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NewsletterStrategy & FundamentalsIssue #042

Product categories, critical email flows, and product customization.

PostedJun 5, 20213 min read
The Demand Curve TeamDemand Curve
Contents
Test product categories in your header menuBest practices for 4 critical email flowsUse product customization to grow conversionNews and linksSomething fun

This newsletter curates growth insights from Demand Curve's community. It keeps you up-to-date on growth tactics.

This week we're covering product categories, critical email flows, and product customization.

Test product categories in your header menu

Insight from Demand Curve.

Most ecommerce stores use one main navigation item, like ‘Products’ or ‘Shop’, as a dropdown for all of their product categories.

This can damage conversion. 

When a customer arrives on your site, they’re immediately scanning for products. If it's not easy for them to find what they’re looking for, they’ll bounce.

Try this: Feature your product categories in your header menu. If you have dozens of categories, group them together to reduce friction. Once a customer feels that they are headed in the right direction (they’ve clicked a relevant category), they’ll feel better about continuing their search.

Worth testing: If you have one, clear, best-selling product, consider linking it directly in your header menu. It's likely that people visiting your site are coming specifically for your best-seller. They might have seen it in an ad or heard about it through word of mouth. Seeing it in your header menu is confirmation that it's worth clicking on.

Best practices for 4 critical email flows

Insight from Demand Curve.

Triggered emails typically convert better than broadcast emails. (It's reported that they drive 624% more conversions than broadcasts.)

Triggered emails are pre-written campaigns that trigger based on someone's engagement with your site or app.

4 trigger-based campaigns are more profitable than the rest. Here's how to get them right:

1. Welcome nurture: Welcome emails often get 4x more opens and 5x more clicks than your other promo emails.

  • Include your brand's name in the From field (ex. Julian at Demand Curve)
  • Remind them what benefits they can expect

2. Abandoned cart: This will likely be the most profitable email you'll ever send. Adding to cart shows massive buying intent.

  • Over 70% of ecommerce carts are abandoned
  • Create copy that answers: "Why buy now?"

3. New customer post-purchase: You've got your customer's undivided attention—get them excited.

  • Tell them next steps and set expectations
  • Validate they made the right decision
  • Cross-sell accessories or complimentary products

4. Customer re-engagement: Each subsequent purchase increases your customer's lifetime value. And it's cheaper to re-engage existing customers than it is to acquire new ones.

  • Share useful and relevant lifestyle content
  • Mix-in special offers and seasonal sales

Use product customization to grow conversion

Insight from Demand Curve.

People place a higher value on things that they have a hand in creating. If you allow people to customize your product, they'll either convert at a higher rate, or pay more for it.

Two examples of customization:

Ecommerce: Converse allows shoppers to choose the color, shape, and star placement of their famous All-Star shoes.

SaaS: Slack lets users customize their setup with bots and integrations. Customization in SaaS also improves rentention—switching costs rise as users integrate other tools.

A lesser-known benefit: Customization generates valuable data. Take Converse. If people self-select one particular color or style more than the rest, Converse can use that data to create a core product line.

News and links

Brand new stuff (and we're hiring)

Demand Curve has 3 awesome roles that we're looking to fill. We'll pay well, give you autonomy, and you'll work with a great team (all positions are remote).

Best editor we know: Rachel Jepsen is the best content editor we've worked with. She'll go through your blog/ebook/essay drafts and pick them apart brilliantly—helping you rethink what you're saying and why. You can contact her here and follow her on Twitter here.

Something fun

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