10 Reasons Why Ecommerce Marketing Automation is Important for Your Business￼
You still haven’t used eCommerce marketing automation?
We don’t know your excuse, but we know you might change your mind after reading this post. That’s because online retail stores without marketing automation are like carriages—you can still ride them for sure, but they are not nearly as fast as modern vehicles.
According to the report, almost 60% of marketers say automation brought high growth to their sales pipeline. And that’s just the tip of the iceberg since eCommerce marketing automation is yet to grow and show its full potential.
A reliable natural language generation tool like AX Semantics, that helps you automate content, will boost your online store in more than one way. This article will show you:
- The basics of eCommerce marketing automation
- 10 reasons to deploy marketing automation software
- How to choose eCommerce marketing automation software
- Common issues with marketing automation
eCommerce marketing automation is a broad topic, so let’s jump straight into it!
The basics of eCommerce marketing automation
We don’t want to talk about marketing automation without giving it a proper explanation. This is how our well-known friend, Wikipedia, describes the concept:
- Marketing automation refers to software platforms and technologies designed for organizations to more effectively market on multiple channels online and automate repetitive tasks.
Marketing automation aims to streamline and simplify tasks like lead nurturing, content writing or email communication. That way, marketers can focus on other strategic activities. The same logic applies to all fields of work, but let’s see how automation impacts online stores:
- As high as 80% of marketing automation users improve lead generation, while 77% grow their conversion rates
- Nearly 90% of marketers are relatively satisfied or satisfied with their eCommerce marketing automation software
- 76% of companies that implement marketing automation generate a return on their investment within the first year
On the other hand, a report reveals that half of the companies are still not using eCommerce marketing automation. Given the incredible efficiency of modern marketing automation software, it's a staggering fact.
This is exactly why we need to explain the importance of eCommerce marketing automation.
10 reasons to use a marketing automation platform
Online retailers rely on automation to manage different aspects of their marketing strategies. In such circumstances, it is impossible to list all benefits of eCommerce marketing automation. What we can do is focus on the top 10 reasons to use automation in digital retail.
1. Behavioral targeting
eCommerce marketing automation platforms are the most efficient way to reach your target audience. The idea is simple—the system collects behavioral data from website visitors to customize marketing messages.
Automation helps you appeal to the specific needs and interests of your customers. In other words, eCommerce businesses can use behavioral targeting to increase sales and ROI. That’s because you are advertising to people who are already interested in your products.
Here’s an example. If a customer searches for a particular product but doesn’t purchase it, you still have the chance to seal the deal. Marketing automation allows you to target that person with special offers or discounts in an effort to close the sale.
Behavioral targeting represents a powerfultool due to its ability to reach a broad audience and its effectiveness in driving conversions. This is your chance to expand, especially if you know that almost 80% of businesses are still not using behavioral targeting.
2. Advanced lead nurturing
Generating leads is essential to the success of your eCommerce store. Without potential customers to market to, it would be impossible to make sales and grow the company. But having a list of leads is not enough, which is why you need automation to nurture your prospects.
Lead nurturing is the process of building relationships with your customers and ushering them through the buyer’s journey toward making a purchase. The goal is to turn potential customers into lifelong fans eager to buy whatever new product or service the company has to offer.
In the past, lead nurturing was a time-consuming and challenging process, requiring significant resources and a workforce. But eCommerce marketing automation has made it easier than ever before to reach and engage with leads.
Automated email marketing, targeted ads, and personalized content can quickly help you build relationships with the target audience. As a result, leads are more likely to become customers, and your business is more likely to enjoy sustainable growth.
The best eCommerce marketing automation tool enables you to approach potential clients delicately. It will send the right messages to the right persons through the sales funnel, increasing your conversion rates.
3. Enable personalization
If you want to skyrocket sales, you have to participate in the personalization game. This is key to success in such a competitive online retail landscape. According to the report, 90% of marketers say that eCommerce personalization has boosted revenues.
And that's exactly where marketing automation steps in.
Advanced automation tools tailor the shopping experience to each customer, creating a more relevant and engaging consumer journey. The goal of this process is to build loyalty and drive conversions.
|AX Semantics provides automated content personalization by leveraging real-time behavioral user data to generate content, such as product descriptions, that is tailored to each unique visitor. Every product page on a website becomes a highly personalized sales pitch that counts on customer motivations and interests.|
There are many ways to personalize the eCommerce experience—from recommending products based on past purchases to showing targeted ads and offers. Personalization can also extend to email marketing, allowing you to send tailored messages according to real-time customer behavior.
