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Free CRO Tools
Tools & processes I use to increase my clients' bottom lines. Get free access!
I provide growth strategy and execution, with thorough research and high velocity testing to get traction fast.
I only work with a few clients at a time, in 3 to 6 months engagements. I charge premium rates (2500-5000€/mo) and deliver premium results.
Can you apply for my services?
Yes, if you are a 7-figure (and up) digital business (eCommerce, SaaS, digital services, online communities).
How to apply?
You start by ordering a (paid) Growth Diagnostic:
only 990 €
I've worked as a freelance CRO consultant for 8 years. And although it's not as widespread as it used to be back in the day, I still face today the same objection from marketers I had to deal with in the very beginning:
My business is doing okay. Investing in traffic acquisition works for us. Why rock the boat with that CRO thing?
Don't get me wrong, I do understand why you might be reluctant. Why fix it if it ain't broke, right?
But is accepting the status quo the right call? Why would you be content with "good enough" KPIs when you could get more revenue out of your marketing budget? Instead of apprehending the unknown, you should fear missing out on the extra revenue that's spilling through your fingers.
Marketers have lots of reasons why they discard CRO. Most of them are utter nonsense. Let's see:
If you have reached this point in the article, then you can't just stop and fall back on the aforementioned excuses to ignore CRO. Now you just have keep reading to know how to run the numbers and figure out whether or not CRO is a good option for your business.
Above all else you shouldn't settle for less revenue just because it's easy. Don't ignore the cost of missing out on CRO as it could be huge.
Let's get to it.
I will first explain what CRO is about, how it works and how to do it right so it may increase your bottom line. Then I will show you how to assess if your business could benefit from CRO or if you should stick to traffic acquisition.
CRO is short for Conversion Rate Optimization. Let’s break it down and try to make sense of the component parts:
CRO is a process that relies heavily on 2 pillars:
Successful optimizers spend most of their time doing research, not working on A/B tests. So if you end up working on CRO yourself make sure you don’t jump into A/B testing without doing prior research.
I am telling you this because A/B testing solutions tend to market their products as one-stop shops for CRO. But if you are serious about getting actual results, don’t skip on research and instead start by diving into Google Analytics, surveys, user tests and so on. That's the road to success, the path to higher conversion rates.
You have 2 options to choose from when it comes to increasing sales:
Most businesses invest in traffic acquisition as a matter of course. The question becomes: should you use part of your acquisition budget on CRO instead?
Let’s compare both options by taking a simple example.
Let's say you currently get 5,000 visitors a month (and you acquisition cost is $0.5 per visitor); you convert 2% of this traffic on average, which represents 100 transactions a month. You sell 1 product that costs $50 (it is meant as a simple example after all!) so your monthly turnover is $5,000.
Let’s say you wish increase your sales by 50% and get from $5,000 to $7,500 monthly turnover. You have 2 options:
I am assuming you are a rational person so in a perfect world you would choose whichever option is the most cost-effective, which means you would invest in CRO only if it costs less than $1,250 to get a +50% conversion boost.
We are not, however, in a perfect world and it is not possible to predict by how much you'll be able to improve your conversion rate if you spend $1,250 on CRO (either in time spent or money).
Even though the investment required to achieve the same result with CRO is usually bigger than through pure acquisition over the course of a month, I would still recommend you pick CRO in most cases (unless your cost of acquisition is very low).
Why? Because any conversion increase created during that month will last for a long time whereas you would need to spend an extra $1,250 every month to keep selling 50% more products.
So even if you are not ROI-positive after one month it will definitely pay off in time. You will be able to get a higher monthly turnover without having to spend more money on acquiring traffic every month.
It's time for you to do the math and weigh both options so you know which would be the most cost-effective to generate sustainable growth for your business.
So please do run the numbers and make an informed decision on how to proceed next month. If it turns out CRO is not a good fit, then that's okay, now you know where you stand and you can serenely discard CRO and double down on acquisition. You know your are on the best track for growth.
Thanks for reading! Feel free to share what option seems to be most beneficial to your business in the comments (-:
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