I noticed from my yesterday's post and the comments I received following reviewing several stores, that many people here are not very familiar with the importance of increasing the average cart value of the customer.
So I am writing this post today to clarify this point and explain why it is extremely important:
- Acquiring a customer is expensive and it is becoming more and more expensive over time. Especially if you are relying on Facebook Ads to get all your traffic.
- So let's say your cost per purchase is 20$ and your profit margin is 15$ (for the product you are advertising for). If the customer you gained from Facebook only made one purchase. This means that you are losing money because you paid an extra 5$ to acquire this client.
- To fix this, you have to build your store in a way to make sure that your customers (or most of them) end up buying from the first time or in the future, more than just one product.
- To do that, you have to use upsells, cross-sells, product bundles, email marketing, and more
I know I might be receiving now a comment from someone saying, I sell one product on my store and I making 5 figures per month from ads… Well yeah, this possible… but it is less frequent, much riskier and few products can sell that crazy AND MOST IMPORTANTLY "CAN CONTINUE SELLING FOR A LONG TIME LIKE THAT"