It’s easy to see what makes marketing automation in eCommerce so fundamental. Instead of treating website visitors like groups of unspecified individuals, you can approach them as unique clients. Although it may seem like an exaggeration, it’s not.
Studies prove that 80% of consumers are more likely to purchase when brands offer experiences personalized to them. That’s why your online retail store needs marketing automation with personalization features.
4. Improve customer experience
Online retail has become the preferred method of shopping for many people, thanks to the convenience and selection it offers. But one of the challenges of eCommerce is providing a good customer experience.
Users expect to be able to find what they're looking for quickly and effortlessly.
The role of marketing automation is to provide valuable recommendations, help customers navigate the site, and complete orders smoothly. It means that automation plays a vital role in improving the customer experience in eCommerce.
AI-powered marketing automation is also critical to the success of your customer support. We are talking about chatbots, virtual customer assistants who answer common questions and guide customers through the buying process.
They can also help you retain customers by providing post-purchase support. All in all, chatbots can handle nearly 70% of chats from start to finish.
But that’s not all.
Once you get used to marketing automation, you can expect it to improve the customer experience in many other ways. It would be foolish not to make use of it.
5. Simplify localization
Marketing automation is playing an increasingly important role in the world of eCommerce localization. The system pinpoints patterns and trends that would be difficult for humans to spot, using them to customize the user experience on a website or app.
It is now possible to tailor your products and services to the specific needs of a local market. That way, your online store becomes relevant and engaging for users in different regions.
For example, you can use AX Semantics to automate content generation in 110 languages. Our eCommerce marketing automation tool lets businesses localize their stores by using natural language generation.
The bottom line is that automated localization helps you save time and resources while ensuring that your store always has the most up-to-date and accurate content.
6. Save time
It is pretty obvious that automation in marketing can save you a lot of time, but we don’t take things for granted.
Let’s start with the very definition of the concept. According to Merriam-Webster, automation represents an automatically controlled operation of an apparatus, process, or system by mechanical or electronic devices that take the place of human labor.
The key part of this definition is that automation replaces human labor. The logic applies to eCommerce marketing, but the same principles rule in all other fields of business. It means that you can now hire a program to complete most manual tasks. These are only some of your options:
- Automated content generation
- Email marketing campaigns
- Lead nurturing
- Personalized customer service
- Post-purchase activities
- Loyalty programs
- Data analytics
You can automate these and many other activities with an appropriate eCommerce marketing platform. Of course, the system requires your instructions, calibration, and initial data, but it still sets you free from doing at least 90% of the things you’ve done so far.
Let’s say you spend 20 hours a week on marketing duties. With automation tools at your disposal, you can reduce it to a couple of hours only.
7. Reduce costs
This benefit of marketing automation is closely related to the previous one on the list. Automation makes it possible to reduce operating costs to build a more profitable eCommerce business.
How is this possible?
Firstly, automation platforms make the most of user-related data. They identify which channels are most likely to result in a sale so that you can focus your marketing budget on those channels. It helps you generate revenue and avoid wasting money on less effective interactions.
Secondly, automation tools simplify the content creation process. Instead of searching for a needle in a haystack, you can quickly discover relevant topics and content formats. You will spend less time creating content that is unlikely to generate results.
In other words, you end up creating content that actually achieves your marketing goals. Besides that, automated campaigns target potential customers with relevant ads and offers. Your business can save money on marketing costs while still driving sales.
And let’s not forget customer service! Industry reports reveal that chatbots can cut costs by up to 30%. This is a vast improvement budget-wise, especially if you run a large team of customer service agents.
8. Increase average order value
Another reason to use marketing automation is to increase the average order value (AOV). Advanced automation tools enable you to make the most out of broad sales and marketing tactics scope.
Personalization is, of course, one of the main tactics that lead to the increase in AOV. Online retail stores that personalize content instantly grab user attention and maximize the odds of converting potential customers.
At the same time, you can drastically improve AOV with cross-selling and upselling offers. For instance, a study found that upselling alone increases revenue by 10-30% on average.
