The Importance of Using Offers on Your Landing Pages

When creating a landing page and using paid social ads to divert traffic towards it, you want to make sure that you are converting as many customers as possible, and using a compelling offer can be the difference in your success rate.

Landing pages are used to sell a specific product, offer or service to a customer from an external link, with the content aimed at converting that specific customer into a paying customer. To achieve this, you want to give the customer a reason for purchasing from you. If they are on the landing page, you have already piqued their interest enough for them to click on the ad, so make sure that your offer and landing page are enticing enough to convert the sale.

From social ad to landing page

One of the key factors in your landing page conversion, will be if it has been designed to be mobile friendly. With landing pages likely being linked from social ads, there is a good chance that customers have clicked on the ad on their phone. So if the mobile version isnt styled effectively, or if parts of it are broken, it can affect the conversion rate as customers will be able to easily leave the page.

When promoting the offer, you want to make it prominent to the customer, this will include on the hero section of the landing page, as well as spread throughout the rest of the page. Have CTAs throughout the page, allowing for the customer at any time to decide on a purchase, rather than having to scroll back through the page.

While you want to provide all the information to the customer that will help them convert, such as testimonials, detailing of the features, and what they can expect from using the product, you dont want to fill the page with clutter. Make sure that the content has a reason to be there, and that it is effective. If you start providing them with content that doesnt keep their attention, there is a good chance that they will leave.

To really sell how good the offer is and the value they will be receiving, show the amount of money, or percentage that they will save on the product by purchasing off this landing page, and make it seem like an offer that is too good to miss.

Use contribution margins to determine which offer works best for you

To truly understand how your offers are performing, you need to look at performance and calculating the contribution margin. Contribution margin will show you how much money you are making on the sale on average after costs have been taken away. These include product cost, freight cost, processing fee, CPA, discount, fulfilment fee and returns. You can then get an understanding of how much profit you are making on average across the offer, and what percentage this is - giving you a glimpse at which are the most effective.

To calculate this, you simply subtract all the variable costs from the sale price, which can then be turned into a percentage and when looking for the best results, the higher the percentage, the better. For example, if a 50% off offer has a contribution margin of $14 and 6%, it is not performing as well as a 3 for 2 offer that has a margin of $80 and 49%. Even though the contribution margin for one offer may not look great, it is important to look at how this offer performs when looking at LTV.

If the contribution margin is poor, but customers keep coming back and spending more money, this can help increase your contribution margin over time. You can then use these margins to see which types of offers perform best for you, and stop any campaigns that have a low performing margin.

10 types of offers you can use

There are various styles of offers that you can use to help convert your landing page into sales, and it is a good idea to experiment with a few of these ideas to see which performs best for you. Here we will go through 10 of the most effective offers you can promote, so you can decide which you think will work best for your products.

Bundles

One of the best offers to use on a landing page is to create an exclusive bundle. This will be based around a hero product that you are looking to promote and sell, but by grouping that together with other products for a reduced price, can encourage customers to spend more but receive a good deal in terms of value. This can help pair up some of your underperforming or cheaper items with your most popular, but still provide benefit to the customer.

When creating bundles, you can create multiple options at different price points, for example a bundle that costs £50, £100, £150 with different amounts or value of products included. This not only offers the customers more choice, but can increase the chance of them choosing the more expensive bundle as they can see that they will be getting the better offer. When listing the bundle, it is important to show the amount or percentage they will be saving for each bundle to show why they should be purchasing the product as a bundle, rather than by itself.

By offering a bundle and increasing your AOV, you can gain more margin by saving on some of your delivery and admin costs, rather than shipping out the stock in multiple orders.

Gift with Purchase

Rather than offering a discount on their order, you can offer the customer a free gift if they order from the landing page. This can provide added value as they are getting something for free, but will also reap benefits for you as you can convert the sale at the same price, but take a hit on the free product which will usually be of much lower value. Not only can it help to convert the sale, it can also help to increase the AOV, as you can offer different free products depending on how much they spend, with the value of the item increasing based on the amount they spend.

It is important to make sure that the free gift is interesting enough for them to consider purchasing it, but you also want to make sure that you are still making enough margin to cover the cost of the product and other factors such as the ads that were used to draw customers to the landing page. The free gift can also be useful to clear stock of products to make way for new ranges or to reduce stock of underperforming products, as the customer might not have been interested in the product by itself, but when it is offered for free, it can convince them to purchase the main product.

BOGO…

When sending customers to your landing page, you can not only focus on converting that customer into a sale, but also at increasing the AOV. By offering a Buy One Get One… offer, you can increase the amount of products customers purchase, by stacking the discounts. For example, if they buy two of the products, they can get 50% off a third, and if they purchase three, they can receive the fourth item for free.

