How To Get More Revenue By Not Confusing Your Customers
More choice is better, right?
Well, it depends.
Have you heard about the jam study?
This was a very interesting study conducted in 2000. Basically, they gave shoppers a sample of 24 flavors vs 6 flavors.
They found that when shoppers were presented with 6 choices, the sales increased 10x fold.
Obviously there are negative sides to having too much choice. These are analysis paralysis and buyer’s remorse.
A good CRO practice is to have a single call to action. If you give visitors too many options and ask them to do multiple things, they may end up doing nothing.
We’ve seen this too many times. You have an opt-in page but then you have header navigation, a dozen footer links, pop-up, chatbot, newsletter subscribe box, etc. It’s enough to give someone a migraine!
Question: have you ever felt the buyer’s remorse?
Of course, everyone has!
This doesn’t apply only to regretting buying a certain thing the next day, but it also applies to the fact that more choices can make you feel bad after you buy.
The reason is, now that you saw all those other options, you keep thinking how much potentially better those other options may have been.
There’s a great article by Harvard Business Review on this topic, and here are their closing thoughts:
“Choice can no longer be used to justify a marketing strategy in and of itself. More isn’t always better, either for the customer or for the retailer. Discovering how much assortment is warranted is a considerable empirical challenge. But companies that get the balance right will be amply rewarded.”
Your customers could be experiencing the same when they are looking at your e-commerce store, ads, or emails.
Barry Schwartz, an American psychologist and professor of Social Theory and Social Action at Swarthmore College, gave a Ted Talk on the topic of choice:
How Much is Too Much?
Reducing choice paralysis ties in with other e-commerce best practices.
One of them is keeping the customer journey streamlined and simple. One of the examples is having a single and clear CTA on the page.
Airbnb does it right. Their UI is super clean and their main CTA has a distinct color that pops and it’s impossible to miss:
Choice paralysis isn’t limited just to product selection.
Navigation is one thing that is often over complicated and users are forced to think too much so they leave.
To simplify your navigation, you could display the best selling categories of products and then add a “more” option where you hide other groupings.
You should also try to encourage fast decision making.
When someone is overthinking a decision then they will reach a point where they can no longer see the choices clearly and they can then feel buyer’s remorse when they finally make the decision.
One Offer In Email Campaigns
One of the common mistakes is that brands try to cram as much stuff as possible in one email.
Instead what you want to do is convince the reader to take just one action.
This could be to simply click through to your store.
If you have a single offer then customers need to make only one decision and it’s an easy yes or no.
When you have multiple offers and calls to action, then customers need to decide which product they want to focus on and this divides attention which almost always leads to fewer sales.
Another side effect of having multiple offers is that it makes it difficult to do A/B tests with your emails.
Let’s take a look at examples of good and bad e-mail marketing campaigns.
A bad example of email marketing
What is someone supposed to look at here? Financing? Mobile app? My lists? It’s difficult to figure out what to do. They could’ve made this much better by separating different offers and things to do in separate emails.
A good example of email marketing
Ann Taylor does it right. They focus on a single offer of $50 off when you spend $100 or more.
Too much choice thing is common but it doesn’t happen all the time.
The trick is to find a middle ground.
If you spotted some things that you are doing yourself with your brand then try making some of those changes and see if you can increase your conversions. When it comes to marketing, every improvement counts.
Definitely try to define one goal or CTA per page, email, or ad and eliminate all distractions from that goal.
Make your emails simple, clean and personal.
Overall, seek to understand your customers and make adjustments based on that.