Your customers are eager to buy more, but you have to offer them the right products. This becomes possible with marketing automation because eCommerce stores give personalized product recommendations.
9. Enjoy extensive reporting and analytics
Online retailers know that data is essential for understanding what customers want and tailoring the shopping experience. But collecting and analyzing data can be time-consuming and expensive, especially if you do it manually.
This is not an issue with companies relying on marketing automation.
Advanced eCommerce marketing tools empower businesses by helping them to understand customers. They allow you to make informed decisions and customize your marketing campaigns.
That way, eCommerce stores with automation software enjoy a competitive advantage.
Automation software will enable you to track ROI and ensure that your marketing efforts are as effective. You can track a whole range of critical metrics to pinpoint areas of opportunity and improve your bottom line. These metrics include:
- Click-through rates
- Bounce rate
- Cost per acquisition
And that’s just the beginning as automation software analytics includes a lot more success indicators.
10. Grow revenue
We saved the best for last—eCommerce marketing automation leads to a major revenue increase. It does so in more than one way, but we will remind you of the most important impact factors.
We already mentioned that automation grows conversions by nearly 80% thanks to its personalization abilities. The same goes for AOV since tailored offers help you upsell and cross-sell more items to the existing clients.
But there is another factor that we have to mention: Customer Lifetime Value (CLV).
Automation software boosts the average CLV because it increases buyer retention rates. It does so by providing excellent customer service and by tailoring content and offers to individual users. At the same time, you can use automation to launch loyalty programs.
You can do this using discounts and coupons for regular shoppers, encouraging them to keep coming back. All this leads to the growth in the number of products purchased per customer and the amount of money spent per transaction.
|Automated marketing||Human-powered marketing|
|Personalization||Highly personalized - adjusts to each user||Generic and less personalized|
|Advertising||Targeted based on user data||Broad and not so accurate|
|Internationalization||Ability to localize and expand to foreign markets quickly||Slow and inert localization|
|Content creation||You can create personalized product content at scale||Manually write product descriptions one by one|
|Customer service||Services like chatbots make it extremely efficient||Time-consuming and not based on user data|
|Analytics||Ability to gain precious insights and predict trends||Can’t handle enormous databases|
|Cost||Only pay for what you get (SaaS)||High costs for mild results|
|Automation||Sets you free from repetitive tasks||Do everything on your own|
How to choose the right eCommerce marketing automation platform
The benefits of using eCommerce marketing automation are so huge that you'll probably start looking for the best tool. We encourage you to assess your organization's needs before picking marketing automation software.
On the other hand, it is possible to identify a few features that every online store needs. You should follow the latest eCommerce developments and look for these elements of marketing automation tools:
1. Personalization features
Marketing automation tools must have personalization features because customers want unique and relevant experiences. Personalized communications are more effective at converting leads into customers. At the same time, they help keep customers engaged with your brand.
A recent report shows that personalization reduces acquisition costs by 50% and lifts revenues by up to 15%. eCommerce marketing automation tools allow you to create a tailored experience for each customer.
For instance, you will be able to generate automated product descriptions at scale. In turn, the company will achieve better results from your marketing efforts.
If you want to know more about how our tool—AX Semantics—works, make sure to watch the video.
2. Lead nurturing abilities
Your eCommerce business needs lead nurturing abilities to hook consumers and turn them into full-time customers successfully. The point is to provide each client with the right kind of content at each phase of the customer journey.
A reliable platform automates the process of sending targeted content to your leads step-by-step. That way, you will grow user engagement and increase the odds of converting your leads.
3. Email automation
Do you know that automated emails generate 320% more revenue than non-automated emails?
Automating email can free up time spent on manual tasks like creating and sending individual emails, keeping track of newsletters, and responding to customer inquiries. You can spend this time on tasks that boost revenue and grow the business.
Additionally, automated emails can help to create a more consistent brand message and customer experience. It's an easy way for an eCommerce business to avoid the trouble of inconsistency and combat information overload.
4. Highly targeted advertising
The eCommerce landscape is extremely competitive, which is why your business needs advertising to reach new heights. Look for a marketing automation tool that makes creating and launching targeted ad campaigns easy.
This way, you'll be able to save time and money while still delivering highly relevant ads to your audience. As a result, you'll see a significant ROI from your advertising efforts.
