Use funnels to increase your CLV
Use funnels to increase your CLV
1. Select a product from your ecommerce store that is either a bestseller, not profitable - the CPA exceeds your margin - or you want to improve profitability on.
This is the product for which you’ll build a funnel.
2. Source complementary products to the one you selected, to use for upsells.
This can nudge customers into making a higher value order. For example, a complementary product to an eye shadow palette could be a lipstick.
3. Find software for funnel-building which allows one-click upsells and downsells.
If you are using Shopify for your eCommerce store, tools include Zipify Pages and Clickfunnels. If your store is on Woocommerce, try Cartflows. These tools transform a standard online cart into a checkout page. Shoppers can add other complementary products in one click.
4. Build a sales page dedicated to the initial product you've selected, including rich copy, supporting images, and reviews of the product.
Sales pages allow more customization than a standard product pages.
5. Add an upsell page following the sales page to promote the complementary products.
The best time to upsell is when a customer is already in buying mode. You can multiply the initial order value by adding upsells to the page someone clicks after viewing a sales page.
6. Drive paid and organic traffic to the sales page.
The more traffic you drive to a page, the wider the pool of people you can convert – and display your upsells to.
7. Monitor the conversion on the sales and upsell pages, and change the complementary products if they're not converting well.
A poor upsell conversion rate means people aren’t in the mood to buy both items together. Test another complementary product to see if the conversion rate of your upsell page improves.