When it comes to traffic, e-commerce companies should be familiar with it, because it is a key factor in determining the effectiveness of operations. Traffic is equivalent to the customer flow of physical stores. For physical stores, business can only get better if there are more people patronizing them, and the same is true for online stores. When it comes to traffic structure, many e-commerce companies may not care too much, but it is closely related to the effectiveness of operations. In order to make themselves more popular, e-commerce companies must understand the trends and changes of each traffic entrance.
Next, let’s talk about traffic structure analysis. To analyze the traffic structure, we must start with the traffic entrance, that is, to know where the traffic comes from. The first is paid traffic, that is, the traffic generated by buyers who have already consumed; the second is natural traffic, that is, the traffic generated by buyers searching for keywords; the third is return traffic, which mainly comes from buyers’ collections and repeat purchases.
In addition to the traffic entrance, the composition of the traffic structure is also critical. In layman’s terms, the traffic structure is the proportion of mainstream traffic, which reflects the operational quality of e-commerce companies. What are the proportions of paid traffic, natural traffic, and return traffic? What kind of proportion structure is the most advantageous? These issues require e-commerce companies to seriously consider and decide whether the traffic structure is dominated by paid traffic, natural traffic, or return traffic.
For e-commerce companies in the early stages of entrepreneurship, the traffic structure should be dominated by paid traffic, accounting for 20%~35%. At this time, e-commerce companies can test the market reaction and run-in the team through the imported paid traffic, but avoid blind expansion, otherwise it will waste money and the effect of drainage may not be very good.
For e-commerce companies in the expansion stage, the proportion of paid traffic can be appropriately higher, about 35%~50%. Large-scale paid traffic can attract accurate buyers and improve conversion rate and popularity. In addition, e-commerce companies should also pay attention to the optimization of natural traffic and try to reduce or avoid invalid natural traffic.
If the e-commerce company is in a relatively stable state, the proportion of paid traffic and natural traffic is relatively reasonable, and the operation effect is relatively good, it can temporarily maintain this proportion relationship and operation mode, but do not ignore the traffic import of products and peers.
Tips
For e-commerce companies, paid traffic, natural traffic, and return traffic are the three most important traffic. In order to survive, e-commerce companies need to analyze these three types of traffic according to their development stage and operation cycle.