May 14, 2001, 12:00 AM

Better CRM boosts conversions 30% and more at eBags

Broadbase CRM software applications integrate data and automate campaigns in real time, allowing eBags to make marketing changes on the fly.

EBags has set its sights on reaching profitability by mid year, and it’s focusing on boosting conversion rates as one way of getting there. The online bag and travel accessories retailer has used CRM software from technology developer Broadbase to improve conversion rates by 30% and more, says CEO Jon Nordmark.

The Broadbase applications helped eBags better integrate different types of data, apply the right anlaytics, and automate personalized marketing campaigns in real time. The applications pulled together data from eBags’ customer service e-mail, chat and phone systems plus sales and other databases for key insights into shopper behavior. “For example, we found that in a list of offers in a customer e-mail, people tend to buy the first and last items more often – something we wouldn’t have known except by examining both e-mail and sales data,” says Mike Frazini, eBags’ vice president of technology.

Now the company places its most profitable items at the beginning and end of listed e-mail offers. By using the analytics application to compare site content with conversions with time, the company also sharpened its understanding of what content drives conversion rates. That new understanding and changes it drove to site content resulted in a 20% to 30% increase in conversion rates, says Nordmark. Additionally, Broadbase’s campaign automation application has improved eBags’ ability to do real time, personalized merchandizing on the site and in e-mail campaigns, resulting in a further 10% to 30% increase in conversion rates, says Nordmark.

“Improving conversion rates means making continuous improvements in click-throughs on e-mails, getting more browsers to put items in their shopping carts, and getting more shopping carts to the order desk,” adds Nordmark. “The way to improve all of these rates is to understand our customer better.”


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