In today’s digital age, customer data has become a driving force behind e-commerce growth, empowering businesses to make informed decisions, understand customer behaviors, and gain a competitive edge. Whether you’re a small start-up or a DTC giant, the ability to capture and effectively use data for growth and retention has become a crucial aspect of omnichannel success.

In this blog, we’ll dive into the world of zero and first-party data and explore how ecommerce businesses can use it to build more effective marketing strategies. We’ll explore the difference between the two types of data and examine the various sources of each on your website.

Then we’ll cover how to collect, store, and analyze zero and first-party data, and how to use it to create personalized customer experiences that drive engagement and revenue.

Data Collection: Defining Data Types

Let’s start with the easy part—deciding what kind of data it is that you’re wanting to collect:

 

Zero-Party Data: Is anything that a visitor intentionally and voluntarily shares with you. Examples include:

• Product preference indicator (i.e. cat vs dog toys)
• Polls, surveys, quizzes (i.e. Where did you first hear about us?)
• Comms preferences
• Email/SMS signups
• Birthday

Think of zero-party data as conversational data, like something a friend explicitly tells you. This is commonly mixed up with first-party data, which, while still “owned,” has distinct differences.

First-Party Data: Is anything about a visitor that is passively gathered from interactions and behavior. Examples include:

• Browsing data
• Purchase history
• Offsite channels (i.e. email clicks)
• Discounts used
• Social data (i.e. follower count, influence)

Think of first-party data as implied data, like something a friend shares with you indirectly. Still important, still useful—but different from zero-party data in how the user grants consent.

Data Collection: Zero-Party Data

Zero-party data collection strategies are a careful mix of providing a more relevant, personalized experience without asking too much of your visitors. So let’s get into some of our favorite ways to do this on your website:

 

1. Enhanced Pop-Ups: These are lead captures collecting more than just an opt-in. Add a secondary piece of zero-party data to these to immediately personalize a new subscriber’s welcome experience, like birthdays, product preferences, zip codes, etc. Make sure to actually use this data to provide them with the right user experience right from the start not just collect it and forget it
2. Quizzes or Surveys: Quizzes/surveys are such an engaging way to interact with customers and can be something you do at the start or leverage in an exit offer to help them find the right item. Finish with a product recommendation that makes it easy for them to continue moving toward the point of conversion.
3. Comms Preferences: Zero-party data isn’t just a set it and forget it thing, it can evolve over time. Allow customers to change their preferences so they continue to receive the content they want, where they want it, and especially when they want it.
4. Create an Account: We don’t encourage forcing shoppers to create an account to check out. However, accounts are a great way to continually collect zero-party data and provide additional touchpoints to engage consumers with. For example, a loyalty program, membership, or product subscription program. Gamify data collection for these customers by rewarding every piece of data they share with you while simultaneously providing increasingly more personalized/effective experiences.
5. Reviews: Product reviews are important to have on your website no matter what since 95% of shoppers read them before making a purchase. But they’re also a gold mine for zero-party data that can be linked up to individual customer profiles or to understand trends for segments as a whole. 

All of these zero-party data collection strategies will help you understand customer needs, their preferences, and why they’re shopping with your brand. The key, though, and what so many brands are lacking in their zero-party data approach, is the next step of properly using that data to personalize communications with subscribers to both delight them and provide value beyond the initial flow. But lucky for you—-we’re going into that below!

Data Collection: First-Party Data

Now collecting first-party data on your website is helpful for predicting trends and inferring likely behaviors to trigger onsite messaging AKA pop-ups.

 

Here are some of the most effective examples for when to use and collect first-party data onsite

• Upon add to cart— show product recommendations and curated exit offer
• Time on site—trigger pop up based on percent scroll, pages traveled, time on specific page
• Previously ordered—highlight reviews AND UGC of the collection/product
• URL-based— target a referring URL or opted-in status (aka gave you their email and/or SMS)
• Location-based—show certain messaging based on locale

 

Use first-party data to get ahead of conversion objections and frictions. Combine your onsite experience data like that listed above with heatmaps or session recordings and you’ll be able to unlock a whole new level of customer understanding. All without asking anything more of your customers.

