Tag Archives: e-commerce

Facebook addiction cured

Cold Turkey seems the solution…

Although China has lifted the restrictions on Facebook and Twitter, lots of hotels proxy servers haven’t. Therefore I have had little or no access to either social network this holiday.

I have really only had the chance to share this blog, which has an extensive readership of 2-3 people – you know who you are!

I am not sure I will really return to Facebook, I have downloaded all the photos I have posted so next step is to delete my account 🙂

PS. I am not sure I was ever really addicted, I just moved my internet usage onto Facebook for a few years.

Holiday internet

I am a little freaked by lack of internet connection on holiday.

I personally don’t feel secure without some ability to get e-mail (ideally without paying massive roaming fees to O2).

I can’t be alone, most business travellers need internet at some point, and with the amount of photos we have taken on this holiday I need a fairly fast connection. I will have a good look at some options for Egypt in October as I really do need internet access there!

In China we have been staying in some reasonable hotels so we have had pretty good internet access. Although with a MacBook Air the lack of a physical connection means I have to rely on wifi which has been a little flakey in some of the hotels.

I have managed to sneak an hour or so a day most of the time to get caught up on email….sad I know 🙂

What is your average visitor value?

I thought it was worth spending some time on the differences in e-commerce of measuring success related to conversion.

Many investors focus purely on visits and conversion especially around e-commerce. They say conversion rate is fantastic, all we need to do is grow visits. Easy eh?

In the food industry there seems to be quite an elastic demand curve relating to order value and LTV. The higher the price you are asking the lower the conversion rate.

So I wonder if there is a better way to calculate the effectiveness of visitor conversion.

In this worked example (which google analytics reports), you can see the revenue per visitor to your website.


Business 1 has the same number of visitors as business 2, but the second business has 5 times the average order value even though conversion rates are broadly the same.

Business 3 has a lower conversion rate but the AOV is much higher – you need less customers and therefore arguably it is an easier business to scale. In subscription businesses, like Diet Chef it is more complex as the average order value is the total value of the plan the customer signs up to, not just the first week or month of this.

So when analysing the business, don’t just take conversion rate and visitors as the metrics, look at the value of your average visitor to your website and do everything you can to improve this metric.

Second screen viewing

Having informally spoken to many consumers about their TV viewing habits it has become clear that the rise in devices (smartphones, tablets, laptops) has changed the way we engage with TV content and advertising.

I used to sit down and watch TV as the only content source in the TV room, but for every one TV screen there are typically 2-3 devices in the room. After xmas day 2011, the rise in traffic from mobile (mainly tablet) devices in the UK was phenomenal. Not only do I consume TV from my tablet, I also surf alongside programming during the advert breaks and actual programme.

Elisabeth Murdoch talked about the impact of this and TV on her life recently at the Edinburgh International Television Festival.