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Perfecting Customer Conversion
National Home Décor Retailer

With over 80% of shoppers leaving the store empty-handed, this client knew that increasing their customer conversion rate would deliver untapped revenue. They turned to BehaviorWorx to tell them how.

OBJECTIVES:

A store traffic study revealed that 81% of shoppers who entered the store left without making a purchase. That’s a customer conversion rate of only 19%.

BehaviorWorx worked with senior management to calculate the untapped revenue from this group of potential customers.

Our objective was to convert more browsers into buyers by breaking down the barriers preventing them from making a purchase.

ACTIONS:

BehaviorWorx launched an in-store shopping study and discovered three primary causes for store abandonment:

1. The store’s merchandise is attractive and affordable. However, prices
     were located on the bottom of most items and shoppers rarely picked 
     them up to see how affordable they were. Since items were perceived 
     to be more expensive than they were, shoppers were leaving the store 
     without making a purchase.

2. The store’s narrow aisles, common at a majority of the locations, 
     discouraged shoppers from browsing beyond anything located at the 
     front of the store. This was due to their fear of breaking the delicate
     merchandise.

3. Store employees are required to assist shoppers on the sales floor and 
     then also assist them at the check-out. However, the design of most 
     stores prevented employees on the sales floor from seeing shoppers 
     waiting in line at the cash register. This ultimately led to abandoned 
     purchases in the final stage of the path to purchase.

After capturing the insights above, BehaviorWorx developed a series of operational, merchandising and marketing tactics to address each barrier-to-purchase.

Tactics were implemented at a small group of test stores to determine the impact each one had on the customer conversion rate. After proven to be successful, each tactic was rolled out across the chain.

RESULTS:

$480 per store, per day (or $175,000 per store annually) was realized after the solutions presented by BehaviorWorx increased the customer conversion rate by 3% in only 3 months. Our success was derived from intelligent shopper information combined with creative marketing strategy.

 
 
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