 

Putting Your Zero & First-Party Data To Use

Now that you’ve started gathering zero and first-party party data using one or multiple of the above methods, it’s important to actually use it.

Customers are providing this with the expectation it will be used to better their experience, not just sit in the backend of a database somewhere. And that’s where automation comes in.

The welcome series based on the data points collected in the opt-in is a great place to start. It’s small, but it makes a big first impression since so few brands are doing it. Justuno customer, Premama, does this extremely well via a drop down selector in their lead capture asking the subscriber’s parenthood stage. The stage selected determines which branch of their welcome flow they go down, with content tailored precisely to the right products and resources someone would need. 

Subsequent campaigns feature different product recommendations, educational content, etc. for a continually personalized experience.

 

Then they check in again with consumers to see if they should update their stage and adjust their messaging accordingly. There’s that always-on approach to data collection coming into play!

Once you’ve created a strategy for initial use it’s important to keep collecting and feeding subsequent data points collected into more advanced automations to maximize the value of your campaigns.

But beyond that it’s important to think about your data application strategy within the larger context of your customer journey. Map out all the touchpoints a visitor might have and where you can collect or use existing data to improve it. From clicking a retargeting ad with the same item they browsed before and reading product reviews with UGC and customer attributes, to not asking existing email subscribers to sign-up for your newsletter and beyond. The key is to create a seamless look and feel for consumers that effortlessly guides them towards conversion. 

It’s important to note that while we’ve really only covered the collection and use of zero and first-party data in the context of your website it’s use isn’t limited to just that. It can extend to the other aspects of your business like:

1. Inventory Forecasting: Build a better understanding of what customers are shopping for and when to avoid sell-outs and excess inventory. Something Kickfurther can also help with!
2. Product Development/Improvement: For example, if you have a trend of bad reviews that a product breaks often or wishing you made XYZ item.
3. Feature Implementation: Zero-party data can help dictate where to focus new retention efforts, like introducing a loyalty program or adding a product subscription option.
4. Content Marketing: Improve performance by understanding what interests customers the most and how they interact with it.

It all comes down to establishing trust by using the data shared with you to power personalized experiences. Once you start, it will have an exponential impact on your business in almost every area.

 

Final Thoughts

The key to scalable zero and first-party data collection/use is organization–make sure that you’re using the data you are collecting, finding gaps in your program, & adjusting strategy accordingly.

Unorganized data can lead to major no-nos like not actually personalizing the flow (or worse, sending the wrong one).

Finally, you’ll want to tie together how you’re using this data elsewhere throughout your MarTech stack. Take the zero and first-party data you collect elsewhere via channels like loyalty programs, subscriptions, memberships, etc. and feed that data back into your website experience & continuously refine and personalize your campaigns.

Interested in applying some of the zero and first-party data strategies we outlined? Try Justuno free for 14-days to see what kind of data you could be collecting from your website visitors!

In the world of eCommerce, things change quickly. But one fact remains constant – order fulfillment and customer satisfaction are inseparably tied together.

In this blog post, we’re going to talk about why this is, with specific details and examples. This is no abstract concern – customer satisfaction is a necessary ingredient for retention, which is what separates the most successful companies from the average ones. Then we’re going to talk about how you can optimize your order fulfillment processes to maximize your customer satisfaction, and along with it, revenue.

Customer Satisfaction & Order Fulfillment Are Tied Together

Defining customer satisfaction might seem simple on the surface. Everyone intuitively understands what it means – it’s a measure of how well a company’s products and services meet, exceed, or fall short of customer expectations. But how do you measure that? And furthermore, how do you optimize for that? That’s where the simple definition falls short.

Customer satisfaction is a recipe with a lot of ingredients. On the kitchen counter, you’ll find customer service, ease of purchase, product delivery, and even the company’s overall reputation. The seamless blend of these factors, combined together, eventually bakes into a satisfying customer experience.

