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Tag: Ecommerce 🛒

  • How to Run Ads on Amazon and What Should You Know to Plan a Successful Advertisement Campaign?

    Amazon is the largest online retailer across the world. In 2020, it generated revenue of US$ 120,968 million becoming the leading e-commerce market, globally.

    Approximately 197 million people use Amazon worldwide. In the U.S. alone 95 million people have Amazon Prime membership and spend an average of around $ 1400 each year.

    Therefore, advertising and listing your products on Amazon gives you an unmatched opportunity to create awareness and visibility of your products and boost sales. Moreover, as Amazon is trusted by millions of users seeing your product or brand advertisement on Amazon makes them appear more authentic and reliable.

    Hence, advertising on Amazon becomes a very important part of your marketing strategy. However, a number of people complain that they are unable to derive the desired returns.

    They claim to spend a huge amount of money on advertising but cannot get enough customers. If this is happening with you as well then this blog is meant just for you.

    Advertising your products on Amazon and increasing your sales through it can be complicated. In this blog, we will share the tips and tricks that will help you throughout this process and help bring more sales.

    But, before we tell you about the tips to follow for a successful advertisement strategy, let us first discuss in brief how Amazon ads are created.

    How to Run Ads on Amazon?
    What Should You Know Before Running Ads on Amazon?
    Types of Advertising Campaigns on Amazon
    Tips to Create and Run a Successful Ad Campaign on Amazon

    How to Run Ads on Amazon?

    Advertising on Amazon is a great way especially for the new sellers to create brand awareness. Let us see how to create and run ad campaigns on Amazon.

    Amazon allows you to create two types of advertisement campaigns. They have sponsored brand campaigns and sponsored product campaigns. The first can only be created by the sellers who have registered a brand with Amazon while the latter can be run by any seller.

    Amazon Sponsored Product Ads
    Amazon Sponsored Product Ads

    Both these campaigns are meant to increase product or brand awareness and visibility that in turn increase the sales of the product.

    The next thing you need to understand to run an advertisement campaign is bidding. Amazon does not charge you for running ads but as soon as a user clicks on your product to see the details an advertisement expense is deducted irrespective of whether or not the visitor buys the product.

    This amount depends on the bid that you place while setting your advertisement campaign. In case two sellers are selling similar products, the product of the seller who has placed a higher bid will be shown on the top.

    Now let us see the step-by-step process of how to run advertisements on Amazon.

    Creating Campaign

    • First of all, log in to the Amazon Seller Panel.
    • On the top of your screen, you will see a number of options such as catalog, inventory, pricing, etc. Click on the Advertising option. A list of options will come down. Click on the Campaign Manager option.
    • On the next screen, you will find a tab “Create Campaign”, click on this.
    • The next screen will ask you to choose your campaign type. This includes the two options as stated earlier i.e. sponsored products and sponsored brands.
    • You can choose the option suitable for you. For reference here, we will go with sponsored product option.
    • As soon as you click continue the next screen will open that has multiple questions related to running the advertisement campaign.
    • The first column is the campaign name. You can choose any name that may help you in easy identification later as this will only be visible to you.
    • The second column asks you about the start and end date of your advertisement campaign, you can choose this as per your convenience.

    Setting the Budget

    • The next option requires setting the daily budget of your advertisement campaign. This is the amount that you are willing to pay every day to run the campaign. Amazon desires this amount to be greater than Rs. 50 per day.
    • As explained earlier Amazon only charges the advertisement expense when a user clicks on your product to view details. Hence, the daily budget amount also depends on your per-click bid. For example, if you have set the bid at Rs 5 per click and the daily budget at Rs. 100, as soon as 20 users click on your product, your daily budget will exhaust. Therefore, the higher the daily budget the longer your product will be visible to the customers. Mostly, it is suggested to keep the daily budget around Rs. 500 as it runs throughout the day.

    Targeting

    • The next option is targeting. Here, you will find two options i.e. automatic and manual targeting.
    • In manual targeting, you will have to choose the keywords through which your product will be displayed to the viewers while in automatic targeting Amazon decides the keywords on its own.
    • If you are a beginner it is better to choose automatic targeting to see the viewer response first.
    • The next option is a campaign bidding strategy. There are three options to choose from viz. dynamic bid – down only, dynamic bid – up and down, and fixed bids.
    • The first option lowers your bid when the ads are less likely to convert into sales. The second option raises or lowers the bid in real-time depending on the possibility of conversions. The third option keeps the bid fixed.
    • Now, you will have to create an ad group. You can add multiple ad groups in a single campaign.
    • The first column is to select the name of your ad group which will only be visible to you.
    • The next option is to choose the product for your advertisement. Here, we would suggest choosing the product from a single category while in a particular ad group.
    • Now, you will have to choose the automatic targeting where you will find two options set default bid and set bid by targeting group.
    • We recommend choosing the first option if you are just a beginner and also choosing your bid as suggested by Amazon as this increases the chances of sales.
    • Next column negative keyword targeting is optional. You can leave this option blank if you are just beginning.
    • After a month or more of running your advertisement campaign, you can add the keywords in this column that do not bring any sales to your product.
    • The final step is to click the “Launch Campaign” button. Your advertisement campaign will be launched as soon as you click this option.

    Now, when we know how to run an advertisement campaign on Amazon we can now move forward to understand how to make our advertisement campaign successful.

    What Should You Know Before Running Ads on Amazon?

    Even when Amazon offers you a broad platform to create brand awareness and visibility, not all advertisement campaigns running on Amazon can be called successful.

    The reason for this is the money spent on these campaigns, which is quite high in comparison to the sales brought through them.

    As per a survey, the annual advertisement cost on Amazon increased from 16.9 billion U.S. dollars in 2014 to 10.9 billion U.S. dollars in 2021.

    Annual Advertising Costs of Amazon
    Annual Advertising Costs of Amazon

    This indicates that more and more retailers on Amazon are now opting to run advertisement campaigns. This has obviously increased the price of advertising but the sales are also increasing at an equal speed.

    However, many vendors still cannot get the conversion rates they desire. They should understand that advertising for different brands and products is different and requires a unique strategy.

    Types of Advertising Campaigns on Amazon

    Amazon offers six different types of advertising campaigns. They are:

    Amazon Sponsored Ads

    As explained above these are the pay-per-click and keyword-targeted ads. These are displayed on the top of the page when a viewer searches for a product.

    Amazon Headline Search Ads

    Also known as the sponsored brand campaign these are the keyword-targeted ads that are displayed alongside the search results.

    Amazon Product Display Ads

    These are also the pay-per-click ads that appear on customer review pages, product detail pages, below the search results, and on top of the offer listing pages.

    Amazon Native Ads

    These are of three types viz. recommendation ads, search ads, and custom ads. These ads can be displayed on your brand’s own website.

    Amazon Video Ads

    These ads can be placed on Amazon-owned sites and devices such as IMDb, Amazon.com, Amazon fire TV, etc.

    Amazon Stores

    These are the multi-page online stores on Amazon that can be used by the seller to promote their brands.

    Each of these campaigns is meant to grab the attention of viewers and increase the conversion rate of the product. You will have to choose the advertising strategy best suited for your product or brand.

    Also, your work is not over just by choosing the strategy and launching a campaign. A routine and thorough analysis of your campaign, including the new trending keywords and discarding the old ones, and making other required changes regularly should be an essential part of your advertising campaign.

    After all, this, remember that every marketing strategy is different and every product or brand requires unique advertising practices to get noticed there are certain basic rules that make a difference.

    Tips to Create and Run a Successful Ad Campaign on Amazon

    Below we have mentioned the 6 tips to create and run a successful advertisement campaign and boost your sales on Amazon.

    Identify your goals

    Are you trying to boost your conversion rates or just increase your brand awareness? Whatever your target be it should be clear to you so you can choose the right marketing strategy and implement it correctly.

    This will also help you identify the right metric to measure your success. For example, if you are focusing on increasing your sales Advertising Cost of Sales (ACoS) can be the right metric. Similarly, if you are here to create brand awareness customer impressions can be a perfect fit for you.

    The product page of Amazon is divided into objectives to help you easily choose the best-suited advertisement strategy for your brand or product.

    As explained earlier Amazon only charges the advertisement fee when a user clicks on your ad to view the product details. To make every click count you must advertise the best of your products so that maximum numbers of clicks turn into sales.

    You must also ensure time and again that the advertised products are available in stock and competitively priced.

    It is also advised to choose the products that display the featured offer on Amazon. When several brands are selling the same product, Amazon combines them into one product detail page.

    If your product becomes a part of a featured offer, it will definitely increase the visibility and sales of your product.

    You can use a number of measures to make your product the featured offer such as pricing your product reasonably, including multiple shipping options or free shipping wherever possible, offering support services to ensure happy and satisfied customers, and reviewing your inventory.

    Strong title and compelling details

    This is one of the most ignored but impactful steps. The title of your product is the first impression for the potential customers. Therefore, it should be strong and catchy.

    You can include details such as brand name, product type, size, color, material, key features, quantity, etc. in the title. The best titles are usually 60 characters long, easy to read, and informative.

    Next, come the product details. An attractive title might tempt the user to click on your product but the precisely crafted, clear, and concise details are the reason most users buy a product.

    It is always a good idea to include multiple bullet points in the description of your product. The shoppers today are smart and capable of making informed decisions. Your responsibility as a seller is to guide them in making the right choice.

    The product description must provide the details such as uses, content, dimensions, origin, operational considerations, etc. of the product.

    The product description is the small narrative of your product so it must be crisp and clear including all the necessary details. Apply the unique voice of your brand while writing the description. This will help you create a positive user experience.

    You must also include high-quality, zoomable images of your product. This will help provide the user with a clear picture of what to expect. If possible also include a short demo video highlighting important features and details of the product.

