who came on advertising channels, regional traffic.

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History


The founders of the project (Nikita Tsukanov and Alexey Solodkov) worked for many years in major online shops in the country (one in marketing and development other – development). After December of 2014, sales fell sharply after an excessive demand for obvious reasons.

The guys was an interesting experience for major sales – if you put a fair discount with a good range of products, conversion during sales reached 15%, sales could grow by 5 times. Such indicators have been achieved dozens of times. Was made a simple conclusion – if the conversion could grow to 3 or more times on the background of discounts, why not give discounts to certain nizkokalorina segments of users and not to lose the gross profit? Have an online store with a total conversion of the 2% traffic from the regions can show the conversion of only 0.2% and raising it 3 times, even with the discount, the store still earns more. Thus was born the idea of the service.

From February to October 2015 without any advertising and PR service (Nikita personally "knocked" in the Internet-shops and offered to try the product) was scored pool's first clients, there was a significant traffic and product began to continuously improve, conducting A/B testing.

We've tested and picked the best option of the widget with a high conversion rate. Conducted more than 30 A/B tests, and made numerous discoveries. For example, the cursor flashes in the input field of the phone will increase the conversion rate by 25%. Increase font size of discounts has led to an increase of conversion rate by 15%, change the header with call-to-action – on 7%, the color buttons did not affect the conversion. And these insights very much. Here we are always looking for something new that will allow our clients to increase conversion of the traffic, with the least effort. The most difficult – to achieve the effect of a personal offer.

On the technical side the hardest part was to collect the beautiful architecture of the system to be productive and stable. So it was difficult to choose the communications protocols. The end result is a custom architecture and we have achieved excellent speed: a widget to a unique user with a unique set of products and discounts generated in real time for 1ms, it works completely asynchronously and completely loads the website.
Nikita Tsukanov, co-founder of the service.

In the end, at the end of November HucksterBot hooked for 30 paying customers, the service started for themselves. December 1 was formed a team (which included yours truly) and the product is launched for commercial operation.

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Case. As the online store has increased the conversion rate by 60%


Today, every second new service claims that it increases conversion and sales. All this is to read something like – "our service will increase your conversion rate by 20 inches for free and without registration". So, instead of a story that HucksterBot has a lot of advantages and maximizes all the possible business outcomes, we present a client case study with real numbers.
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"Garden machine" – a retail chain selling garden equipment. Founded in 1992, market leader in St. Petersburg. Since 2008, operates online store Snail.ru that today attracts up to 4000 visitors a day.
Tasks

In 2015, the company was faced with two important tasks:
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  • Increase sales in the regions (according to Google Analytics, the conversion in the regions where the network does not have offline stores, was 6 times lower than in St. Petersburg).
  • the
  • to increase conversion of mobile traffic (in 2014, she was 7 times lower than the conversion on the desktop).

The company decided to test the hypothesis – providing personalized discounts to certain segments of visitors (regional, came on advertising channels, mobile users) will allow to increase conversion and gross profit of the store.

Solution

The appropriate tool for hypothesis testing was HucksterBot. The service has solved all the tasks, implemented for 2 days, are not required to make changes to the website and to develop a separate pricing for the regions. The introduction took place in March of 2015.

Results
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  • For December 2015 30-35% of visitors to the site interacts with the widget HucksterBot, the average conversion rate in the application with widget is 6.5%, in the regions of 70% of orders made through the widget.
  • the
  • a Comparison of sales for 2014 and 2015 showed that the increase in the average discounts in the regions from 5.11% to 8.5% (with the overall reduction in average discounts) and a personalized approach to the segment has led to an increase in gross profit from regional sales 2.7 times and increasing turnover by 3 times. While regional traffic grew by only 52%.
  • the
  • a New approach to promotions has increased the overall conversion of the online store (conversion to orders via shopping cart, phone, and widget HucksterBot) 60%.
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  • the
  • Multiple increased the conversion of advertising channels to attract traffic (conversion to orders Avito the Context of increased by almost 6 times after discounting for this segment).
  • the
  • conversion to orders from tablets rose by 2.9 times, from smartphone – 4.6 times, mobile traffic was converted in the same way as traffic from desktops. Note that the rate of mobile traffic is also equally influenced by the development of adaptive website design.

HucksterBot we successfully solve tasks of sales of illiquid products, increase sales in the regions, greatly increased the sales of spare parts and discounted equipment. Hidden discount personalized is much more effective than large short-sales
Alexander Borisov, project Manager Snail.ru

If you want to know the details of the implementation HucksterBot and details about the results (with numbers and Analytics schedules), click here to read the full case study Snail.ru.

Friends, ready to answer any questions in the comments, write!
Article based on information from habrahabr.ru

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