In this type of offer, the profit lost on the free or discounted item will be spread across all the products, meaning that while the customer is getting a great deal, it will not reduce your overall margins too drastically.

This type of offer works perfectly for products that customers tend to buy in quantity, such as food and drink, or for products you are looking to clear some of the stock of.

Save as you build

Similair to how the BOGO offer works, this provides the customer with a discount the more that they spend. However rather than it being calculated on the number of items they purchase, it is calculated on the value of items in their cart. For example, spend over £50 and receive 10% off, £100 and receiver 20% off etc. This can help increase the amount and value of items customers add to their cart, as by spending slightly more, they will not only receive more products, but also reduce the overall cost.

This type of offer works perfectly if the average cost of products is slightly below the threshold. For example a product costing £45 will cost the customer the same as if they spend £50 but get a 10% discount, meaning that they will benefit from this offer by getting more or higher valued items, and you will benefit by increasing your AOV.

Subscription

It isnt just your AOV that you can increase using offers on your landing pages, but LTV as well through the use of subscriptions. Subscriptions allow customers to sign up and receive products on a regular basis, usually monthly, where they dont have to go through the process of ordering again, and will instead have the product sent out to them on the agreed schedule.

This works particularly well for consumable items such as food and drink, or cosmetic items. Any product that consumers will use throughout their daily life and will regularly need restocking are perfect for this type of offer. As well as luxury items such as subscription boxes based around a certain product or theme where they are unsure what they will receive exactly, but know the value or the order.

The customers who sign up to subscriptions tend to be really valuable in terms of LTV, so you can afford to give a bigger discount on their first subscription to entice them to join, and a discount on future orders based on the amount of months they sign up for, or if they pay it all in advance instead of monthly.

Customisation

As well as offering pre-made bundles, you can allow the customer the chance to customise their order by selecting from a range of products, and if they add them they will recieve them for a discount price overall.

If an item has a lot of customisation or add-on products to choose from, lead the customer through these options and show them that with every choice they make, they’re getting a bigger saving, encouraging them to add more. This will appeal more to customers than the pre-made bundles, as they can make sure they are only receiving the products they want, even if they have to pay slightly more.

This will not only help improve your conversion rate by showing the amount of value and savings they will be receiving, but will also increase your AOV with the customer adding more products to their cart in order to get the best deal.

Quiz

If you offer a range of products that customers might not be sure which one is best for them, you can run a quiz on your landing page that will help guide them. By answering some questions, you can lead them to the best offer and products for them, based on their answers, and increase the chance of conversion by making the decisions easier for them.

The quiz will work like a digital sales person, recommending products that you think will suit them, and pointing out the discounts that they will be receiving if they were to purchase after completing the quiz.

This type of product works perfect for cosmetics products, where customers might not be sure which products they should purchase for the results they are looking for.

Limited Time Offer

To help increase the conversion rate of your offer, you need to create a sense of urgency that will prevent customers from leaving the landing page and missing out on the deal you are presenting them with. You can do this by running a limited time offer, and having a countdown showing how long they have to complete the order, before the discount expires and the product will return to its regular price. This urgency can help convert the customers who are interested in your product, but are not rushed to purchase it right away, but with the chance of having to pay more for it later, can lead to them converting earlier.

Limited Customer Offer

Similarly to the limited time offer, another way to increase conversion and put pressure on your customers to purchase when landing on the page, is to limit your offer to a set number of customers. Rather than counting down to a certain time, you can limit the amount of offers left, and make it obvious to the customer by having a countdown, for example ‘Hurry, there are only 12 products left’. This will increase your conversion by presenting an exclusive deal to the customer, that will give them a great price and a price not every customer will be able to access.

Early Access Offer

If you are launching a new product, and want to predict how many orders you can expect, you can present an early access offer to customers who pre-order your product. This has worked well on crowdfunding websites where backers can receive the product much cheaper than when it goes on general sale, and a similar approach can be used on your landing pages as well.

The customer will benefit from this deal by receiving the product at a reduced price, albeit having to wait longer for their order, and you will benefit from this in a number of ways that will counter out the drop in margin you will be taking from the offer.

With pre-orders, it will allow you to see how many people are interested in your product, giving you an idea of how many products you will need to produce or source for when your product will go on general sale. It will also provide some funds upfront which you can use to help produce or market your products, depending on whether you take payment at the time of order, or when the product ships. If you do take payment on order, and use any of the funds on your business, be sure to make sure that customers can still cancel their pre-order if they request it, and that you can fulfill the orders that you have taken.

Now that you know the different types of offers you can run on your landing page, you also want to make sure that your landing page is structured in the most effective way. To find out more about landing page structure, you can read our article here.