    Select the right channel to advertise:

    Amazon offers multiple options for you to display your product advertisement. For example, voice ads can be put on Alexa-enabled devices.

    Choose the right channel to advertise your product.

    Get creative with your ads and give them a unique positive tone that reaches the customer and rings a bell.

    Also, you must choose the right advertising campaign for your product between sponsored brand and sponsored product. While the first type of advertisement is meant to increase brand awareness the latter helps you boost the individual product sales.

    Category-specific targeting

    While looking for products on Amazon you must have seen the heading “Product you might be interested in”. This is category-specific targeting.

    Basically, the advanced targeting functionality feature of Amazon gives you the opportunity to display your products along with the other products belonging to the same category.  This helps you enhance the effectiveness of your ads.

    Displaying your products alongside the other famous brands and top-rated products makes them look more reliable and allows you to increase brand recognition.

    Choose keywords wisely

    Keywords are the essence of your advertisement so it is highly crucial to choose them wisely. The right keywords can really make your brand popular.

    Choose specific keywords that are likely to be used by high-intent people. Include important details of the product as keywords that may be of interest to the target audience.

    Also, it is equally important to get rid of negative keywords that do not serve the purpose of your product. These keywords just increase your ad spend without bringing any traffic.

    You must regularly check the viewer response to include the new trending keywords in your advertisement strategy and remove the old redundant ones.

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    Conclusion

    Amazon being the largest online marketplace worldwide provides you with the platform to reach a much wider than possible through any other way. However, without an impactful marketing strategy, it can be difficult to create brand awareness or boost sales through this great platform.

    By using the simple tips for running a successful advertising campaign on Amazon mentioned in this blog you can definitely increase the visibility and sales of your product on Amazon. You can thank us later.

    FAQs

    Can you run ads for Amazon products?

    Yes, you can run ads on Amazon for your products. Amazon ads are a great way to increase the visibility of your product and get on the front page of Amazon.

    Is it free to advertise on Amazon?

    Ads on Amazon work on cost-per-click ads, if a user clicks on the ad Amazon charges you.

  • Amazon Cloudtail India: Why Did It Shut Down? | Is It Good News for Retailers?

    If you have ever tried to buy or sell products on Amazon, you must have come across this brand “Cloudtail India”. It used to be the largest seller on Amazon in India but has recently ceased its operation.

    This joint initiative of Amazon and Catamaran Venture was shut down on 19th May 2022 leading to the end of a seven-year-long partnership between the two well-recognized organizations.

    Before announcing the end of the partnership Amazon India announced a 100% acquisition of Cloudtail India. The employees earlier working for the joint venture has been given the option to continue at Amazon or take a voluntary exit.

    In this blog, we will discuss everything about Cloudtail India, how it worked and why this successful partnership was brought to an end with mutual agreement between the two parties.

    If you are associated with Amazon, either as a seller or a buyer, this is important for you. If you are asking “Why”, keep reading this blog till the end.

    What is Cloudtail India?
    How Did Cloudtail India Work?
    What Went Wrong With Cloudtail India?
    Is Shutting Down of Cloudtail India Good News for Retailers?

    What is Cloudtail India?

    Catamaran Venture is a venture capital firm i.e. it funds the startups or other organizations that require capital. The net worth of the company is around $ 127 million. It is headed by N.r. Narayana Murthy has made investments across high-growth sectors such as technology, eCommerce, healthcare, etc.

    Amazon started functioning in India in 2013. It was the time when the online market in India was least developed and Amazon had to work hard to get customers.

    For this reason, in 2014, Amazon India and Catamaran Venture initiated a joint venture under the name Prione Business Services. The basic objective of this venture was to bring more small retailers and businessmen online.

    This on one hand would help the retailers to expand their market and reach more customers and on the other hand, helped Amazon to earn a reputation and recognition in the country.

    Prione Business Services contributed quite a lot to advancing the online market in India. It provided support systems for the retailers or merchants by helping them with issues as small as listing or describing their products on Amazon.

    According to the statement, Prione enabled more than 300,000 sellers and entrepreneurs to establish their online market. Also, it helped 4 million merchants with digital payment capabilities.

    However, in the same year i.e. 2014, Prione also established its very own subsidiary company in India, under the name “Cloudtail India Pvt. Ltd.” which was engaged in the B2C retail business.

    Under Prione’s ownership, Cloudtail worked as an online retailer and by the end of 2020, it was selling over 30 lakh products under multiple categories such as fashion, apparel, appliances, media, consumables, etc. on Amazon.

    No doubt, Cloudtail India became the largest seller on Amazon leaving its other competitors behind with a great margin.

    How Did Cloudtail India Work?

    At present, Amazon has over four lakh sellers and more than two crore customers registered with it.

    The normal procedure for retailers to sell their products on Amazon includes registering themselves on the website. After this, the sellers list their products on the website with the price that also includes the profit share of Amazon.

    Generally, this profit share lies between 5-25% depending on the product category and price. This share includes commission, fixed fees, and other similar charges.

    As the seller has to earn profit by selling these products, some amount of profit share is included in the price of the product due to which the customer has to buy the product at slightly higher rates.

    The price of the product further increases as the vendor also has to pay delivery charges to Amazon which start from Rs. 82/- onwards. Moreover, these sellers also have to bear the promotion charges for their product which again adds to the price of the product. Therefore, the prices at which the customer has to buy the products of these brands are quite higher in comparison to what the seller would offer without including these charges.

    However, as Amazon had its own equity in Cloudtail India Pvt. Ltd. the company does not pay any commission to Amazon for listing or selling its products. There is no delivery or promotion fee included for any of the products sold by Cloudtail.

    Due to this the prices of the products obviously remain quite low in comparison to its competitors. This gave Cloudtail India an edge over other retailers.

    Moreover, being the parent company Amazon prioritizes the products sold by Cloudtail India by always listing them at the top of the page. This further increased the sale of products making Cloudtail India Pvt. Ltd. the biggest seller on Amazon.

    Amazon Cloudtail India Business Timeline
    Amazon Cloudtail India Business Timeline

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    What Went Wrong With Cloudtail India?

    As per the law, India prohibits Foreign Direct Investment (FDI) in inventory-based models for eCommerce. This means that the companies such as Amazon and Flipkart are only allowed to work as a marketplace.

    These companies are only permitted to provide platforms to other sellers or merchants or businesses to enlist their products and sell them but they cannot list their own products on the platform.

    Due to this legal concern, a number of objections were being raised by other retailers and merchants selling their goods on Amazon about the close partnership between Amazon and Catamaran Venture.

    In this regard, the Department of Industrial Policy and Promotion (DIPP) under the Ministry of Commerce and Industry issued a Press Note on 26th December 2018.

    This note clearly disallowed the participation of marketplaces in any type of seller activity even through any “Group companies”. This means that these platforms are not allowed to sell their own products on their platform as this would hamper the business of other small retailers.

    Here, Group Company meant two or more enterprises that directly or indirectly exercise 26% of the voting rights in another enterprise or appoint more than 50% of the board members in their entity.

    To abide by this law, Catamaran Ventures 2019 increased its stake in Cloudtail India from 51% to 76%. Thus, the stake of Amazon in the joint venture was reduced from earlier 49% to 24% later.

    Therefore, as Amazon now had only a 24% share in the joint venture, and the law spoke about 26% or more share, Cloudtail India Pvt. Ltd. could still sell products to Amazon without violating any law.

    Even after this, the small businessmen and other retailers or vendors on Amazon claimed that the parent company of Cloudtail India Pvt. Ltd., i.e. Prione Business Services was established with the intention to help small retailers and sellers to start their online businesses.

    However, as the online market has now gained enough popularity in the country, the target has been fulfilled and the company is no longer required.

    In 2019, Delhi Vyapar Mahasangh (DVM) submitted a plea with the Competition Commission of India (CCI) against Amazon and Flipkart.

    In this plea, they accused these marketplaces of abusing their market dominance and preferential listing and deep discounting on products sold by selected vendors in which they control indirect stakes.

    They alleged that these marketplaces were drawing indirect benefits from these brands indicating a conflict of interest. Due to this, the online market of small businesses is getting hampered as they are unable to efficiently reach their target customers.

    In this regard, the Director-General of the Competition Commission of India launched an inquiry for alleged violation of Section 3 of the Competition Act, in January 2020.

    To resolve this issue, Catamaran Venture and Amazon India first approached Karnataka High Court and later the honourable Supreme Court of India. However, both the courts stated that the companies should be open to such anti-trust investigations in their business practices.

    In the light of this statement, as well as the changing regulatory environment and unfavourable eCommerce operating guidelines, both the companies announced the end of their seven-year-long partnership.

    Hence, Cloudtail India was finally shut down.

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    Is Shutting Down of Cloudtail India Good News for Retailers?

    Honestly speaking, Yes. This decision will provide small businesses and other online retailers and vendors a level playing field. Strict regulatory rules were required in this field for a long time which have now been implemented.

    This will also reduce the monopoly of these marketplaces to endorse a few specific brands that bring more indirect profit to them.

    Overall, the small sellers will be benefitted who will now be able to sell their products in a healthy competitive environment.

    Conclusion

    With the partnership between Amazon and Catamaran Venture coming to an end, this is certainly an issue of concern for Amazon as it has invested around $ 1 billion in India.

    Also, the customers might have to buy the products at slightly higher prices as the subsidiary brand is no longer available to provide the products at the least rates.

    However, this will provide equal rights and symmetry to the small businessmen, sellers, vendors, etc. who will now have better opportunities to expand their online market.

    FAQs

    Is Cloudtail India owned by Amazon?

    No, Cloudtail India was a joint venture with Catamaran Ventures but Amazon has purchased a 76% stake in the company and now Cloudtail is a wholly-owned subsidiary of Amazon.

    Is Cloudtail India shutting down?

    Yes, Cloudtail India will shut down its operations on May 1.