Think about the experience of ordering a book online. The quality of the book itself is only part of the satisfaction equation. It doesn’t matter if the book is a classic of the entire Western literary canon or if it has five stars on Goodreads if the book is so damaged from rain that it’s unreadable.

If you order a textbook online and a shipping delay leaves you doggy-paddling through the first two weeks of lectures with no text material to reference, that’s not a great experience either.

It’s no accident that both of these examples of bad customer experiences involve shipping issues. Order fulfillment is make or break in eCommerce.

Why Order Fulfillment Is (Sometimes) A Magnet For Customer Satisfaction Issues

Every eCommerce order has to be shipped, and order fulfillment itself has a lot of steps that can go wrong. When a customer places an order, that specific product must be picked from inventory. Then the item proceeds to the packing stage, where the item is carefully wrapped and prepared for shipping. Postage is printed and applied, then a local carrier delivers it to the customer’s home.

If inventory levels show a product in stock when it’s not, the experience goes sour. The same is true if the wrong item is shipped or if the order is shipped to the wrong address. And if the local USPS carrier has a bad day and kicks the package across your customer’s lawn, that’s a problem you’ll have to deal with too (even if it’s not your fault)!

Consider this – according to OptimoRoute, 84% of consumers are unlikely to shop with a brand again following a poor delivery experience. This statistic underlines the tremendous impact of order fulfillment on customer satisfaction.

Imagine the frustration of receiving a long-awaited product, only to find it damaged due to poor packaging or late due to sluggish delivery. Such instances tarnish the overall customer experience, lowering satisfaction rates.

But it’s not all doom and gloom. In fact, good order fulfillment processes can increase your odds of satisfying customers.

Strategies for Improving Customer Satisfaction Through Order Fulfillment

Improving order fulfillment might seem difficult and all-consuming, but there are a handful of broad strategic changes you can make that will have a disproportionately large and positive impact on the ultimate result.

Here are six that come to mind:

1. Streamline Order Processing

If you want to ensure a seamless customer experience, order processing needs to be very smooth. Whenever a customer places an order, the information needs to be sent to a fulfillment center through a software integration. That way, the people shipping orders will have everything they need to get started with no manual intervention.

It sounds simple, but a lot of businesses still manually process orders! Even if you’re shipping from home, you can configure your Shopify store to help you quickly create the postage you need so all you need to do is pack, print postage, and slap on the label.

2. Master Inventory Management

“Out of stock.”

No customer wants to see these words and you need to do everything in your power to make sure they never do.

Avoid such disappointments by implementing real-time inventory tracking and predictive analytics. These strategies will help maintain optimal stock levels, preventing inventory shortages and fulfilling customer orders promptly.

This is fairly complex to do, so here is a more detailed guide on the subject.

3. Pick A Reliable Fulfillment Partner

Once you’re shipping about 100 orders per month, it’s time to hire a fulfillment partner. At that point, the cost of shipping on your own is likely to exceed the cost of hiring someone to help. And even if it doesn’t, outsourcing will save you a bunch of time.

However, hiring the wrong fulfillment partner can create a lot of problems. Do your due diligence and choose one with a great reputation for timely delivery and communication. It’s an arduous process at first, but it pays off in the end when packages start going out faster than you could ever manage on your own!

4. Communicate Often

From sending order confirmations to providing delivery updates, proactive communication can help manage customer expectations, build trust, and enhance satisfaction. To give you a concrete, and somewhat silly example, Domino’s does this with their Pizza Tracker!

Even delivery delays and mishaps can be made better by taking a proactive approach to communication. Getting a package two days late is bad. Being completely in the dark about why the package is late is worse.

5. Have a Generous Return & Refund Policy

No one likes returns, but they are inevitable. Making the return process easy and transparent will help maintain customer satisfaction, even when things go wrong.

Be clear about your policies, offer free returns when possible, and process refunds promptly. This way, even a return experience can become a positive touchpoint for your customers.