5. Abandoned cart management
The average cart abandonment rate orbits around 70%. The result is that eCommerce brands lose a staggering $18 billion in sales revenue per year because of abandoned carts. Your store requires abandoned cart management capabilities to recover lost sales and boost revenue.
The best marketing automation platforms make it easy to create and send automated emails to hesitant buyers. It can convince at least some of them to come back and complete the purchase.
6. Data analytics and reporting
Data is the lifeblood of every eCommerce business. The ability to track, measure, and analyze data is essential to making well-informed decisions about your marketing efforts.
A well-picked eCommerce marketing automation platform has reporting features that give you insights into your campaigns' performances. That way, you can quickly identify which strategies work and which need to be tweaked or abandoned altogether.
Common issues with eCommerce marketing automation
Using eCommerce marketing automation software is a must, but you need to be aware of certain issues as well. Don’t worry—these drawbacks don’t jeopardize the functionality, but you should prepare for them to ensure easy deployment.
1. Not having the automation plan
The platform you choose is only a tool, but it’s no use if you don’t prepare a marketing automation plan beforehand. You need to know exactly what you want to achieve with this system. We are talking about these details:
- Knowing when and where to use your eCommerce platform for automation
- Creating a thorough deployment schedule
- Predicting the results it can achieve
- Setting the right eCommerce marketing automation goals
Only a well-planned approach can lead to a successful implementation of a brand new marketing automation platform.
2. A steep learning curve
This issue is not exclusive to marketing automation, but it's definitely worth mentioning. Most software tools have a steep learning curve because they offer many features and customizability.
The more features a tool has, the more options you have for performing different tasks.
Therefore, it will take a while for your team to learn how to use all of those features. In addition, many eCommerce marketing automation tools let you experiment with configurations. This type of customization requires time to learn and set up.
3. It demands a structured database
Almost every software needs a structured database. This is essential because your marketing automation system relies on accurate and filtered data. A structured database is like a well-organized library, where each book is shelved in its correct place and can be easily found.
A tool with a clean database can quickly and easily access information about your customers. For instance, you put in all your product data with our tool. Then, our software generates content solely on your provided data and does not pull any external data. That way, you can rest assured that each description will be correct and tailored to your users.
The system can generate reports, create content, schedule emails, and produce other outputs. But if you don’t have a structured database, you’ll still face doubts about automated or editorial content.
4. Not being aware of the platform's full potential
It wouldn't be fair not to mention this eCommerce marketing automation issue because it's widespread. Most companies do not use their automation tools to the fullest. Many teams have comprehensive programs with tons of features, but they stick to one function exclusively.
For instance, they only take advantage of email automation. In this case, it would be better (and cheaper) to use a simple email marketing tool than to purchase a bigger platform with features you don't use.
If you had any doubts about eCommerce marketing automation, we are sure they are gone by now. The reason is simple—the benefits of automating certain aspects of eCommerce marketing are too great to neglect.
The automation process helps eCommerce marketers eliminate repetitive tasks, streamline activities, and personalize content. This is exactly what you get with AX Semantics, a tool that enables you to turn product pages into highly personalized sales pitches.
Your website already collects all sorts of customer data. You only need a marketing automation platform like ours to exploit data in real-time and boost conversions.
Are you ready to give it a try?
What does marketing automation include?
Marketing automation is an umbrella term that includes email marketing, lead management, CRM integration, personalization, behavioral targeting, and data analytics. It can also include online event management, website integration, customer segmentation, and similar.
ECommerce marketing automation aims to enhance marketing and sales processes, while the ultimate goal is to improve efficiency and effectiveness.
What is an example of marketing automation?
Dealing with abandoned carts is one of the best examples of marketing automation.
Your marketing automation platform can send abandoned cart reminders to customers who have left items in their online shopping carts. The system does it to nudge users towards completing their purchases. You can send these reminders via email or text message.
The good thing is that you can personalize abandoned cart messages with details about the products that were left behind. This helps to jog the customer's memory and encourage them to return to the website and complete their purchase.
What is a marketing automation strategy?
A marketing automation strategy is an all-encompassing plan that helps eCommerce businesses switch from traditional to automated marketing activities. The strategy has to identify which aspects of marketing automation apply to a given company.
Besides that, the strategy deals with issues like platform selection, goal-setting, and long-term planning to ensure the sustainability of the process.