    Who is the owner of Cloudtail India?

    Prione Business Services Private Limited was the owner of Cloudtail India.

    Why did Cloudtail India shut down?

    As per e-commerce regulations, online marketplaces cannot own any direct stake in seller entities which is the reason Cloudtail India has to shut down its operations.

  • How to Make Impressive Use of 404 Page on eCommerce Stores to Boost Conversion?

    Frequent online shoppers must have come across a 404 error page at least once during their online shopping journey. As the site keeps getting bigger, so do the chances of encountering such pages. An eCommerce store can render a 404 error page for several reasons.

    For example, the site owner may have forgotten to permanently delete the page without any redirect, poor server configuration may be causing the problem, or the page is currently unavailable because it is being worked on. The reasons can be several, but the eCommerce store owner cannot take the risk of losing potential sales because of an error page.

    To ensure store owners make the most from 404 error pages, we’ve analyzed hundreds of eCommerce stores to check how they tackle this problem. After studying various eCommerce stores, we’ve handpicked and listed below some of the best ways to boost conversions from 404 error pages. Let’s quickly head to the list shared below.

    Pitch in Your Most Popular Products
    Display Product Categories with Working Links
    Incorporate a Product Search Bar in the 404 Page
    Sprinkle Some Humor or Add a Surprise Element
    Skyrocket eCommerce Sales by Optimizing 404 Pages

    If a visitor landed on the 404 page, he was looking forward to buying a product from the online store. This opportunity should not be wasted. The best way to monetize such situations is by recommending some of the most popular products on the 404 page. Something like Urban Outfitters does.

    Urban Outfitters 404 Page
    Urban Outfitters 404 Page

    Their entire 404 page is divided into two sections. The top section features an old-style black and white GIF stating the page can’t be found. At the same time, the second and lower part displays the most popular products with high-quality image and product name. Since the best and most sold products are shown, the visitor may be tempted to check them out and make a purchase.

    Since this is an excellent way to optimize the 404 page, Urban Outfitters isn’t the only eCommerce store following this method. Steve Madden, a popular shoe-selling online store, also follows a similar approach for maximum conversions.

    No shopper would appreciate landing on a dull 404 page. If the eCommerce store only tells the visitor that the page doesn’t exist, the chances are rare that the visitor will continue browsing the same site. He may instead prefer going back and looking for better-optimized eCommerce stores.

    To prevent this from happening, provide the visitors with a starting point once they reach the 404 page. An excellent way to do it is by adding category pages.

    Missguided 404 Page
    Missguided 404 Page

    Take a look at the 404 page from Missguided, for example. It tells the visitor that the site couldn’t find the page they were searching for. But they don’t end there. The 404-page message is quickly followed by the line “let’s get back on track.” Visitors can see a list of categories with relevant images just below this message.

    It prompts them to start their search again by simply clicking on any of those categories.

    For example, if a visitor was searching for tops, they can click on the “tops” category instead of leaving the eCommerce store. It will boost the chances of the visitor making a purchase. Birchbox is another eCommerce store that follows a similar approach to increase conversions.

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    Incorporate a Product Search Bar in the 404 Page

    When visitors visit a particular eCommerce store knowing what they want, converting them becomes much easier. But missed sales are guaranteed if they accidentally land on a 404 page that isn’t optimized.

    It is why various big eCommerce stores are taking appropriate measures to ensure visitors don’t leave their site after coming across a 404 page. Take Etsy, for example.

    ETSY 404 Page
    ETSY 404 Page

    It is one of the biggest eCommerce marketplaces and knows how to bring back lost sales. It gives visitors two options – type for the relevant product in the search bar or heads back to the homepage.

    These two options give visitors a reason to stay back instead of abandoning the site. Since it becomes difficult to anticipate what each visitor is looking for, giving them an option to search their way out is one of the best-performing ways.

    It is why Etsy is not alone in adopting this approach. eCommerce stores like Need Supply Co., Ted Baker, UnderArmour, etc., follow a similar template while designing their 404 pages.

    Sprinkle Some Humor or Add a Surprise Element

    Making a prospective customer annoyed or frustrated is always a big no for eCommerce store owners. It takes them away from the brand and reduces their chances of returning for future shopping.

    To prevent such events, eCommerce brands should adopt a more personal or humorous approach. Everyone can take inspiration from Amazon, the biggest eCommerce platform on the internet.

    Amazon error 404 Page
    Amazon error 404 Page

    Whenever a visitor lands on a 404 page, Amazon displays a picture of one of its ‘dogs of Amazon’ to make them feel less annoyed. Everyone loves dogs; hence, this approach works in most cases.

    No one expects to see a smiling dog when landing on a 404 page, so it makes them giggle a little instead of making them feel annoyed. Another aspect of this page is a direct link to the homepage.

    Now that the dog’s picture made the visitor smile, he can continue searching for relevant products by returning to the homepage. eCommerce store owners can either replicate the same strategy or make some tweaks to make the 404 page look humorous. It will help prevent visitors from going to another online store.

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    Skyrocket eCommerce Sales by Optimizing 404 Pages

    A mistake some eCommerce store owners make is ignoring their 404 page. They forget that these are also part of the website that needs proper optimization for better conversions. eCommerce store owners that desire high sales must develop unique 404-page optimization methods.

    They can either design their own optimization ideas or pick one from this article. No one can entirely prevent visitors from landing on 404 pages, but efforts can be made to ensure they don’t leave the site without making a purchase. So act wisely.

    FAQs

    What does the 404 error indicate?

    404 error is a Hypertext Transfer Protocol standard response code that indicates the server was unable to find what was requested.

    What is 404 error in eCommerce websites?

    404 error in eCommerce websites indicates that the webpage is down to a misspelled URL, a broken link, or a product page doesn’t exist anymore.

    What are the best ways to optimize 404 error pages on eCommerce websites?

    Some of the best ways to make your 404 error pages of eCommerce websites impressive are:

    • Pitch in Your Most Popular Products
    • Display Product Categories with Working Links
    • Incorporate a Product Search Bar in the 404 Page
    • Sprinkle Some Humor or Add a Surprise Element

  • How to Write Product Descriptions for Your Ecommerce Store in the Most Optimized Way?

    It is a customer’s natural instinct to read a product description before buying it. especially when they are buying the product from an online website. This is because they need to be sure of the product, its ingredients, and its functions before purchasing it. Customers cannot be sure of the product quality just from a bunch of random information. So, they will always want to read product descriptions before making a decision on them.

    No matter how well-made the product is, someone cannot buy it if the product description is not clear. You need to have a very crisp yet informative description for your products as an optimized product description ensures high sales for your eCommerce store.

    This article will guide you on how you can write product descriptions for your eCommerce store in the most optimized way.

    What Is a Product Description and Why Is It Important?
    How to Write a Product Description for Your Ecommerce Store?

    What Is a Product Description and Why Is It Important?

    A product description is a piece of information that describes the product’s features and benefits. An optimized product description should have a list of ingredients or materials regarding the product in order to attract potential customers and boost sales.

    It is essential to have a product description for all the products on your eCommerce store. It is what will convince potential customers to buy your product and thus, aids in increased sales. People often think that a bunch of factory specifications is enough but it is not. You need to write a piece that contains well-organized and relevant information.

    An optimized product description shows your potential customer the value of your products. If you write it well, anybody reading it will know exactly why they should buy it. Besides, you should also add what problem your product solves. Potential customers often look through products for a solution to a personal problem. Your product will sell more if your product description is clear about what problem it solves.

    How to Write a Product Description for Your Ecommerce Store?

    Global Retail Ecommerce Sales from 2016 to 2021
    Global Retail Ecommerce Sales from 2016 to 2021

    Writing an optimized product description is crucial for an eCommerce store. The following steps will guide you on how to write a product description for your eCommerce store:

    Determine the Target Audience for Your Product

    Every product does not have the same target audience. You cannot write a product description about a blanket the same way you write it for a dress. Somebody looking for a blanket is looking for comfort and good sleep. While someone looking for a dress is looking for style.

    Thus, when writing a product description, you need to keep in mind who is your target audience. This will help you include key points in your product description, adhering to their needs and wants. Potential customers will lean towards your product once they read about it and know that it can fix their problem.

    Add All the Features and Specifications of the Product

    As a seller, you are obviously aware of all the features and specifications of your product. But the customers are not. So when writing a product description, make sure you write all the basic features and dimensions of the product. Besides, we suggest you mention how to use the product as well.

    However, along with this, you also need to add what is special about the product that makes it different from its competitors. This will make your product description stronger.

    A potential customer should know all the key features and benefits of your products. They will lean towards buying a product once they see that it can improve their quality of life.

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    Optimize the Product Description for Search Engines

    Search Engine Optimization (SEO) is the best way to attract traffic to your eCommerce store and your product description can help you do that. You can aim for high ranks on search engines by including keywords in your product description.

    Keywords are words that potential customers search online. For instance, a person looking for a black shirt will search, ‘black shirts for men’. Or a person looking for hair care products will search for something like ‘hair-fall control shampoo’. You need to include keywords like this in your product description. These keywords will vary from product to product. You will have to do research about the keywords regarding different products. But in the end, it will rank your products high on search engines. Thus, better potential for increasing revenue.

    Avoid Unnecessary Information in the Product Description

    Customers do not have the time to read unnecessary information in your product description. They just want to know the features and benefits of the product. If you write unnecessary phrases that do not add value to your product, the person reading it will get bored and most probably will lose interest in your product too. So we suggest you be smart with your description writing and avoid any kind of unnecessary information.

    Add Social Proof in the Product Description

    Adding social proof to your product description adds value to your product. People start developing interest in your product once they see it is genuine and is used by many others as well.

    So, what you can do is add an expert’s approval comment in your product description or you can even say it is tested by professionals (making sure that you actually get it tested). An even better trick is to add customer reviews in your product description. Potential customers love to see that other people like them have benefitted from using the product. It develops a sense of trust among the customers toward your eCommerce store.