6. Offer Personalized Experiences

Personalization is key to winning customer loyalty. Use customer data to offer personalized product recommendations, special offers, and communication. This can make customers feel valued and appreciated, enhancing their overall shopping experience.

 

Keep in mind, however, that as good as these strategies are, in order to truly achieve success, you’ll also need to track your performance and identify areas for improvement. The next section talks about how you can do that.

4 KPIs to Track to Ensure Great Order Fulfillment

If you’re looking for a way to gauge your progress, you’ll need key performance indicators (KPIs). In order fulfillment, four KPIs stand above the others.

• Order Accuracy Rate: The proportion of orders delivered without errors, highlighting the effectiveness of your order processing.
• Order Cycle Time: The speed from order placement to delivery, providing insights into your process efficiency.
• Rate of Return: The quality of delivered products, with a lower return rate usually indicating satisfied customers.
• Customer Feedback: Though not quantitative, it’s still really important. Surveys, reviews, or direct interactions can serve as critical indicators of customer satisfaction, pointing towards areas needing improvement.

What gets measured, gets done. Pay attention to these four KPIs when making changes to your order fulfillment processes. If you make a point to monitor these indicators and act on them, your odds of meaningfully improving your order fulfillment processes go way up, and that paves the road for improved customer satisfaction and, ultimately, revenue. 

 

You can’t decouple order fulfillment and customer satisfaction, especially not in eCommerce. Bad order fulfillment processes can frustrate your customers, but good order fulfillment processes can delight them.

Remember, the goal is not just to meet customer expectations but to exceed them, turning each order fulfillment into a memorable customer experience. 

Final Thoughts

Outsourcing fulfillment to a 3PL can be tremendously beneficial for your growing eCommerce brand. With the right 3PL partner, you can reap numerous benefits, such as reduced shipping costs, improved efficiency, and the ability to focus on your core business activities.

Finding the right 3PL is a daunting task, to be sure. However, once you know why outsourcing makes sense, you can follow the ten steps in this guide to find the right 3PL and get off to a great start.

Don’t hesitate to explore your options. The right 3PL partner is out there, and once you start working with them, it will be well worth the time put into finding them!

Marketing, for the most part, is designed to move inventory. After all, the end goal of any business is to make sales. However, the reverse can also be true. Inventory can move marketing by improving your business’s ability to attract clients. This is why many businesses use inventory financing to ensure there’s sufficient stock of popular items at all times.

Promoting Inventory That’s Been Out of Stock

If you’ve had low inventory for some time, advertise your products as being “back in stock” or “returning”. You can even set up a countdown timer on your site to generate excitement, and/or send countdown SMS messages to subscribers. Post pictures as well, as people remember images better than text. Images also boost social media shares by a whopping 650 percent.

Alternatively, you can use phrases such as “fan favorite” or “best-selling” to describe popular products that are now back in stock. If your product has sold over a certain amount, you can advertise this with phrases such as “over one million sold”. However, these phrases should only be used if they’re accurate. If an item is a bestseller, don’t hesitate to tout it as such. On the other hand, old stock that doesn’t sell well should never be pushed as a “fan favorite” just to get it out the door.

Promoting New Products

Remember the reasons why you’re offering new products in the first place and tout these. Was the product created after reading consumer surveys? If so, a tagline such as “You asked, we delivered” is effective. Did you design your product to be more sustainable, affordable, efficient, or convenient than other, similar products? If so, don’t hesitate to market it based on its unique qualities. If you aren’t sure which quality generates the most sales, conduct an A/B test. This will show you which tagline works best for each group of consumers you want to reach.

It’s tempting to make a limited order when launching new products. This is especially true if you aren’t sure the product will sell well. However, a limited product order hampers your marketing efforts. You don’t want to spend a lot of time and money promoting a new product and then run out of stock. After all, there is no guarantee that the people who wanted to buy your product will come back later. Even if you sell a unique product, the odds are that other businesses also sell a similar product or a product consumers can use for the same purpose. Many people won’t wait around for you to restock. This is especially if you don’t know when you’ll have more of the product they want. If you’ve done careful research and you know there’s demand for your products, don’t hesitate to use inventory financing. Doing so ensures you have plenty of products to sell at all times.

