Running a business in a digital marketplace can be a fun rewarding experience. While online commerce continues to change and reshape the way we think of traditional business we are not exempt from working through the same obstacles as one. In this case that would be converting impressions into sales.
This can be achieved by maintaining what the industry refers to as a high “conversion” rate. To understand impressions and conversions, first picture a local clothing retailer. Notionaly this store would be an average looking building with no displays and only the name of the store. Passer byers may notice the store, take a moment to consider it then either decide to enter it or ignore it. In any case, an impression was made on the business by the consumer.
However, if the consumer decided to ignore it, given the bland appearance of the store, an impression was not gained and the opportunity for it to manifest into a sale did not happen. Hence, this impression did not lead to a conversion. Now imagine the owner put up a mannequin displaying the merchant’s product. The owner has now included a merchant display to garner more impressions. Since this new display creates a visual cue, the consumer may be more enticed to enter the store. The consumer sees an outfit on display, approves it, enters the store and makes a purchase. In this case, an impression leads to a conversion. The merchant has made revenue and the consumer has rationally participated in a market.
The example of the store is a very black and white understanding of impressions and conversions. In reality, applying the practice to your own business can be very dynamic with many variables to consider. In the real world, the store would have brightly coloured designs and logos, many displays, banners, ads, commercials, sales, lifestyle brands, atmosphere all of which are meant to gain impressions from targeted audiences. The business owner may handle this themselves or employ a team to generate impressions for the business. In any case, the business owner needs to weigh the cost of achieving impressions against how their conversions will yield into revenue. Moreover, the owner will consider which targeted audiences will provide the highest conversion for impressions into sales.
While talking about impressions and conversions is usually reserved for digital practice, the same theory of operation can be applied to both business models. Impressions happen when a user visits a website. Generally websites are used to provide information and/or media, provide product and/or service, or both. In the case of the latter, impressions need to convert into sales to generate revenue for the business.
In digital marketing this is achieved through ads, SEO, SEM, social media marketing, content marketing, mobile marketing and even affiliate marketing. They key takeaway being the more eyes looking at your business the higher the likelihood of impressions converting into sales. The world of online marketing can be diverse and at times complex. However, every business is unique and requires different levels of investment and understanding. The way one business model garners an impression might be different from yours but that doesn’t mean tips and tricks can’t be adopted and co-opted to suit your business’s needs.
Sometimes, the easiest solution might be the best!