    Amazon Product Description Example for Ecommerce Store
    Amazon Product Description Example for Ecommerce Store

    Make the Product Description Easily Scannable

    People have short attention spans. They do not have the time to read everything that’s on the product page. They will only read about 16% of the content. So, your product description needs to cover that 16% effectively.

    You can make that possible by making your product description easily scannable. Easily scannable basically means that it is crisp. It means that the buyer will be able to find the information they are looking for without having to read unnecessary things. You can do that by using bullet points, headings, short paragraphs, different sized fonts, and leaving enough spaces. This will make the description easy to read and understand and thus, reduce the chances of your eCommerce store losing a potential customer.

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    Use Good Images in the Product Description

    Just writing a good product description is not enough. It should be accompanied by good-quality images. About 63% of customers have more trust in product images than in the product description. Good images of the product let the potential customer imagine what the product will look like in real life. Thus, you must make it as appealing as possible.

    For instance, if you are selling a mobile phone, you need to add pictures of the front view, the back view, close-ups of the cameras, and the sides. The front view will convey the screen quality of the mobile. At the same time, the back view will convey whether the mobile can withstand a heavy fall. Along with that, the close-ups of the cameras will reveal the camera quality. The close-ups of the sides will tell the potential customer whether the phone is sleek or not. Thus, if the potential customer has a preferred size, camera quality, and sleekness, they can check that easily.

    Similarly, for any other product, good images are necessary. They basically say everything about the product without saying anything. You can also add a few features of the products in the images. Since people like to see the images more, you can convey a lot through them. This will enhance the product value of your eCommerce store.

    Test Your Product Description

    Even if you know exactly how to write a product description, using a template might help a lot. But unfortunately, there is no one kind of template that suits all product types. So, we recommend you make your own product description template.

    Do your research about your target audience. Learn what they want and don’t want and then include them in your product descriptions.

    A few things you should keep in mind when writing your product descriptions are:

    · What problem the product is solving?

    · What is the speciality of the product?

    · Include all the features and benefits of the product.

    · Include target keywords.

    · Adding pictures that clearly display the product’s key features and benefits.

    Once you have written a product description keeping these things in mind, test them out. Put them up on your eCommerce store along with the product and then monitor the reaction towards it. See if the description is helping to increase your sales, and boost your online traffic or not.

    If this new product description increases your sales, you have cracked the code. Now all you have to do is make your product descriptions similar to the ones you tested and you will see high sales for every other product. Including the right keywords will ensure that you are increasing your traffic. Everything you try out must ensure you are doing full-proof research and identifying and eliminating factors that are leaving a negative impact on your rankings. Thus, testing your product description is very crucial as it helps you to know what’s working and what’s not for your eCommerce store.

    Conclusion

    Coming to the end of this article, we hope to have been of help to you in writing product descriptions for your eCommerce store in the most optimized way. Kindly remember to provide all features and benefits of the product in the description. Besides, don’t add unnecessary information that will make people lose interest in your product. Finally, make sure you have good images and have tested your templates. Doing all of these efficiently will definitely help your eCommerce store in increasing its sales.

    FAQs

    How do you write a product description for eCommerce?

    The steps to writing a product description for eCommerce include:

    • Determine the target audience.
    • Add All the Features and Specifications of the Product.
    • Optimize the Description for Search Engines.
    • Avoid Unnecessary Information or Phrases in the Description.
    • Add Social Proof in the Product Description.
    • Make the Description Easily Scannable.
    • Use Good Images.
    • Test Your Product Description.

    What is SEO product title?

    Product title simply refers to the name of the product that appears on the product page of an eCommerce store. It tells the customers as well as the search engines about what you are selling.

    How many words should product descriptions be?

    A product description should be somewhere around 300 words. However, the number of words will vary from product to product.

  • How to Run Google Ads for a New Ecommerce Website

    Whenever you open the internet to check your social media accounts or watch YouTube videos, continuous tabs display on the screen. These may sometimes irritate you or might help you get the necessary product you were searching for. These are the Google Ads.

    In the era of eCommerce, brand exposure and reaching the target audience are of significant importance. Google ads, previously known as Adword campaigns, are enhancing eCommerce marketing. The scheme is to apply the easy tricks of Google ads in the developmental marketing strategy to fetch more traffic to your eCommerce business. Therefore, you need a well-defined process for using these ads to convert traffic into successful leads.

    In this article, we will provide comprehensive details regarding the campaign of Google ads and its function for your eCommerce business to grow successfully.

    Google Ads For Ecommerce Website
    How to Set Up Google Ads for a New Ecommerce Website?

    Challenges Faced During Google Ads Campaigns
    Some of the Popular Google Ads Campaigns

    Advertising Revenue of Google from 2011 to 2021
    Advertising Revenue of Google from 2011 to 2021

    There are mainly two types of Google ads which are the most popular for eCommerce. These are- Google Search Ads & Google Shopping Ads. Google search ads are text ad search campaigns that include a headline, description, and display URL. Google shopping ads on the other hand are specially meant to match potential customers looking for specific products.

    If you have a big online retail website then you can participate in both of these types. It can give you a high range of customers as the product visibility will be on a larger scale.

    Apart from these, there are certainly other types of Google Ads that you can use for eCommerce. These include Dynamic Search Ads, Google Remarketing Ads, Google Display Ads, etc.

    However, before executing any strategy, it will be better for you to check the Google analytics tool which can give you a review of the historical data for the last 6 months to 1 year about any campaign that was existing or ongoing.

    How to Set Up Google Ads for a New Ecommerce Website?

    Grow Your Ecommerce Website with Google Ads
    Grow Your Ecommerce Website with Google Ads

    The first you need to do is to set up a Google Ads account. All you have to do is sign in to Google ads with your existing or a new Google account. Then you need to mention your eCommerce website for which you want to run the ad campaign. After this, you will be asked to verify your account and you are done and ready to create your first Google ads campaign.

    The following steps will help you set up eCommerce Google ads for successful results:

    Set Your Google Ads Campaign Goals

    Before starting the eCommerce ad campaign, any business owner should know the aim of the business. Mostly, the aim is to sell the products or services. However, there are other reasons or objectives for running Google ad campaigns as well, like generating leads, brand or product awareness, increasing web traffic, and app promotion. The following are some of the campaign goals that must be considered for an eCommerce website:

    • Sales– The main goal of an ad campaign is to drive more sales. For this, you can use search, display, video, or shopping ads.
    • Leads– To get potential shoppers interested in the products that you are selling and convert them into a sale, you need to drive lead generation campaigns through video, display, search, or shopping ads.
    • Web Traffic– When you have a new eCommerce website, this should be one of the main goals in your mind. The types of ads that can help ypu drive more traffic include search, display, or shopping ads.
    • Brand/Product Awareness- This is another important ad campaign goal. Reaching the target audience to enlighten them about the products and services of your business, you can use visual display campaigns.

    Secondly, you have to understand the requirements of your campaigns and how you can reach the target audience which can further help you to get sure profit in terms of selling. Therefore, you can include search words or keywords that can direct a customer to the landing page of your website.

    Set Your Google Ads Campaign Audience

    Once you have a defined goal, now you can choose the audience. Therefore, you have to focus on the location and intent of the shoppers which will help you to sell your products or services.

    While choosing the audience, check the language and the geographical location of your target market. With the help of the ‘Location tab’, you can select that accordingly. After this, you will have to further define your target audience a bit more to fetch the potential buyers from the results estimated by Google according to the location, language, demographics, and interests of the audience.

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    Set Your Google Ads Campaign Budget

    Set Your Google Ads Budget
    Set Your Google Ads Budget

    Setting a proper budget is essential. You will have to note down how much you will spend in an entire month for a particular campaign. There will be two options:

    1. Standard
    2. Acceleration

    In case you are a beginner in the industry then you should invest in standard campaigns to avoid any big losses.

    Select the Bidding Strategy for Your Google Ads Campaign

    You should always focus on bidding aggressively when it comes to running ads on Google search or shopping.

    The main aim of the bidding strategy is how you are deciding about the payment for the Google ads. Again it will depend on the campaign aim of your eCommerce website. For example-

    • In case you want more sales, then click on maximise conversion.
    • For traffic, you should engage in the maximum clicking method.
    • For a more controlled campaign method, choose the Manual CPC tab. With this, you can bid per keyword. Another benefit of Manual CPC is the eCommerce page can stay on the first search list of Google.

    Bidding Tactics for Google Ads Campaigns

    Here, you will understand some important abbreviations related to the Google Ads and their importance:

    1. CPC (Cost Per Click): If you want more conversions and web traffic on your page then it is the ideal way where you get paid on the basis of per click.
    2. vCPM (Bidding On impression): For brand creations, you can use this strategy. Here you have to pay and bid for each 900-1000 impressions approximately.
    3. CPV (Cost Per View): This is mainly beneficial if you are using any visual display or video ads. It charges on the basis of per view on the video.
    4. ECPC ( Enhanced Cost Per Click): The best part about this strategy is to align your manual bidding. Hence, as per the increment of the conversion rate, the amount increases in the bid.
    5. Maximize Conversions: With the help of this strategy, you can get more conversion rates in the entire campaign without even crossing your budget line.
    6. Maximize Clicks: It is meant to help you get maximum clicks for your ad that too within your budget.
    7. Manual CPC: You can manually choose the CPC (Cost-Per-Click) maximum. Moreover, in this, you get more optimization control.
    8. Target Impression Shares: You might have noticed the ads on the top or other noticeable areas on Google pages while surfing the net. It is with the help of this impression target method that you can achieve it.
    9. Target Search Page Location: You can place the ads on the top portion of the Google search page by maximizing the clicks with this smartly designed strategy.
    10. Target Outranking: By using this strategy, you can outrank ads from other domains on the Google search page for more traffic.
    11. Target Cost Per Action: It is another fantastic strategy to gain more conversions from ads within the budget.
    12. ROAS (Return On Ad Spend):  This strategy helps you maximize conversions which in turn will help you to have increased ad spent returns.