Flash Sales and Limited Time Offers

Urgency and scarcity are triggers that generate sales if you use taglines such as “Limited quantities available” or “limited edition products. However, you can also use these triggers even if you have plenty of stock on hand by offering special deals only on certain days or to certain people. For example, you could offer a one-day discount on a particular product, or give a freebie to the first one hundred customers to buy a certain product. If your stock drops below a certain threshold, use an automated tool to notify subscribers. Terms such as “low stock” or “almost out of stock” encourage people to buy now.

Fast Shipping and Delivery Times

Nearly two-thirds of consumers expect online stores to deliver orders in two to three days. Almost 70 percent of consumers are more likely to click on an ad if it offers fast or free shipping. Over three-quarters of consumers are more likely to buy a product if the seller can deliver it in no more than two days.

Fast shipping and expedited delivery times not only drive sales but also generate trust. People know they can count on you to sell what you say you’re selling. They’ll know they can expect fast, efficient service from your store. Don’t hesitate to use taglines such as “free shipping” and “expedited delivery available” when you promote your products. At the same time, remember that you can only provide fast, free, efficient shipping if you have enough stock on hand to do so. Inventory financing plays a key role in ensuring that you’re able to meet your marketing promises.

Building Awareness and Trust 

Effective marketing messaging is important, but inventory financing isn’t just about new taglines to your campaign. 

As Hawke Media CEO Erik Huberman points out in The Hawke Method, the three core principles of marketing are awareness, nurturing, and trust. Maintaining an inventory surplus enables you to build brand awareness as you don’t have to pull ads because your product is out of stock. It enables you to nurture potential clients as you’ll be able to create tailored ads to meet the needs of specific target demographics. It also generates trust as people see they can count on you to deliver their purchase without undue delay.

Inventory financing plays a crucial role in not only ensuring a well-stocked business but also enhancing marketing strategies. By enabling businesses to promote returning items, showcase new products, and create a sense of urgency, inventory financing directly contributes to more effective and compelling marketing messages. 

As a result, businesses can attract and retain customers, increase sales, and ultimately foster growth. By leveraging the power of inventory financing, companies can transform their marketing efforts and drive long-term success in an increasingly competitive marketplace.

 

About Hawke Media:

Hawke Media was founded on the idea that every modern business needs a CMO-level expert to lead its digital marketing efforts. That’s why we create customized, performance-driven solutions around your unique business, helping you to launch, scale, and invigorate your brand. We bring you the resources of a full-service agency with the attention of an in-house team. You have the vision. We’re Your Outsourced CMO. ®

 

Sources

10 Psychological Tactics for Impactful Marketing (maryville.edu)

Boost Conversions and Referrals with Scarcity and Urgency (linkedin.com)

How to Add Automation to Your eCommerce Store – Hawke Media

Does Fast Shipping Drive Higher Revenue? (linkedin.com)

The 3 Principles of Marketing: Awareness, Nurturing, and Trust – Hawke Media

 

Transitioning from crowdfunding to e-commerce can be a crucial step in the growth and sustainability of your business. It allows you to leverage the initial support gained from crowdfunding and establish a solid foundation for long-term success. But the journey from crowdfunding to e-commerce can be tricky, and it’s important to understand the nuances involved.

In this article, we will explore the key steps involved in this transition and provide valuable insights to help you navigate the process effectively.

Opt for a Reliable and Proven Platform 

When transitioning to e-commerce, selecting the right platform is essential. Shopify is highly recommended due to its flexibility, ease of use, and reliability. Many successful online stores utilize Shopify as their preferred platform. It offers a range of features, customization options, and integrations to support your e-commerce operations effectively. Moreover, Shopify provides dedicated customer support available 24/7, ensuring you have assistance whenever you need it.

