Increasing eCommerce Profit Margins: The Speedy Guide

by | Mar 13 2023

When it comes to increasing eCommerce profit margins, prepare to be met with some tricky decisions. Unplug the discounts and you might see slower growth. Dial them up and you’ll see your profit go down. It’s all about striking a balance to maintain a healthy balance sheet.

Many eCommerce businesses feel like they have to discount to stay competitive, and that’s understandable. Customers nowadays have more choice over what they buy and who they buy from.

But that doesn’t mean you need to launch site-wide “40% off” promotions just to convert everyone that passes through your site.

The truth is, only a small percentage of customers justify such a high markdown on their cart value. Every brand knows how to define ROI from a sale. All they need is a way of hyper-personalizing deals to guarantee a profitable outcome.

Driving online profits intelligently


Allow us to make a suggestion on increasing your eCommerce profit margins. Now a mainstay for forward-thinking brands, real-time hyper-personalized offers allow you to launch promotions that treat profit as a priority.

Let’s say you’re looking to increase online revenue and improve your rate of conversion. With RevLifter’s AI product recommendations, you can suggest deals on items that align with the existing cart and drive a higher margin.

This process requires a real-time scan of the cart contents, the existing margin, your product catalog, and your deal library. Once the technology has enough insight, it can serve an attractive and highly profitable deal.

The whole process takes milliseconds thanks to the inputting of rules that focus on margin-driving products and categories.

Online brands love hyper-personalization for its ability to achieve multiple goals. Profit, revenue, and conversions – a real-time engine lets you drive all three.

Converting high-margin carts


Another way of using RevLifter to increase eCommerce profit margins is to ensure you capitalize on the moments where profitability is assured.

Perhaps the customer has filled a cart with high-margin items. If they show signs of abandoning their order, RevLifter can use an overlay to serve a deal that reels them back in.

The margin could be so high that you want to convert the user anyway. These instances are easy to identify, and simple to act on through personalized offers.

Upselling and cross-selling are becoming mainstays in the eCommerce world, but not all strategies are made equally. RevLifter gives you an edge by transforming your basic recommendations into effective profit-driving actions.

How RevLifter ensures ROI on every incentive


Tactically upsells and cross-sells

RevLifter is the brain behind powerful rules that unlock bigger savings for the customer and a higher margin on every sale. 

Go beyond increasing revenue with AI product recommendations, which dynamically upsell and cross-sell to raise your profit. 

Increase eCommerce profit margins with upselling

Prioritizes and converts high-margin carts

High value doesn’t always translate to high margin. You need a solution to distinguish between the two – or prepare for lower ROI.

Increase eCommerce profit margins by converting VIPs

RevConvert motivates customers with unmissable on-site deals, triggered as soon as a profit driver is added to their cart

Case-by-case incentivization

Take a logical approach to incentivization with technology that considers your minimum requirements for a discount before impacting a full-price sale. 

Increase eCommerce profit margins by converting high-margin carts

RevLifter also identifies moments to apply lighter incentives – like free shipping or second-order deals – to produce greater ROI.

If you’d like to learn more about how RevLifter increases your eCommerce profit margins, book a demo today.

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