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    Add Google Ads Extension

    The next step is to add your Google ads extension. You have to select and create your ad extension and save it. Once done, you will be headed to the next step, which is keyword selection.

    Research Keywords for Your Google Ads Campaign

    In this step, you will be required to set up your ad groups for the campaign and select your group keywords. Your ad campaign can only be effective and the cost can be saved if you use accurate keywords. For keyword researching, you can use tools like Google keyword planner, SEMrush, and Google Search Console.

    • Google keyword planner is useful for eCommerce business owners who want to sell their products online. Moreover, it is a free Google tool.
    • SEMrush will help you to choose keywords that your competitors are also using. Therefore, you will get an idea about the market and trending keywords.
    • Google Search Console is useful to understand client requirements of keywords.

    Create Google Ads Copy that Converts

    After you are done with your keyword research, it is now time to create an appealing Google ads campaign for your eCommerce website that converts. Here you will be required to fill in three headlines, two descriptions, a display URL, and a destination URL. Make sure to include your main keywords in the headline for a better CTA (Call-to-Action).

    Optimize Google Ads Campaign for Your Ecommerce Website

    If the Google ad campaign is not optimised well then it can create various issues like higher costing, fewer clicks, and lower quality scores. The following are some of the important tips for optimization that you should keep in mind:

    • Keep a check on your keywords to determine which ones are working and which ones can be removed.
    • Testing and optimizing display URLs from time to time.
    • Use Google Ad alerts for making the optimization budget-friendly.
    Sitara Foods - A Homegrown Brand Benefitted from Google Ads
    Sitara Foods – A Homegrown Brand Benefitted from Google Ads

    Ad Text Optimization for Your Google Ads Campaign

    This is the most interesting and essential step after Google Ads Optimization. Here, you will have to optimise the texts in ad format for the landing page of your website. However, few advertisers face challenges running the campaigns of text optimization. You should write effective and crisp texts for this purpose. Things to consider while optimizing ad texts of Google ads are:

    • Provide accurate keywords relevant to the product. Adding the keywords to the headline can be a good idea.
    • You should always focus on the USP of your business while promoting the product or service and give your customers enough reasons why they should opt for your product instead of your competitors.
    • A CTA (Call-to-Action) should be added which can give you an idea about the customer requirements when they are clicking on the ads.

    Challenges Faced During Google Ads Campaigns

    Many times it is seen that the first campaign is created and you are not getting the desired response. Here are the main challenges and the solutions listed that can help you:

    1. Clicks are expensive and less in number

    One of the salient reasons for the high CTR and CPC is the quality score. It helps to understand the placement or location of the ads and affects the CPC rates equally. Now the question may arise, how will you understand the quality score of your ad campaign? You can check the historical data of CTR, keyword relevancy, and quality, of the landing page to get an idea about the quality score.

    To make a quality score high follow these tips:

    • Review keywords and targeting.
    • Adjust the negative keywords.
    • The URL content should be original and not deceiving.

    2. Issues With Irrelevant Clicks

    Another mistake by advertisers is the usage of irrelevant keywords that cost them more and result in nothing good. Instead, you should drill and dig more into the accurate keywords to match the interests of the target audience. For this, you need to look for accurate keywords for paid search.

    3. Good Clicks But No Conversion

    It is another most common challenge faced by the advertisers while running the Google ad campaigns where CTRs are showing amazing results but no leads or sale happens. For such scenarios, check the landing page and also, check if the URL is matching with the content that your customers are trying to search. Another reason for this may be the slow loading time of your eCommerce website. You can fix the landing page with the help of the following:

    • Check the technicalities of the promotional and the landing pages to see if all the products are listed well or not.
    • Optimise the product pages for sales.

    4. Many Impressions But No Clicks

    You might often see numerous impressions on the page but there is less number of clicks which means that your keywords and targeting are doing fine. This may happen due to a poor-performing ad copy. It happens mainly due to ill performance adding copy. You can fix poor CTRs with the help of the following:

    • Test with alternative descriptions or headings. Doing so will give you an idea about the better keywords.
    • You should highlight the main things like product description, benefits, features, issues, and solutions related to those issues.

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    The following are some of the most popular google campaigns to have for an eCommerce website:

    1. Branded Campaigns for Google shopping

    It is the basis of the Google ad campaigns. Test with the branded shopping campaigns to understand the audience and their requirements. It will also help in your brand promotion. However, this is pretty expensive.

    2. Non-Branded Campaigns

    If you are new in the ecommerce business then it will help you to reach the target audience who are showing interest in the products or similar niche that you are selling.

    3. Google Smart Shopping

    You can combine Google shopping along with automatic bidding and display promotion or marketing techniques. These campaigns include Gmail, YouTube, and search and display networks.

    4. Dynamic Search Ads

    It is one of the excellent campaigns. The best part about these campaigns is that they are less time-consuming, have large coverage to the audience, provide automatic updates and editing possibilities, and extension of the keywords. Again, keep in mind that dynamic search ads are only advantageous if your online unit has numerous products or contents.

    5. Contextual Display Ads

    If you are looking for brand promotion and awareness amongst a large number of people then this campaign is beneficial for you. Google contextual options are available in the displaying network and it is helpful for both newbie and existing eCommerce business owners.

    Conclusion

    In the above article, we tried to include all the aspects that will help you run Google ads for your new eCommerce website. Running Google ads might not be very easy but it is not too difficult either. With the right goals, budgeting, keywords, and optimization, you are sure to yield the best results out of the ads for your eCommerce website.

    FAQs

    Does Google Ads work for eCommerce?

    Yes, Google Ads work well for eCommerce. Many eCommerce businesses take advantage of Google ads to promote their brands and increase sales.

    What are Google Shopping ads?

    Google shopping ads are the type of ads that shows detailed information regarding specific products that your store is selling online.

    Are Google Ads worth it for small businesses?

    Yes, Google ads are totally worth it for small businesses because of their flexibility. As a small business owner, you can start, stop or even adjust your bids anytime as per your convenience.

  • What caused Klarna’s valuation to drop from $45 billion to $15 billion

    Klarna, a European buy-now-pay-later (BNPL) service provider, is raising investments at a valuation of $15 billion. There was a dramatic decline in their mid-2021 $45 billion valuations and the estimated 2022 $30 billion figure. In recent quarters, not just Klarna, many fintech companies have fallen sharply.

    Klarna is the second-largest BNPL service provider. It allows interest-free finance to consumers. These services have gained popularity, especially after the COVID-19 pandemic.

    The latest investments in Klarna were led by SoftBank’s Vision Fund 2. They cement its status as one of the finest fintech startups by valuation. However, this market is deteriorating at a rapid rate and the best-known private fintech company is caught in the mix. Here’s why Klarna’s valuation dropped from $45 billion to $15 billion in 2022.

    What is Klarna?
    Klarna Valuation to Drop From $45 Billion to $15 Billion
    Why Is Klarna’s Valuation Declining?
    The Situation of Klarna in 2022
    Investments & Backers of Klarna in 2022

    What is Klarna?

    Klarna is a Sweden-based fintech company. It was established in 2005 in Stockholm. Niklas Adalberth, Sebastian Siemiatkowskiand Victor Jacobsson are the co-founders. Their sole purpose is to make online shopping effortless for consumers.

    Klarna, also known as Klarna Bank AB, offers numerous online financial services. These include direct payments, online storefronts or BNPL services. Since 2005, Klarna has been on a mission to make payment as simple, safe, and smooth as possible.

    After serving the world for over 17 years, Klarna is now the world’s leading global payments and shopping service. Today, it holds almost 147 million users with more than 400,000 merchants across 45 different countries.

    Klarna Valuation to Drop From $45 Billion to $15 Billion

    The Swedish fintech company is seeking to raise funds at almost three times less valuation. Last time the company closed the round at a valuation of $46 billion with SoftBank, becoming the world’s second valued startup. However, on Friday Wall Street Journal reported that the valuation shrank to $15 billion while raising $500 million from investors. The journal reported that last month Klarna had pitched a proposal of $30 billion to the investors, which now closed at $15 billion.

    Valuation History of Klarna
    Valuation History of Klarna

    Why Is Klarna’s Valuation Declining?

    Last month, the Journal reported that Klarna’s CEO Sebastian Siemiatkowski made public the company’s situation. Citing market constraints, he announced that the company was laying off 10% of its international workforce.

    Through a pre-recorded video message, he said, “We are strongly influenced by the outside world. When we set our goals for 2022 in the autumn, it was a very different world than the one we have today. What we are seeing now in the world is not temporary or short-lived, and hence we need to act.”

    In the same week, Sifted reported that the company’s pre-tax losses have tripled to $250 million in the first three months. BNPL startups, such as Klarna, survive a low-interest-rate environment. Merchant fees and late payment charges bring enough revenue but the margins have been narrowing, as of now.

    The company’s CEO also spoke about how users are gravitating towards debit and rejecting interest-and-fee-laden credit. He said, “Consumers continue to reject interest-and fee-laden revolving credit and are moving toward debit while simultaneously seeking retail experiences that better meet their needs,”

    “More transparent and convenient alternatives align with evolving global consumer preferences and drive worldwide growth,” he added.

    The Situation of Klarna in 2022

    Starting in 2022, when Klarna submitted its first-quarter report, it was noted that 10% of the staff were terminated. However, speaking over the report, the company said that “still seeing strong growth across the business”, it was “time to consolidate and capitalize on strong foundations”.

    Now, looking at the huge financial loss, it seemed that this was the reason why the company decided to cut costs.