Sustain Momentum: Keep Accepting Pre-Orders Without Delay

To maintain momentum and capitalize on the success of your crowdfunding campaign, it’s crucial to continue accepting preorders. Ensure that your e-commerce website is ready at least two weeks before the end of your campaign. If there are any delays, check if your crowdfunding platform allows extensions, such as Indiegogo’s InDemand option. During this transition period, focus on collecting more pre-orders as a safety net until your e-commerce store is fully operational. However, prioritize fulfilling the orders of your early backers, as they played a pivotal role in funding your project.

Prioritize Exceptional Customer Service for Success

Building strong customer relationships is essential for sustainable growth. Did you know that customers are twice as inclined to share negative experiences with customer service compared to positive ones? Prioritize excellent customer service to foster loyalty and create a positive reputation for your brand. Respond promptly to inquiries, address concerns, and ensure smooth order fulfillment. By exceeding customer expectations, you can generate positive word-of-mouth and drive repeat business. Remember, satisfied customers can become your brand ambassadors, promoting your products and driving further sales.

Maintain Visibility: Invest Consistently in Advertising Efforts

To maintain growth and visibility, it’s crucial not to neglect your advertising efforts. Allocate a portion of your budget to advertising and promotional activities consistently. Deep dive into your finances to optimize expenses and ensure that your business remains profitable. Begin by examining your advertising expenditures and allow our team to conduct a thorough audit of your account! By consistently promoting your products and reaching your target audience, you can sustain sales growth and maximize your e-commerce potential.

Explore Growth Opportunities: Secure Additional Capital and Forge Strategic Partnerships

Within 120 days of establishment, 90% of e-commerce companies experience failure, while only 78% manage to survive their inaugural year of operation. Scaling an e-commerce business requires adequate capital and strategic partnerships. To secure additional working capital, you can explore various options such as traditional lending, equity financing, as well as alternative options like inventory funding These funding options can fuel your growth initiatives, enable product expansion, and help you navigate the challenges of scaling successfully. Learn more on how Kickfurther can help.

Optimize Your E-commerce Website

Your e-commerce website serves as the digital storefront for your business. Optimize it for a seamless user experience and improved conversion rates. Ensure that your website is mobile-friendly, as a significant portion of online shopping occurs on mobile devices. Implement intuitive navigation, high-quality product images, and detailed product descriptions. Streamline the checkout process to minimize cart abandonment. Incorporate customer reviews and testimonials to build trust and credibility. Consider working with Rainfactory to leverage their expertise in creating high-converting e-commerce websites.

Implement Effective Digital Marketing Strategies

A strong online presence is crucial for e-commerce success. Implement effective digital marketing strategies to drive traffic and increase brand visibility. Leverage search engine optimization (SEO) techniques to improve your website’s organic search rankings. Develop a content marketing strategy that includes valuable blog posts, videos, and social media content to engage your target audience. Utilize social media advertising, influencer partnerships, and email marketing to reach a wider audience and drive conversions. Rainfactory’s marketing services can help you develop and execute impactful digital marketing campaigns.

Final Thoughts

In conclusion, transitioning from crowdfunding to e-commerce is a critical step in building a sustainable and profitable business. By following these steps, which include choosing a reliable platform, continuing to accept pre-orders, prioritizing customer service, maintaining advertising efforts, and considering additional capital and partnerships, you can set yourself up for long-term success in the e-commerce space.

 

To ensure a smooth and effective transition from crowdfunding to e-commerce, consider partnering with Rainfactory, a leading agency that specializes in crowdfunding and e-commerce product launch services. Their expertise and experience can provide valuable guidance and support throughout the process. Contact Rainfactory today to explore how they can help you achieve your goals and unlock the full potential of your e-commerce venture.

 

Remember, successful transitions require strategic planning and execution. Embrace the opportunities that e-commerce offers, and with the right strategies and support, you can build a thriving online business.