How Borders Increased Conversions By 62 Percent
By Anna Johnson on January 14th, 2009A recent case study by MarketingSherpa details several initiatives bookstore chain, Borders, took to increase its online conversions by an impressive 62 percent. Borders’ story is interesting for a number of reasons.
Among other things, it highlights what can be done when, due to a legal agreement, you weren’t free to sell books online… until 2006.
That’s right, while Amazon, Barnes & Noble and others had more than a decade to carve up the online book market between them, major bookstore chain Borders couldn’t enter the fray until two years ago.
Doing the same thing as everyone else wasn’t going to do, so one of Borders’ most impressive moves was to reject the typical online bookstore format pioneered by Amazon and used by Barnes & Noble and others. Instead, Borders decided to bring to the web the bricks-and-mortar browsing experience enjoyed by those who frequent its stores.
Borders’ decision wasn’t just based on a desire to be ‘different’; it was a result of knowing its customers. Borders knew, for example, that over half of its customers go into Borders stores with an intention to buy ’something’ but not necessarily anything in particular. They enjoy the experience of browsing itself.
If you read today’s feature article, you’ll have a major clue as to why Borders can charge more for its books than other bookstores.
When someone goes into a Borders store to buy a book, they aren’t just looking for a specific book. They’re buying the entire browsing and buying experience.
The experience of spending time in a spacious, relaxed environment where there is a huge range of books and places to sit and flick through books… the experience of browsing through a variety of books before settling on one, or two or three… and the experience of a load of other things, quite apart from buying a particular book.
All these experiences offer customers more value than the book itself, and that’s why they’re willing to pay more for a book they buy at Borders.
Back to Borders’ foray online…
Borders introduced its online version of the browsing experience, called the ‘Magic Shelf’, as part of its new website, in May 2008. And, although some may have doubted whether Borders could really emulate its in-store experience online, the Magic Shelf has turned out to be a hit.
Customers who use this Flash-driven interface – which allows visitors to view the covers of books, DVDs and CDs – convert at about 62 percent higher than those who do not.
For more details of how Borders came up with the Magic Shelf, how they introduced it, and other factors which have helped increase conversions, check out the MarketingSherpa article (registration required). And take a look at Borders’ Magic Shelf.