    As per the report, Klarna’s last fundraise was way lower than the previously raised value. They planned to raise a total of 1 billion dollars with a valuation of 30 billion dollars. However, the board conference didn’t go well and they had to adjust with a valuation of 15 billion dollars.

    Thereby in an attempt to cover the losses, Klarna’s CEO in early June declared that it would terminate its global employees. As a result, approximately 700 employees would lose their jobs.

    Investments & Backers of Klarna in 2022

    Swedish battery maker Northvolt raised $2.75 billion in a round valuing the company at $11.75 billion. According to Pitchbook, 2021 set a record for European tech startups raising $52B. As of June 22, European startups have already raised $45 billion.

    “The international money is coming into Europe,” Hans Otterling, general partner at Northzone and an early investor in Klarna, told CNBC. “For Silicon Valley, the talent pool has been depleting for some time. We have a huge talent pool in Europe.” Klarna’s other backers include the likes of Chinese fintech giant Ant Group and U.S. rappers Snoop Dogg and ASAP Rocky.

    Last month, Klarna was hit with a data breach. Consumers reported that they were being logged into others’ accounts. This caused the company to officially shut down their app.

    They addressed the issue later through a blog post. They stated the bug was caused by “human error” and that it had “informed appropriate authorities.” However, this affected more than 9500 Klarna consumers.

    Almost 73% of all e-commerce exchange transactions drove through Klarna. Due to the everlasting customer acquisition, the company claims to hold a valuation of a total of $45.6 billion in 2021. It is seconded by investors across the world. Some of them are Silver Lake, Dragoneer, Permira, Atomico, Sequoia Capital, Ant Group, Bestseller Group and Visa.

    FAQs

    What is the valuation of Klarna?

    The valuation of Klarna is $45.6 billion but is predicted to drop down to $15 billion.

    Who founded Klarna?

    Sebastian Siemiatkowski and Niklas Adalberth founded Klarna in 2005.

    What is the revenue of Klarna?

    The revenue of Klarna was $1.42 billion as of 2021.

  • Berrylush – Enhancing the Era of Fashion for Women With Its Dresses

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Berrylush.

    We all do love to stay in fashion, right? In the era of the 21st century, the styling trends of the fashion sector are currently dominating the globe more than ever! In this present era, companies are not only controlling the procedure of the people’s dressing sense but also the trends in makeup, fashion, and many more. During the 60s flares weren’t everything but also the particular styling stuff defined an entire generation which is prominent to date. Fashion is very bold and this boldness is reflecting the ongoing generation who are not at all frightened of speaking on their face. It is simply not just a means of clothing but also showcases your personality.

    Berrylush is a company brought into existence, especially for the younger women generations who are concerned more and genuinely about looking good and having fun. Read the Berrylush success story below!

    Berrylush – Company Highlights

    Startup Name Berrylush
    Headquarters Noida, UP, India
    Industry E-Commerce, Fashion, and Textiles
    Founders Alok Paul and Anusha Chandrashekar
    Founded 1st September 2018
    Website berrylush.com

    Berrylush – About
    Berrylush – Industry
    Berrylush – Founders and Team
    Berrylush – Startup Story
    Berrylush – Mission and Vision
    Berrylush – Tagline and Logo
    Berrylush – Business Model
    Berrylush – Revenue Model
    Berrylush – Online and Social Media Presence

    Berrylush – About

    Berrylush is a very inspiring clothing company for women of younger ages looking forward to looking decent and confident. It is quite an affordable clothing company that mainly provides its consumers with the best online shopping experience on the Internet. Their concept is to make females glow with their exotic designed dresses.

    Berrylush – Industry

    The Indian textile marketplace is anticipated to be growing and its worth is gonna rise to $209 billion by 2029! Cotton production is also anticipated to reach 37.10 million bales. The marketplace is additionally anticipated to regain and then grow by 10% to reach $190 billion by 2025-26.

    Berrylush – Founders and Team

    Alok Paul and Anusha Chandrashekar - Berrylush Co-founders
    Alok Paul and Anusha Chandrashekar – Berrylush Co-founders

    Alok Paul and Anusha Chandrashekar are the founders of the company Berrylush.

    Alok Paul

    Alok Paul is presently the co-founder of two different companies namely Berrylush and Prime Seller Hub. Initially, he was an engineer and he worked at companies like Accenture.

    Anusha Chandrashekar

    Anusha Chandrashekar is the co-founder and the CEO of the company Berrylush! She also began her career as an engineer and she worked in companies like Tata Consultancy Services and Deloitte.

    Berrylush – Startup Story

    Alok Paul and Anusha Chandrashekar began the company Berrylush with just four machines and a very little squad. Anusha was an IIM Raipur graduate who always used to be relatively intense about the fashion sector and did dream of running a women’s western wear brand all on her own. And her batchmate, Alok, was enthusiastic about creating eCommerce businesses!

    Both got married to each other and also gave importance to each other’s attention. Soon after the couple inaugurated an online women’s western wear brand ï»żBerrylushï»ż in Noida, India.

    Berrylush – Mission and Vision

    The mission and the vision of the company Berrylush is to make females feel completely different whenever wearing Berrylush dresses.

    Berrylush Logo
    Berrylush Logo

    The tagline of the company Berrylush is, ‘You are already beautiful. Our mission is to make you feel that way.’

    Berrylush – Business Model

    Berrylush business model is an asset-light model! The brand has got just two destinations situated in Noida which is an office and a manufacturing department which has got around 120 machines within. There are 14 regional fabricators who manufacture solely for the brand Berrylush.

    The clothes are sold directly to the consumers with the help of Myntra which holds around (55 percent of the sales), the official website which holds around (20 percent of the sales), Ajio also holds around (10 percent of the sales), and additionally, others hold (15 percent of the sales).

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    Berrylush – Revenue Model

    Berrylush is an e-commerce brand and hence the term e-commerce makes the concept quite easier for all to understand how the company is earning money. The statistics mentioned above showcases a part and is a simple B2B (Business 2 Business) retail company.

    Berrylush – Online and Social Media Presence

    Berrylush is a very famous name and most of the girls reading this article know quite well about the brand. It is relatively a renowned brand if you are looking forward to online shopping, especially from the platforms of Nykaa Fashion, Amazon, Flipkart, Myntra, Ajio and so on.

    Other than the shopping spaces, Berrylush is actively present on the social media pages of Instagram, Facebook, and also has got its name on various web portals.

    FAQs

    When was Berrylush founded?

    Berrylush was founded in 2018.

    Who is the founder of Berrylush?

    Berrylush was founded by Alok Paul and Anusha Chandrashekar.

    What are the platforms to buy Berrylush dresses?

    Berrylush dresses are sold on different platforms:

    • Berrylush
    • Myntra
    • Nykaa
    • Amazon
    • Ajio
    • Flipkart
    • Poshmark

  • OLX – An Online Classified Marketplace That Transformed Buying & Selling

    Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by OLX.

    The internet is a virtual platform where every industry has got a business concept of its own! Earlier concepts were not as easy as it is today. Anyway, now the normal trade and commerce evolved and came to be known as e-commerce. Webshops are the usual locations to buy and sell commodities online.

    OLX is a classified marketplace. Over here connecting with people such as both buyers and sellers are very easy. Finding clients is completely free on this platform and one can use OLX from a phone and laptop respectively. When individuals are buying anything from OLX they exactly do not buy from OLX but do buy from a seller of OLX. Read the OLX Success Story below!

    OLX – Company Highlights

    Startup Name OLX
    Headquarters Amsterdam, Noord-Holland, Netherlands
    Industry E-Commerce
    Founders Alec Oxenford and Fabrice Grinda
    Founded 2006
    Parent Organisation Prosus
    Website olx.com

    OLX – About
    OLX – Founders and Team
    OLX – Startup Story
    OLX – Mission and Vision
    OLX – Tagline, Slogan and Logo
    OLX – Business Model
    OLX – Revenue Model
    OLX – Growth
    OLX – Online and Social Media Presence
    OLX – Competitors
    OLX – Future Plans

    OLX – About

    OLX is a marketplace where both buying and selling of products such as furniture, electronic gadgets, cars, accessories, bikes and household items goes on! It is a space that is currently serving more than 300 million people each passing month.

    OLX – Founders and Team

    Alec Oxenford and Fabrice Grinda are the Co-founders of OLX.

    Alec Oxenford

    Alec Oxenford - Co-Founder of OLX
    Alec Oxenford – Co-Founder of OLX

    Alec Oxenford is an entrepreneur! He was the co-founder and the CEO of the company OLX and there he served for a time of around nine long years. Presently he is the co-founder of Alpha Capital Acquisition Company. He completed his MBA from Harvard Business School.

    Fabrice Grinda

    Fabrice Grinda - Co-Founder of OLX
    Fabrice Grinda – Co-Founder of OLX

    Fabrice Grinda was the co-founder and the CEO of the company OLX! Presently he is the founding partner of FJ Labs where he has been serving for the past nine years. He fulfilled his education at Princeton University.

    OLX – Startup Story

    OLX was founded in 2006 by Fabrice Grinda and Alec Oxenford. The founders thought about bringing an online platform into existence with the help of which consumers will be able to sell unwanted commodities at no cost to themselves!

    Fabrice took into notice in person that the larger online marketplaces such as eBay and many more had substantial operations all across the advanced marketplaces but did show a bit of attention in establishing a presence in the rising markets mainly across Latin America, Eastern Europe, and South-East Asia.

    Fabric and Alec thereafter developed the OLX platform to cater specifically to the consumers in all the rising marketplaces.

    OLX – Mission and Vision

    The mission and the vision of OLX is to operate an online marketplace, especially for consumer-to-consumer sales, targeting users in the rising marketplaces, providing a safe, credible and efficient procedure for consumers to buy and sell commodities.

    OLX Logo
    OLX Logo

    The new tagline of the brand is, ‘Set Hai.’

