When discussing SEO with one ecommerce store owner, she brought up a great problem.
“If I pay $X a month to a company it will take Y orders to cover expenses and employee costs so I have to be able to get around Z orders a month for all this to make sense.”
I’m glad you have worked out the numbers, you’re speaking my language now, KPIs. That tells me that your average cost per order may be around $100, but that’s probably not your break even number, that would be good to know. So your “to make sense” number is Z orders per month, that’s a short term goal.
Maybe your long term goal is to get to $_____ /month in revenue so you can _______. (beat out a competitor, help a lot more people, hire more employees, retire)
Jon Wittwer of Vertex42 explains and illustrates the break-even point with this chart. The Break-even Point is the intersection between Total Revenue and Total Cost when plotted with the number of units (or products sold) on the x-axis. The Profit (or Loss) is also shown on the cart as Total Revenue – Total Cost.
Here’s the link to this resource so you can calculate the break-even point for your ecommerce store:
Here is something to consider:
Incremental improvements across 5 areas of your business can make a big difference in revenue:
- average revenue per visit
- conversion rate
- average order value
- checkout completion rate
- average cost per order
When the first four together increase at a higher rate than the average cost per order, you are growing and on your way to more profits!
Let me show you a quick and easy way to figure out where you are at now and how Revenue-based SEO can get you where you want to be with the ecommerce ROI calculator.
Things improve by increasing just one KPI by 10% because you are doing basic SEO…
- Look what happens when all KPIs increase by 10%, the power of incremental improvements
- Look how things improve even more by increasing the conversion rate by 33% because the quality of the traffic from revenue-based SEO goes up
- Watch what happens when traffic goes up by 25% because of revenue-based SEO
Here’s the link to this calculator so you can access it yourself:
Ecommerce Marketing Forecast Calculator
I want you to take a moment to imagine what would be different in your life and business if you knew exactly how to take your ecommerce store from break-even to profitability.
What possibilities would open up for you if you knew that the time and money you spent on marketing brought profit?
How would you be different if your competitors were forced to respect you from a Google organic perspective?
Now imagine yourself doing the things I’ve mentioned in the last two videos, like:
- Identify your revenue keywords and landing pages
- Identify your top opportunity keywords and landing pages
- Track key performance indicators and allow the KPIs to guide you to the specific tasks that drive revenue
Can you see yourself doing this?
In your mind’s eye it looks pretty simple, right?
We all know reality is a little more complicated than our imaginations. But I know this will change your business, and I want to see you succeed. That’s why I’m going to help you learn to implement Revenue-based SEO for your own ecommerce store.
There are so many distractions and noise out there regarding SEO. You can certainly do this yourself; what you need is a way that fits your particular business and is repeatable. Revenue-based SEO was created specifically for ecommerce stores and the KPIs are designed to keep you focused on the tasks that bring in revenue, rather than getting distracted by things that don’t.
When I start explaining revenue-based SEO, there are two types of people who respond: those who want to do it themselves and those who need help.
If you are the do-it-yourself type, I’ve got something for you.
If you are the “I need some help” type, I’ve got something for you too, even if you need just a little help to get things up and running.
In the next day or two I’m going to show you the fastest and easiest way to get Revenue-based SEO up and running for your ecommerce store.