How Video Enhances Conversion Rates for eCommerce

5 Aug

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Regardless of whether you are a small business launching a brand new eCommerce website, a blogger struggling to get exposure or a big company trying to enhance leads and sales, online video marketing has become a valuable strategy.

You can use this strategy to not only engage your customers and enhance your search ranking, but perhaps most importantly to improve your conversion rates.

Video has become one of the most impactful forms of media online and the effects are now being felt by eCommerce websites. In fact, housewares e-retailer StacksAndStacks reported that visitors were 144% more likely to make a purchase after seeing a product video than those who did not (source: InternetRetailer).

You’ll actually find that most eCommerce CMS platforms today, such as Magento, provide the capability to add not just product photos, but also product-information in video form.

What makes video so effective?

In order to find the best way to deploy video content in your order process, it is first essential to understand why video can be such an effective tool for your eCommerce business.

1. Video requires less effort to watch

This may seem obvious, but video takes less effort than reading text because reading requires a higher level of concentration. As such, people prefer watching to reading and this spans almost every demographic and industry.

Long passages of text are also especially hard to read on mobile devices with small screens. This makes video a much better choice for communicating information to people accessing your website from places other than desktop.

Reading text on phone

 

2. Video communicates more information

They say a picture paints a thousand words. If that’s so, then a video is worth 1.8 million words per minute according to Forrester research.

Video helps communicate information faster and more easily, especially when a complex product is involved. You can use video to teach your target audience about how your product works in a much faster and easier way than you would with text.

 

3. Video enhances ranking on search engines

Third, video helps businesses to rank better on search engines. With a higher search engine ranking, you are more likely to attract quality traffic to your site. When you attract higher quality traffic to your eCommerce business, you will naturally receive higher conversion rates.

Google gives better rankings to pages that have higher quality content. According to Search Metrics, one of the factors that Google uses to determine the quality of content is the presence or absence of video content in a page. A video is a sign of high quality content, thus including additional rich media content, such as images and video can help your business to rank better.

Another study by Search Metrics clearly shows that visitors stay longer on pages that have video content. The dwell time, which is one of the factors that Google uses to rank pages, is a product of the time spent on a site and the Bounce rate.

image computer

Video helps businesses increase the time people spend on their pages in two ways: it is more engaging than simple images and text, and watching video consumes more time. People generally only skim or scan through webpages until they locate they are looking for.

However, with video, people interact very differently.

Forbes Insights indicates that although video takes more time to watch, 59% of senior executives would rather watch a video as opposed to reading web text. The explanation to this could be that the brain processes visual information faster and easier than other forms of information. Furthermore, if a person starts watching a video that he or she finds interesting, they will likely watch it in its entirety, meaning that every second counts to generate the desired results from your video marketing.

Thus, given that watching video takes more time than reading text, this will increase the amount of time visitors spend browsing on your page. Due to this increase in site time, your search rankings will grow.

Lastly, video also helps with search engine rankings because it attracts high-quality backlinks. Having video as part of your content strategy helps to increase the number of links you can generate pointing to your website. This is due to that fact that a video is an indication of high quality content, meaning that you will likely get attention from quality websites.

 

4. Video is more viewable and shareable

People are normally more enticed to click on a video thumbnail as opposed to when there is no multimedia or visual element.

Additionally, joint studies by M Booth, a global communications company, and Simply Measured, a media measurement and analytics organization, indicate that videos are driving engagement.

According to the studies, people share video posts 12 times more than text posts and links combined on Facebook. This implies that creating shareable videos in video marketing can result in more visitors visiting your eCommerce site, naturally enhancing your conversion rate.

 

A Video Marketing Example – Product Videos

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ASOS Product Videos – “View Catwalk”

Some of the best ways to include video as a means of increasing conversions are Product Videos.  

A great example is eCommerce giant ASOS who do an excellent job of producing a short runway video for each clothing item featured, allowing customers to really see each product in much more detail. This is relatively simple to produce and adds enormous value for customers.

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ASOS Catwalk Video Example

 

Conclusion

More marketers continually believe that making use of video marketing and video generally is the best kind of content with the greatest return on investment. With the growing pressure to produce more results for lesser marketing budget, video provides an effective strategy to enhance online conversions. Statistics clearly indicate that conversion rates increase with the use of videos.

Clipchamp offers a number of solutions to help marketers employ video in their ecommerce efforts. In order to make optimal use of video on their eCommerce websites, knowing how to compress a video is just one of a number of essential skills digital marketers need to be aware of.

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