    OLX – Business Model

    The business model of OLX is based to provide a space for the consumers to buy and sell products. According to the reports, there are more than 300 million active users of the renowned space.

    Around 65% of the users of OLX are mostly younger male members. The rest are the middle-aged ones who generate traffic to the site. OLX serves more than 45 countries in the world and its largest markets are present in India and Poland.

    OLX – Revenue Model

    OLX Revenue
    OLX Revenue

    OLX generates its revenue with the help of the growth and system of an online and mobile classified ads space!

    OLX major revenue streams are:

    • Google Adsense, with the Company regulating the traditional display and banner advertisements based on the searches made by each user.
    • Sponsored and premium listings, where users can stimulate their product listings by paying a little amount fee, or maybe later all the businesses can pay to have their listings occur at the top of the results for particular searches.

    OLX does not publish its financial results on its website!

    OLX – Growth

    OLX has seen incredible growth in the country of India. The website is really simple to drive through and also it focuses especially on mobile and proper advertising. Their different transmission strategy surely ensures total brand appeal across the board.

    Olx can be used by anyone and everyone regardless of their social, cultural and geographical significance!

    OLX – Online and Social Media Presence

    OLX has got its social profiles on Facebook, Instagram, Twitter, and its professional profile on LinkedIn. Apart from traditional marketing, OLX has switched to market its services in the digital space as well. The company is quite a renowned brand and also it has got its name on various web portals.

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    OLX – Competitors

    The top competitors of the company OLX are Quikr, Clickindia, and Sulekha.

    Quikr

    Quikr is one of the top competitors of OLX. The company was founded in 2008 and is headquartered in Mumbai, Maharashtra, India. Quikr competes in the Online Marketplace Sector.

    Clickindia

    Clickindia is also one of the top competitors of Quikr. The company was founded in 2007 and is headquartered in Noida, Uttar Pradesh, India. Clickindia competes in the Real Estate Agencies Sector.

    Sulekha

    Sulekha is perceived as one of the top competitors of OLX. The company was founded in 2006 and is headquartered in Chennai, Tamil Nadu. Sulekha competes in the Business Information Research Sector.

    OLX – Future Plans

    The plan is to grow the user base, enhance the prevailing categories, grow the new business lines and strengthen the core theme of customer-centricity across the entire OLX goods portfolio! The current brand modification aims to appeal to the global millennials.

    FAQs

    Who is the founder of OLX?

    Alec Oxenford and Fabrice Grinda are the co-founders of OLX.

    When was OLX founded?

    OLX was founded in 2006 in Amsterdam, The Netherlands.

    What is the revenue of OLX?

    OLX India’s operating revenue in FY21 was recorded to be INR 228.63 crore.

    Who are the top competitors of OLX?

    The top competitors of the company OLX are:

    • Quikr
    • Clickindia
    • Sulekha

  • Top 7 Conversion Rate Optimization Tools for Your Ecommerce Website

    One might have heard about conversion rates if they have an eCommerce website. It is not something we talk about on a daily basis, but it is something that is very important when it comes to boosting your online sales.

    Conversion rate translates into how much traffic your eCommerce website is getting. It also determines how much revenue your company will have. Because the more the conversion rate, the higher the sales will be. So, in this article, we will discuss some of the most popular website conversion tools that will help you increase your conversion rate on your eCommerce website in 2023.

    Best ways to increase your e-commerce conversion rate

    What is Conversion Rate?

    In simple terms, conversion rate refers to the percentage of visitors who take the desired action on a website. Say you have an eCommerce business website where you sell sunglasses. Like any other business, you will post advertisements for your products online. Let’s say about 2,00,000 people saw your advertisement. But only 40,000 clicked on the advertisement. And then finally, only 5,000 actually completed the action. By completing the action, we mean purchasing the advertised product. The conversion rate optimization is calculated by dividing the number of actions by the number of interactions. In this case, the conversion rate will be 0.125 or 12.5%. Thus, the conversion rate is the rate at which actions take place based on the customers’ interactions.

    Now you might wonder why a higher conversion rate is important. Well, it is significant due to a number of causes like it helps you compare various advertisement campaigns. By seeing the conversion rate, you can know which advertisement is working well for you and which isn’t. It also lets you know what your best products or services are. In this way, you can focus more of your resources on the production of those goods.

    Ecommerce conversion rate by industry
    Ecommerce conversion rate by industry

    List of Conversion Rate Optimization Tools to Increase Revenue of your Ecommerce Website

    The following are some of the most popular tools that will help you increase the conversion rate on your eCommerce website in 2023:

    Unbounce

    Rating: 4.4 out of 5

    Unbounce - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    Unbounce – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    Unbounce creates the best landing pages for your website without any coding. It works perfectly on both desktop and mobile applications. It has a drag-and-drop functionality that lets you pull together the pages fastly, thereby saving you time and effort.

    Unbounce increases the conversion rate on your website with the help of popups. It sends your target audience personalized offers that are more likely to convert. The best thing is that you can see how all this will appear to your audience, beforehand.

    It has ready-to-use templates for landing pages, popups, and sticky bars. This software is automated that gives you more time to focus on your campaigns.

    Unbounce Conversion Intelligence Platform gives you access to a variety of easy-to-use AI tools. The website conversion tools like Smart Builder and Smart Traffic deliver your content to your visitors and in turn, improve your conversion optimization rate.

    Pricing Package

    Unbounce has 3 pricing packages, starting from $81 to $203 per month. A free trial of Unbounce is also available.

    Launch $81/month
    Optimize $122/month
    Accelerate $203/month

    HubSpot

    Rating: 4.4 out of 5

    HubSpot - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    HubSpot – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    HubSpot claims to be the best conversion rate optimization tool, a perfect blend of Google Analytics, SumoMe, and CRM. The software starts with an exit-intent popup CTA and then it learns about your site visitors. After that, it follows their paths through your pages.

    It has easy-to-use, appealing templates and also prefilled forms with data. For instance, let’s say that a contact existing in Hubspot’s database is filling out a form on a website using the software. Hubspot will fill in the data in the form that it already has. Thus the visitor has fewer things to type. Things like these are important to turn visitors into customers.

    Hubspot has tools that give you detailed insights into your prospects. It not only increases your conversion rate but also lets you see how much it has increased. The software pairs with a dashboard that shows which marketing tactics are working and converting and which ones aren’t.

    HubSpot CRM Tutorial for Beginners 2023

    Pricing Package

    Hubspot has 3 pricing packages, starting from $0 to $3,200 per month. A free trial of Hubspot is also available.

    Free $0.00
    Starter $50/month
    Professional $800/month
    Enterprise $3,200/month

    Optimizely

    Rating: 4.2 out of 5

    Optimizely - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    Optimizely – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    It is one of the best conversion rate optimization tools, as it offers specific features for eCommerce businesses. These features include testing for landing pages or working on parts of your website that needs help. It is also highly driven by good research.

    Optimizely experiments with different kinds of check-out options to avoid cart abandonment. Besides, it also provides chatbots to improve customer service. This, in turn, increases the conversion rate as the customer will get the help that they need.

    Since it is so driven by research, it provides you with customer-based insights about your website. This ultimately helps you make effective changes to your eCommerce website.

    Pricing Plans:

    Optimizely pricing is available on request. You’ll need to reach out to the vendor for a custom quote.

    Woopra

    Rating: 4.4 out of 5

    Woopra - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    Woopra – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    It is software that analyses end-to-user journeys. Woopra increases conversion rate by identifying the weak points. It tracks the behaviour of your visitors and then identifies when and why they are not completing their actions. This gives you enough insight to fix those problems and increase your conversion rate.

    It identifies why and when visitors are leaving your website and fixes that. This prevents the risk of unfinished actions (purchases).

    It is very swift in its work and lets you take real-time actions. With Woopra, you can know exactly what actions your visitors have taken, what parts of the website they like, and what parts they don’t like. It also helps you in improving the parts that need work.

    Besides, Woopra provides personalized messages and offers for the target audience. It also sends important notifications to your team.

    Pricing Package

    Woopra offers 3 pricing packages, starting from $349 to $5,000 per month. A free trial of Woopra is also available.

    Core $0
    Startup $349/month
    Pro $999/month
    Enterprise Edition $5000/month

    ConvertBox

    Rating: 4.4 out of 5

    ConvertBox - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    ConvertBox – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    ConvertBox is another popular tool to increase conversion rate on your eCommerce websites.

    First, it engages the visitors by addressing them by their name or business or some other data that you’ve collected. Then it guides you through creating customized offers for specific groups of visitors. This helps to develop the interest among your potential customers.

    ConvertBox then collects all the data you need from checkboxes, form files, and drop-downs. It then sends this data to various services using their powerful form integrations.

    It then encourages you to create an illusion of scarcity on your website, be it of products or services and then introduces a countdown timer inside your call-to-action. This will create a buzz on your website for limited offers or launches. The software will promote exactly that and thus, encourage lead visitors to turn into customers with a few clicks.

    Moreover, ConvertBox lets you directly include multiple marketing tools and services at the correct time. This can include showing promotional videos, options for scheduling meetings, customer support chat boxes, etc.

    ConvertBox Review: Lead capture tool

    Pricing Package

    ConvertBox offers a special lifetime price of $495 for the Standard Plan. You can also upgrade to the Pro Plan for an additional $95 for a total price of $590.

    Standard Plan $495 one-time payment for lifetime
    Pro $590 one-time payment for lifetime

    Lucky Orange

    Rating: 4.6 out of 5

    Lucky Orange - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    Lucky Orange – Best Tools to Increase Conversion Rate on Your Ecommerce Website

    Lucky Orange conversion optimization tool has a variety of features. It records sessions that let you look at the browsing pattern of a visitor. This enables you to understand visitors’ activity patterns.

    You can even customize the whole recording process. For instance, one can choose to view session recordings of only customers with high cart values or of customers who haven’t abandoned the activity. Basically, you can filter your recordings according to your liking and can change them anytime.

    This software creates a conversion funnel for analysis to tell you how many people did not complete the funnel and left it in the middle.

    It shows you which particular page or section of it is causing visitors to leave. This enables you to remove that particular section and focus on the ones that are doing well.

    An important part of increasing the conversion rate is by introducing forms and making sure people fill them up. With Lucky Orange’s form analytics, you can get a clear picture if your form is working or not. If it is not working then conversion rate optimization software also tells you why people aren’t filling it up till the end. Besides, with the help of Lucky Orange, you can track how much time it takes visitors to fill out the forms. Not only that, but you can also compare the time needed to fill out the different sections to find out which ones might be difficult to answer.

    Pricing Package

    Lucky Orange offers 6 pricing packages, starting from $18 to $150 per month. A free trial and custom plans or complex needs of Lucky Orange are also available.

    Free $0
    Build $18/month
    Grow $35/month
    Expand $70/month
    Scale $150/month
    Enterprise Custom Plans

    Vyper

    Rating: 4.6 out of 5

    Vyper - Best Tools to Increase Conversion Rates on Your Ecommerce Website
    Vyper – Automated conversion rate optimization software

    It is an automated conversion rate optimization software that works best for social media promotions. Its strengths lie in seamlessly executing giveaways and other kinds of promotions. One can use Vyper to pre-launch their giveaways, launch the giveaways, and also for the winner announcement posts. The software tracks the activity of the audience both before and during the giveaway.

    Vyper provides you with innumerable templates that you can use to customize your social media campaigns. It is also known for having an outstanding visual editor with amazing designs for every kind of promotion or giveaway.

    It provides Gamification for audience engagement. This is a game-changer, as it increases customer interactions to the next level. With Vyper, you can track the engagement on your promotions and also track the increase and decrease of your followers and leads.

    Vyper also allows customization of landing pages and thank you pages ensuring a high conversion rate.

    Pricing Package

    Vyper offers 2 pricing packages i.e. Enterprise and Agency. A free trial of Vyper is also available.

    Free $0
    Enterprise $149/month
    Agency $299/month

    Conclusion

    Conversion rate are essential for your eCommerce business. We hope that you will not take it lightly and do everything you can to increase them. The above-mentioned are some of the most popular and effective tools that will help you increase conversion rate for your eCommerce website. Thus, take the help of any of these tools and get to the top of the game in a short time.

    FAQs

    What is a good conversion rate for an eCommerce website?

    A good conversion rate for an eCommerce website on average is between 2% to 5%.

    How do I increase my eCommerce website conversion rate?

    You can increase your eCommerce website conversion rate with the help of the following:

    • Use good-quality images.
    • Add clear product descriptions.
    • Offer free shipping.
    • Offer competitive prices.
    • Add CTAs.
    • Add positive reviews.
    • Use live chat software and chatbots.

    Which are the best tools to increase the conversion rate on an eCommerce website?

    Some of the best conversion rate optimization tools are listed below:

    • Unbounce
    • HubSpot
    • Woopra
    • Optimizely
    • ConvertBox
    • Lucky Orange
    • Vyper

    Why is conversion rate so important?

    Conversion rate optimization is important because it helps you increase revenue per visitor, acquire more customers, and grow your business.

  • Top 5 Reasons Why No-Reply Emails Are Bad for Your Ecommerce Store?

    “Good communication is the bridge between confusion and clarity.” This is a well-known and rightly said quote by Nat Turner. Good communication and good customer relationships can make or break your business. However, you might be putting all that at risk by using a no-reply email.

    Many businesses use no-reply emails for their email marketing campaigns. It does seem like a useful way to avoid cluttering your inboxes. But it might break the foundation on which your business stands.

    What Are No-Reply Emails?
    Why No-Reply Emails Are Bad for Your Ecommerce Store?

    What Are No-Reply Emails?

    No-reply emails are the email addresses that are not set up to receive incoming messages. These emails’ format looks like, “noreply@yourwebsite.com or donotreply@domain.com.” These emails do not allow the recipients to reply. The recipients receive a “Message cannot be delivered” notification in case they try to reply. Such emails are adopted by companies to avoid cluttering their mailboxes.

    These emails do seem convenient to the senders. However, it acts like a brick wall between the sender and receiver as it disconnects the two-way communication.

    Think of it from your customer’s perspective. Which company would you rather work with the one that values your opinion or the one that does not? Obviously, the former one. Customers value businesses that value them in turn.

    So, using a no-reply email might be one of the major reasons why you’re losing customers. No-reply emails can be highly misleading and lead to mistrust among your audience. In this article, we will know how a no-reply email can harm your eCommerce store.

    Why No-Reply Emails Are Bad for Your Ecommerce Store?

    No-reply emails can be harmful to your business in many ways. Here are the reasons how no-reply emails can adversely affect your eCommerce store:

    Average Time People Spend Reading Brand Emails from 2011 to 2021
    Average Time People Spend Reading Brand Emails from 2011 to 2021

    No-Reply Emails Damages the Customer Experience

    No-reply emails are used to avoid receiving responses from the users. It helps businesses save time. However, it is not worth it as in this way, you are blocking two-way communication. You might be saving time or effort but you’d be putting your customers and your reputation at risk.

    Let me tell you something. A month ago, I received an email from a company. I found some gaps in there and tried to communicate the feedback by replying. However, the email kept on bouncing. I couldn’t understand why and at last, I got frustrated and unsubscribed from the newsletter. So, the company not only lost valuable feedback but also a subscriber. This is what happens when you use a no-reply email. You are probably missing out on hundreds and thousands of valuable feedback and subscribers.

    You might direct your audience to other pages by adding your contact information. But still, at the end of the day, everyone prefers convenience. People would prefer to reply to your email rather than being redirected to other pages for submitting their feedback. So, you should always lead your customers to a responsive environment and not a dead end.

    Domino's Pizza No-Reply Email Example
    Domino’s Pizza No-Reply Email Example

    No-Reply Emails Damages Your ECommerce Store’s Email Marketing

    The main point of your email marketing campaign is to build trust among your audience and strengthen your brand’s reputation. No-reply emails don’t serve this purpose. Rather, they cause more harm than good.

    An effective campaign aims at increasing customer engagement and receiving feedback from them. You might be ruling out the entire point if you’re using a no-reply email for your eCommerce store.

    These emails can adversely affect your brand’s reputation. People might start to believe that you do not value your customers and their opinions. A brand’s reputation is its most prized asset and you’d be endangering it if you use a no-reply email.  

    Using no-reply emails for your email marketing is harmful to your eCommerce store in two ways. Firstly, you are disabling your customers to respond or send any feedback to you, leading to mistrust. Secondly, you are losing your brand’s reputation as people are less likely to engage with you on other channels like blogs or social media as well.

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    No-Reply Emails Harms Your ECommerce Store’s Email Deliverability

    Your email might not even get delivered if you are using a no-reply email. Yes! You heard that right. All your efforts in writing the email, worrying about the subject lines, and crafting the perfect copy might all go to waste.

    You must be thinking how does that even happen? Well, many internet service providers like Comcast or AT&T do not allow such emails to reach the client’s inboxes. At times, a person’s email security settings can also send the emails to the spam folder.

    No-reply emails lead to low deliverability and open rates. Since, emails are an important aspect for an eCommerce store, using no-reply emails is sure to be harmful to your business.

    No-Reply Emails Can Lead Your Ecommerce Store to the Spam Folder

    Daily Number of Spam Emails Sent Worldwide as of 2021 by country
    Daily Number of Spam Emails Sent Worldwide as of 2021 by country

    If your audience doesn’t feel valued, they might send the email to the spam folder. They would not want to hear from you if you discourage two-way communication.

    At times, your audience might not even have the chance to read your email before marking them as spam. Some email providers directly send no-reply emails to the spam folder. What’s terrifying about it is that you might not even realize it, as the emails will still show as delivered.  

    Besides, no-reply emails are harder to add to the safelist as well. Email service providers add your emails to the safelist, once your audience replies to them. Thus, no-reply emails have a far lesser chance of ending up on the safelist.

    Also, getting marked as spam by many users can make you blacklisted which in turn is extremely harmful to your eCommerce store’s reputation.

    No-Reply Emails Might Be Illegal

    If the above-mentioned reasons are not enough for you, you should know that using a no-reply email is kind of illegal. Using a no-reply email prevents your audience from communicating with you. This indirectly violates GDPR. Global Data Protection Regulation (GDPR) is a set of European Union laws that sets the rules for how the companies gather and use their customers’ data.

    You might be violating GDPR as one of its rules state that the customers have the right to request information regarding the data collected about them. So, if you do not give your audience the chance to communicate with you, it can get you and your eCommerce store in trouble.

    If you are ever charged with this violation, you will not only suffer financially but will also lose customers’ trust in your store as well.

    Conclusion

    The above-mentioned reasons must be enough to conclude that no-reply emails are an absolute no-no for your business if you want to provide good customer service or maintain your brand’s reputation. Customers are one of the greatest assets of a business and you must not risk it for anything. You might be saving some time and effort now but losing your brand reputation and your customers five years down the lane, wouldn’t be worth it.

    FAQs

    What is a no-reply email?

    No-reply email is an email address that is not set up to receive incoming messages. Many companies use it to send emails without having to receive any replies in order to prevent cluttering of their inboxes.

    What is the format of a no-reply email?

    A no-reply email has a typical format that looks like, “noreply@yourwebsite.com or donotreply@domain.com.”

    Why one should never use a no-reply email address?

    One should never use a no-reply email address because:

    • It damages the customer experience.
    • It can lead you to the spam folder.
    • It can damage email marketing.
    • It harms email deliverability.
    • It might be illegal.